Purchasing the property is not a simple thing. It comes with a lot of liabilities and financial commitment that one needs to serve for a very long period of time. This burden can increase significantly if you are purchasing a flat in metro city like Mumbai where property costs are already sky high. Even though it is a big investment, purchasing low budget flats in Mumbai can be beneficial because of a number of factors.
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Investing in real estate is always considered to be a good decision. You can buy the properties to rent which can continuously generate a passive income and selling them later if needed, would also give you some good returns to the investment as property values always tends to increase over time. However, before you make your final call, it is very important to consider certain factors which would give you the right guidance towards investing. Things to consider Before you start investing in properties developed by your favorite real estate construction companies, it is very important to remember certain things which have been listed below:
If you want to know about Flat vs plot which is better investment then click Here There are cities in India that have markets designed to afford affordable housing for all vision particularly for middle-class income bracket. Affordability, builder interest, and livability are the three characteristics that are readily present in these cities. The value for the properties in such favorite towns is likely to appreciate shortly, and in case it does not appreciate, the value will remain stable for sure. Indians those are looking to grow in their status and inch up towards a comfortable life, t is always a priority to buy a home. Here you can find the top five cities that can provide you markets for housing particularly for middle-income groups. Even you can get tiny flats like the 1 bhk flat in Tilak Nagar Chembur well within your budget. The affordable range here is considered between 30 to 50 lacs price bracket, and you can find more about the cities in the following paragraphs:
If you want to know about the things you must pay attention on while applying for Home loan then visit here Taking out a home loan is an important event in a lifetime. Even now that the interest rate is low, it has a heavy impact on the family budget of the borrower for the next 10, 20 or perhaps 25 years. And so you better get well prepared at the start. Here are the things suggested by real estate firms in mumbai regarding things you must take care about when applying for Home Loan
Build securityAnyone who is about to buy a house or to acquire a building plot will start by including a suspensive condition in the compromise, which states that the sale will not take place if he can not obtain a loan. In this way, the buyer is not faced with surprises. Otherwise he risks that the purchase must be dissolved and the seller demands compensation, which in practice often amounts to 10% or 20% of the agreed purchase price. In addition, between the preparation of the compromise and the execution of the deed of purchase at the notary, only four months are allowed. After all, the registration fees have to be paid within this period. Looking for a good rateOnce at the bank, attention will soon go to the rate. Everyone wants to know what a loan costs. Do not be too satisfied with what your banker proposes to you. If you purchase five garages when buying a new car of 20,000 euros, why would you, with a loan of 150,000 euros, be satisfied with the offer of one banker? Good negotiation with your banker can yield you a lot. A loan of 150,000 euros on twenty years with a fixed interest rate of 2.50% will lead to 240 monthly payments of 792.78 euros or 190,267 euros in total. If you manage to raise the rate to 2.00%, then the monthly installment drops to 757.56 euros, bringing the total to 181.814 euros after twenty years. Conclusion: a saving of 8,453 euros. Or: some nice trips earned by visiting some banks. This example is not unrealistic. The bank's rate sheets often today display rates of 2.50% and more for a 20-year fixed-rate loan. In practice we see through registrations that readers of Spaargids.be share that rates of less than 2.00% are allowed. For loans with fixed interest rates and a ten-year term, there are even many offers between 1.10% and 1.30%. You can even make a selection on the website of Spaargids.be of the banks in your neighborhood that offer good rates. After all, do not forget that a number of local bank managers have the authority to make 'commercial concessions' themselves. Some are frugal with that, others a bit more generous. The limit can be 2.00%If you still have to pay more than 2.00% for a 20-year fixed-rate loan, then you should also consider whether you are eligible for a social loan from the Flemish Housing Fund or the Flemish Social Housing Association (VMSW). Since January 1, 2014, identical conditions apply to these two institutions. The Housing Fund and the VMSW now offer credits that are 2.00%. The condition is that your taxable income and the value of your home may not be too high. A single person without dependents may have a taxable income of 36,121 euros. With