Tough times are ahead for the buyer. To decide on the right property to buy as always is a tedious task. But now with the slowdown the buyer may have to look at various aspects before selecting a property to buy.
Property is a judicious investment and can reap returns better than most other investment options. The Indian real estate market is witnessing a correction; therefore the right time to buy a propertyhere. However the following cautions should be taken before buying the property.
New project investment: It is advisable to look into the details of the project developer if you are buying a property which will be completed in another two years. You must be assured the project developer has deep pockets and the project is making substantial project. It is more advisable to invest in a property that is already complete.
Resale property: It is expected that resale properties may come back to the market in times of slow down as the buyers may want the best price for their property before the market busts completely. When considering a resale property, do look at aspects of age of the property, ownership and maintenance. You may get a fantastic deal if all aspects are kept in mind while selecting the property.
Also keep the following aspects in mind when selecting a property:
Size and Budget: One of the most important aspects of finding a house is the budget that you have allocated basis your savings. A good measure of your budget is roughly 5X of your yearly household income. So once you have decided on the budget, also analyse the following aspects.
3. What size is available in that budget
There may be options of 1BHK, 2BHK, 3BHK or a villa in the same budget. Depending on you need you my filter on two comfortable options and find the appropriate accommodation in New Projects or Resale properties.
4. Are you buying the house to live in or for investment purposes:
It makes more sense in investing in Land than in Property as the appreciation rate of Land is always higher than built up properties.
Location: This is the most important factor of the price of the property. Again, your choice may vary as per the purpose of investment. If you are planning to live in it, you should consider the neighbourhood, distance from school, office and local market. However, as an investment only, you may consider how the properties in the area have appreciated over the past years. Also the media reports of investment of developers and expected development of the area in the upcoming years
Neighbourhood: As mentioned earlier, this is an important aspect when investing in a property. Keep your eyes open to how the area is developing. Is it gaining attention more as a residentiala or a Marketplace? Make sure that the neighbours do not have a history of unruly/unaccomodative behaviour.
Usage: If you are planning to develop the property for your own stay. Then see whether you want to buy a new property or develop an old property according to your own needs. If you are particular about the furniture, buy an unfurnished apartment and furnish it as per your own needs. On the other hand, the work reduces a lot if the property is for renting purposes etc. The dearth in housing in India makes sure that any property will go on rent if in the right location ad the right price.
India has varied norms for development of properties. These are revised from time to time. Before buying a property check on all the restrictions on development of property in an area to make sure that you conform to the zoning restrictions and avoid any difficult situations later
There is a lot more that may go into deciding and finalizing a property, depending on members in the house, personal needs etc. Property investment difficult decision and may require months before you finally make a selection. Be patient for all this while before you get a property that conforms to what you want. Thorough investigation is a must. It is easier said than done, but patience will definitely pay.
Keeping the above in mind go ahead and invest in the property of your dreams.
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