Buying an under construction property brings with itself the challenge of choosing the safest and most secure investment. With growing fraud and builder malevolence, utmost diligence is essential. We bring to you a checklist of things you should examine before buying a property from builder:
- Land clearance/title
The first thing that needs to be checked while buying a property in early stages like pre-launch or soft launch is to check the land title. The land should be allotted to the builder in question. Also, there should be no impending litigation on the title.
- Approved layout
If site/flat layout is not approved, there are every chances of construction to get delayed. Moreover, you may end up paying for a site/flat layout which is different from what you chose.
- Builder credential and its previous track record
This one is also extremely crucial with very few honest builders around the corner. Revisit Builder’s previous project to check quality, delivery standards, specifications provided versus promised and maintenance standards. Talk to buyers of previous project if required.
- Loans from nationalized banks
This is a good way to identify if the land is clear and maps are approved. Private banks are learnt to have been lenient on this front and hence private bank funding should not be taken for granted.
- Safe locality: The location shall be near livable by the time you move. In India, safety is where population is. So, establishments near the location would help.
- Connectivity to work place: This is important in long run. The closer you are to the workplace, the less daily stress you bear.
- Proximity to schools/hospitals/markets/transport/bank: These things of significance shall be reachable yet at a distance. Between half a kilometer to 4-5 kilometers is the most desirable distance. Ration shops shall be nearby.
- Distance from villages: Villages surrounding the location shall not be notorious in nature. The distance shall be a comfortable 1 kilometer. A village very far may even lead to dearth of maids/helpers.
- Future plans for the sector/location: Look at the sector/locality master plan and check what is planned for the sector. A STP or foul smelling drain nearby (less than half a kilometer) or a high tension wire less than 100 meters away could be a reason for bother.
- Amenities on offer by builder
Gym/swimming/club etc. are more of an interim attraction. Amenities like backup, security and park are the most critical of all. Monthly maintenance cost to be charged by the builder should also be considered.
- Amenities by Authority
Water, electricity availability and road conditions in the region shall be checked physically.
- Check with FBWA/existing buyers
If there are existing buyers or flat buyer’s association/group, talk to them to understand their concerns with respect to the project and the builder.
- Check all approvals for nearing possession property
There is likelihood that property might be nearing possession. In such a scenario, check clearances like fire, environment etc. Check if builder has received OC and talk to RWA if buying in resale.
10. Check builder buyer agreement
Almost 99.9% of the builder buyer agreements are well stocked in favor of the builder. However, the same can give you insight towards builder intentions. Check for clauses that talk about i) baseline date for considering possession date (booking or allotment) ii) penalty and force majeure definition, iii) escalation charges if any iv) maintenance charges etc.
Given the range of things to check before buying, you may be left with very few choices. And the limited choices may not quite fit into your budget. However, do ensure you check each and every mentioned and compare one project with another. Eventually as they all keep saying “do what your heart tells you”.
Happy home hunting!!!
Let us know if you have any queries.
Last updated: November 10, 2014 at 16:46 pm