Buying a new home is always exciting, but at the same time, it takes a lot of effort and time. Especially, if you are a first time home buyer, you are quite bound to go through a number of difficulties. However, to make it a hassle-free process, we have come up with some important steps that will steer you through the right path.
Research: Start your research beforehand; reaching out to real estate agents in the locality where you are looking for a home will give you a better idea about the price and location benefits. You can also search homes on several websites using certain keywords like 2bhk flats for sale in kharadi , flats for sale in pune and many more. Select the properties you are interested in and see how long they stay on the market.
Affordability: Determine how much can you afford based on your financial situation. Use affordability calculator to see how much you might be able to afford. Try saving money for down payment each month as soon as the thought of buying new home hits you. The more you save for down payment the less loan amount you would need to take. As said by Tom Gilmour "As a general thumb rule, one should look at home prices that are two to three times of their annual income." This way you will not be liable for mortgage that you cannot afford.
Finding newhome online: Decide on the features you are looking for in a home. Browsing online resources to find a new home is a great thing to start with. There are many online real estate portals to opt for which will offer you various deals on leading properties. Also, these websites can show you properties according to your requirements and budget. Websites like www.fourrwalls.com, www.99acres.com, and www.magicbricks.com have large number of properties that will suit your requirement. These companies provide you with various services like presales service, site visits and also give legal support for documentation.
There are few more things you should consider while finalizing on a property.
a) Now that RERA is implemented, you need to check the RERA number on Mahaonline.gov.in to see whether the project is registered under Rera Act. As per the guidelines, a builder will not get sanctions until his project is registered.
b) Check for the plans of the project.
Once you have finalized the property, you need to follow certain procedure while buying a home.
Choose a Home and Negotiate: During site visits, take as many pictures as you can, as it will be difficult to remember all the aspects while tripping over an end number of properties. Test/check all the features of the house. Evaluate the neighbourhood and check the accessibility to your places of interest. Take as much time as you want, as this is a decision of a lifetime. Work with the builder to negotiate on a fair price based on the value and features of comparable homes in the same location. You need to make a booking amount for the apartment once you have come to final price.
Home Loan: Home Loan lenders have a wide range of competitive prices and have exceptional customer service reputation, making it easy for you to get a home loan. Use a home loan calculator to check your home loan eligibility for a home loan. It will give you a fair idea about how much loan amount can be disbursed against your monthly income. Once you know home much loan you can get, try to find how much can you pay against the loan on monthly basis; use EMI calculator to know what would be your monthly installment. Make home loan application to the bank which gives you lowest rate of interest and they will review your income as well as other necessary documents for the same. Once you qualify for the home loan you would be given a sanction letter and then you can do the further process. The own contribution must be at least 10% plus taxes of the agreement value.
Documents: Once you make the booking payment, the builder will provide you with master file and an APF (approved project finance) number of the project. Master file has all the legal documents which you should check with a lawyer who, in turn, will check whether all the sanctions and ownership documents of the land are in place. APF file is provided by banks or housing companies which denote that the project has received all the necessary approvals.
Registration and Stamp Duty: After home loan sanction, the home buyer must register the property with the department of registration.
The cost for registration is as follows:
Stamp Duty: 6% of agreement value for corporation area
5% of agreement value for noncorporation area like PMRDA / Grampanchayat
Registration charges: 1% or Rs 30000/- whichever is less.
After the agreement, the bank would disburse the loan amount to the builder as per work progress and you can move into your dream home once it is completed.