A financial checklist before you purchase your dream house

Township Projects in Mumbai | Builders & Developers in Mumbai

A financial checklist before you purchase your dream house
Hiranandani Communities | 01 July,2018

Fnancial Checklist

Buying an apartment is one of the most crucial decisions that you make in your life. Price, location and amenities are important but there are also other factors a buyer should consider. It is important to have a checklist in place before considering a property purchase. Here’s a list of factors that will make your home a dream home.

  1. Opening ahome savings account: Have separate savings account where you can store all the money that you are planning to save for your dream home. You also need to look and compare savings account to view the interest rates and see, which account is the best one for you. 
  2. The money you want to allocate for investing in your new home: Set aside money for investing in your new home. You need to check the purchasing price as well as analyze the impact it will have on your savings and expenses.
  3. Ensure the title deeds and paperwork is clear: Ensure that the title deeds of the builder and seller are clear. You also need to ensure that there is no property dispute. After making the initial payment, try and get the allotment letter or agreement of sale depending if you’re buying from the builder directly or an existing property owner. If you are purchasing an existing property, your purchase will be completed only after sale deed is completed and registered with the registrar. 
  4. Location of the property: Consider the purchase based on your travel commute to work and the location of your children’s school. Safety of a neighborhood is another important factor that needs to be taken into consideration. You also need to check whether you have conveniences such as fire station and hospitals close by. For example, if you’re buying a home in the maximum city, look at all possible localities, builders & developers in Mumbai, residential projects in Mumbai, township projects in Mumbai and then narrow down on a location.
  5. Ensure that the property fits your budget, financial plan and tax framework: Banks provide loans to purchase property but you need to ensure that you have adequate funds available with you. Most banks and financial institutions will finance up to 80-85% of the cost of the property. The remaining will be brought as your equity margin. CIBIL score and EMI are other factors that you should consider. You stand better chances of getting a loan if your CIBIL score is in the range of 750-900. Ensure that you can afford to pay the EMI. EMI for the home loan should not be more than 40% of your net take home salary. 
  6. Interiors: Consider the post-purchase requirement of the cash flow to set up the dream home as per your taste and lifestyle. Banks provide loans for house renovations. You need to budget your pre-purchase as well as post-purchase expenses.

Before you start house hunting, you need to prepare and learn how to buy a home. These checklists will prove to be good starting points for buying your dream apartment.  If you are looking for residential properties, Hiranandani Fortune City is a good option to invest in. It offers studio 1, 1.5, 2 and 3 BHK flats in Panvel. Hiranandani Communities is best known for its township projects like Thane and Powai.