Important Things to Keep in Mind Before Buying an Apartment

Buying a home is an important decision in your life, whether you are buying it as an investment or to reside in. Given the rising cost of property, apartments are the preferred choice for potential homeowners, especially in Tier 1 and Tier 2 cities.

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Proper research on the real estate market of the city where you are planning to purchase an apartment is imperative. Connectivity is another important factor to keep in mind while you search for the perfect property.

Just like these, Buying an apartment requires a lot of consideration. What are some of the key factors one should be mindful of when purchasing an apartment? Let’s take a look.

Top 10 Things You Should Consider When Purchasing an Apartment

1. Budget: One of the most essential things to consider when buying an apartment is the budget. Apartments are a considerable investment, so you must fix a budget before shortlisting your options. Calculate the amount you are likely to be left with every month from your sources of income after bearing all the costs you need for day-to-day expenditure and other purchases. This computed amount should give you an idea of the kind of monthly bank loan EMIs you can afford. You also need to check your savings and other investments to assess the amount you can manage for a down payment. Accordingly, you need to set your budget.

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2. Location: Choosing an appropriate location is a critical factor when you are looking to buy an apartment. Residential projects in prime locations prove to be more lucrative as they appreciate at a faster pace over the years. So, buying an apartment in these residential projects for investment purposes can yield a good resale rate. If you are investing in an apartment for the purpose of renting it out, location plays a great role. If the residential project is located close to schools, office complexes, markets, hospitals, malls, etc., you will never face a shortage of renters, and you can be assured of a substantial amount of rent. If you want to stay there with your family, evaluate the area as per factors like its safety, infrastructure, amenities etc. and ensure that it matches your living standards. Your apartment must be in a safe neighborhood. Also, it should be close to the facilities you require, for example, office/business location, gym, school, public transportation, hospitals, grocery stores, etc.

3. Water and Power Supply: Even an apartment in a prime location would not be a wise investment if there are regular power cuts and a scarcity of water. Be sure to enquire about the power and water supply in the area beforehand. Advertisements might not always give an accurate picture of the residential project’s water supply, source, etc. However, you can investigate and learn about the issues by talking to the residents. Also, enquire about the power backup and inverter facilities.

4. Amenities: It is best to thoroughly examine the amenities offered by a residential complex before investing. You must ensure that ample parking space is available in the complex. You should also consider whether the complex offers other amenities like elevators, sports facilities, parks, a gym, etc. If the complex does not offer a gym, parks etc., at least make sure there are such amenities in the vicinity of the complex.

5. Security: Safety is paramount while selecting an apartment. Before buying an apartment, check if the complex has 24×7 security guards and security cameras. Also check if the apartment complex has anti-theft alarms, safety doors, etc. It will help give you an idea into the additional investments you need to make to ensure your safety.

6. Additional Furnishing/Renovation Cost: Some properties require extra work that the builder will not guarantee. Consider these ‘additional renovation’ or ‘furnishing’ costs in your budget before buying an apartment. Some apartments are semi-furnished, and some need additional maintenance, depending upon the age of the building. The price of new and fully furnished flats might be higher compared to older apartments.

7. Builder’s Reputation: People often forget to consider the builder’s reputation. Even if you are investing in cities like  Ranchi, Jamshedpur taking note of builder reputation is important. Unfortunately, a builder could make false promises regarding amenities, handover dates, property documents, and finances. Thus, it is best to do a thorough background check to know the builder’s reputation in the market.

8. RERA Compliance: It is mandatory for all real estate builders to register for a RERA certificate for their property. Each state has different RERA norms, and the builders have to comply with them. For example, RERA-registered projects in Jharkhand shall have MahaRERA certification. Make sure you comply with the RERA guidelines before investing in a property.

9. Registration and Stamp Duty: These are the additional charges levied by the government while registering the property in your name. A substantial amount needs to be paid for the registration and stamp duty. Additionally, the cost of notaries, home inspectors, and lawyers (if required) should also be included in your budget.

10. Flat’s Carpet Area: When investing in a residential project in India, it is necessary to be clear about your flat or apartment’s total carpet area. The carpet area is the actual area within the walls of the flat. Get a fair assessment of your flat’s carpet area and receive a transparent overview of the purchase costs. Make sure to receive an assessment from an unbiased party rather than taking the word of your broker, agent, or developer.

Comprehensive Guide to Carpet Area, Built-Up Area, and Super Built-Up Area in Real Estate

Bonus Tip – Resale Value: If you are buying an apartment for investment purposes rather than residing in it, do appropriate research on its resale value depending on if you plan to sell it. It gives you a clear idea of the returns you will likely receive on your investment. Understanding the resale value of the residential property can help an individual make an informed decision about the apartment and the value of the investment.

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Conclusion

Keeping these points in mind can ensure you make an informed choice when buying an apartment. It is important to visit as many locations as possible to gain a thorough understanding of what you want and don’t want in a property. Additionally, make a checklist of any miscellaneous requirements you might have while keeping the essentials in mind. Whether you plan to live in the property or whether you are buying it as an investment, these ten essential factors will help you in your selection of apartments.

Are you looking for spacious, secure apartments with great facilities in prime locations? In that case, 99Realty has several properties in established and upcoming areas in Jharkhand that offer world-class amenities and a fantastic living experience.