Financial Planning Tips For Your New Home
Looking
to buy a home in Vile Parle East? Buying a home comes
with its own challenges. From shortlisting good neighbourhoods to comparing
prices and amenities, it’s a daunting task to arrive at a final decision.
Buying a home is a significant financial commitment and thorough planning is
essential to ensure everything goes smoothly. Start by evaluating your
financial health, including your income, savings, and existing debts.
Once the finances are sorted, half the job is
done. If you are wondering where to start and how to plan, this article is for
you. We will shed light on easy, practical tips that will help you plan your
finances well.
Tips For Financial Planning:
- Save for a down payment
The down payment is the amount of money you
pay upfront. The down payment could be around 20% of the property’s total
price. Paying at least 20% of the amount as a down payment helps you reduce the
loan amount. A bigger down payment makes your EMIs smaller, saving you from the
stress of handling large deductions from your income every month. Start saving early
so you have enough money when it’s time to sign the agreement.
- Consider your budget
Everybody dreams of owning a large house
with 3 BHK in Vile Parle East. But when you want a home in one of the most
expensive cities in the world, you need to get your finances right. Homebuying is a significant investment
that requires careful planning. Understand your budget and affordability before
shortlisting a home. The best home is not the most expensive one. The best home
is that which suits your tastes and preferences.
- Understand home loan options
Home loans come with different interest rates.
There are two types of interest rates: fixed and floating interest rates.
Fixed-rate loans indicate that the interest rate remains constant throughout
the tenure of the loan. This will help you plan your monthly expenses without
any hassles. Floating interest rates mean the interest rate will fluctuate
depending on the market rates. This means your monthly payments may change over
time, which could impact your budgeting.
- Check your CIBIL score
CIBIL score is important when applying for a
home loan. CIBIL score reflects your ability to pay back loans. A higher CIBIL
score indicates a good credit history whereas a low score indicates delayed
repayment. A low CIBIL score translates to a higher interest rate as banks
don’t want to take any risk.
These are a few tips that will help you with
successful financial planning of your home. If you have set your eyes on a luxurious 3 BHK flat in Vile Parle East, you can come to Bajaj Shubhada. We
offer luxury flats with amenities to appeal to the discerning tastes of modern
home buyers.
Article authored by: Team Bajaj Realty
Date: 12th July, 2024