Blog

HomeBlog

Category: Blog

Importance of Property Insurance
CategoriesBlog Home Buying Guide

Importance of Property Insurance

By ABAD Group,

Property Insurance provides protection of the property in case of unforeseen events. Like any other insurance, by paying a premium, the property is insured for a fixed sum in case it is damaged in unusual circumstances. It is a means of protecting your investment and mitigating risk. Commercial and residential properties are protected against events like natural calamities, theft, accidents, etc which can damage the property and cause financial losses.

Let us explore the importance of having property insurance:

Protection against natural calamities

We are aware of the ongoing climate change and the impact it has on the environment. The frequency with which drastic natural calamities like floods, famines, cyclones, and tsunamis across locations is increasing every year. The heavy rains causing floods in Mumbai, cyclonic rains in Chennai, and landslides in Uttarakhand are a few instances amongst many others. These calamities pose a significant threat to real estate properties as they cause serious structural damage if not complete destruction. By having property insurance one can be insured against these natural calamities and protect investments.

Theft and Vandalism

Robbery, theft, and vandalism cause serious damage to property. Especially, property owners who own high-end properties are under constant threat of such events. The losses incurred can put a significant financial burden on restoring the property. Having property insurance can protect the owners from financial losses due to these events and the burden of restoring the property can be shared.

Protection against third-party damages

Accidents happen unannounced and if someone gets hurt in the property premises the owner is liable to medical expenses and damages. Property insurance insures you against such incidents by providing liability coverage, legal claims, and compensation that may arise. It is best to have property insurance that will protect against such unforeseen events.

Rental Property Protection

Property owners who rent out their properties can face difficult situations like damage caused by tenants, non-payment of rent, or legal disputes. Property insurance provides protection for property owners by safeguarding their income and protecting them from these events. The owner can be assured of their income without incurring financial losses.

Property insurance offers comprehensive protection to the structure and contents of the property. The premiums are affordable when compared to other forms of insurance. They provide a one-stop solution for multiple contingencies ensuring all-round protection coverage. Insuring your property thus becomes a smart move to protect your property against most uncertain events ensuring peace of mind for the owners.

Why It Is Beneficial To Invest In Real Estate From A Young Age
CategoriesBlog Home Buying Guide

Why It Is Beneficial To Invest In Real Estate From A Young Age

By ABAD Group,

The early bird catches the worm. The early investor earns high returns. Like anything in life, investments too when started early from a young age give the best returns. This is because investments for longer periods have the advantage of time. The longer the asset exists the greater it appreciates in value. Real estate like any other asset keeps appreciating over time, at least in the current scenario. The Kochi real estate market is one of the fastest-growing markets in terms of value and size. So, investing in this property market will be highly lucrative.

Let us delve some more into this:

1. The Luxury of Time

Investing from the time you get your first job can prove to be extremely profitable in the long term. The long period of staying invested will earn high returns by making the most of the market growth and compounded returns. As the liabilities during this period are low, young people can take calculated risks. They also have more time for research to find the best investing opportunities and make the most of them. There are many property investment opportunities to choose from the various projects being developed by builders in Kochi.

2. Easy Loans

It is easier to get a loan to invest in flats in Kochi when you are young. You can get a longer tenure and the advantage of lower EMI payouts on home loans. You can also repay the loans faster by making bulk payments whenever possible and reducing the amount of interest you pay. At the same time, you are also going to earn a rental income on your real estate investments as well as enjoy the appreciation in its value.

3. Early Break Even

The power of time will allow you to break even early on your investments. Your income from your profession and the rental income together will help you break even sooner. Once the payment liability on the invested property is completed you can earn a regular monthly income on your property. By recouping your investments in the property, you will earn a sizeable incrementing return on your property.

4. Large Retirement Corpus

Whatever your plans may be for early retirement or world travel, a well-planned investment for a long period can make them true. By choosing the right property to invest in, be it commercial or residential, investing in real estate in the present market promises good returns in the future. By starting in your mid-twenties you can rest assured of significant corpus earnings on your investment by your mid-40s and early 50s. This will give you flexibility to pursue your personal life goals.

