9 Tips for Buying and Selling a Home at the Same Time

9 Tips for Buying and Selling a Home at the Same Time

Searching and buying a dream home in itself is a highly challenging task and when this coupled with selling your home too, it becomes even more difficult. This article will be your guide when it comes to buying and selling a home at the same time. Also Read: The 5 Greatest Benefits of Investing in Real Estate 1. Sell before Buy If you are planning to buy and sell property at the same time, then selling first and buying later is the best and the safest option advised by many experts. When you sell first you have the following advantages namely You know exactly how much money you have. You can estimate the budget for new home much better You can plan your finances easily 2. Close previous loan If you buy a property without selling the existing property then you will run the risk of paying 2 EMIs each month which will burn your savings. Also it is difficult to get a second home loan when your first loan is still running. For this purpose, it is suggested that you sell the property and close the loan and apply for a fresh loan while buying again. 3. Need a Transit space If you sell first without buying, then you need a place to stay or store things. It is not easy to rent homes for a short period in India and you might end up paying a lot. Though sell first, buy next is the safest option, do consider the risk of finding a temporary place to stay. 4. Gives you more time sell for best price If...
9 Vastu Tips to Keep in Mind Before Buying A Home

9 Vastu Tips to Keep in Mind Before Buying A Home

Whether you are buying an individual home or an apartment, it is safer and better to check for Vastu compliance. You don’t need to hire an expert Vastu advisor for this, instead, you can just use this article as a reference. All you need is a compass which shows the direction. With a compass and this article, you can test the Vastu properties of a house easily. Also Read: Top 10 Vastu Tips for your Kitchen 1. Entrance: This is the key to the house and that’s where you enter and exit the house on a daily basis. Due to its significance it’s highly recommended not to make any compromise on this aspect. The main door should be located in the north or north-east direction of your home. Any house with the entrance in south-western direction should be avoided at any cost. Note: If you are buying an apartment and not an individual property, then the entrance to your block is considered as the primary entrance and not your door. 2. Kitchen: This is where you clean and cook food which is the basic factor for daily life. For optimal effect, having the kitchen in the southeast corner is the best option. Try to avoid homes which have got the kitchen located in the north or east direction. 3. Bathrooms Both bathrooms and toilets are best placed on the southern or southwest corner of the house. Don’t buy properties where toilets are placed adjacent to the kitchen as this is not proper Vastu 4. Kids room This is one of the core Vastu concepts which are rarely given importance...
5 Tips for Choosing the Best Mortgage Loan

5 Tips for Choosing the Best Mortgage Loan

A mortgage loan is a loan against the property issued by banks against your residential or commercial property. Mortgage loans are mostly taken at times of emergencies or needs. In general mortgage loans tends to attract higher interest rate compared to home loans. Let us look at various important things that you should know before choosing the mortgage loan. Also Read: 5 Things to Consider in Mind While Taking an NRI Home Loan 1. Do you need a Mortgage loan? This is the first question which you need to answer with utmost clarity. Mortgage loans are to be considered only during emergencies. Understand the reason for taking the loan, see if the same can be obtained using other modes of loan like a personal loan or jewel loan, etc. Mortgage loans are to be taken only for huge amounts. Opt for a mortgage loan only when you have exhausted other means of loans. 2. Type of Mortgage Lender Mortgage loans are offered by various types of lenders both small and big. Let us look at various types of lenders. Banks Financial Institutions Housing Finance Companies Private Agencies You can take a loan against your property for a variety of reasons like marriage, hospital emergencies, buying another property, etc. Your first priority is to approach your bank where you have a long-standing account. It is better to keep private agencies as a last resort. RBI approved housing finance companies are also a good place to look for mortgage loans. 3. Loan amount When you go for a housing loan, you are eligible up to 90% of the property value whereas...
The 5 Greatest Benefits of Investing in Real Estate

