It is common riddle for all of us to make purchase decisions. Especially, while making such huge decisions like that of buying a housing, no wonder how much we think and think!.There will be a slideshow of different aspects that we have to take into account before buying a home. However, if you are able to sort out important considerations before making a purchase, it is definitely going to help you to make right selection. So how do you choose the right investment? What are the basic qualifiers you need to check before you finalize the investment decision? I think now I can help you with buying a house checklist!
Location or Accessibility
A property located at a prime location will cost more and yield even more within a short span of time. That appreciates the value of your real estate investment. Proper roads that lead to your apartment or house are a must for safety as well as accessibility. If you choose to invest in a low lying area which does not have a wide road or some remote location property to invest, the value will depreciate since it can be a threat to the safety and basic facilities.
Builder Reputation or the Brand Name
Since you are planning to invest in a constructed or being constructed property, it is important to invest on a reputed brand if you want to appreciate the value. Brands always matter since they will not compromise on the quality of construction and the basic amenities and facilities provided that they provide as a standard to all their constructions. A good brand may cost a little more than the other builders but they will definitely fetch you better returns as far as the real estate value is concerned.
Apartment or Villa
It is a common dilemma most of the investors face! Apartments will have a lot of common facilities and amenities and will be quite secure too. Those who prefer to socialize will find the apartments more affordable and a better place to get settled. If you are buying it as an investment, they cost less and can easily fetch you good tenants than a villa. Villas are generally much expensive than apartments. You will find it difficult to get tenants for a villa, though you can get good resale value for a well-maintained one.
Gated Community Villa or Independent House
Gated community villas have a lot of advantages over the usual independent houses. The gated community villas come with all the common facilities and amenities of apartments plus they offer the privacy that the apartments fail to offer. Independent houses lack these amenities and facilities which make them less desirable.
Construction delays have become very common these days and these depreciate the value of the investment in many ways. We invest considering getting the property in hand in a particular year and when it delays beyond one or two years, the reputation, our ROI, and the resale value all are equally affected by the delay. It may also affect the structure of the apartment which is open to many years of climatic changes. So it is always better to inquire about the property you plan to invest on and avoid the ones that were delayed beyond normal.
While customized constructions are not promoted by reputed brands, some new construction companies allow that to get a customer. But such constructions may not be as good and the company may compromise on the quality of construction to maintain their margins. So it is better to avoid major customization.
Irrespective of how well the property is located or the brand name connected with it, if it is poorly maintained, the value is bound to depreciate. This happens with many NRI’s who either rent the property they buy or leave it locked without maintaining it. Some new builders also do not maintain the property well even if they are bound to do it as per their contract. This depreciates the value considerably.
Age of the Constructed Property
Properties that are more than 10 years old fetch very little resale value. As it gets even older, the value recedes further. So when you are planning for a real estate investment, make sure you buy newer constructions or those below 5 to 6 years old.
Facilities & Amenities
Whether it is a gated community villa or an apartment, the basic facilities and amenities offered can influence its value and appreciation. Apartments with elevators, modern security systems, play area; recreational space and other facilities fetch better value than those without these facilities. In fact, people are very reluctant to invest in apartments without elevators since it is very inconvenient.
A balanced decision between affordability & accessibility
We have seen that accessibility can affect the real estate property value and hence, it is important to invest in a property that is easily accessible. The most desirable investment is one which is located in or nearer to a good residential area, one which has convenience stores, school and medical facilities nearby.
Affordability matters too!
If you end up investing in a property which is not affordable, after the few initial months of struggle, you may not be able to pay up the EMIs and hence will get into trouble very soon. You may have to take further loans which will only increase your debts and you will end up losing money and the property. You can either invest in a property you can afford for the time being or then as you progress in your life, consider buying a bigger or better property at a later stage.
Another option is to stay invested in other safer investments such as shares or banks till you can afford the real estate property and then make the investment.
Heyy..! You are almost done! Now you can easily go for your Dream Avenue!
So start looking for apartment or villas in your locality satisfying the above checklist or you can consider Arcon Home Builders Pvt Ltd offerings at Trivandrum .