Financial planning and investments over long periods are time-tested strategies for maximizing wealth. Starting early when you are young gives the biggest advantage of time which directly translates to wealth accumulation.

The real estate market is now booming in the Tier-2 and Tier-3 cities. The property rates are comparatively low in these cities when compared to the metros and Tier 1 cities. By investing in these properties from an early age one can make the most of the growth in the markets and the long period for which they will stay invested.

Kochi Real Estate Overview
CategoriesBlog Location of The Month

Kochi Real Estate Overview

By ABAD Group,

Kochi is known as the Queen of the Arabian Sea for its natural beauty, scenic views, and rich cultural heritage. It is a top choice for domestic and international tourists and has been ranked sixth among the top tourist destinations of India by Nielson. According to McKinsey Global Institute, Kochi is one of the top 28 Indian cities that will be a part of 440 global cities which will make for 50% of the world’s GDP by 2025.

Infrastructure

Kochi has been identified as one of the 20 smart cities by the Ministry of Urban Development, Government of India through a competitive selection process. This means that the city will get a special focus on the development of planned and improved infrastructure. The focus will be on E-Governance, water management, power supply, sanitation, solid waste management, efficient urban transportation, and IT Connectivity.

The city is well connected to the rest of the country and world by air, road, and rail. The domestic and international airports, state and national highways passing through it, and railways give access to all major hubs and cities within the state and country. The network of roads in the city are the principal modes of movement of transport within the city.

Economy

The Kochi Refineries, Kochi Shipping Yard, Eloor Industrial Estate, Kakkanad technological cluster, and the Special Economic Zones are the major hubs for industrial activity in the region. These regions are responsible for the major economic development in the city and account for the presence of more than 450 IT companies and 250 companies from other industries. The demand for housing and commercial real estate is fuelled by these developments. This demand is forecasted to keep growing in the future too.

Real Estate Scenario

There are several reasons for Kochi being the preferred destination to settle down. The city is rated as one of the safest cities to live in India. Living in Kochi is affordable, and the booming IT industry is attracting many professionals to migrate to the city. These factors are responsible for the rapid development of the real estate sector.

The builders in Kochi are developing residential and commercial real estate to meet the growing demand. From budget to luxury apartments, independent houses, and villas, the home buyer and investor have a range of choices offered by leading developers. Most of the flats in Kochi have the best amenities and facilities that meet international standards. 2 and 3 BHK flats in Kochi are the preferred configurations by home buyers and investors.

The pricing for residential homes ranges from ₹2000 to ₹9000 per square feet depending on the locality and type of projects. Some of the major locations are Kakkanad, Edapally, Kaloor, Thevara, Aluva, Panampilly Nagar etc. Kochi is a major hub for real estate and is poised for growth in the coming years.

Why Kochi Is A Top Real Estate Destination For NRIs
CategoriesBlog Real Estate Trends

Why Kochi Is A Top Real Estate Destination For NRIs

By ABAD Group,

Kochi is the fastest-growing Tier II city in India. It is also the economic capital of the state of Kerala. Rapid infrastructure and industry development have boosted the real estate market which is witnessing a huge demand for residential and commercial properties. Rising incomes and living standards in the metropolitan have created a steady rise in the demand for luxury living. The city also poses as a perfect blend of traditional and modern cultural lifestyles for its residents making it an attractive destination for an NRI (Non-resident Indian).

Let us look at some important trends in the property market of Kochi:

1. Location

The prime locations that offer luxury flats in Kochi are Marine Drive, Panampilly Naga, Kakkanada, Vyttila, and Kadavanthra. These prime locations offer elite neighborhoods, waterfront areas, and stunning views of the sea and backwaters. They have easy access to educational institutes, hospitals, malls, cafes, and restaurants. They also offer some of the best commercial real estate in the city.

2. Design and Architecture

The luxury flats in Kochi are adorned with modern as well as traditional architecture to suit the tastes of the selective NRI buyer. Luxe apartments, bungalows, and villas showcase elegant designs and contemporary layouts giving them a refined look. High-end interiors with premium materials, fixtures, and fittings are used to entice the NRI elite.

