After years in the rental apartment are you thinking of buying an apartment? The advantages are obvious: The monthly rental amounts do not go to a stranger, you pay for your own four walls. Buying a home is therefore a secure investment of capital and value and serves you as a pension. Which aspects you should include in your considerations and further tips can be found here.Since you will probably need your money for many years to pay off your loan, it makes sense to think about your financial security when buying an apartment. Is your job safe and how are you covered if you lose your job? You also have to pay credit installments during unemployment if this is not possible; the luxury condominium Bangkok is at risk of an emergency sale or a foreclosure.
Financial aspects when buying a house
In the rarest of cases, the money in the savings account is enough to buy an apartment. That means: you need a loan. If you have savings so-called “equity” this reduces the loan amount. For an apartment with a price of 100,000 dollars and 20,000 dollars of existing equity capital, only a loan of 80,000 is necessary. However, equity not only has the advantage that it reduces your loan amount; the terms of the loan are also shorter than in the case of large loan amounts.
But the credit installments also have to be paid. Before you decide to buy an apartment, you should get an overview of how much money is available to you. List all monthly income and expenses, and then calculate how much money is left. You add your current monthly rent, because you will no longer have to pay this as an apartment owner. The result is the sum that you can use for the credit installments.
Buying a home is worth it, though:
- The financing contains the lowest possible risks
- The professional future is assured
- The apartment is paid until retirement
Children exist as heirs
Once the right apartment has been found, credit negotiations are pending. To do this, obtain offers from various banks and credit institutions to find the best financing model for you. This is based on your information about the planned purchase and a detailed description of your financial situation.
Good to know: the credit institution for reconstruction has particularly favorable conditions if you want to buy home. So that you know which price segment is right for you, you need to know the monthly income available for the loan rates. Household calculator is a good help. On the other hand, you should list how much equity you have available. So make sure that your financial advisor takes offers into account and explains them to you. Do not be pushed to sign: Read the various offers in peace and then make your decision.
If you are about to retire, you should think particularly carefully about buying an apartment because even if the monthly pension is likely to be less than the income from employment, the credit rates will remain the same. So you have to continue paying the same loan rate with less income.
