For newly weds, buying a house has become a concern. Moreover, in Indonesia, the property prices experience 20% increase each year. It’s safe to say that property has become one of the most promising investment instruments. So, if you just got married and are looking for a house, applying for Kredit Pemilikan Rumah (KPR) or Kredit Pemilikan Apartemen (KPA) is worth to consider.
Property installment and the Expectation of House Worthiness Standard
Actually, many Indonesian young couples have already realized that starting a mortgage plan for a house or apartment is a wise thing to do. However, their financial condition doesn’t say so. Buying a house means they have to allocate most of their savings to build one asset.
Not to mention the excessive expectation about the eligibility standard of a house, which usually has an expensive price. There’s nothing wrong to live in a smaller house as long as it’s clean, safe, confortable, and of course eligible enough for you to live in. As an alternative, you can also consider to live in an apartment.
If you don’t have the budget to buy a big, fancy house or apartment, it’s okay to be more realistic. Instead of waiting until you have enough budget to buy your dream house, it’s much better if you use the money to make installments for a house or apartment with a simpler model.
Things you must do before making a house installment
It takes at least 1-2 years of preparation to be able to start making a house installment. During this period, young couples can save money to put together a down payment for the house. The down payment is usually worth 30% of the house price. It’s best if you invest your money using a certain instrument like mutual funds. This way, you will earn more money than if you just save them conventionally.
Before that, you need to conduct a thorough research. What type of the house you want to buy? How is the location? Is it near enough from any public facilities such as hospital and school? Also, how is the price? Is it worth it with the facilities you will receive?
Then calculate your and your spouse’s monthly incomes. Cut the result with your monthly outcome. Check with your spouse if there are any debts that have not been paid. Make sure that your debts do not exceed your monthly income so that you won’t have a bad credit.
The good thing about applying for KPR or KPA is that you and your spouse will be able to use a financing simulation facility to calculate your loan and the estimation of your installment. This feature will help you pick the right scheme for your house mortgage.
Furthermore, you also need to learn how to apply for a KPR. Find out the term and conditions, monthly installment, and the tenure. Choosing the right KPR will help you organize your finance properly.
Among many KPR programs that are available in Indonesia, there are indeed several KPR programs that are profitable and suitable for your financial condition. For instance, you can choose a KPR program that allows you to establish the repayment schedule based on your savings balance such as KPR Danamon Lebih. In other words, the more money you have in your savings account, the more likely you are to apply for KPR with 0% interest rate.
Now that you’ve read this article, there should be no reasons for you and other young couples out there not to start a mortgage plan after marriage. Let’s free ourselves by achieving more!