A Simple Guide for First-Time Home Buyers (From Someone Who’s Been There)

15 min readMay 6, 2025

About a decade ago I was in a situation where I had to buy a house and the fact that I was naive, I had settled for something which proved to be not so great (but still worth money spent).

I had to move from that house to a rented place in 2019, have shifted 2 houses from then and started looking for a different place in early 2023. With my current landlord raising money every year and generally growing real estate prices I wanted something which gives a peace of mind without much fluctuation. So what started off as looking for a rented place turned into looking to buy out a place.

With around 2 years of home hunting experience, I wanted to put this write up for any new home buyers to be aware of.

The one thing I would not touch here is if getting a new home is a good investment or not. I would only tell, if the primary reason is investment, there are many folks who can advice you on this, I can give you their contacts.

That said, let’s dive into the key factors to keep in mind as you navigate this journey.

Negotiables vs Non-Negotiables

Don’t treat house hunting — especially buying a house — as simple as getting any other product. It’s extremely expensive, a long-term commitment, and life-altering.

You don’t want to get a house just because you saw a über-cool model house — where you or your spouse thought, “I loved imagining myself living in this house” — or because of an interesting marketing campaign or a smooth-talking salesperson (and trust me, some people are really good). These are for sure a good starting point, but they don’t bring out all the aspects of actually being in a home.

That’s where creating a list of essentials is really important. Maybe the above marketing ticked a few boxes, but there should be a lot more.

While this blog will help you understand some important aspects, let me give some samples from our own list (my wife and I had) —

An area/locality where rainwater doesn’t stagnate
Not a huge apartment complex
Basic amenities are enough
Slightly on the higher floor with a good balcony
Not on the topmost floor
At least 3BHK
A “certain” budget
A “certain” EMI max, and related down payment, tenure, and loan amount
A residential area, rather than an industrial-looking one

And so on. Involve everyone who is actually going to live in the house.

Also, with such an exhaustive list, it’s very difficult to get 100% of what you want. Even in my case, there were some compromises.

Buying a New or a Used House

This one is a little tricky, so I’ll leave you with a couple of scenarios where you can consider a used house:

You like the location very much, but you’re not able to pay the full price of a new building.
You like the house or apartment you’re already living in, enjoy your neighbors and amenities, and a house is up for sale.
You’re looking for a new place but an “almost new” place is up for sale nearby.

There are a couple of points to consider when going for a used home:

How old is the house and what’s the life expectancy of it? What’s its associated price?
How much rework needs to be done as per your taste?
How much can you actually modify?
Is there a net gain when you add the modification cost to the price — vs buying a new place?
Does the place have existing infrastructure? For example, do you need a lift? How important is a security guard?
Is the place pet friendly, if you own a pet?
Are there existing rules and regulations?

What is the right price for a Square feet ?

This requires a lot of groundwork. Some of the ideas to determine the right price are:

Compare prices with nearby construction sites.
It’s better to understand competitor prices in a similar category. For example, if you’re looking to buy a house in a large apartment complex, enquire about prices in similar complexes.
Ask your “to-be” neighbours what prices they paid.
Sometimes, the price might be higher if the builder uses premium products. A quick trip to their completed projects will help gauge that.
Think about what kind of amenities you’re looking for — security, convention hall, gym, etc. Or maybe you don’t want any of these. All these will affect the price.
Certain plots may be relatively priced higher or lower depending on location. For example, a corner plot is usually more expensive. A plot near a school or temple might be lower. And so on.

All these factors might help you understand whether the price you’re paying is reasonable or too high.
If it’s too low, then there’s a chance that something might be wrong.

Which Locality/Neighbourhood ?

