Factors to consider for first time home buyers
Like most things we do for the first time, home buying for the first time can be daunting and difficult. Given the huge financial commitment and the wide range of implications it has on our life, first time home buyers are under a considerable amount of stress. However, careful planning and with good advice from experienced individuals can be of great help – and buying a home can end up being one of the most memorable and cherished moments in life!
Firstly, before purchasing a home one must have a clear picture of the needs & expectations from the home. What kind of lifestyle are you looking for, what amenities should it have and what facilities are a must for you? These questions help you choose homes from the ones that are available.
Secondly, you must finalize the budget and source of funding your home. One must know that overshooting the budget is common but not always necessary. Be objective while budgeting, it is good to factor in unforeseen expenses. And while finalizing the home be sure that the extra spending is actually worth it, rather than just going for fancy stuff.
The source of funding your homes is vital. Most of the times, the source is a home loan which translates into a long term financial commitment. You must factor in down payment costs, registration costs, sundry expenses and cost of servicing the loan. Unless you’re sure of being able to meet all of the costs, it is not advisable to get into the process because you could actually end up losing some money without gaining the home of your choice.
Thirdly, check all the legal aspects of the home or property that you are purchasing. It is vital to do a thorough due diligence at the beginning rather than finding yourself in litigations at a later stage. If need be, do take legal and statutory advise prior to making the payments. Ensure that the paperwork is accurate and sufficient.
It is always a good practice to double check and take advice from multiple sources that you trust. Having said that, refrain from going to all and sundry – this might eventually confuse you more and make you susceptible to making a mistake. Trusted friends, family or a knowledgeable independent third-party.
Home buying can often end up being an all-consuming and never ending affair. You get drawn into it and might find it difficult to pull yourself out of it. If you’re unable to find one that is available on your terms and meeting your needs, it’s best to take a step back and think with clarity. It’s always better to act in prudence than in a hurry.