3. Amenities and Facilities

Luxury homes in Kochi offer world-class amenities to keep up with the lifestyle of the wealthy. Swimming pools, fitness centers, clubhouses, spa and wellness centers, multi-car parking, 24×7 security, and concierge services are common facilities that suit the Uber lifestyle.

4. Privacy and Security

The high-end security and privacy distinguish flats for sale in Kochi. The gated communities of these projects have restricted access and security personnel surveillance 24/7. Some complexes also have advanced security features like video intercoms, CCTV surveillance systems, and automatic fire-combating systems.

5. Green and Sustainable Living

Green living and natural resources consciousness are important values that carry special significance for the NRI. Rainwater harvesting systems, solar panels for electricity generation, energy-efficient appliances, and landscaping that prioritizes native plants and conservation are some of the primary features that many luxury projects incorporate.

6. Developers and Builders

The major reputed builders in Kochi offer modern luxurious flats for sale in Kochi to meet the demand of the uber home buyer. They are constantly innovating to distinguish themselves from the competition and win the approval of discerning NRI investors and buyers. Luxurious gated villas, deck-style apartments, personalized services, and heightened security systems are some of the innovative facilities that meet international standards. The luxury flats for sale in the Kochi luxury market are more spacious than budget apartments.

7. Investors

The real estate market in Kochi is seeing steady growth – one of the highest in the country. The different options in home segments help in making smart investment options with the potential for high returns. NRIs interested in Kochi real estate can invest in villas or luxury flats to settle after retirement.

Real estate investment in Kochi can be highly lucrative. After some research on the locations, and property markets and consultation with industry experts, NRIs can invest in property projects without doubts. Reputed projects are in great demand in this city and tend to sell fast. One must be vigilant and quick in investing in good properties.

Wish To Buy A Home in Ernakulam Here’s What You Should Look For
CategoriesBlog Location of The Month

Wish To Buy A Home in Ernakulam? Here’s What You Should Look For

By ABAD Group,

Ernakulam or Kochi, the queen of the Arabian Sea, is a natural wonder in the south Indian state of Kerala. Known for its scenic natural beauty and as a cultural hotspot, this city is also witnessing tremendous economic growth. The city offers its residents a chance for holistic living with many experiences to explore. Most reputed builders and developers in Ernakulam have recognized the city’s potential as a major attraction for home buyers and investors. They are building excellent residential complexes to meet the growing demand for housing.

It is important to keep certain things in mind while buying an apartment in Ernakulam:

1. Budget

Buying an apartment is a major investment. You may be salaried or a businessman, the first step is to check if you have the funds to invest in the apartment. Set your budget after doing a proper analysis of your finances. If you are taking a loan, consider all the costs involved and budget the EMI payment from your income. For example, if you are checking flats for sale in Ernakulam, you need to check if it is within your budget.

2. Location

You need to check how accessible the location is from your workplace. Does the location have good facilities and social infrastructure? Is it easily accessible to schools, hospitals, shopping centers, and malls? These are important questions to be asked before you think of buying a flat in Ernakulam. The location also plays a major role in determining the costs associated with purchasing the property.

3. Builder/Developer Reputation

The reputation of the builder is an important factor before short-listing projects. The track record of the builder can be researched online. The past project reviews, customer feedback, and ratings will give a proper picture of their track record. If it is a new location, it becomes important to check for the reputation of builders for that area. It’s always safe to select a reputed builder who has successfully completed many projects.

4. Legal Documentation

Ownership title, land use permissions, approvals from local authorities and municipalities, and clearances are important documents to check and make sure the project in question is legitimate. No matter how lucrative an offer may seem or how many perks are offered, if all the paperwork is not in place, then it is better to skip that project.

5. Amenities and Facilities

The amenities usually determine the cost of the property these days. Check and compare amenities offered by different projects within your budget. The amenities that are useful to you should be prioritized. A swimming pool, clubhouse, gym, and garden are some of the common amenities that are offered in most reputed apartments in Ernakulam.

