Will your home loan cover statutory expenses?
Who does not want to live in a home they can call their own? Sure, owning a home is far better than renting or leasing. Mortgage loans allow people to own a home without paying a huge amount of money upfront. By getting a mortgage loan, you will be given the opportunity to get the house even without paying in full. The amortization can be as minimal as the amount you need to pay when renting, the only difference is at the end of the term you can own the house on the mortgage but not when you are just renting or leasing.
Unfortunately, mortgage loans are not for everyone to enjoy simply because not everyone can be approved for them. There are requirements the applicant needs to submit in order to secure an approval, failure to do so might end them up not getting a loan.
Before you decide on buying a house through a mortgage loan, it is only fair that you need to know everything about it first. Sure, you do not want to end up disappointed just because you failed to know more about the mortgage before securing it.
Remember, this involves your home and a huge and long investment, so you have to know everything about it before signing up for it.
One of the usual questions you need to know about the mortgage loan is the inclusion of statutory expenses. First and foremost, what are statutory expenses? This includes stamp duty, registration charges, and other miscellaneous fees, such as legal fees.
It is expected that a home loan covers statutory expenses but not all the time. What you need to do is to ask the institution where you plan to apply for a loan whether or not they include it before submitting your application.
The costs involved in taking a home loan should be known because it helps you decide on where to secure your loan.
Other Questions To Ask The Institution Where To Secure Your Loan
The more questions you ask the institution or bank, the closer you can get to finding the right home loan to take to cover your dream house.
Just to give you an idea of the right questions to ask, consider the following:
- How long is the loan process?
How long do they need to finish the processing of your mortgage? This is not to rush the process or shorten it but to set your expectations. Sure, you need to inform the seller of the house as to when you can pay for their home.
- What are the requirements I need to complete?
What are the requirements they need you to complete? Of course, the lesser their requirements, the better it is for you.
- Is there a POC to handle my loan application?
Is there a specific person you can reach out to, to follow up, inquire, and so on?
Sure, going to the pool of their customer service team won’t help you a lot in finding peace and ease when applying for a mortgage.