A home purchase for personal use, is currently considered by many financial experts as an investment and secure retirement. Few people can afford to buy an apartment out of their saved money. A home purchase loan is currently available at low interest rates.
The conditions of the banks and financial service providers are quite different. To get an initial overview of the credit costs of a real estate purchase use the real estate loan calculator.
Before you buy a flat, an apartment there are a few important questions in the room.
Do you know your monthly or annual income and expenses? – Get an accurate overview of your finances.
Do you have equity for the home purchase? Financing without equity for housing purchase is possible, but these loans are costly and are not suitable for normal earners. For a solid financing of your condominium, there should be at least twenty percent equity.
Which apartment to buy is right for me – Will I pay the right price for the property?
To answer this question, please go through the following questions and work out a personal checklist for the home purchase.
- How much space do you need, how big should the apartment be (family planning)?
- What is the distance to the workplace (position of the property)?
- Are there shopping, transport links, doctor, kindergarten, school nearby (location of the apartment)?
- Are there disturbing environmental influences in the vicinity (power plant, airport, wind farm, motorway noise)?
- Are there any plans in the near future for the construction of a wind farm or motorway in the vicinity of the property? To find out, visit the responsible building authority and take a look at the land use plan and the development plan!
- What is the equipment of the apartment and the house (underfloor heating, balcony, open kitchen, bathroom with window, view, elevator, floor, cellar, courtyard)
- Is the acquisition a used property?
- Is a modernization, renovation (insulation, insulation) or a conversion of the rooms necessary?
- Is it possible to estimate the resale value of the condominium?
Inquire before buying the apartment about the amount of the payable house money!
The residential property of a self-occupied condominium consists of the special property and the community property. The homeowner has the obligation to pay the homeownership a monthly home allowance. The costs of the maintenance, repair and administration are financed with the money from the household.
Now that you have found the right apartment, create a list in which all the acquisition costs are enumerated. Make sure that you can also handle the running costs (house money, insurance) of the apartment.
Now determine how much money you can spend each month on the loan installments.
Compare with the real estate loan calculator the current loan rates for the purchase of your condominium.