Purchasing a home will probably be the largest investment you make in your life...unless you purchase another home a few years later. Make sure the house is truly your dream home by doing your homework thoroughly.
Stage 1 comprises a collection of tips that will help you to be better prepared...
The preferred location for a home will differ from person to person...
Sometimes even within the same family. Sit down with the entire family and come to a consensus on what will be best for all members of the family.
These days, the size of the home you can purchase and the amenities that the society offers are largely a function of your budget. Settle on the bare minimum size that is absolutely required for the family and all the amenities that you feel are important. From that benchmark, anything better within your budget will be welcome.
When you purchase a home that is ready for possession or is on resale, you have the opportunity to assess its condition. Check for leakages and cracks in the plaster, beams and columns. Make sure that the grills and windows are secure. Pay attention to the type of flooring that has been used. Inspect the bathrooms to see if the plumbing is as per your expectations. Last, but not the least, ensure that the balconies and terraces and other open areas are child-proofed, even if you do not have little children of your own as you can never rule out the possibility of guests or hired help bringing children to your home.
Keep in mind that any changes to the current condition of the house will add to your costs and involve efforts, which in turn require time. Further, some conditions can be remedied very easily - need for a coat of paint - while others persist, irrespective of how much work you put into them - cracks in central, load-bearing columns and beams. Make sure that the home you plan to purchase is structurally sound.
Choosing a property that does not have its paperwork in place could cause hassles for you later. Without proper documents to certify clearances, transfers, taxes paid, etc., you could later be required to pay penalties or even be up against litigation/eviction
(See chapter 2 for all the documents that the seller must be sure to have).
There are three main terms appended to the square-foot size of the house - carpet, built-up andsuper built-up.
Make sure that you clarify which is being used when you are quoted the size of the house. It will impact the per square foot rate and directly impact the space available to you.
In the property market you will find houses that are under-construction, ready for possession and resale homes. All three types of homes have their benefits
These are the documents you must expect any prospective seller to possess and be ready to share with you once you have shortlisted their property:
Clear title on property and no encumbrances pending
Building approval plan - This is an approval from the local development or planning authority or municipality.
Commencement certificate (for under-construction property) without this, the property could be considered illegal and attract penalties or an eviction notice and in the worst case, the construction can be demolished. Conversion certificate (in the case of agricultural land that has been converted to non-agricultural land.
Encumbrance Certificate - indicating that there are no liabilities against a property
Completion Certificate (in the case of a constructed property) issued by the municipal authorities indicating that the building conforms to the approved plans
Occupancy certificate (in the case of a constructed property) certifying that the building is ready for occupancy
Having a well recommended, neighbourhood broker, whom you trust, could be really helpful as he would show you houses that suit your requirements and budget. However, an efficient option - both in terms of money, range of options and efforts involved - is the use of online property broking websites such as www.99acres.com, www.commonfloor.com, www.housing.com, www.makan.com, www.magicbricks.com, etc.
Homes sometimes appeal to us instinctively and we are ready to pay a slight premium to acquire a home that seems to match our dream home so perfectly. However, before we decide, it's always good to know the average going rate for various types of residences in the locality so that we do not get carried away and pay too high a premium.
A token of cash or a cheque of a particular amount along with a standard purchase agreement is usually required to seal a deal. However, in addition, a number of sellers require sets of documents that have to be produced and these will differ from seller to seller. Instead of directly inquiring directly from the seller what will be needed, it's always best to ask the broker/agent. This will spare you from revealing your true interest in the property until the time for negotiation comes.
Do I have all my loan related papers ready?
Knowing where I stand as a loan applicant...