Buying a Overpriced
Often, a home buyer purchases a property through a broker. While at the time of purchasing, the price of the flat may seem right, it is often realized that we have ended up with an unimpressive deal.
“The problem with impulse buying (or giving in to a broker’s seductive pitch) is that we only see what we want to see. It is easy to overlook some obvious facts while giving in to impulse temptation – the flat may not be large enough, may not have proper ventilation, may be in an unsuitable neighbourhood and others. These faults can sometimes come to light only when we have time to think about it, and when it is too late,” said Arvind Jain, managing director of Pride Group.
Poor quality
This is especially true in the case of under-constructed projects. Often, the sample home or flat shown to a home seeker is far different from what is being delivered. Many times, after moving to their new flats, buyers have realise that the quality of the construction is not up to standard.
“This is a fact that can only be discovered in slow degrees. On closer inspection, one may find that the floor is warped, that the rooms have uneven surfaces and asymmetric angles, that the walls do not retain nails and screws without crumbling, that the flat makes strange noises at night, that the roof leaks and that the septic system is makeshift. These are, of course, facts that you will not find mentioned in the property prospectus,” Jain pointed out.
Hidden costs
These days, many builders position their upcoming projects as luxury properties at affordable prices. A builder may lure a home buyer by building a swimming pool, or a multi-specialty hospital in the vicinity. But like they say, there are no free lunches. A first time buyer is often ignorant and does not know that he will have to pay a monthly amount as maintenance for these additional facilities. This is often realized only when he moves in to his new swanky apartment and it is too late.
If this is true in your case, you have much to worry about. The common mistake of not checking a builder’s standing on the real estate market can result in future
Litigation
With the number of delayed projects rising, it is not uncommon for a builder to be embroiled in a legal battle. This is also true in case of freehold, wherein, the previous owner has been in legal troubles. “This can mean a lot of things – you may end up without the promised parking space, the advertised lift may never be installed, you may have to pay taxes or litigation charges accumulated by the previous owner, or may be forced to vacate the property because the whole project is eventually declared illegal,” Jain explained.
Lack of basic amenities
The brochure showed a bore well so water shortage doesn’t seem to be a problem. But can a bore well guarantee 24x7 supply of water. Not really! Industry players suggested that it is important for a buyer, before sealing a deal, to do a thorough research on the area, the property is located. Water shortage, easy connectivity are some key factors that should be taken care of, before making a purchase.