Home buyers have often faced the dilemma of whether to invest in an upcoming project or whether to go for resale flat. If you prefer the alter option, here are few things to consider:
Does the current owner of the home have a clear title to it, which means is he authorized to sell the home and transfer it to your name? The title of the property can be double checked in duly registered agreement of sale. Make sure you get the agreement and municipal papers checked by a legal authority you trust.
Survey the property:
While an untrained eye can pick out problems like wet patches on the walls etc to get a true estimate of how much it may cost you to renovate your home, hire an expert surveyor. This way you may come to know of termite infestation, structural problems you need to sort out.
Here we are no just referring to proximity to bus or train routes or educational and medical facilities but also factors like availability of water, gas and electricity. This will go a long way in determining if buying the house is a wise decision.
The value of a resale home also depends on the amenities available in the complex like a fixed parking space, club house etc. While it all sounds good on paper, make sure that these are actually available and whether membership to these gets automatically transferred to you.
Check out if there are any plans for new schools, malls etc in the area. This will help you determine the potential for growth and appreciation of value in future. Also, if it is a very old building there is chance of its going for redevelopment; else you may find yourself packing your bags again.
The best way of finding out if there are any regular problems in the building or any nuisance factor, problems with finding domestic help etc, is to speak to the neighbors. This will give you a clear idea of how convenient everyday living in that area is. You will also find out if the neighbors are easy going and helpful
Stamp Duty and legal Procedures etc:
Before agreeing on the final amount also look into the matter of stamp duty, registration fees etc to get a true idea of the total cost and to ensure that the deal is registered with the right authorities. In property buying, it helps in the long run to go through the right channels and get proper approvals and registration is in order.
Reach a written agreement with the current owner regarding all outstanding bills – maintenance, electricity, phone etc which should be either cleared by them before leaving or you be able to forward to them later. Get these issues sorted while discussing your payment schedule right at the start.
Look into all aspects of how much the home is going to cost you – renovation, maintenance, registration, electric meter in your name, gas connection etc to cover all sorts of hidden costs. These seemingly innocent costs can burn quite a hole in your pocket at a time when all your savings are being poured into the new home down payment.
Make sure that the property is not under dispute, very often one or more siblings or original owners may be involved in a legal battle regarding ownership or some similar problems. Cover all bases by hiring a good lawyer to assist you in doing your background research. Sometimes, banks offering you a loan might also do a comprehensive title search to safeguard property little.