Planning to invest in a home does not happen overnight. Investing in a new home is a crucial decision in your life. You need to keep these important points in mind while taking a leap and making a selection. You might want to take a housing loan, spend money every month towards instalments of the loan, hence you need to be very careful. The most important key factors you might want to consider while buying a new flat are the house’s location, the possession date, and the price of the flat. There are a few more parameters to consider while purchasing a new flat.
The most important things to keep in mind while buying a new home are:
- Property price
You need to fix a budget while purchasing a new home. You can easily shortlist a house if you know what your budget is. You might want to assess and check out the price of properties in your vicinity and its price to understand if the builder has offered you the right quotation. This is one of the best ways to analyze if you are making the right investment. To find more details of the properties, you can check out for information on portal listings, brokers of the area or newspaper listings.
- Carpet Area of the flat
The carpet area or the super built-up area of a property is the entire area of the property including shafts, elevator space, stairs, the thickness of walls, etc. The carpet area of a property is the actual area within the walls of the flat. It could be 30 per cent lesser than the build-up area or that particular area used to calculate the price of the property. Usually, when the floor of a property is shared by two owners, the price of the common spaces is also shared between them.
- Land Record
The area in which your property is located needs to be given special attention. You must know the soil quality and the topography of the land where you are purchasing your new homes for first-time buyers. The plot must be registered and must be clear of all dues. While purchasing a property, you must check the title deed of the property because the deed gives the details of the property’s rights, ownership, and obligations.
- Legal inspection of the property
You must ensure that the property is legally authorized to be formulated on the plot it stands. The developer should acquire approvals and NOCs from entities like area development authorities, water supply and sewage boards, electricity boards and Municipal Corporation. In case if you are taking a home loan, the respective bank will check and validate your property documents before they sanction the loan.
- Apartment possession
Apartment possessions get delayed often because of the delay in commercial and residential plans. You must have a clear understanding of the timeline of possession and though the developer seeks a six-month grace period, you need to seek a valid explanation from the developer on the same.
- Financing banks
There could be certain builders who might not have a good cibil score due to nonpayment of dues. Hence some banks might be willing or not willing to issue loans to certain builders. So you need to keep a track of these aspects before planning to invest in a property.
- Builder-Buyer Agreement
Once you choose a flat of your preference, you can book your flat by giving a token amount and in return, you get an allotment letter. After this, a tripartite agreement is entered upon between the buyer, the builder and the bank for the rest of the amount after you receive the allotment letter.
- Location of the flat
You need to look around the area properly where you are planning to buy your property. You need to closely analyze the vicinity of you the place where you are buying your property. These factors will help you understand how good your locality is. The place where you are buying your flat must be in a safe and peaceful locality. The flat should provide security to the families living in and it should be a safe and secure place.
- Hidden and additional charges
You must ensure that all the documents you get are properly read and the penalty clauses are properly understood. In case if you don’t receive the flat’s possession within the grace period, the builder is liable to pay you a monthly penalty in this case. You should also look into the amount of the additional charges such as GST, stamp duty, home loan possession fee, registration charges and other relevant charges while deciding on a flat.
Flat buyers have to keep all these things while investing in a property because all these aspects are extremely imperative when it comes to buying a flat at a particular geographical location.