Over the past few years, apartments have been gaining importance in the Indian real estate market. Developers in metro cities have dedicated several projects to creating luxurious flats. Some also stand out as they offer luxury living experience at affordable costs.
Most of the times, people prefer living in an apartment as it is more affordable compared to an independent home. However, an apartment can be cramped, with limited space for kids and pets to roam and run. So, before you find out Where to Get a Home Loan, you should decide whether you should opt for an apartment or a residential property. Knowing this will allow you to look for the right loan.
Whenever you buy a property, it comes with added values, like ample parking space, private landscaped garden, 24-hour security, proper electricity and water, and so on. You can even customise the interior and exterior of the property to suit your lifestyle needs and aesthetics. An apartment in a building will have the same design as all the other apartments, and you have to pay an additional sum to get the parking spot. Also, in an apartment, there is no guarantee that you will enjoy 24-hour power backup and security. It depends on the way the building or housing society is run.
You will find that lenders are more conducive to giving Home Loans to borrowers who want to buy an apartment rather than an independent property. Banks often have specific approved projects, and as a result, it becomes easier to get loan approval. If you are lucky, you could end up getting the lowest interest Home Loan.
If you qualify for a loan for residential property, you can expect the bank to approve up to 90% of the plot value. You will have to arrange the remaining amount to ensure your home gets build as envisaged.
In case you intend to buy a property that is still under construction, you may face a few challenges. Banks and lending institutions have a stringent approval process for loan sanctions for such properties, and it can be a long and tedious process for you. The upside of going in for a property is that you are not at the mercy of the real estate developer. You will have to hire your own architect and construction company to complete the construction on time. Your ability to make timely payments will determine how quickly or slowly the project proceeds.
On the other hand, when you opt to buy an apartment, you are at the mercy of the developer. While banks tend to approve loans quicker, delays by the developer can prevent you from moving into the house. The only blessing is that the bank will disburse the payment directly to the developer after they reach each milestone.
You will need to maintain both the apartment and independent property if you want to keep it in good condition. Usually, the maintenance of common areas in an apartment building is the responsibility of the society, and you have to contribute a certain amount each year. Also, apartments tend to pool their resources, and this helps to minimise the cost of maintenance. However, this is not the case with an independent home.
You, as the sole owner, will have the responsibility to maintain every element in the property, right from the interiors and exteriors to the garden and fencing. This can work out to be expensive as you will have to arrange and spend money on everything.
Let’s face it; people prefer apartments to independent residential properties. After all, it is easier to maintain an apartment compared to property, and also an apartment costs less than a residential property. Hence, you will find it easier to sell your apartment than an independent home. Of course, the property market keeps fluctuating, but there is always demand for flats even when the market is facing a downturn. You may take longer to sell your apartment in a slump, but eventually, you will find a buyer.
Whether you want to buy an apartment or residential property is an individual choice. You should weigh the pros and cons of owning each type of property and then decide which one suits you and your lifestyle needs the best. Based on this, you can then apply for a Home Loan, one with the lowest interest rate, so that you can finally have your dream home.
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