This is very personal, and often something we feel more sure about than anything else. That being said, here are some factors that might affect your choice:

Do you want your neighbourhood to be quiet or bustling with people and energy?
Do you need accessibility to schools, temples, or supermarkets?
Are there parents or kids who should be able to access these places on their own?
How far is your place of work?
What about access to clinics and hospitals?
Do you want to be closer to your family or friends?
Are there bus stops or train stations nearby?
If you frequently use cabs, delivery services, etc., how easy is it to direct someone to your house?
What is the water situation like? Is there good groundwater? Does it taste okay?
Are there any histories of natural calamities like floods, earthquakes, or similar?
What is the air quality in the area?
How close do you want to be to entertainment or hobbies — food courts, movie theatres, etc.?
Do you want access to a park, jogging trail, or nearby sports facilities?
Do you want a sea view or any other specific view?
How clean and well-maintained is the area?
Do you want corporation benefits like metro water, sewage lines, etc.?
How wide and well-maintained are the approach roads?

Square Feet — What it means ?

One of our neighbours spoke to us and shared a concern that had been bothering them. They said, “Our square feet is 1000, but the house doesn’t seem like it. It appears to be small.”
My answer was: It will almost always feel smaller — because that’s the built-up area, and it’s standard practice. What you actually experience is the carpet area.

If you’re new to house hunting, here are three important details you should know:

(Super) Built-Up Area / Saleable Area — This is what builders usually advertise. It’s the total square feet for which you’ll be paying — but it includes your house plus a share of all common spaces like lifts, staircases, walkways, parking, parks, play areas, swimming pool, etc. The more the amenities, the bigger the share of common area in this number.

Carpet Area — This is the actual usable area inside your house, which is completely yours. Carpet Area literally means the area where you can lay a carpet. Depending on your apartment type, carpet area is usually 60–80% of the saleable area.

UDS (Undivided Share) — This is your proportion of the land on which the building stands. For example, if your apartment complex has 100 units built on 20,000 sq. ft. of land, and your UDS is 400 sq. ft., then you own 400 sq. ft. of that land. This becomes important in the distant future if the building is ever reconstructed, redeveloped, or sold. For individual houses, the UDS is typically 100%.

Perceived Size

While the above are technical numbers, how spacious your home feels depends on various other factors:

An unfinished house often appears smaller — especially if you’re seeing it at the stage of just the basement or half-raised walls.
You’ll get a better sense of space after painting is done.
Paint colors and patterns can influence perception.
Floor plans can impact how big or small a home appears. Even if the square footage is right, the layout of rooms, foyers, and hallways changes how it feels.
An open kitchen might make the space feel larger.
Furniture and interiors can drastically affect how big a room seems. A room may appear big when empty but feel much smaller once it’s furnished.
Lighting, especially natural light, also plays a big role in perceived space.

Some Tips

Visit multiple houses in various stages of completion.
Compare designs, floor plans, and advertised square feet.
Look at both the technical numbers and the practical feel.

To Summarise

Try to go for a maximum UDS and carpet area — and don’t rely solely on the “square feet” advertised by builders or marketing teams. Also, visit and compare multiple houses to truly understand how big your future home will feel.

Apartment vs Individual House vs Builder Flat (Small Apartments)

Again, this one’s a personal take. There’s no right or wrong answer — just what works best for you. Sharing a few thoughts based on my observations and preferences.

Individual House

If you’re someone who values full control and freedom, this could be your thing.

You can do what you want — build, break, remodel. No permissions needed from others (maybe just the government).
Great if you value privacy — you won’t be bothered by neighbors, and vice versa.
You’re fully in charge of maintenance. Nobody else steps in. Some love that, some don’t.
No shared walls, so if silence and solitude are important, this fits well.
Construction, cost, and specifications are fully transparent and in your hands.

Big Apartment Complex / Gated Community

This is the other extreme. Comes with everything — and I mean everything.

You get amenities like parks, swimming pools, supermarkets, maybe even a temple inside.
Especially useful if your house is on the outskirts — the community brings essentials closer.
You’re part of a living, breathing community — rules, restrictions, meetings, notices, WhatsApp groups — all of it.
Comes with government regulations too — OSR parks, taxes on maintenance, STPs, etc.
There will be noise — people, kids, functions, loud evenings. Some love it, some find it draining.
Shared walls mean shared sounds. And shared problems in case of structural damage.
Maintenance is handled, but the monthly charges can be steep, depending on size and services.
Construction timelines are out of your hands. Delays are common — almost all my friends who chose big apartments faced year-long delays.
Even after moving in, some amenities might still be “under construction.”

