How much loan can you get from the bank versus how much should you borrow?
Try not to over borrow or go to the maximum of the loan amount which you are qualified for. As a guide, you should not commit to a monthly housing installment where it's more than 40% of your salary / income. Once the loan is approved, every month you have to pay the installment, no ifs and buts. You cannot pay, the bank will lelong your house. You must be able to take care of the house in order for the house to take care of you.
The bank can give you 100% loan for the house, but the question is : Can you afford it?
It's advisable to still have some balance of cash for saving after the monthly commitment for emergency.
BUY WHAT YOU CAN AFFORD - this is a valid advice, be it you are buying a single storey house or a much bigger house . Don't let the house stay on your shoulder in the form of monthly installment which you struggle to pay every month ; buy one you can afford, one that can provide shelter over the head.
