Buying a new home, especially if it is your first home, can be an overwhelming process. It is not just about the financial struggle but also the mental strain that goes in to find nothing but the best for your family. Besides the type of property that you buy and the location where you buy and the budget one other thing that you might find difficult to decide is whether to buy a new property or a resale property.
Benefits of buying resale property
The first benefit is the lower price of the property which is generally below market price for properties in the same location
These are ready to move in. So when you need a house immediately and find only under-construction properties in the area, then a resale flat might be your best option.
You get to see the actual property before paying for it. So you know exactly what you are paying for.
What to look for in resale flats?
Compare the market price:
In general it makes sense only if the resale property costs less than the market price. If you are able to get a buy a property at the same rate in the same location, why would you settle for a resale property?
Much like the registration charges to be paid during the purchase of a new home there might be additional charges while buying a resale property as well. If you are proceeding through an agent or a brokerage firm then there might be brokerage fees to be paid. And there would be the ownership transfer charges. So consider all this when you calculate the property value for the price paid.
Look at the age of the property. If the property is within the period where the builder takes care of the repairs for free then it would not be much of a trouble. But then if you fail to evaluate the construction quality of older properties you might have to spend a lot of money after buying the property for repairs. There are professional building inspection professionals that can help you with the property evaluation procedure. They would give you a detailed report about the quality of construction and the actual value of the property as well.
The physical examination of the property itself can give you an idea about the current condition of the property. Look at the condition of the plumbing and electrical work done. Look for any signs of water seepage on the walls and other such visible signs that you might otherwise miss out. The quality and condition of the basic fittings like the windows and doors should also be carefully checked. If there are minor repairs required you could negotiate with the seller regarding the repair costs to get them adjusted with the property prices. If there are major repairs however, you could always look for other options.
Check whether the seller has all the valid documents required for the ownership transfer. If it is a new property you could ask the builder for the details about land permits and others but this is difficult to track with a resale property. So scrutinizing the available documents is crucial to avoid any risks. Check whether there are any pending payments to be cleared or pending energy bills and other charges that might later fall on you. Also remember to check whether there are pending loans or mortgages with the house and other legal considerations of the property itself.
All these would ensure smooth transitioning of the ownership.
Before you even start with all these checks picking out properties should depend on the basic considerations that are similar to those that you might have for a new property. The location of the property, type of property, land area and built up area and your budget play an important role in narrowing your list. Then proceed with actually getting in touch with a reliable property agent and then place your requirements in front of them. This would help the property agent suggest the best value resale properties for you. And if you go through a reliable real estate agent your documentation procedure gets a whole lot easier.