Builder Flats / Small Apartment Setups

This one’s somewhere in the middle — not too fancy, not too lonely.

Fewer amenities, but also lower maintenance charges.
You’re still part of a community, but it’s not overwhelming.
May or may not have formal maintenance arrangements — depends on how it’s been set up.

Summary

Individual House → Total freedom and total responsibility. Peaceful, customizable, and fully yours — but demands effort and is costlier upfront.

Big Apartment Complex → Everything in one place — amenities, security, and community — but comes with rules, noise, high maintenance, and frequent possession delays. Less room for personal tweaks.

Builder Flat / Small Apartment → A balanced, no-frills option. Lower costs, fewer complications, and comfortable living without too many trade-offs.

Whatever you pick, just make sure it aligns with your lifestyle — not what others are doing.

Floor Plan, Brochure & A Bit of Imagination

Sometimes we say yes just by looking at a model flat. It might appear to be your dream home. You or your spouse might have imagined yourselves living there. It’s natural — model flats are designed to impress, and they usually do. But if you’re looking at a smaller apartment or an individual house, there may not even be a model to begin with. That’s where documents like the floor plan and brochure really help. They’re not exciting, but they’re important.

I’m not saying ignore the model house — it’s definitely a good start if it’s available. But here are a few things to keep in mind:

The floor plan helps you understand the layout — how rooms are arranged, how big they actually are, and even things like how far your front door is from your neighbor’s.
It also tells you which direction your house faces, how well it aligns with vasthu (if that matters to you), and how private or open it will feel.
Look beyond your flat: which block is your flat in? What’s on all four sides? I once liked a flat a lot, but after seeing the plan, I realized it was facing the toilet of an individual house next door. Big no.
The brochure can show things like whether your balcony or bedroom faces someone else’s window — that’s a privacy issue right there.
Sometimes, spending a bit more might get you a private terrace or a better view — and the brochure usually reveals that.
Finally, remember this — a model house may look fancy, but your own furniture, layout choices, and needs can make the space feel completely different. Visualize accordingly.

In short: don’t skip the paperwork. Read everything, ask questions, and most importantly, try to imagine how you will actually live in that space.

Which Floor is Right?

Again, a personal preference. But a couple of points to note here —

The higher the floor, the better the airflow and natural light.
And also, the higher the noise levels.
In a city like Chennai, the higher you go, the hotter it gets.
No matter what they tell you, the topmost floor will get much more heat than lower floors — especially the topmost one.
Safety is paramount for higher floors — sealed balconies and walkways would be important.
It’s important to check if all family members are okay with high rises.
Power failures can be exhausting — do they have power backups?
It takes huge effort when house shifting and buying new things.

EMI and Home Loan and Budget

This is one of the most important aspects. I see people buying houses which are at times more than what they might have imagined. Sometimes a huge chunk of the salary goes to EMI. Let me tell you a few things that you might have to consider:

Bank — At times, it might feel like a bank or a financial organization is giving good features like lower interest rates, some waivers, making it more attractive. But I will highly recommend — whatever the case be — go with reputed organizations. Do the due diligence even if the house you are planning to buy has a tie-up with certain institutions which are not renowned or stable.

EMI and Tenure and Upfront Cash — It’s a better idea to calculate how much upfront cash you can pay in bulk and how much EMI you can pay every month. For eg., you might have savings of 10L and you can shed out 40K INR every month for EMI. Typically, for every lakh you take a loan for, there will be an EMI of 1K. Which means you can probably afford a house for 46L.

Pre-EMI — This is a component where your home loan is approved and disbursed, and you start paying your EMIs. But until your home is in an “under construction” state, this pre-EMI only goes as interest as opposed to a component going toward the principal amount. Imagine you book an apartment and the loan is sanctioned, but the builder delays the completion for about 6 months — the 6×EMI amount would not have contributed to your principal at all.

