Buying a house is no joke! It involves a lot of money and of course, a lot of research and patience, especially if you are aiming to purchase a property at a prime location in a metro city. And for individuals from middle-class families, having salaried jobs, often the decision tilts towards buying a property up for resale as it is more affordable than buying a flat in a new project.
While the rates of properties for resale are extremely attractive, one must take note of certain things before investing money in such a house. Here are some key factors to keep in mind when you are considering buying a property for resale
Age of the property
If the property is extremely old, say older than 50 years, you should reconsider your decision as it may come with structural issues that could make your house more expensive with the repair, renovation and other costs. Hence, it is advisable to consider a relatively new property to not have any additional major costs for acquiring it.
Brokerage
One of the key things to keep in mind is brokerage. Often people opt for a broker to buy a property as it significantly cuts down on research work related to buying the property. However, the brokerage can be a hefty amount and add to the overall cost of acquiring the property.
Mortgage
Find out if there is an existing mortgage on the property with an outstanding amount payable to a lender. If the seller only has copies of documents, it could imply the originals are with a lender. In case you are opting for a home loan, ensure your lender conducts proper checks and documents.
Also Read | Real Estate: Factors that influence the market and investors
Transfer and r-registration
Transfer and registration fees can be a huge amount in some places, often defeating the purpose of buying a resale property. Make sure you do proper research on the fees before deciding on buying the property.
Facilities and amenities
Check if you have access to amenities such as a club, gym, parking space, etc. which are things that you might seek in future. New properties often offer these amenities. Also, check if the basic necessities are in place, such as hygienic water supply that is regular, good sewage facilities, security, electricity supply, etc.
Utility transfer
Another thing you need to pay for in some buildings is a fee for transfer of utilities like electricity, gas, etc. Check how much it adds to your overall cost to get utilities in your name.