6. Safety and Security

Any good apartment project offers basic security features like a gated residential complex with security personnel and CCTV cameras. These are basic facilities that are expected no matter the price of the apartments. After all, one must ensure the safety of the vulnerable members of their family like children and senior citizens.

These are some of the basic criteria you should consider if you wish to buy an apartment in Ernakulam. One can always look for specific facilities and amenities during their search.

Is Ernakulam A Good Investment Option For Upgraders
CategoriesBlog Location of The Month

Is Ernakulam A Good Investment Option For Upgraders

By ABAD Group,

Kochi is the commercial capital of Kerala. It is also known as a major tourist hotspot attracting tourists from all over the country and worldwide. The city is among the fastest-growing cities in the country and has been chosen as a Smart city by the government. Kochi will receive special development status from the central government to develop pan-city solutions and area-based development.

While upgrading your current home to a new one you are looking for better infrastructure and amenities around them. The location is expected to have better social infrastructure and connectivity. The residential project is expected to have the best amenities that promise a better lifestyle and environment for the family to grow. The city to which you are upgrading plays a big role in making certain that your upgrade was worth it.

There are many reasons for Kochi to be a good investment option for those looking to upgrade their homes.

Infrastructure and Development

Kochi is one of the top emerging cities of India and boasts of well-planned residential areas, excellent connectivity, modern healthcare facilities, educational institutes, shopping malls, and entertainment options. It is the first-TIER II city in India to have an operational metro rail network. The international airport connects the city to all major hubs within the country and the world. The builders in Ernakulam are matching these developments by building world-class complexes.

Economy

The city has a robust economy driven by tourism, shipping, and marine and Information Technology industries. The government’s special focus to develop these sectors has resulted in the generation of major employment opportunities for those who wish to make the city their home. The Cochin Port and Kochi International Development have further boosted the city as a hub for economic activity.

IT Hub

The special initiative of the government to develop the city as a major IT hub has led to the development of Infopark and Smart City campuses which is gaining the attention of large IT MNCs drawing them to invest in the city.

The Kakkand technological cluster and Cochin Special Economic Zone (CSEZ) offer a major advantage for these companies in cost-cutting as the cost of doing business is low and skilled professionals are easily available at lower costs. This has also boosted employment opportunities pushing the growth of residential flats for sale in Ernakulam.

Real Estate Development

Kochi offers the best residential projects for those looking to upgrade their lifestyle. There is no dearth of residential properties that suit the needs of every budget. Leading builders from the city are now offering luxury flats for sale in Kochi, high-rises with the best modern amenities and a luxurious lifestyle. Developers are creating exceptional homes with creative interiors to entice the home buyer. The smallest of the details and nuances are being taken care of to offer home buyers looking to upgrade their homes.

Kochi is also a hub of rich culture and traditions. The residents of the city can enjoy the most beautiful locales and experience the best cuisines and arts fulfilling all the needs of an enriching lifestyle.

Investing in Residential Real Estate in Kochi
CategoriesBlog Home Buying Guide

Investing in Residential Real Estate in Kochi, A Smart Choice

By ABAD Group,

A city known for its immense natural beauty, rich cultural heritage, and ideal tourist location, Kochi is emerging as the economic capital of the state of Kerala. Some serious developments in commerce, infrastructure, and industry have boosted the real estate landscape of the city.

Let us look at the factors that are responsible for Kochi’s emergence as an ideal location for real estate investment:

One of the top 20 smart cities in India

Kochi has been identified as one of the 20 smart cities by the Ministry of Urban Development, Government of India through a competitive selection process. This means that the city will get a special focus on the development of planned and improved infrastructure. The focus will be on E-Governance, water management, power supply, sanitation, solid waste management, efficient urban transportation, and IT Connectivity. The special focus on Kochi is bound to improve investments in the city that will boost real estate development at a fast pace.

