5 Things that You Should Know Before Buying a Property (5 Perkara Yang Anda Perlu Tahu Sebelum Membeli Rumah)
#1 – Check our financial capability
It is very important to check this financial capability because if you have paid the property booking/deposit then the bank rejected your loan because your income is too low for the property, you may lose your deposit and definitely you lose your time or effort for getting the property. You can check with your bankers or your property agent for a rough calculation. They will normally ask you about your gross income and monthly liabilities (e.g car loan, personal loan, credit cards and etc) for them to calculate the net income and Debt Burden Ratio (DBR).
#2 – Why you want to buy the property/Reason to buy the property?
People buy property for different reasons. It can be for own stay or investment. They a few types of investment such as for renting, flipping and etc.
Normally people will buy beautiful house for own stay because they want to be happy and comfortable staying in the house with their family. For renting purpose, they will do the analysis if they can have a rental fee higher than their monthly mortgage installment. Meaning that they are looking for positive cashflow or extra income from the property.
If for flipping, they will do the analysis and find out that will they make the profit of selling the house after getting the property key (Vacant Possession). Meaning that they do not keep the house for longer time.
#3 – Location
This is another important consideration. Is it near to our workplace? Is it near to amenity area? Is it near City center? Is the surrounding infrastructure is good? Is is near to public transport? Is it near to Education center?
We should asked the questions above to us! If all Yes, then it is a good place to consider.
#4 – Type of Property
What type of property that we wanted to buy? Apartment, Serviced Apartment, Condo, Townhouse, Terrace House, 1 storey, double storey, Bungalow and etc.
It is better for us to choose based on our needs and financial capability rather than just for the purpose of our friends bought the house so….we also wanted to buy the same type of house and in the same neighbourhood area.
#5 – Property Details
Get the complete information about the property that we wanted to buy. If it is new development property, check the developer information. Better be sure that the developer is stable and no history of abandoned project(s). If the developer is not strong and bankrupt, we will face a lot of issues.
If the property is Subsale, the property is already there. Make sure that you check very details during the Property Viewing such as roof leaking (can be detected with the water marks on the roof), wall damage, floor damage, water pressure and etc.
For the Subsale unit, we better check on the owner status whether the owner will be bankrupt or not, how many joint owners, do all the owner agreed to sell? Does the joint owner has passed away?
Check also the Individual Title for landed property or Strata Title for high rise building. The process will be quicker if Title has been issued.