Before committing funds to the acquisition of a house, you will need to do a lot of background research to make a wise decision. Here are things novices and experts alike, should consider during this process:
- Thoroughly evaluate the property
- Run a background check on the builder
- Thoroughly Evaluate the Property
Location and accessibility
Finding a beautiful house at a giveaway price is everyone’s dream. But, if it happens to be in the middle of nowhere, then it really does not make much sense.
Make sure your home is close to places you frequent such as your office, your children’s school, hospitals, malls, public transportation etc. You also need to ensure that there is no construction coming up nearby like over-head bridges or a road widening project since this could result in the re-acquisition of your property.
Take a walk around the locality
The best way to get a sense of your to be neighbourhood is to take a walk around. Nobody wants to live next to a dumping ground or a factory spewing acrid fumes and other wastes.
Taking a walk in the adjacent localities is a good way to gauge the location for safety, cleanliness and other metrics.
Water shortage is a scare in almost all cities. Make sure the apartment or house you are moving into is well equipped with basic amenities like water lines and electricity. It will not be a happy home if you have to wake up at three every morning to top all the buckets with water, and brave long electricity power outages when the world turns into an oven.
Many apartment buildings today come equipped with facilities, a gym and even a swimming pool. If you are going to spend big then make sure that you get as many facilities as you can in return.
Break down the cost involved in buying a home
Before setting a budget to buy a house, you must understand the various costs involved in the process. Other than the cost of the house you will also have to pay registration duty, commission and post possession expenses. Keep these costs in mind to avoid overshooting your budget.
- Run a background check on the builder
The excitement of finally getting a house of your own could cloud your judgment. You may be so in love with your new house that you might not bother looking into the builder’s track record.
To make sure that your dream does not come crashing down in the form of flaking plaster, a leaking ceiling or outright seizure of the land, you must evaluate the credentials of your builder as thoroughly and critically as the house you are looking to purchase.
Here is what you must check:
While it is not carved in stone that a novice builder will always do a bad job, buying a house from renowned builders gives you the surety of quality, service and facilities.
If you are purchasing your house from an independent builder then look at his track record, the years he has been in business, number and quality of previously completed projects etc. This will give you a fair idea of what to expect.
A builder’s credibility carries more weight than his experience. A builder could have built 100 homes, but if most of his customers are unhappy clients, you will probably meet a similar fate.
A builder with a good reputation will stick to his promises. If you suspect your builder of making promises that sound too good to be true then perhaps they are. Being skeptical will save you from being tricked.
Along with securing funds to purchase a house, you must also make checks to see if the builder has enough funds to keep the construction work rolling. A well funded project offers the security of timely completion.
If your builder has been defaulting on loan payments, then that is an indication that the builder’s funds are drying up. Imagine your builder stalling the construction due to a lack of funds. Nightmare!
A builder embroiled in legal cases is not a good choice. The legal cases in question might not have anything to do with the construction or real estate in general, but anything to do with the courts tends to be time consuming.
Court cases can run for an eternity and are a drain on the financial and emotional stability of the person involved. This could hamper the builder’s ability to get the work done on time. There is also the fear of bankruptcy.
With the government pushing for changes and regulations in the real estate business, you are in the best position to purchase a home now. Keep these points in mind and make the right decision.