Customers usually wonder how much they are going to be charged once a transaction with Homebase starts. Among other costs, application fee is one of the important fees which is included in Buy with Installment and Unlock Equity’s products. In this article, you will find out everything you need to know about this type of fee before making any purchase decision. Let’s get right into it!
An application fee is an initial amount covering the costs of an Extensive Financial Appraisal and Property Valuation. This is required when customers use our two products, either Buy with Installment or Unlock Equity.
When to pay: After you accept our initial Financing Proposal and decide to work with us further.
The application fee is calculated based on three factors including the property type, the usable area and the property location.
There are two types of property, the Standard and Advanced:
For Advance properties, the process for legal, zoning checks and valuation are more complicated while for those of Standard properties, which belong to developers' projects, are relatively more transparent. Thus, the application fees for apartments and gated houses will be cheaper than those of advanced properties like landed houses or villas.
Next, properties can be classified into 4 types based on their usable areas which are:
The size of the property will determine the working hours of our valuation parties. Thus, the larger the usable areas, the higher the fee is.
Finally, the travel fee for property valuation is included in the total application fee. This amount is determined by the location of the chosen property which is divided into three categories: city centers, suburban areas, and locations outside of HCMC. For suburban areas and destinations outside of the HCMC, property valuers would have to travel further to assess the property, thus, requiring a higher travel expenses.
When calculating the application fee, Homebase will add up all the above variables to offer a final quote.
Let's have a look at an example using the price quote below. A landed house (Advance property) with an usable area of 400 m2 will cost 6,400,000 VNĐ. And if the property is located in District 7 in HCMC, the travel fee for property valuation will be 300,000 VNĐ. Overall, summing up the three variables, the total application fee that the customer has to pay is: 6,400,000 + 300,000= 6,700,000 VNĐ.Conclusion
Above is the comprehensive explanation of the application fee that customers pay when using the Buy with Installment and Unlock Equity products. With the information provided, we hope you will have a better understanding of the costs and be able to plan ahead of time before making any payments.
Should you still have questions, do not hesitate to shoot us an email at firstname.lastname@example.org or phone/Whatsapp/Zalo at (+84) 964 245 404. We will be available to answer any questions you might have. Fill in a quick form here for quick support from our team within 48h.
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