Before opting for service apartments in Kenya, you need to take into consideration, various factors that play very important role in the property search. The first and foremost thing that comes into your mind is the budget. You have to carefully examine your finances. Another step is that you have to estimate the total cost of the property which includes the insurance, taxes, inspection charges etc.
You must also be acquainted with the terms related to the housing finance that you have to opt for while buying service apartments in Kenya. Let’s discuss about the various terms. ‘EMI’ stets for equated monthly installment till the loan is paid back. It consists of the interest and the principal. The ‘floating rte of interest’ is the rate of interest which varies with the market landing rate. This means that, in case the landing rates goes up; there is a risk in paying more than the budgeted amount.
In the ‘monthly reducing balance’, the interest reduces monthly with repayment of principal amount. In the ‘annual reducing balance’, the principal is reduced annually at the end of the year. ‘fixed rate of interest’ is the rate of interest that remains unchanged throughout the period of the loan. The ‘processing charge’ is the fee payable to the lender on applying for the loan. The ‘commitment fee’ is charged by some institutions in case, the loan is not availed within a stipulated period, after it is processed and sanctioned. ‘Miscellaneous cost’ is the total cost that includes the documentation and consultant charges.
You can also opt for the online agencies that deal in the service apartments. You can get a number of benefits, if you take the help of reputed online agencies. You can get various luxurious features and at very affordable rates.