A home is a not only a place where you nurture your family but also an asset that adds to your portfolio and wealth. However, most first home aspirants do not know when to start planning for the purchase. The answer is to start as early as possible. This is because early planning leads to early execution, which offers a host of benefits. Additionally, at this stage of your life you are likely to have fewer responsibilities to shoulder, and can divert your savings to purchase an asset that offers lifetime security and has an appreciating value.
Many housing projects are added to the real estate market every year, so, for instance if you are looking for a property for sale in Bangalore, you can consider top projects like Valmark Orchard Square. Apart from calm and peaceful environs, Valmark Orchard Square gives you access to developing locations like JP Nagar 8th Phase. More importantly, it offers 2BHK and 3BHK homes with top-notch amenities. So, whether you want to occupy the property yourself or rent it out, this makes for a good deal!
But before you start weighing your options, take a look at some reasons why you should plan a home purchase early in life:
Early planning means sound planning
When you start gathering insights and information regarding a home purchase early on in life, it certainly allows you enough time to plan your finances too. Moreover, this way you can avoid committing financial mistakes and can make meaningful choices regarding the house you wish to buy.
It instils financial discipline
This process brings about financial discipline and helps you curb unnecessary expenses at an early age to work towards your goal. Once you pick up the habit of careful utilisation of your financial resources, saving for a home will not be a far-fetched idea. Moreover, this will help you prioritise your other financial goals clearly, so that you can fulfil them as well, without any stress.
It ensures that you benefit from appreciation in property rates
An early start means you can buy a home early too, and capitalise on property appreciation for many years to come. Also, with your home purchase out of the way, you will have more financial bandwidth to cater to other goals.
Now that you know how planning for a home early in life can prove extremely beneficial for you, here are the benefits that a home of your own offers:
You can earn high returns from your investment
A property is an asset that adds value to your portfolio. So, whether you buy a budget property or invest in a luxurious villa as your first home, you will always benefit from capital appreciation. Consider a property with higher resale value by taking into consideration the locality’s potential and the builder’s credentials so that you can earn handsome gains over time. Then, in the future, you will have the option to sell your home at a profit and upgrade to a bigger, more luxurious house.
You can earn passive income if you let it out
Even if you happen to shift to a new city in the future, your property can still earn you returns. If you don’t wish to sell it, you can rent it out and earn rental income instead. This acts as passive income that you can put towards other financial goals.
You can enjoy tax benefits on home loan repayment
You can save a lot of tax by claiming deductions on both the interest and principal repayment of your home loan. Section 80C of the Income Tax Act allows you to claim a deduction up to Rs.1.5 lakh for principal repayment and Section 24B allows you to claim a deduction of Rs.2 lakh for the interest payment you make on your home loan during one financial year. In addition, as a first-time home buyer you can get an additional deduction of Rs.50,000 under Section 80EE.
So, put off any delays and start planning your home purchase now. If you have already started and have accumulated the amount for a down payment, initiate your property search right away! To get complete search assistance and to avail a home loan on easy terms, consider Bajaj Housing Finance Limited. Here, you will not only get a home loan of Rs.3.5 crore at reasonable interest rates, but you will also get additional legal and documentation assistance.
Moreover, you can get several repayment benefits on the loan like a lengthy tenor and zero charges on prepayment or foreclosure. This financial solution takes care of every step so that you don’t have to give up on your dream of becoming a homeowner. In fact, to expedite the process further, all you have to do is check your pre-approved offer from Bajaj Housing Finance Limited to unlock your customised deal.