Economic drivers

The Kakkanad technological cluster and Cochin Special Economic Zones are initiatives taken up by the government to develop Kochi as an industrial hub to boost IT and other industries. The Cochin International Airport’s new international terminal with operational metro and upgradation of the seaport is poised to attract global companies and cargo-based businesses to set shop in and around it. The metro rail will improve connectivity and travel time from Aluva to the key micro markets within the city ensuring real estate development in surrounding areas. These initiatives will drive the demand for residential properties, savvy office spaces, and retail properties.

Growing real estate market

Kochi’s real estate market has seen one of the highest growth amongst Tier 2 cities in India. The boost in infrastructure development, expanding economy, and growing population of skilled workers are reasons for the growth of the real estate industry in the city. There is potential for high returns on investment in real estate with a good scope for rentals. Builders and developers in Kerala consider Kochi an important market. The flats in Kochi are being developed with a vision to match international standards.

Tourism destination

Kochi sees an annual tourism influx equalling 4 times its population. It sees Indian as well as foreign tourists, of which foreign tourists account for 14% making tourism a major industry in the city’s economy. The city’s effort in transforming into a tourism hub will lay the groundwork for the development of hospitality and allied industries.

Infrastructure development backed by economic development has traditionally boosted the real estate industry. Kochi is on the path to becoming a major economic hub in South India and investing in the city’s property market is definitely a smart choice.

tips-on-how-to-choose-the-right-real-estate-agent
CategoriesBlog Home Buying Guide

Tips on how to choose the right Real Estate agent

By ABAD Admin,

Are you looking for an apartment to buy or rent out in Kochi? That means you will also need to look out for the right real estate agent. This process is more time-consuming if you are new to the place. To start with you need to know the Builders in Kochi in terms of their work, goodwill, quality, and diversity of projects. Be it completed, ongoing, or the news – you have to have your homework done.

Conduct Your Own Research

Real Estate Agents are good at presenting their clients with a lot of information. Such practices are quite common in the real estate business. As a client looking for flats in Kochi, you should take the time to know more about the property or place they are interested in. They will make claims like “The property value will increase sharply in the immediate future so you have to buy it immediately” or regarding other projects in the nearby area. Instead of absorbing the agent’s words as such, think a little further.  You should understand the estimated price of the land, any issues or problems in the nearby places, etc. 

Also, it is best not to depend upon a single agent. You can get a better picture and idea by speaking to multiple agents and this will help you make a better choice. Moreover, it is better to visit some property listing websites to understand the prevalent prices in the concerned area. You can make use of websites like 99acres.com and Olx as well. Although there are other such websites available, not all of them are genuine. 

Discuss the agent fees

Most of the agents are quite hesitant when it comes to discussing the agent fees in the initial part of the deal. Even if you insist upon it, they will ask to discuss it upon the completion of the deal. This is a tactic for them to command a fee in proportion to the value of the deal. Moreover, it could lead to a lot of disputes down the line as well. So, it is best that all the discussions regarding the agent fees are completed upfront. If you can’t reach an agreement with the agent regarding the fees, it is best that you opt for another agent.

Ask Your friends and family for recommendations 

If you are finding a tough time narrowing down a real estate agent, then you can always look to your family and friends regarding their experiences with real estate agents. The real estate sector has always been quite hot in Kerala and someone in your close circle might have been involved in a real estate transaction recently. Also, agents recommended by your friends and relatives are much less likely to charge extra fees from you as they would like to maintain the fruitful relationship they have with their initial clients. 

Discuss with the recent clients of the agent 

An easy way to determine whether the agent is good for you is to communicate with his recent clients. You can ask questions regarding his capabilities, personality, and behavior. You should also enquire if they faced any issues in the transaction due to the agent and how the agent responded to such issues. Moreover, you can also ask them about the kind of fees the agent expects to receive and whether they were satisfied with the work of the agent ultimately. This will help you to decide whether the agent is a match for you. 

Verify the Agent Credentials

It is always a good idea to check the track record of the agent regarding the sales he has done. We recommend choosing an agent with a good reputation. You should ask the agent to give an overview of their apartments in Kochi and the locations they work in. If possible, then ask for references too. A reputed real estate agent will furnish the same with no second thoughts. If the agent has a personal website or social media profile, then you can get a good idea about his previous works and how credible the agent is. Evidence is more important than speech and you should be judging the agent with their work rather than their words. Besides, it is better to avoid agents who do not prefer to meet face-to-face or avoids providing key information regarding the property. You should not rush into any sort of deal if the agents are not providing key details. 

