Guidelines From Loanstreet

Guidelines for First Time Homebuyers 

If you've never bought real estate and wondered how the process, here is a simple guideline for you. Buying real estate is a big decision in your life, and the whole process takes a long time .. 

Step 1: Finding the Ideal Property 

The first step to buying a property should find the right property that meets all your needs. Requirements are unique to each individual and some individuals may have more needs than others. Depending on whether you are buying a property for investment or for your own life, needs may vary. 

Step 2: Securing Agreement 

Once you have found the right property, you will be required to pay 2% - 3% booking fee (booking fee) to property developers or real estate agent and the receipt of the reservation will be given to you. Within 14 days of the day, you will be asked to sign the Sale and Purchase Agreement (also known as S & P) and also pay 7% - 8% of the remaining deposit, depending on the amount of loan you can get. (In some cases where the valuation is lower than the purchase of real estate, the bank will only approve loans up to 90% of the total evaluation. Fact, you have to pay the balance of the purchase price of the property and the loan amount. As a result, we strongly encourage you get your financing in 14 days because you do not know the amount of the loan will be approved.) 

Step 3: Getting Financing / Loans 

This is part of the process that takes the longest time apart from finding the right property. You want to get a loan from the bank whether that charge low interest or having the characteristics of a product or most interesting convenient for you. In this process, you will need to submit the application form with all supporting documents equivalent (such as a copy of your ID card, salary slip, EPF statement, receipt book, etc.) to the bank and the bank will evaluate your credit profile to determine whether they want to accept or reject your application. If the bank makes a decision to approve the loan application, they will issue a letter of offer and you have to sign as a sign of agreeing manerima deals. 

p / s: This is where Loanstreet can help speed up and save time and solve your problems. 

Step 4: Signing of Agreement 

The signing of the agreement in the eyes of the law means that you need to hire a lawyer to perform the S & P Agreement and the Loan Agreement. Depending on certain factors, you may need to perform the S & P Agreement and the Loan Agreement by other lawyers. Once you have signed the required agreement, the lawyer will take over and stamp the agreement (in which you have to pay stamp duty and legal fees), and implement the registration of the transfer at the Land Registry. Depending on certain aspects, sometimes the transfer of registration can take up to a year to complete. However, in normal circumstances, it should not take more than 3 months. 

When all was finished, the bank will pay the seller the amount of the loan and the balance will be sent to you. This completes the whole process where you are now is the legal owner for the property. 

Tips, Tricks and inconvenience 

1. In addition to the down payment, do not forget to be careful with other start-up costs when buying property (legal fees, stamp duty, valuation, etc.) Use a Mortgage Calculator and our Initial costs to calculate the cost of your participation. 
2. Until December 31, 2014, if the purchase of your first home is priced below 400,000, you are eligible to receive a 50% discount on stamp duty for Sale and Purchase Agreement and your loan documentation. Use this to your advantage. 
3. Beware of real estate valuation. Just because you buy a house at a certain price does not mean the bank will assess the property at the same price. Banks usually only lend up to 90% of the purchase price or valuation. Therefore, if the assessment is less than the purchase price, you may need to add cash!

Credit to : loanstreet