Buying a property is an overwhelming process that requires a lot of effort. Along with this task being complicated, it requires a lot of monetary investment. This is why it is always better to check where you are putting your money. It might be that you wish to purchase your dream home or looking for an additional property to buy as an asset. Regardless, the choice has to be made after a lot of careful thinking.
In the property buying scenario, too many buyers are afraid to ask questions from property builders. Most people purchase a property because it is advertised as ‘fast-selling’ or there has been a buzz created around it by saying that already X number of flats have been sold. People feel tempted to join the herd and this is when they end up making a mistake.
It does not matter if you are purchasing a property from a well-known and reputed property developer. You must remember that a flat is not a standard product. It is where you will probably spend the next 20 to 30 years or more; where your children will grow up and so on. This is why it is crucial that you ask questions and here is a list of critical questions that you must pose before your chosen property builder.
Is The Project Located in a Rapidly Developing Area?
You are advised to properly check the blueprint of the floor plans, the premises, the general neighborhood, the locality, the road accessibility and the difference between a luxury property v/s a regular property. If you are a local investor, it will be possible for you to inspect the site of the area. But, if you are an NRI investor, make sure to send a trusted source on your behalf so that the area where the property is situated can be inspected. Furthermore, make sure to verify all the legal documents of the property.
Additionally, find out if the location is close to supermarkets, colleges, schools, hospitals, retail outlets, and so on.
What Is The Status of The Property Title?
Today, in most cases, a property builder enters into a joint development agreement with the landowner and this results in several legal flaws, which are mostly unintentional. In terms of inheritance, landowners have their own issues, such as legal disputes, more than one marriage, and so on. This is why you must insist on the indemnity clause so that you can protect your financial interest.
Another common issue is that projects or land is mortgaged by the developer and buyers are not informed in most cases. In such situations, bank NOC is mandatory before the sale of the mortgaged property. So, you must make sure to verify the property title before making any payments.
How Many Apartments Have Been Sold?
In an attempt to create a sense of urgency among the buyers, property builders resort to various advertising and marketing tactics. The most common being “3 flats remaining” and so on. While some of the builders advertise the truth, there are those that simply want to make their apartments appear appealing by giving the impression that they will be sold at any moment. So, you need to find out how many flats that builder has actually sold. If you don’t get a straight answer, resort to asking indirect questions, such as how many inquiries the developer gets in a day or in a month. Whatever the builder answers, expect the conversion rate to be 1% to 2% and you can get an estimate of how many flats are actually sold.
What Is The Quality Of The Construction?
If you are planning to purchase a luxury 2 BHK or 3 BHK flat for the purpose of staying or renting out, it is important for you to know the construction quality. If the property is under construction, you can take a tour of the construction site to understand the standard of their quality. In case the residential property has already been constructed and is ready to move in, you can ask about the materials used so that you know where you are investing your money. Any reliable developer will be happy to answer your questions and might even boast of the technologies that they have implemented.
What Is The Actual Size Of The Property?
According to RERA guidelines, residential properties are priced according to the carpet area of the property and not due to the built-up area. So, you can ask the developer to show you a blueprint of the floor plan so that you can get an idea of the property’s actual size.
What All Are You Paying For When Buying The Property?
Whether you are purchasing a lavish 2BHK apartment in North Kolkata or a 3BHK flat, you have every right to know what you are paying for. The actual cost of the building is calculated after adding multiple different costs. It might be the maintenance fee or the cost of the property having an AC gym, swimming pool, banquet hall, and so on. The total cost may also include GST, location charges, parking rent, and other such statutory charges. Ask for a cost breakdown. So, these are a few crucial questions that you should ask your residential property builder before investing your money. Besides these, you can also enquire about past projects, reputation, project turnaround time, and the legal documents that they can show you for closing the deal.
Nice article