Verify the Agent License

This is one thing that most people tend to ignore. In fact, there is a license required for real estate agents in Kerala. They have to register with the real estate regulatory authority (RERA) before conducting any sale. Moreover, you can connect with concerned authorities to see if there are any pending cases or disciplinary proceedings against the agent. We would recommend you have a copy of the agent license. This is because if you run into any issues regarding the sale, the license copy might be a lifesaver. 

Decide on the selling strategy

Another important detail is to ensure that you and your agent are on the same page when it comes to strategies to be adopted while selling. You need to decide on the number of showings, whether you will do an open house and the expected price. Moreover, the marketing tactics have to be decided as well.

Understand the scope of the agent

Real Estate Agents deal with two kinds of people-the buyers as well as sellers. The buyers would prefer the price to be lower while the sellers would like to command a price as high as possible. Therefore, you must discuss with the agent to see if he has any allegiance or affiliation with the other party. It is best that the agent is neutral as this would make for a fair transaction. Else, there is a very good chance that the agent sides with the seller to gain a price as high as possible so as to gain a big commission fee. 

Find-your-dream-home-in-Kochi-with-Abad-Builders'-wide-selection-of-flats
CategoriesBlog Real Estate Investment

Find your dream home in Kochi with ABAD Builders’ wide selection of flats

By ABAD Admin,

Buying property in Kerala does need certain precautions and they do become the best investments ever in your whole life. For several reasons, investing in Kerala, and apartments in Kochi, would be the best, and owning property in a state like Kerala is always a matter of prestige. While buying new construction in Kerala, there is always appreciation for the property with healthy returns on your investment. The return on investment is moreover made available while the property is sold, rented or leased out, which could be ultra necessary as the available land is not increasing.

Make Your Dream come True with Abad Builders 

Abad Builders, the name itself says it all, has been redefining and delivering classy living spaces in Kerala. They have been prestigious from then on and have been booming in the real estate industry with some of the best reasons to consider. moving to this city if you want to take your wealth creation to the next level with real estate investment to match the boasts of a burgeoning IT industry like Kochi. They have been in the industry for decades and have been an ideal companion to cope with the massive career opportunities and foreign investment. As the real estate sector has increased manifold in a smart city like Kochi, being home to airport terminals, commercial growth, port-based industry development, cross-metro rail, and tourism; getting into property investment at a place like Kochi would be an ideal solution. If you want to get into property investment, then Abad Builders offers the home to some of the best properties in India.

The title deed for Abad Builders is clear enough to be trustworthy in the industry, and no worries are associated with simple development rights. The demand for the rightful owner is clear and covered well with Abad Builders, as they solely own the land they use for the development. The thought of purchasing an apartment or villa will be edible with Abad Builders’ magnificence of the property you own. The brand Abad Builders, design apartments or flats methodically and places the most-demanding opportunity in more than just being an address. Their identity over the years has been creating a sustainable environment and their reputation has been the vanguard of quality living and elite lifestyles. Abad Builders affirm the meticulous standards committed to formulating a responsible firm. 

Abad Builders have prominent home spaces and apartment buildings, among which most are situated in the city and adjoining districts. It has excellent connectivity and the number is growing with luxury amenities. Abad Builders have been at the forefront to introduce modern luxury facilities that are well-maintained with ultra modernity and efficiency. They have always been the favourite brand for international and domestic investors and have been a first-class operation since their origin. The international investors have a significant connection with Abad Builders, they have grown at a fast pace with the availability of excellent infrastructure. Investors worldwide who wish to have a home in India prefer Abad Builders for their transparent procedures and pricing strategies. 

For buying the flats in Ernakulam, land zoned as commercial, it is important to ensure the land is under a reputable owner and if it is Abad Builders, then it’s time for a huge sigh of relief. Abad builders are specifically convinced with the evident proof for ensuring the land you are buying has been zoned for the purpose of constructing a commercial building. 

