Buying a home is a huge investment, probably the most significant purchase of your life. It’s not something you should do without preparation. Before you start on the road to home ownership, make sure you are ready. Here are 5 quick notes to take down to improve your chances of obtaining that home.
1. CHECK ON YOUR CREDIT SCORE
What is a credit score? simple .A credit score is a numerical expression based on a level analysis of a person’s credit files, to represent the creditworthiness of an individual. Lenders use credit scores to determine who qualifies for a loan, at what interest rate, and what credit limits.
In Malaysia the most easiest way to get a gauge of your credit score is to head to https://www.ctoscredit.com.my/ . Here you can just pay a nominal fee of RM25 to get your credit score.
2. Work On That Credit Score.
Consistency is the main factor in maintaining a healthy credit scores. Various factors such as payment history to creditors, amount of loans obtained, salary. To further improve credit score one must be very consistent to clear all payment’s to bank promptly. It is also vital to keep borrowing at a sustainable level to increment of income. GOOD or Bad credit score is build over periods of time. It is like a report card that needs to be kept clean.
3. Location Above All other .
Whether you are buying for an investment or for your own living Location has to be tailored to your LONG TERM goals. Always think 10 years down the road. If you are buying it for the purpose of bringing up a young family factor’s such as school’s , library’s and public transportation would be the main points. On the other hand if it’s a purchase purely for an investment factor’s such as rental demand in the area will be more crucial . Whatever the purpose of buying it has to suit your need for the upcoming future. Think BEYOND.
4. Saving up for a Start up cost
A crucial aspect of buying a home is being able to finance the initial payment of the property. Cost such as down payment, Legal fees and Bank loan agreements have to be taken into consideration. Make sure there is enough money saved up for all those cost. Above are most certainly compulsory cost that has to be borne by purchaser . Other cost varies on what kind of renovation and furniture that needs to be added by the respective purchaser
5 .Set a New Budget
he final thing you can do is to set up a new budget and practice living on it. Work in the additional costs of owning a home like additional utility bills, repair and maintenance costs, and any extra that you would pay for the mortgage. The extra money can be set aside for your down payment. This will give you a good idea of how much you can afford for a monthly mortgage payment and help you be ready when it is time to purchase your home.
In a nutshell the 5 things that were mentioned are guides to help the community to be more aware on where they stand in buying a property. It’s the location, the eligibility and lastly the discipline of your finances. Mastering the aforementioned will definitely put yourself in the right perspective when buying your property in Malaysia.