Even though you already have sufficient funds, in fact buying a house is still not an easy matter. Why is that? Yes, considering that a house is a large expense and also a long-term investment asset, we cannot be careless, and must be observant in considering everything carefully. At first it will be ‘complicated’ and time-consuming in planning to buy a house, but believe me it will all pay off when later you and your little family can live in the house you’ve always wanted, hehehe… But before that happens, guess What do you think you should pay attention to before buying a house?
To answer that, here are some tips for buying a first home for young families:
1. Plan a budget
Yes, housing for all members of this family does require no small amount of funds. Therefore, we need to plan in advance the budget and the limits of the ability to pay each. This is done so that the decision to buy a house does not burden the financial condition to meet basic needs, as well as other needs that previously existed. For information, banks usually require a monthly mortgage installment of a maximum of 30% of personal net income or a combination of husband and wife. You can use this as a benchmark for the limit of your ability to pay, with a note that you and your partner don’t have other debts, right…
2. Get to know the ins and outs of house payments
After planning the budget to buy a house, then you need to know the ins and outs of the payment. This is important, so that you understand the costs and commitments needed to buy a house. As proof of seriousness, there are 2 kinds of fees that need to be paid, including:
• Booking fee – is a payment in the form of a sum of money as a commitment to book a certain property unit. For the amount of the fee, the booking fee does not have a definite benchmark, and varies for each type of residence and property developer.
• Money Signs or Down Payment (DP) – similar to booking fees, DP is a form of proof of the seriousness of ordering the desired house. In addition, DP is also used to bind the price previously agreed between the seller and the buyer of the property. The amount of the fee varies, generally starting from 10%, depending on the ongoing promo from the bank or property developer. In order not to be burdened by a down payment, you can choose a bank or property developer that has a home purchase credit relief program.
In addition to proof of seriousness, there are also 3 options for paying property in Indonesia, including:
• People’s Ownership Credit (KPR) – a financing product for home buyers with a financing scheme of up to 90% of the house price. In this system, we will pay the house in installments every month to the bank. The length of the installment or tenor varies, and can be adjusted according to the ability to pay each. To apply for a mortgage, there are standard requirements that must be met including age <50 years when applying for a mortgage, photocopy of ID card, marriage or divorce certificate, family card, certificate of Indonesian citizen (for Indonesian citizens of descent), as well as documents related to the house being used as collateral (SHM, IMB, PBB).
• Hard Cash or Hard Cash – is a payment system that is carried out within one month at the latest from the agreement between the buyer and the developer. This pay system has many advantages, because usually the developer will provide a tempting house price discount (usually around 10 – 15%). In addition, another advantage is that we don’t have to think about the monthly installment burden, as well as fluctuations in loan interest rates that often soar like in the mortgage payment system.
• Gradual Cash or Cash Installment – if previously the mortgage was an installment to the bank, then the Cash Installment is an installment within 6-24 months which is paid directly to the developer. This payment system is quite effective because the installments will not be affected by fluctuations in bank interest. However, you also need to know that in this system the buyer is required to submit a down payment which tends to be larger or around 30 – 50% of the house price, depending on the developer’s policy.
3. Determine the Location
Well, if you already understand the two basic things before, then you can start determining the location of the desired house. Determination of this location can be considered based on various aspects, ranging from considerations of locations that are not prone to flooding, have easy and strategic access, as well as considerations of water conditions, land forms, to the size of the budget they have.
4. Choose a trusted property developer or developer
The next stage is to choose a house based on the developer. Make sure the developer or developer chosen is a trusted party. This can be ascertained by digging up information about the track record of previous projects, whether the developer has any wrong or there are irregularities in residential projects that have been built? If there are no problems, then you can choose residential products from the รับสร้างบ้านราชบุรี. But, don’t forget to make sure the residential developer product you choose has a price range that fits your budget.
5. Determine the Type of House
Property developers generally have several residential products with different types of land and building areas. For example, the types of houses that are now quite popular are types 36, 45, 60, and also type 70. To determine the type of house you want, you can check the home products provided by the developer of your choice, and determine based on your budget. In determining this type of house, make sure you don’t force the desire to have a dream home. As an option to stay on budget, you can choose a residence with a growing house concept that allows it to be built or renovated in the future.
6. Make sure there are no bad credits
If you want to buy a house in installments, then make sure that you or your partner do not have bad credit payments. If someone has bad credit, it will be more difficult to get a mortgage loan approval from the bank. This happens because the bank considers your ability and compliance in paying installments. In addition, the bank will usually also take into account the amount of debt and current installments with your monthly income, as well as a bad credit track record if you have experienced it before.