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Tips for buying a property on a single income

It is a fulfilling feeling to own a home. Indian homebuyers understand that a home is more than just brick and mortar. It is an investment where the buyer not only invest financially, but also emotionally. If you don't have a plan to save money for expenses, owning a house can be a very stressful experience. If you want to purchase a home, it is important that you have a plan and begin saving early. These are some tips for home buying which will help you in the purchasing of your dream house.

 

Ø Improve your credit score

You must have a good credit ratings before you apply for a loan. Avoid making large-scale purchases. It is also not a good idea to cancel credit cards prior to applying for a loan. This could reduce your credit age. It would be a smart option to reduce your credit limit.

 

Ø Take out an insurance plan

This is the major tips on buying a property. Financial protection could be necessary to cover your loan in the event of an accident, unemployment, or death. You can get protection against unexpected events, such as non-payment of single income investments.

 

Ø For your loan, find a guarantor

You may be able to seal the deal on your home loan by signing a guarantor agreement. Although it is not mandatory that you have a guarantor to secure a loan, this third party assurance will speed up the process. Before you look for a guarantor to your home loan, be aware of the risks. After a guarantor has signed for you, they will be responsible for your loan payment and your eligibility for the loan. Most cases, the guarantor will be a member of your immediate family.

 

Ø GET A PROTECTION PLAN

It is always a good idea to go for an insurance plan because of the unfortunate events of unemployment, accident, or death. In the time of need you and your family will need financial protection that could cover your loan. There are short term and long term premium plans that provide protection from unexpected events and you can choose those plans accordingly.

 

Ø Save up for your down payment

India allows a maximum of 80 percent loan. This means that you must make a 20% down payment. It is a good idea to save early if you are aiming to buy your dream home. Even 20% savings is substantial, but it is not always possible. There are still other options to save money on your home loan down payment. Read on to learn more.

·        Your employer may offer you a loan

It is possible to borrow money from your employer for your down payment. This is a simple process. Your employer will be able to provide a loan for your down payment. This is because they are able to guarantee your salary.

 

·        Loan in gold

You could mortgage your gold to get a loan for your down payment. A gold loan is one of many fast ways to get a down payment. There are many private institutions that will pay for gold.

 

·        Home down payment loans

Few institutions offer the home down payment loan as an extension to the gold loan. The home down payment loan can be used against gold at 11% interest over a 12--60 month time period.­­

 

Ø Pick the perfect EMI plan suitable for you

This is the most important thing to think about, when applying for a home loan with a single income. Consider how much money you can afford to pay each month for your home loan. To ensure your family's smooth running, your home loan should be at least 40% of your monthly income. Consider increasing your EMI to get a shorter loan term if you have other income sources. Remember that the ideal term for a home loan is between 15 and 20 years. You should be alert for changes in home loan policies, fluctuations in interest rates, or any government reliefs.

 

Conclusion

Home ownership is often equated with achieving milestones in many cultures. Although buying a home is a crucial decision. However, everyone believes that buying a house is their greatest accomplishment regardless of age or financial situation. Although millennials do things differently than previous generations, they appear to be in agreement with previous generations regarding home ownership. But millennial women are breaking down the glass ceiling and owning their homes. This is a marked departure from the past generation, where the majority of homeowners were men. Many millennials want to own a home before they turn 30, which raises serious questions about the affordability of buying a home with a single income.

 

It doesn't matter if your home earns a single or double income. This shouldn't bother you from buying a home. If one is educated about what home would work best for them, there are homes for everyone.

Co-ownership is common in countries like India, where marriage is considered a social institution. But, the landscape has changed dramatically over the past few years, and single home ownership is now on the rise. One income may not be enough to buy a home. A buyer might not be married. The buyer may be confident about purchasing a home based on their income. No matter what the reason, it can be daunting and intimidating to buy a home with a single income. Even if this is your first home, it's possible to own a home on a single income with some financial planning. So, these were the how to buy a house tips.

 

Renting Touch

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Renting touch provides a robust system that removes all your rental home queries by catering its clients .i.e. landlords and tenants.

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