Home buyers are always looking for the best deal they can find with the time and resources available with them. Buying a home is the most exciting yet tedious task. While the excitement of owning your own house pushes you harder to expedite the process, the task of going through an enormous amount of details may be frustrating.
Let’s take a look at a few options that home buyers have and how they can choose the one that suits them the best based on their requirements.
Buying an under-construction home
Panchsheel Pebbles – Under Construction Homes
This is one of the most popular ways of buying a home. One can get information of a new housing complex through newspapers, TV, or other media. Agents start going around the market, companies, malls, as well as homes to spread a word about the same. The goal of a builder is to sell as many houses as possible before the housing complex is built. It is known for a fact that more than 75 per cent of flats built by known builders are booked even before a single brick is laid.
- Cheaper – Buying an under-construction home is cheaper compared with buying one that is already built. The cost difference here is significant. On an average, this difference can be anywhere between 20 per cent and 40 per cent, which is quite a lot for most home buyers.
- Low EMIs– EMIs are paid as the work progresses. Therefore, initial EMIs are low in case of an under-construction home.
- Win-win situation for buyers and sellers – Buying an under-construction home is a win-win situation for both buyer and seller as the seller gets a ready set of customers even before laying the foundation while the buyer gets cost benefit.
- High returns – Since the price paid is less, you may get higher returns on going for an under-construction property. This kind of advantage is not possible in the case of a ready-to-move home. However, high returns come with high risks. For example, people who invested in Noida authority plots earned high returns while people who invested in Samshabaad in Hyderabad still waited for the prices to pick up.
- High risk– All is not so well in under-construction home buying though. There can be delay in home construction due to many unforeseen causes like bad weather, natural calamities, new rules from govt.
- Market outlook may change over time– On the other hand, market outlook may also change. Suppose a big MNC announces to set its factory or plants nearby but later declines. These risks can’t be control.
- Sometimes you don’t get what you have imagined– This is another common complaint home buyers have. For example, the carpet area is usually 70 per cent of the super-built area, hence after construction, your home may look little smaller than you imagine. There can be slight difference in actual color of the walls, parks, lights and surroundings as these are computer generated images and look slightly different in the brochure
A few important things to remember
Buyers should always check the history of the builder selected by them. If a builder has done great in the past, there is a good chance that he will be able to deliver the same. Hence, the track record of a builder is paramount. Buyers should clarify loan tenure and how the money will be released to the builder.
Buying a ready-to-move home
Panchsheel Hynish- Ready-to-move in Home
A new trend is observed in home buying from the last couple of months. A number of home buyers are slowly heading towards ready-to-move homes than under-construction homes as going for the latter requires waiting for a couple of years’ to get possession.
- Immediately available– Investors do not have to wait to move to their new home as it is ready and all a buyer has to do is to make payment, sign necessary documents, and get their baggage transported to the new place.
- You get what you see– In a ready-to-move home, you get what you see. Since the housing complex is ready and there are people living there, getting feedback about the area, maintenance, locality, shopping centers, and utility centers become easy.
- Expensive– Also, the price of a ready-to-move home is about 25 per cent higher than that of an under-construction home.
A few important things to remember
The buyer should study the documents carefully. Do not assume that someone else must be reading these documents. Check out the maintenance cost, EMIs etc
Finally, what should you choose?
Your choice should depend upon your financial condition, timing, and your choice of location as location is the most important factor in real estate.
If you are ready to wait, looking for real estate investment, financially if you need time then you can go for booking an under-construction home. If you cannot wait and cannot take any risks associated with under-construction homes and need to be near amenities of your choice, you may consider looking for a ready-to-move
Disclaimer: BankBazaar.com is an online loan marketplace. Most of the information in this article has been taken from BankBazaar.com.
Panchsheel Buildtech allows you to choose from a variety of under construction homes to ready-to-move-in homes. If you are planning to buy a home then talk to one of our experts at Panchsheel for all your queries.
Write to us at firstname.lastname@example.org or call at 8287-789- 789