Buying a house is not a child's play even if you have money. You have to pass through hell and heaven before there is a satisfactory deal. It is easier to do business than to buy a house according to your requirement. A common man doesn't even know where to buy a house, from whom to buy or how to arrange extra funds. Here are some valuable tips to make your way somewhat smooth:

1. Understand the Truth

Before you decide to buy a house it is essential that you know the bitter truth. The whole procedure is actual extremely cumbersome and going to give you many sleepless nights. I wish you get one of those few lucky ones who land in a fine deal due to the blessing of God. But, in reality, don't expect it and be ready to face the acid test of your stamina. You definitely have to spare time to explore the sources.

2. Talk to Friends and Relatives

The best way to smoothen your way is to talk friends and relatives opening your heart about your requirements. Many persons want to hide everything till they get the final deal and give a surprise to others. Practically of the deal demands to be on the ground firmly. If your heart is against still go to the homes of your friends and relatives and extract maximum knowledge from them regarding every aspect of properly buying. It will certainly help you a lot.

3. Meet Some Property Brokers to Gain Knowledge

They are an important source to know the ins and outs of the properties. Yes, they are all sugar when you are at their office for a deal and they may hook you for their profits. The best method is to talk to half a dozen property brokers in the beginning just to have knowledge. Take a pledge that you will just talk and gain knowledge without finalising any deal even if it is good. The strategy will help you to gain composure and hit a good deal at the right time.

4. Pick up Newspapers

Open property columns of newspapers and look for the options. Pick up your phone and call to get first-hand knowledge from various dealers of different localities. You will know about the rates and the types of property available in a particular area.

5. What do the Banks Say

Visit some banks to know about their terms of sanctioning a property loan. Don't go after their sweet sales talks. Just get knowledge about their procedures and their requirements -

a) rate of interest

b) filing charges

c) hidden costs

d) down payment

e) monthly installments

f) requirements

g) penalties, etc.

Remember, most of the banks just show you the chocolates they have to offer not the bitter pills they throw on you later. So be cautious know as much as you can.

6. Need of a Bank

You may be having some hard-earned money to invest in property. Never use all of it in a property deal. Take loan from a bank or financial institution. Property loan rates of banks are often low therefore do take a loan and invest the excess money you have in shares or business. As banks also verify the property before sanctioning loan-amount it will be helpful to get a safe property. After loan agreement with a bank you will know how much should be spent to buy your dream house.

7. Other Sources

If you want to save interest then be free from your hesitation and borrow as much interest-free money as you can from your friends and relatives. Once my friend Dr. Raman needed one million and he arranged half the amount from friends and the remaining from a bank. He saved many thousands on interests and invested that in shares. Shrewd way to double your earning.

8. How to Verify the Papers

When you take loan from a bank it will verify the property papers. Still you must take the help of experienced friends or an advocate to verify the papers. What is to be verified?

a) the papers are original

b) the property is registered

c) all the bills (water, electricity, house-tax, cable, telephone etc.) must be paid. Even if the owner didn't pay a paltry amount of a telephone bill you will have difficulty in getting new telephone connection.

d) property is not under any dispute

e) the present owner has no criminal record

9. Say Someone to Accompany You

It is better to ask an experienced friend or relative to always accompany you so that you don't make a mistake. The person may also suggest you some good localities.

10. Is It Necessary to Visit a Police Station?

Check with the nearest police station that the property you are buying is not having any dispute and the owner has no criminal record.

11. What is the Actual Price

Ask from several property brokers, acquaintances in the area about the rate of the property. Also ask the persons residing nearby. You may get some helpful tips from them.

12. Bargaining

Keep a large bundle of notes with you to show the owner at bargaining table. It will lure the owner more when you highlight a few negative points of the property. Try to convince the owner that you are giving more than necessary. If you know that the actual price of a property is ten million start bargaining from 8 and try your best to finalise the deal at 9 million.

Anandrahi