Owning a house is a matter of pride with lots of happiness and self-respect. With the ever-increasing price of the property, buying a house has become a dream for common people. In this situation, Home Loans in India are the only option which helps to turn this dream into a reality. But besides Home Loan a major part of the total price of the property needs to be deposited as the down payment amount, as all the banks and financial institutions provide Home Loans in India up to 70-80% of the total value of the property. So, if you are planning to own a house in 2019, you need to have money for a down payment which is somewhat simpler if you consider Aditya Birla Home Loans as their Home Loan schemes are much better as compared to other banks offering Home Loans.
Achieving financial success to meet the desired goals usually takes a little more effort than just waiting for the right time when your luck will strike you. It takes lots of discipline, dedication, patience, and sacrifices. Simply jotting down a list of financial goals on paper will not let you towards your financial goals but definitely is a major step towards reaching them. You need to make some promises to yourself, and then only it will be possible to plan your finance effectively for making the biggest investment in life, i.e., buying a house. Being able to afford a house along with your kid’s school/college tuition fees, household expenses, weekend trips and after doing a retirement planning, will completely depend on you and the path you want to follow to manage your finances perfectly.
If your personal finances are in a wreck, or you’re basically looking for ways to save more money, you can have a look to this list of personal financial goals which might help you in financial goal setting activities that you can start from today itself.
Track your expenditures accurately
Jotting down your goals makes you closer towards them proportionately, let say 40 to 45% and accurately tracking your expenditures generates a further sense of accountability. By creating a money journal of a kind which is easy to follow, you can track past accomplishments and yes, failures too, but never mind we all learn from our mistakes which gives us a chance to identify areas for improvement. Additionally, tracking your goals becomes an outlook because you have indication points and objective data from which conclusions can easily be drawn.
Building an emergency fund
Life is unpredictable. We all have heard this many a times but do not really believe this until and unless something unusual happens to us. Since its impossible to guess what life will throw at you, it becomes all the way more important to have a little extra money stashed away at all times. This emergency fund should only be used in the event of a personal financial dilemma, such as the loss of a job, a devastating illness or a major unforeseen expense. Financial experts suggest putting away at least 3 months of living expenses into an emergency fund and more if you can afford to do so. Don’t let an unexpected expense ruin your healthy financial outlook.
Become free from previous debts
If you have any previous debts or loans to repay, getting rid of it should be your first priority as it can prove to be a major hurdle in achieving your financial independence to buy a house of your own. Don’t become a prey to a vicious loop of equated monthly instalments (EMIs) and accrued interest on Home Loan in India. Putting it off is tough to eliminate, and furthermore, you may end up decrementing your credit score in the meantime.
Creating a budget plan
Have you ever actually tried to make a budget plan? Apparently, some of you might have or at least that’s what might be stored in your next move in planning your finances. For the rest who do not pay any heed to this factor of making a budget plan, categorising your expenses can be an eye opener of where you are spending and where you can save. If the majority of your expenditure is in the housing, car, instead of luxuries in life such as high-end products and international trips thrice a year then most probably you’re on the right track. A good budgetary guide states 50/20/30 rule. 50% should be your essential spending such as rent, transportation, utilities, 20% should be towards personal financial goals such saving or paying off debt and another 30% is flexible, expenses that can vary monthly, like eating out, groceries, hobbies, shopping, entertainment, or other miscellaneous household products.
Avoiding unnecessary expenditures
The best way to arrange for the down payment to make your dream of buying a house come true is to cut down the undesirable expenditures and to save money for it. The time needed for saving that particular amount which is on your objective list to meet your goals as early as possible depends on your monthly income and expenditure. You can also opt for a Personal Loan only if you are getting it at an affordable price as it will save an added interest on your Aditya Birla Home Loan. You can also save some amount on the utilities such as your telephone bill, cable bill, electricity bill, etc. It does not mean that you need to be stingy in your routine life, it means to control your expenses instead of sending them lavishly as you have a goal in hand that needs to be achieved in your near future.
Analyze your financial needs, check how much you need for down payment and later on, evaluate EMI of your Aditya Birla Home Loan, Take a Personal Loan if needed, reduce unnecessary expenditures and save some extra money to meet your financial goal by 2019 to buy a house of our own.