households that can amount to 54,176 euros plus 3,607 euros per person in charge. If the dwelling is located in the Flemish outskirts around Brussels or in a core city, the limit of the permitted income is increased to EUR 37,841 and EUR 56,755 plus EUR 13,779 per dependent person. For the home, it is true that its sales value does not exceed 204,200 euros if it is purchased by a single person or by families with a maximum of two dependent persons. The limits are higher for larger families. This is also the case if the house is located in the Flemish periphery around Brussels or in a Flemish core city. For modest homes: OnestoIf you pay more than 2.00% interest and you fall out of the boat at the Housing Fund and the VMSW, you may still be able to contact Onesto. He does not use an income limit. The only conditions are that it must be a modest home, that the candidates have no other home and that they live there themselves. For a single person, the value of the home may not exceed 232,000 euros. This will rise to 255,000 euros in the outskirts of Brussels. With one person at the expense, this will be 244,000 euros and 268,000 euros respectively. With two people charged 255,000 and 281,000 euros. And so on. The rates at Onesto amount to 2.18% for a fixed-rate loan at 20 years. This will be 2.39% for a fixed-rate loan for 25 years. Do not forget the loan costsIf you want to take out a mortgage loan, you should also take into account a number of associated costs. You can immediately lose 250 euros to 530 euros in case of file costs. These are the costs that the bank requires for its administration. In addition, many financial institutions still charge the costs for estimating the value of the property, on which they will establish their mortgage. This mortgage gives them the right to proceed to the sale of the property in case of non-payment, so they want to be sure that their guarantee is high enough. The costs range from free to more than 200 euros. And then there is the notary. It not only charges costs for 'writing' the home or building land, but also for 'writing' the loan itself. A mortgage guarantee must be recorded in a notarial deed. The notary fees for 'writing' a loan include both the remuneration for the work of the notary as well as a whole series of additional charges such as the mortgage right, the registration fee, the right to writings, the fee for the mortgage custodian, .... A guiding calculation can be found on the website of the Royal Federation of Belgian Notaries. For example, for a loan of 150,000 euros you can count on an amount between 4,235.07 euros and 4,598.07 euros. Mortgage mandate lowers the burdenBut perhaps it is not necessary to have a mortgage registered for the entire amount of credit. You can also propose to the banker to work partly with a mortgage mandate. The mortgage is immediately registered for a first part of the loan and gives the banker the right to also register a second part at the moment he deems it necessary. If you pay everything neatly, that additional registration will not be necessary and you will therefore avoid extra costs. Also for a mortgage power of attorney the intervention of a notary is required, but the cost of this type of guarantee is significantly lower than that of a mortgage. After all, no mortgage or registration fees are due. Divide debt balance insurance logicallyWhen a loan is taken out, the banker also often asks that the borrowers take out a debt balance insurance policy. This means that an insurer repays their part of the loan in case of premature death. If a couple takes out a loan, it is often divided 50/50, but that is not necessary. You can also opt for 75% / 25% or a different distribution if, for example, a partner earns considerably more than the other. Ask yourself which payment you can pay if your partner dies. Do not pay too much for itFurthermore, it is best not to ignore the rate for the debt balance insurance policy. Bankers often make a nice profit here. It is always useful to look in advance at which insurer you get the lowest rate . Experience shows that premiums can be the most expensive up to three times the cheapest. If you are prepared for this, you will save a nice amount in advance. Do not leave free insuranceAlso think about what happens to your credit if you become disabled or involuntarily unemployed. In this respect, you can not ignore the guaranteed free living insurance policy. If you work for at least twelve months, you can cover for ten years. The Flemish government pays the premiums for this when it comes to a loan for your only home, which also becomes your main residence and the income does not exceed 41,440 euros for a single person or 59,200 euros for legal or actual cohabitants, to be increased by 3,320 euros per person at the expense. The amount you receive when you become unemployed or incapacitated depends on your loss of income, your monthly installment and the duration of unemployment or incapacity for work. In total you can get 36 months of intervention. The maximum amount is 500 euros a month. For an energy-efficient home it can rise to 600 euros. While buying a property to live or to rent, it is not so easy task. How one can decide whether to buy a house now to live or to rent it instead? Years of savings and proper step by step planning are required with so many other essential factors to buy a flat or home. There are several different reasons to consider whether you are going to stay there or want to give the flat for rent or sell it later on. Here are some main factors which should keep in mind while looking for both the factors either buying a home to live or to rent:
