In 2015, Aditya Tembe and his wife Zankhana came across an advertisement of a real estate construction, which allowed them to book an apartment for only five percent of the total cost – an area of 1,076 sqft – near Thane’s Kulshet area (Mumbai).
Tembe, along with his wife and mother, decided to go forward and buy the house, which was still under construction. “The fact that the builder gave us this option is an opportunity I am glad I did not pass. It is the reason why I own a home today,” he says.
While the builder had promised possession of the home in 2018, the family pooled in and saved up for the remaining three installments for the total of 20 percent as is the norm. For the remaining 80 percent, Tembe procured a loan from a bank along with his wife and mother. “I would pay the five percent every six to eight months whenever I could manage, and at the same time, I was saving up for GST, stamp duty and registration costs, which came to about Rs 10 lakh; this was the toughest part,” he explains, adding, “Not only did I have to make those down-payment installments, but also create a corpus for overhead costs. I was finding it extremely difficult, so I finally took a loan from my maternal uncle for the same; also at the same time, the loan approval from the bank came through and the builder was satisfied with the plan and went forward with the paperwork that made us legal owners of the property.”
Tembe says that this interest-free loan gave him the final push that led to everything finally falling into place. Tembe is expecting to be handed over the keys to his home by December 2018, which was the original deadline.
“The builder is quite wary of being fined under new laws set by The Real Estate (Regulation and Development) Act and has made it clear that the house will be given to us by December,” he says.
Tembe recommends keeping an eye out for similar schemes that helped him achieve one of his life goals he had set for himself.
Owning a house or car is considered a traditional measure of success. For 27-year-old Gokul Nair, buying a house was not only about making a sound investment, but also fulfilling a dream of opening up his own business. At the tender age of 21, Nair pursued house hunting in the suburbs of Thiruvananthapuram in Kerala. He zeroed in on a 3-BHK single storey house in Neyyattinkara.
“I wanted to open my own studio and when I saw this house, I knew it was perfect since it was fully furnished. The owner of the house was more than happy to sell it off with all the furniture and décor intact,” Nair says.
Despite knowing how to speak and understand Malayalam, Nair took a friend along when he went to sign the deal.
“I was a bit wary of signing the papers; hence, I took a friend along (who lives in the same area) for moral support and after much negotiation, I sealed the deal for the house at Rs 55 lakh in 2011,” he says.
While he had an inkling of how he would pay for the house, getting a loan was tough. “I was only 21, but I had been saving up ever since I got my first job after completing my graduation. I knew it would not be an easy task, but I had the support of my parents who encouraged me to make the investment,” says Nair.
When Nair approached the bank to apply for a loan, it seemed unlikely that he would get one. “I was quite young and most banks I approached were wary of sanctioning a loan – I had no assets to my name or credit score. Since the amount of the loan was quite large, I approached my mother to get a joint loan. My mum pitched in and I got a joint loan with her for Rs 16 lakh from a bank by using property as security,” he says, adding that he chose a bank, at that time, that had the least rate of interest on home loans compared to others. Once the loan was sanctioned, Nair had to ensure that he was paying his installments on time. And he credits his mother for helping him manage this. “Though I managed to pay the down-payment on my own, my mother was a big help at times when I couldn’t pay an installment. For example, when I was pursuing my masters two years ago, I would work part-time or freelance. However, there were times when I was in dire straits and she would pitch in and make a payment,” he says, adding that since his mother is set to retire soon, he will take over the reins to pay off the rest of the loan as he is in a better position to do so. “Even though my plan to start my own channel didn’t work out, I am glad that I made this investment at such a young age,” says Nair.
Arpika Bhosale, Times Property, The Times of India, Bengaluru