Are you looking to improve your home? Did you recently construct or buy a home and you are planning on furnishing it? Here’s the reason to consider hire purchase.
How Hire Purchase Works For Furnishing Your Home
Furnishing your home will require you to spend on various assets. These include household furniture, electronics, appliances, and others. All these items are expensive, and one will want to learn the available financing options.
Hire purchase is the ideal option when looking to furnish a home. When you determine the assets you require, you only require a fraction of the cost as a down payment to acquire the assets. The balance is then split into affordable amounts payable monthly.
Hire Purchase Benefits
There are different benefits a homeowner is set to enjoy when they choose to hire purchase.
1. Quick access to assets
Hire purchase makes it easier to acquire items you need in your home. All that one requires is presenting the relevant documents and a down payment. They will have access to assets they need and take home without paying the total cost up front.
2. Budget friendly
Whether you purchased or constructed a home, it is likely to drain your finances. This may make it impossible to purchase assets you need to furnish your home on cash purchase terms. Hire purchase is budget-friendly considering that the cost is split into installments. You will have an extended duration to make the payments.
3. Access to quality furniture for your home
In most cases, buyers with limited budgets settle for low-quality cheap assets. However, with hire purchase, you can buy quality furniture for your home as you are not required to pay the total amount up-front.
4. Spread the cost
The biggest benefit of hire purchase is the chance to spread the cost. After paying a deposit, the remaining balance plus interest is spread out into equal payments.
5. Fixed interest rates
Hire purchase deals involve interest rates. The interest rates are charged on the installments. However, the interest rates are fixed and do not change throughout the contract. This makes it easier to plan your finances.
6. Lower interest rates
When compared to traditional loans, credit cards, and overdrafts, hire purchases come with lower interest rates. Choosing hire purchase thus saves you money in the long run.
7. No credit score required
Unlike other financing options, your credit score does not determine whether you can benefit from hire purchase. The items you are purchase act as collateral and thus the dealer doesn’t need to rely on your credit ratings for approval.
8. Flexibility
Hire purchase deals are very flexible. When you work with a reputable dealer, they will work to find a deal that suits your financial situation.
9. Ownership
At the end of the hire purchase deal, you will become the owner of the assets. This gives you the freedom to use the assets, sell or even trade them.
10. Improved cash flow
By choosing a hire purchase deal, you get the chance to pay a fraction of the cost every month. This leaves you with cash to spend on other expenses, savings, and emergencies.
Learn more about hire purchase here. Follow Kenya Credit Traders for quality assets and irresistible deals to furnish your home.
