Buying a Home Has Never Been Easier: A 10-year Guide to Saving Up

By Lodha

Chances are, you have been dreaming of living in your own home since you were a little kid. Over time, you can go from playing house and pretending to do up your home just like you want to turning that dream into a reality. Today, buying property in India can seem a bit intimidating, especially since it is a capital-intensive affair. However, whether you are a working professional or a self-employed individual, you can easily begin working towards buying your dream home. Following the right steps can help you move into your own space within ten years or less. Here is a handy guide on all the moves that will put you on the path to buying your first house in just a few years and become a homeowner.

Choosing the Right Location:

When you are buying a home, very little is as important as the location. If you are saving up for your first home, one of the most practical moves to make is to choose an affordable location. Today, prices in posh areas of metropolitan cities can be steep. However, other equally well-connected suburbs offer comfortable housing options at a relatively reasonable price. If you choose to invest in a home in such a locality, not only do you have to shell out less as a down payment, but you can also expect your cost of living to be on the lower end.

Down Payment:

Before taking the plunge and owning a home, it is best to evaluate your financial position and make plans for a house you will be able to afford. Looking at your finances and estimating where you will be in ten years will allow you to choose between buying a home outright or applying for a home loan. Regardless of which option you choose, you will have to put forth a down payment of 15-20%. Keeping that in mind, it is best to ensure you can build a corpus and choose a home that will allow you to make the down payment easily. While saving up for a down payment, make sure to keep wiggle room for emergencies, unexpected events, and expenses like insurance premiums, children’s education, etc.

Up Your Savings:

When you plan ahead and save up for ten years, chances are your income will grow with time. Your first instinct may be to use your increased income to improve your standard of living by indulging in luxuries like vacations, shopping trips, fancy dinners, etc. However, you would do better to put your increased income towards saving up for a house. You can either set aside the sum for an outright payment or for future home loan instalments. Regardless, exerting control over your spending even when you have a higher disposable income can help you save up for a house quicker and serve as a better financial move in the long run.

Become Debt-Free:

Since buying a house is a once-in-a-lifetime opportunity, it makes sense to invest in a space you will enjoy living in for the foreseeable future. If you want to buy a spacious and premium home, you might have to apply for a housing loan to avail of financial assistance. However, if you plan beforehand, you can ensure you have the corpus to become debt-free even after taking out a home loan. Saving ahead of time will allow you to have enough funds to pay off your home loan EMIs quickly and become debt-free in 7-10 years. Apart from freeing you from the burden of paying EMIs, becoming debt-free also allows you to own your home fully.

Following these steps can help you purchase a home in the next ten years without any debt looming over your head. As an investor buying a house, it is best to choose a builder that you can trust. Lodha is one of the top real estate and construction companies in India, and with good reason. At Lodha, we believe in creating premium projects for our diverse clientele, including first-time homebuyers and seasoned investors. From luxury real estate to affordable and comfortable homes, we let you have your pick without compromising on high standards of modern construction quality.

With Lodha, living the beautiful life in your dream home is not a far-off fantasy but a concrete reality.