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It’s been a while I wrote anything or even thought about it owing to the process involved in owning a house in Bangalore Finally I put a rest to the decision making dilemma on whether or not to buy a house in Bangalore, finally having decided to go for one!

One of the key things that I wanted to have was, if I buy a house it outta be big. I’ve seen 2 bed rooms here for a whopping 30 Lakhs and I’m sure they’ll run out of room there in no less than 6 months. I went for a 1751 Sq.Ft house, the biggest in the block.

So I’ve been running around to getting the process done, financing the house etc. It is indeed a tedious process. First approached SBI and they have this amazing 8% interest, which is less that the interest offered by SBI itself in 2003, 6 years ago! Government wants to lend money but the policies around this system doesn’t let every guy take a loan from them. The total cost lets say is 40 Lakhs, the base building cost would go to 30 lakhs only, the rest of the 10 lakhs includes taxes, khatha, Electricity, water, registration etc. SBI funds only 85% of the basic cost. Which means the buyer would have to shell out around 11 to 13 lakhs from his pocket at once. Not quite a situation that everyone can afford to. So I approached HDFC, took a loan for 10.75%, which is too much but at least they fund.

So I’m going on with the work and getting it registered. Dailies say that the prices have come down and I don’t see where. It has come down indeed, say like a rented apartment which used to be 15K per month to 12K per month but that isn’t a great deal of coming down. The guy who gets the interiors done is saying prices are high, so where did the money come down, infact?