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7 important must-knows before buying your dream home
Buying a flat/apartment is one of the important decisions one makes. There were instances in the past where investors were deceived by builders. There are many problems which an investor may face if a proper due diligence/verification is not done.
If you are planning to buy a flat, you must know certain things. Seven most important of them are listed here:
1. Litigation free land
Ensure that the land on which the flat is being built is free from any legal problems. If you don't check this you may end up vacating the flat as it might be demolished if the land is under litigation.
Ensure that the builder has the project approved from a respectable bank or lending institution.
If you are buying a ready-to-occupy flat/apartment, ask the builder for completion certificate.
If you are buying a flat/apartment under construction/yet to start, ask the builder for commencement certificate.
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7 important must-knows before buying your dream home
2. Government permission
Check if the government has granted permission for construction of flats. As per the government records, the land should come under the category 'build-able' land. If the land does not have such permission, this will be considered an illegal construction.
Ask the builder to show a sanctioned building plan.
3. Property taxes
Do ensure that all the required property taxes to the local municipal corporation are properly paid and up-to-date. Ask the builder to provide you with the receipt of the latest tax payments to make sure that they are being paid.
7 important must-knows before buying your dream home
4. Owner of the building/plot/land
Check whether the builder owns the building/plot/land or not.
5. Pricing of the flat
Current prevailing rate (in Rs/sq ft) of the area. Whether the rate offered to you matches with the carpet area rate and the built-up area or super built-up area.
Ask the builder to explain what is included in 'super built-up' area.
6. Facilities
Check what are the different facilities provided by the builder.
7. Stamp duty
Total stamp duty to be paid on the flat purchase. Ask the builder/real estate agent to inform for any hidden costs in the entire transaction. The total actual cost should be calculated by including stamp duty, registration charges etc.