Other Costs — In addition to the house itself, there are other costs you might have to pay. Some items can be:

Registration and GST costs — roughly 6% each of the total saleable area.
Home loan insurance, evaluation, legal and other costs — around 0.2%.
EB, water, and other charges — sometimes builders quote prices inclusive of this.
Charges for parking spot — again might be included in the builder quote.
There might be other charges depending on different builders — association charges, amenities fees, etc., etc.
Another important thing — depending on the builder — and almost all of them give a bare minimum house, and you might have to invest in a lot of things like interiors, kitchen cabinets, fans, lights, water heaters, etc., etc. See the builder spec sheets to understand what is promised as part of the building. Depending on your preference, this will cost a lot or very little. But even the minimum can be around 1.5L — water heaters, basic interiors, and kitchen cabinets.

Maintenance — As you all know, the cost does not end there. You would have to shed every month on the maintenance cost. And this is where bigger apartment complexes charge more for the amenities and services they provide. I have heard close to ₹8K/month for those in bigger apartment complexes in Chennai, and more than ₹10K in other metro cities also.

How Long Is Too Long to Search for a House?

Unless there’s urgency in moving/buying, it’s normal to search for a house for months or even a couple of years. A house is a huge commitment — it takes considerable time to find the right home. Even after finding one, you might have to negotiate a few things.
We took close to 2 years and would have physically seen and enquired about more than 50 places.

In my experience, I don’t think it’s necessary to have the mentality of “If I don’t choose this, I might not get anything better.” More often than not, you will always get a better place.

Other Important Considerations

There are a couple of important considerations which you also need to be informed about when buying a house.

Infrastructure — There are a lot of small things which we might miss during a house hunt, but they can end up being a pain in the butt later. For example:

Is there an AC vent already available at the right place?
Is there a facility to add an inverter at a later point of time?
Are there facilities to add a chimney?
Is pest control being done?
What about mosquito nets?
A grill/false grill in the balcony if on higher floors?

There would be a lot more. Think about these as things which will take a little effort and money during the “under construction” stage, but would be a much larger hassle later.

Design vs Actual — Builders usually promise a certain design. The way the house/apartment looks from outside is usually called elevation, which might look flashy and very good. There might be a promise of specifications — cement, TMT rods, paints, tiles, etc.
Almost all the time there would be a slight deviation. Many builders usually meet the specifications, but most of the time the elevation (the outer design) slightly varies. So be informed, and have discussions around what is negotiable and non-negotiable.

Delivery Date — This is one of the biggest challenges most of my friends have faced who have gone for bigger apartment complexes. There was always some delay or the other, with some ranging even up to a couple of years. With individual houses and builder floors, it’s slightly better — or I would say slightly more transparent.
It’s important to note: the further the delivery date, the more pre-EMI you would be paying, not to mention any rent that you would already be paying, and the mental tension.

Legal — Now when I think about my first house, I realize how naive and eventually lucky I was, even though I didn’t do any legal check of the house. Whenever you settle on a house, get the papers and check with a trusted lawyer. See if there are any legal issues. The lawyer might ask you to double-check something.
Show the lawyer all the documents involved. Go ahead only if you and the lawyer are satisfied. Back out at any time when something seems fishy.

Final Thoughts

It’s a long post, so I’ll just leave you with a couple of closing thoughts:

Try to create a balance between what you get right now and what is promised in the future.
It’s important to have complete trust in the builder — not just the sales person.
Don’t completely trust the sales people and builders. Enquire a lot about the area, streets, etc., from neighbors. Do thorough research on all aspects.
Marketing and sales can be very persuasive. Don’t fall for it. If you stay strong, it won’t be a problem.
Don’t give any commitment, token advance, etc., based on persuasion or first impressions.
At the same time, if you come across the right house, and you have done all the due diligence, go for it before someone else grabs it.
There is no “right amount of time” to search for the best home (unless there is a real urgency to move).
The second-hand market is also a very good option.
Buy a house you can afford — don’t get into a lifelong financial pressure and pain.
Look at many options before you say yes to one.
For prominent builders there are tones of Youtube videos. Check them out.
Back out at any time if something doesn’t feel right or if you don’t like something. There will always be a better option!
You won’t get everything you wanted — there might be some aspects you don’t like. So it helps to have a clear list of non-negotiables.

If you’d like a home buying checklist or would like to know more about my experience, feel free to reach out or ask any questions in the comments.