\"First I find the house, then I go to the bank.\"<\/p><\/blockquote>\n\n
besides being conceptually wrong<\/strong> this system is not efficient<\/strong> for those who are really looking for a home.<\/p>\n\nBenefits of financial counseling for buying a home<\/h2>\n\n
Performing a preliminary financial analysis brings several advantages:<\/p>\n\n
- It allows you to pinpoint precisely what your actual budget for home purchase is, allowing you to discard those that are too expensive and identify those that are more in line with your spending ceiling.<\/li>
- Understand whether you really need to buy in a particular area, or whether you need to move to be able to make a purchase in line with your availability.<\/li>
- Carry out family financial planning based on the mortgage payment you want\/can afford.<\/li>
- Knowing all the costs ( or at least the fixed costs ) of the operation in advance will enable you to release the necessary sums in time, causing you to avoid wasting time that could scuttle the deal.<\/li>
- Prevent you from \"falling in love\" with houses that you can't actually afford.<\/li><\/ol>\n\n
\n\nHow Do You Do Financial Planning For The Purchase Of A House?<\/em><\/em><\/h3>\n\nBelow we will divide the costs of buying a house into 4 categories<\/strong>:<\/p>\n\n- House cost<\/li>
- Costs incidental to purchase<\/li>
- Financial costs<\/li>
- Subsequent costs<\/li><\/ul>\n\n
Below you will find specific details of the various expense items, how they are calculated and how to consider them.<\/p>\n\n
House Cost:<\/h2>\n\n
The cost of the house is the first one you show and the one everyone refers to. It can vary according to the eventual negotiation that can be made and must be paid ( according to the agreements ) part at the preliminary<\/strong> (down payment, down payment price) and the remainder at the deed<\/strong>. If you are not fortunate enough to be able to buy a house with your own liquidity but must turn to a lending institution, it is important to understand that the bank is unlikely to finance 100%<\/strong> of the amount of the house, but 80% .<\/strong> <\/p>\n\nThis means that for a \u20ac100,000<\/strong> house you will need to have \u20ac20,000<\/strong> in liquidity set aside to be able to cover the price of your chosen house. AND WE ARE ONLY AT THE BEGINNING!<\/strong><\/em><\/p>\n\nAncillary Costs At Purchase:<\/h2>\n\n
It's all those costs you discover after you reach an agreement on the purchase of your property.<\/p>\n\n
- Any real estate agency commission<\/li>
- Taxes on purchase<\/li>
- Notary fee for the deed of sale and purchase<\/li>
- Registration fees for preliminary<\/li><\/ul>\n\n
When it comes to buying your first home, usually the sum of these costs isbetween 10 and 13 percent of the price agreed upon for the property<\/strong>. These costs are<\/strong> also not financeable<\/strong> and will have to be paid from the fruit of your savings, some before the deed (at the preliminary). <\/p>\n\nFinancial Costs:<\/h2>\n\n
Only those who have already taken out a mortgage are familiar with these aspects. When you get financed by the bank for the purchase of a property, there are a whole series of hidden costs that are included within the financed \"package.\" These costs are not always included, depending on how the file is set up and the characteristics of the applicant, they are: <\/p>\n\n
- Mortgage origination fees ( not all banks charge this )<\/li>
- Cost of appraiser (sometimes included in appraisal fees)<\/li>
- Fire policy<\/li>
- Any life or employment policies<\/li>
- Mortgage tax (0.5% of the amount of the written mortgage)<\/li>
- Notary fee for the conclusion of the loan<\/li>
- Financial advisor's commission, if any<\/li><\/ul>\n\n
values here can also vary widely, depending on the relationship with the lending institution<\/strong>, some have to be paid before the deed, others the bank will take them directly from the loan disbursed on the day of the deed.<\/p>\n\nSubsequent Costs<\/h2>\n\n
These are all those costs after the purchase of the house, which are needed to make it suitable for your needs such as redoing the bathrooms or a more incisive renovation, moving, buying additional furniture etc.<\/p>\n\n
\n\nIt is good to check these aspects before setting out to look for a house<\/strong>.<\/p>\n\nTo sum up, to buy a house it is advisable to have 30\/35 % of<\/strong> the value of the amount you intend to spend already available in your bank account. The first thing to do is to go to the bank with all the income documentation at hand, decide what is the amount of the installment you are willing to bear and for how long, check together with the lending institution the best conditions and get from the bank indication of the maximum amount you can get. <\/p>\n\nIt is good to know that the bank usually grants a mortgage installment of no more than 1\/3 of the<\/strong> applicant's monthly income.<\/strong> <\/p>\n\ne.g., if you<\/strong> earn \u20ac1,000 per month and are alone<\/strong>, the bank is unlikely to give you a mortgage involving a monthly payment of more than \u20ac350\/380<\/strong> per month.<\/em><\/p>\n\nOnly after such an analysis would it be the case to view real estate, more consciously and more incisively! From personal experience, there is nothing worse than finding your dream home and then having to give it up because you do not have the resources to buy it! <\/p>\n\n
Are you in doubt or unclear about something? Leave a comment and I will answer your questions! <\/p>\n","protected":false},"excerpt":{"rendered":"
Often in my business, I find myself dealing with buyers who contact me about purchasing a property, eager to see it without having made any assessment of their actual ability to spend. The most common answer is: \"First I find the house, then I go to the bank.\" besides being conceptually wrong this system is […]<\/p>\n","protected":false},"author":2,"featured_media":8021,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[262],"tags":[],"class_list":["post-11604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buying"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/posts\/11604","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/comments?post=11604"}],"version-history":[{"count":1,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/posts\/11604\/revisions"}],"predecessor-version":[{"id":11608,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/posts\/11604\/revisions\/11608"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/media\/8021"}],"wp:attachment":[{"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/media?parent=11604"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/categories?post=11604"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.alessandropasqual.it\/en\/wp-json\/wp\/v2\/tags?post=11604"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}