Women today have become financially independent and have been making informed financial decisions. What is even more striking is the way they have been owning and managing small businesses and entrepreneurial ventures which has got them exposed to many financial instruments and buying capacities in the lending landscape. Buying a home is the most important decision for any individual. They should tread wisely before they choose to own a home right from deciding which bank and the amount that needs to be invested before they buy home. Apart from the loaning formalities, women should also consider a checklist of various factors before or after buying their first home.
Checklist for women before buying their first home
1. Planning finances and checking availability
The first thing to take into account before considering a home loan is affordability. Seek advice from a financial planner who will give the right direction to invest as per the investment goal. Maintain a contingency fund to cover home loan EMIs and other expenses for three to six months. When lenders look at home loans, they take into account age, outstanding debt, income, and credit history. They will also look for the future value of the property when determining home loan eligibility.
2. Explore the location
Do not make a hasty decision to choose and buy a home. Before making a final decision, spend some time doing the research before making your final selection about the potential property such as security, basic amenities, and how well it is connected to other key locations.
3. Registration charges and stamp duty
Registration and stamp duty are evidence of legal ownership. The stamp duty depends on factors such as the type of property, the age, the location, etc. You need to pay a substantial amount for the registration and stamp duty. Find out how much is expected to pay based on the location and property one is planning to buy.
4. Documents required for a home loan
This step is important at the start but after you decide and register your property, you will have to submit many financial documents if you apply for a home loan. The sooner you get the documents ready it will be easy. The documents to be submitted include tax return papers, income certificates like salary slips for the last month, bank statements of the registered account, proof of address, and identity documents. If the lender asks for more documents you will have to submit them as well but these are just the basic documents.
5. Check the market rates of properties and options to manage loans digitally
Before buying a property, compare the market rates of several properties to get a clear picture. Check and compare the rates on real estate websites as it contains locality-specific information. Check rates for women co-ownership or senior citizens if possible and consider things like ease of customer service and options of managing loans digitally as this will be a long-duration loan.
6. Choose a reliable builder
Before shortlisting a project, conduct several rounds of a thorough review. Conduct the first level of research online which will give you a fair idea of what to expect. Try and contact real homeowners and explore the benefits and disadvantages of the property you are interested in. Finding the right apartment for your needs will be easier if you search locally for good brokers.
7. Check parking facility, other amenities, and traffic situation
When choosing a house, make sure there are parking spaces available. The parking facility in a residential society is usually included in the deal, but you can purchase an additional space depending on your budget and needs.
8. Possession time of property
Check the ownership time of the property. As a buyer, you can either opt for a completed project or buy a house under construction. Buying a house during the construction phase is always in demand and costs more. However, buying a house at the completed stage has its own advantages. If you decide to buy a house under construction, make sure it is registered with RERA and the builders have all the government permits and certificates.
Checklist for women buyers after buying their first home
1. Check for additional expenses
With a home loan, you are vulnerable to incidental expenses. In addition to the interest rate, there are loan processing and transaction fees, as well as prepayment and foreclosure fees, home maintenance, and parking fees. In addition to affordability, there is also cost to consider. You can schedule the payment in an organized manner if you know the additional fees in advance.
2. Pay attention to the resale value
You should consider the resale value of the property if you plan on investing in it rather than living in it and eventually selling it.
4. Getting insurance coverage for your new home
Choose the right insurance for your new home and protect yourself financially against theft and natural disasters and from future liability.
5. Maintaining documents
Keep three copies of all the documents related to purchase at three different locations. These documents should be photocopied, watermarked, and digitized.
6. Commence paperwork related to transfer
Initiate paperwork related to the transfer of electricity, social shares, and property tax records within the municipal body. Change the address on all official documents.
In order to be prepared for all the requirements, you should keep these factors in mind when purchasing and after purchasing a home loan.
There are a lot of things to consider for women before buying your first home, and even more to think about after you’re settled in. We hope this article has given you a better idea of what some of those things are and that you feel more prepared to take on the challenge of homeownership. Remember, there’s no rush – take your time, do your research, and find the perfect house for you and your family.
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