Choosing a home with all the amenities is no longer a dream when you have Abad Builders on your side. To meet the requirements of your amazing dream within no time, look forward to Abad Builders, fulfilling the desire for your dream home. A home is a long-term investment and only an ideal partner like Abad Builders to help you with the right budget can be truly satisfied and relevant steps to be taken to make a ‘house’ a ‘home’. The builder you select matters a lot with the inevitable part, the location, and the Abad team offers the entire facility at the right location. 

The real estate market specifically mentions the amenities in the first half of the marketing session and many fail to provide to the point. Abad Builders actually provides all the amenities mentioned and simply the process suitable to your wishes and convenience. They are up to the mark in terms of quality and choosing them never would go wrong as their practice is to deliver the home as per the requirements. The maintenance service would never be your matter of concern if you choose to partner with Abad Builders. 

Your selection goes sensibly with Abad Builders for flats in Kochi and proves the best builder for the demand for the overall facilities by attaining the trust and support of the clients. The financial security at Abad Builders is easy to handle and can end up at your major wish for enough bedrooms, family dining, kitchen space, work area, parking, an attractive corridor, etc. They simplify your tension regarding loans and make your way to your dream home easy with simple hassle-free procedures. With Abad Builders nothing falls for your concern, it is just a matter to ensure the aspects, which are of higher priority. They keep themselves active and worthwhile with less client involvement for which you will be thankful for the user-friendly and long-term collaboration effort.

5-advanatges-of-taking-a-home-loan
CategoriesBlog Home Loan Guide

5 Advantages of Taking a Home Loan

By ABAD Admin,
advantages-of-taking-a-home-loan
Advantages of taking a home loan

‘Home’ conjures up images of comfort, joy, pride, and family. One of the biggest financial decisions you will likely make in your lifetime is whether to buy a home. If you are thinking about applying for a home loan, that decision becomes much more significant.

The majority of loans are regarded as liabilities. However, a house loan cannot be compared to gold loans or personal loans because purchasing a home is creating an asset that often increases in value over time, making home loans advantageous in the long term. The benefits of taking out a home loan are highlighted in the article below.

1. Affordable for all

A typical middle-class salaried individual may now more easily afford to buy a home, thanks to the home loan. Based on the applicant’s credit score and capacity to repay the loan, banks decide whether to approve or reject a home loan application. Lenders will rapidly accept your application if you have a steady source of income and the ability to make the agreed-upon EMIs. Home loans also have a lengthy term, often between 15 and 20 years, so the EMI is lower and more manageable.

2. Cost Effective Credit

In contrast to other kinds of loans, like gold loans or personal loans, lenders provide home loans at appealing and cheap rates of interest. According to the borrower’s profile and the lender’s policy, the interest rate typically varies from 7% to 8.5%.

3. Due Diligence of the Lender

Since purchasing a home is often a once-in-a-lifetime investment, you undoubtedly want to make sure the property is clear of any outstanding legal matters. When you apply to a lender for a home loan, the lender will thoroughly investigate both the property and the builder’s reputation. They will examine the paperwork related to the property and make sure the builder has all the necessary clearance certifications from the local authorities, as well as that the construction is lawful. If you look at top builders in Ernakulam, for instance, you will find that their upcoming projects are often pre-approved because of their long-standing record.

4. Tax Benefits

This is yet another important advantage of getting a home loan. If you pledged your property as collateral for a loan, you will be able to deduct taxes on both the principal and interest portions of the payback. You may deduct the payments of the principal portion of the mortgage under Section 80C. The highest deduction allowed in this case is ₹1.5 lakh.

5. Savings

Each payment you make on your home loan is essentially also saving you money for the future, as you are building equity in the property. As you build equity, you are essentially saving money because you have a greater ownership stake in the property. This can be helpful if you decide to sell the home in the future, as you may be able to sell it for more than you paid for it and use the proceeds to buy a new home or invest in something else.

×

 

Hello!

Click one of our contacts below to chat on WhatsApp

×