Buy a home on an offer!
Home loan offers work out to be the best bet for potential home buyers. You can get your dream home much less, and have the application processed quickly too.
Is there any person in the world who does not wish to have their own home? Your own home offers you the kind of peace and security that nothing else can!
And yet, buying a home is the kind of Herculean task that you would not wish even upon your enemies. Not only is the house hunting process quite tedious, the prices of homes all over the country are astronomically high. You might see a house and fall in love with it — but does the price agree with your finances? The seller might reduce the price a little, and you might start looking up good home loan products. But you find that the loan rates are too high at the moment, making the house purchase an impractical decision.
There is never a ‘right time’ when it comes to buying a home. You may defer the decision for years, hoping to run into a windfall or for property prices to crash. But since either of these factors are out of your control, you can do the next best thing — defer your decision till you get a good home loan offer.
The best time to buy is during the festive season
Housing finance companies and banks come up with the best home loan offers during the festive season. Most Indians believe that major investments like buying a house should be made during the auspicious festival time. The festive period often kicks off during Ganeshotsav and continues till the New Year. During this time, you can get lower rate of interest, flexibility to switch between fixed and floating interest rate, and also quick processing of the application.
This means that not only can you find the best house during this period, you can also find an affordable home loan offer that reduces your monthly EMI.
Wait for loan rate revisions
Immediately after the demonetisation exercise was launched all over the country in November 2016, the country’s major banks dropped the lending rates on home loans and also reduced the interest rates on fixed and recurring deposits. The drop in lending rates for home loans resulted in many more home loan applications than before. It was as if many people’s dreams of owning a house would be realised much sooner than expected. Housing finance companies responded by pitching special home loan offers with reduced interest, and with new loan products aimed at the affordable housing sector.
This year, too, a further rate cut is expected in the latter half of the year. Home loan interest rates may fall by about 0.25%, which is a further reduction in EMI.
Real estate developers join in
Open any newspaper today, and you will find the front page almost always taken up by an ad for a new building project. These ads are full of interesting offers, such as free in-house amenities, or a flexible payment schedule, or even increased square footage at no extra cost. If you make a site visit, you can ascertain the project’s credentials and also approach a housing finance agency for their advice on the project. If the housing finance company recommends the project and also gives you a good home loan offer, you will end up paying less for the house and also getting the benefits that the real estate developer is offering.