The 5 Greatest Benefits of Investing in Real Estate

Investment in real estate is considered to be both financially beneficial and also a Status issue. Buying a property will be the top most priority for most of the young Indians once they land a good job. A lot of savings goes into it and properties are always bought with a home loan from banks or financial institutions. This article will talk about all possible benefits of investing in Real Estate. Also Read: 10 Tips to Increase Value of your Home on a Budget 1. Safe Capital Appreciation Real Estate is one of the rarest asset qualities which will always grow. The cost of your property will not go down easily. When there is a slow down the increase in pricing will be low or the price will be same. The probability of price coming down below 10% is highly unlikely. History shows that Real Estate goes through ups and down cycles. When it goes up, the price increases by 30-40% and when it goes down, it will only go down by 5-10% maximum. Thus it is a safe and also appreciating investment. 2. Monthly Income Capital appreciation is a long-term benefit of investing in real estate, the immediate and ongoing benefit is the rental income that your property will fetch. In general properties in Indian cities tend to generate an annual return of 4-5% in rent. Though this amount is smaller than 8% provided by fixed deposits, you should also count the capital appreciation a property generates. Fixed deposits are safe and secure but no capital appreciation apart from 8% fixed interest. 3. Tax Benefits When you buy...
5 Things to Consider in Mind While Taking an NRI Home Loan

5 Things to Consider in Mind While Taking an NRI Home Loan

NRIs spend a lot of their career abroad and send money back to India for their family and savings. Most of their funds either go to a fixed deposit or for buying a property. Most NRIs doesn’t approach a bank for funding when buying a house. They think that getting a loan for NRI is not easy and requires a lot of clearance and documents. This is a wrong idea and we are writing this article for helping the NRIs in understanding the home loan process. Now let us look at important aspects of NRI home loan. Also Read: NRI’s should avoid these Mistakes while Investing in Real Estate 1. Eligibility The minimum requirements for taking a home loan for NRIs are qualification and Income. Though these vary from banks to banks there are some standard requirements like one should have a minimum diploma or a graduate degree. As per the income requirements one should have a minimum 3 years of work experience in a foreign country. If you are earning any additional income in India it will also be considered for the loan eligibility criteria. 2. Rate of Interest In most of the banks the rate of interest for home loan for both resident Indians and NRIs are almost the same. Some banks might charge a bit extra interest rate for NRIs compared to resident Indians.   3. Loan Tenure The loan tenure is different for NRIs and is a lot lower than Indians. NRIs earn a lot more than resident Indians and so their repayment ability is also more. The number of monthly installments will be lower...
6 Important Things You Should Know About MCLR

6 Important Things You Should Know About MCLR

Getting a housing loan and paying the monthly EMIs regularly is a huge financial burden for most of the families in India today. RBI last year came up with a new structure which will determine the interest rate for housing loans and some other loans like personal loans. This is called as MCLR, we will be discussing in detail about it and its benefits. Also Read: 8 Reasons why your Home Loan Got Rejected 1. What is MCLR? MCLR stands for Marginal Cost of Funds based Lending Rate. This will be followed by banks and financial institutions in India starting April 1st, 2016. This has replaced the previously followed base rate. MCLR is considered more efficient and cost effective both for lenders and loan takers. 2. Why MCLR Previously banks followed the base rate of interest to determine the loan interest rates. Whenever RBI revised the Repo rate the banks will change the interest rate but it took a long time to change. This affected the borrowers. Even after many warnings from RBI banks did not pass on the interest rate benefit instantly to customers. This forced the RBI to come up with MCLR which will ensure the rate of interest changes as soon as RBI changes the Repo rate. This will ensure cheaper loans and interest rates for customers. 3. Type of Loans for MCLR Before going there, let us understand the two types of loans. Fixed rate Loan: The rate of interest is fixed at first and will remain the same throughout the loan tenure irrespective of the repo rate change by RBI. Floating rate Loan: The...