Earlier, upsizing of your home was a huge investment and it used to set you back on your capital for a considerable period of time. However, now-a-days, with the easy home loan other borrowing methods, it is not a difficult thing to do. There are several reasons which can make you think about upsizing your home like your marriage, a child or making someone move in with you. You can upsize your home by different methods like buying a house for sale in Bangalore or getting the place you stay in renovated. Therefore, there are a few questions that you should ask yourself before taking this decision.
- How much can you afford to borrow and how much money do you need?
Firstly, it is important to define the amount that you need to invest for upsizing your home. Then, it is important to define how much money can you invest by yourself and how much will you have to borrow from other sources. Do not forget to add up the interest amount that you need to pay while calculating the borrowing amount and take a decision accordingly.
- Which is the source that you should borrow from?
There are different sources from which you can get your investment like bank, borrowing from the market or from friends and relatives. Try to choose the safest and that source of borrowing which makes you pay the least amount of interest.
- What is the reason for which you want to upsize your home?
The objectives and the purpose for upsizing has to be defined. You may want to upsize your home because you are in an urgent need for it, you might want to invest in the property or you might just want to have a luxurious lifestyle.
- Have you considered the maintenance cost of your home?
Whether you upsize your home or you renovate it, the maintenance cost is something people often forget to consider. However, it is a very important aspect as it becomes an ongoing expenditure after the investment is done. You should be sure that you can handle that expenditure.
- Have you considered the gap between moving from an old house to a new home?
Upsizing your home takes time. You need to realize the gap between both of them. During the time that it takes to upsize your home, you might often end up spending more than usual in your day to day life. Try to keep it as short as possible and take your decision according to such situations.
- The amount of time you would stay in your new home?
If you are buying a farm house or if you are planning to stay in another city for a few years, you should know that you are not going to stay there for a long time. So spend your hard earned money wisely.
- Is it worth investing the amount of money that you spending?
It is important to get the value for money. Don’t let the sellers fool you. Do a proper research, especially if the amount that you are spending is very high, or if you are taking high interest loans from the market to upsize your home.