The Journey to Homeownership: A step-by-step guide to buying a house

financialexpress.com:

Purchasing a first home is one of life’s most monumental decisions–it is probably the most expensive asset and the longest financial commitment you will take on. It, therefore, needs to be approached with meticulous planning. Here are some of the most important considerations involved in your home-buying decision.

Buy vs. Rent: Before you even get into the process of buying a home, you need to ask why. Many financial planners will tell you that renting a home is far more economical than buying one. For example, if you were to rent a house that costs Rs. 2 crores, your monthly rent would be around Rs. 45,000 – Rs. 60,000. However, if you buy the same home, your monthly EMI would be approximately Rs. 1.5 lakhs, and you would be paying this for the next 25 years! So why would one buy?

The answer is that it is less a financial decision than a life one. Financial models cannot fully capture the stability and peace of mind that a permanent roof over your head provides. If you want a home that will always be yours, immune to the whims of the markets or landlords, you should buy. If you wish for financial freedom and do not have to worry about making income to pay rent, a home will be a great asset. But equally, if you prefer the flexibility of packing up and moving anywhere, anytime, you could keep renting. As you also should if you would rather spend more on your wants and experiences instead of a long-term fixed asset.

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Start Planning Early: Assuming a purchase, you will likely need a home loan. Start planning for this early, probably years before you take the loan. You will be expected to put down a down payment, usually 20% of