 | | |
 | Is home loan the best way to aquire my home- A debate | |
|
 |
|
Some myths. Some dreams. Some solutions.
“I have always wanted to buy a home, and have been waiting for the past 2
years to get hold of some 5 lakhs to do that!”
Mr. Shankar – Shanky to many- observed. He was in deep conversation with
Mohan – a childhood friend.
Mohan: So when do you expect to get the 5 lakhs, Shanky?
Shankar: Mohan, I saw a wonderful apartment two years back, and
wanted to buy it. At that point, the builder quoted about Rs. 5,00,000 for
the property. Now I have the cash, but the cost is now Rs. 7,00,000. Where
will I go for the additional 2 lakhs?
Mohan: What do you mean, where? To a housing loan provider. Its very
simple to make your dream home come true.
Shankar: But, I end up paying a lot of money to these home loan
companies. I cant let go of my money just like that!
Mohan: OH ! No! You are missing an important point. Let me explain.
Today you do not have Rs.7 lakhs, and you will take some time to earn the 2
lakh more. By that time, real estate prices will rise even more steeply than
your salary, and you will never be able to reach out to your dream home –
ever!.
Mohan: Home Loan companies offer you a loan that will make your
property cost lower than the price you will be able to sell it at a future
point.
Shankar: I don’t understand!
Mohan: Ok lets look at some other example. Lets say a piece of
jewellery now costs Rs. 1 lakh to purchase now, and you know that after 5
years you can sell it at Rs. 50 lakhs. You have only Rs. 50,000 now. Now, if
I came and tell you that I will help you buy the jewellery with Rs. 50,000.
But you must pay me an interest of 10% annually. Will you do it?
Shankar: Oh ! Happily. Even if I pay you a 10% interest, my jewellery
will be worth more and I can get more money after 5 years.
Mohan: Oh! Shanky! It’s the same logic here. Hence, if you know a
property costs Rs. 5,00,000 now, and real estate investment grows at 20%
annually, the actual cost of the property may be about Rs.12 crores at the
end of 30 years. You would have paid only a fraction of it to the Home
Finance company.
Look at the home Finance as a boon to help you buy the property which will
fetch you returns later.
Should you want to get a Home Loan without any hassles,
please feel free to call Sundaram Home Finance anytime.
Apply now for a Pre- Approval of Home
Loan
|