Buying a Flat to Live: Price: The first step which needs to consider is to fix the budget. Do proper research and compare the rate of different properties in different location with different sizes so that you could understand the market price and whether your desired builder has given you the genuine rate or not. Like 1 bhk flat in Tilak nagar chembur will be much lower in price rate as compare to 1 BHK Flat in Bandra or Juhu. So, check the price rate and then go ahead. Carpet Area: The property area which has been mentioned in the builder’s document is including the thickness of walls, elevator space, stairs and more. The carpet area is the actual area inside your flat where you will stay. It might be much lesser than super-built and built-up area. Legal verification: Always choose legally authorized constructed flat. The builders should have all the documents like water supply, NOCs from area development authorities, electricity boards and other authorities. Banking Finance: If you are taking home loan, then be sure that banks are providing home loan to that builders as there are several builders to whom bank may be unwilling to provide finance for bad reputation. Possession: Another important part in which most of the builders give the possession of the flat much later than promised by them. So, whatever the timeline or delay with grace period, everything must be cleared with proper explanation of the delay. Buying a Flat to Rent: Preferences of Local or Outstation area: If you choose local area to buy flat like 1 bhk flat in tilak nagar chembur, then it is easy to keep eye on it while giving rent but if you think to buy flat in a place which is outside of the town, then it may not be possible for you to keep the track or get higher returns on rent. So, check all the pros and cons and take decision. Infrastructure: If the infrastructure of the flat is good enough and it is well connected to all the main cities and other necessary area, then there will be great demand of rent and you may get a good release value in future. Maintenance: It is necessary to keep aside the maintenance value because while giving rent to others, there might be any emergency where unexpected expenditure could come like any urgent repair of switches, plumbing or any other issues for which you always need to be prepared. If you have been dreaming of owning a flat in Mumbai, then 2019 brings good news for you all.
According to the experts from the Real estate industry, 2018-19 is a good year for the investors of buying a property in Mumbai as the flat rates can be cheaper during this time. However, real estate rates have not come down in Mumbai even though demand has reduced and inventory is supporting. But it is to be believed that if you are sitting on money for a long time. The raising markets of real estate in Mumbai will surely convince and force you to go with the wave. It is no doubt that Mumbai is the financial capital of India where people from different parts of India as well as from world come to get the job opportunities due to which land value shoots up. But, irrespective of the high rates in some of the posh areas of Mumbai, The Baya Company is offering you low budget flats in Chembur where you can get several property options to choose from. Even so many Real Estate investors are favoring this place for the investment. For the buyers who have been looking for low budget affordable yet stylish residential flats in Mumbai, Chembur will be a good option for them. Even Wadala is also offering good returns as property rates in such areas, including Chembur, can be double or more within the next 3 to 4 years. As per the reputed Consultancy firms, Bandra Kurla, Lower Parel, Chembur, Wadala are the top destinations where investors as well as property buyers are looking for houses and flats. The property market in Mumbai has been raised by 7-10% from the last 10 years. The demand has increased so much in the year 2017-18, especially in the mid end segment. So, now in 2019, the property market of Mumbai is looking for launching new projects in different areas including Chembur as well. According to the recent survey, inventory level is rising and so as rates are weakening in Mumbai and thus buyers should start taking the advantage of this time to get low budget flats in Chembur. Due to the increasing number of unsold homes by different real estate investors, Mumbai Property market might be turning towards the favor of buyers. The Baya Company as well s some other real estate companies are also providing low budget yet stylish flats and are open for price negotiations if they get good buyers in premium projects. So, if you have plans to buy your dream home in Mumbai, this could be the right time to enter into the market. |
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