To buy or not to buy?Is this the right time to buy a house?
Buying a house is one of the most important investments one will make in life. It is important to look at every aspect before you take a decision and yourdecisionto buy a home is as important as the amount you’re looking to spend. Some of the factors which affect whether or not you should buy a home are:
- Economic Outlook:
The economic environment at the time of your decision to buy a home would play a great deal on not only the price of the property but also the amount you would need for a loan and the interest you would pay back. A floating rate of interest is majorly dependent on the market scenarios, thus an unfavorable market will adversely affect rates of interest and you will have to pay higher installments. Real estate prices too surge in such market conditions.
- Reason for buying:
If the property is intended for personal use, right now would be the best time to buy. The new budget has made it much more alluring for first time home owners to take a home loan with an additional Rs. 50,000 as tax exemption on a home loan of 35 lakhs and when the price of the home does not exceed 50 lakhs.
- Eyeing the bottom:
While it is true that there has not been a large drop in the average price per square feet, property prices across all markets have dropped recently by 20-30%. It is common nature for a buyer to wait and hope for a further decrease in price of the property, but any lower than the current price would mean compromises and cutting corners on the side of the developer, thus reducing the safety of the structure. As such, we have reached a reasonablylow price point at this point in time.
- Addressing delivery concerns:
Many buyers are concerned about the kind of final product they would receive from the developer. Big promises often cause nervousness in the buyer as they wonder if the developer would be able to live up to them. When buying a home, it is important to understand the legacy and history of the developer. A trusted estate developer can boast of a great track record of delivering projects andmaking sure that the customers get what they are promised.
It is important to understand the different nuances which affect home buying and how important a factor time becomes. It is wise to research thoroughly prior to making a final decision on buying a home.