Is It Right to Believe in Property Related Marketing Claims
Dec 27, 2017 Home Trading Steps
These days newspapers are flooded with lucrative discounts, offers, advertisements related to different housing projects. You start searching for a property and you will be flooded with numerous project brochures, emails, text messages shouting out the same story of attractive offers through their promotional claims. Developers very easily exaggerate about some features and hide some. And as a naive buyer, you tend to fall for such claims. You don’t get to know about the hidden costs that the builder never tells you.
So here we have decoded some claims that you should know:
Lower BSP: buyers usually notice the lower BSP quoted by the builders. But actually, lower BSP is exclusive of all relevant additional charges like parking, preferred location charges (PLC), club memberships among several others. Builders deliberately keep the BSP low, in order to make the project most desirable one.
Management costs: you must have noticed in the marketing brochure of projects that the facility management costs shall be decided at the time of the possession. The reason behind this is that the builders prefer to remain silent as many of the facilities like an amphitheatre; a spa is a great saleable feature preferred by limited buyers not many. So if they inform the buyers about such facilities at the beginning then many of the buyers might cancel their deals. Hence the builders share the management cost at the end as the charges for facility management has to be paid by everyone whether they use the facility or not.
Loading percentage: the term usually refers to the actual carpet area which is used against super built-up area and the buyer pays for it. This includes common areas and stairs. So, none of the builders advertises about the loading percentage. In many instances, the loading percentage is extremely high to the extent of about 40 percent to 50 percent of the property value. The loading percentage actually is a profitable aspect for the builder.
So, how can the buyers be careful about these claims and make a safe investment? Experts always suggest to thoroughly research before buying the property. The buyers should visit the location; check the status of infrastructure development, present and future infrastructural projects such as flyovers, metro line etc that are mentioned in the advertisement. Be double sure that whatever is mentioned in the advertisements are true and then make your financial commitment toward buying the property. Check the project amenities that are mentioned in the marketing brochure. Enquire about the total cost of the project that includes stamp duty and registration charges along with other charges. Compare similar project offerings like fittings, flooring, windows, amenities like play area, temple, garden area etc. Also, check the carpet area and built-up area. Analyse every aspect and then make a sound decision of property buying.
So here we have decoded some claims that you should know:
Lower BSP: buyers usually notice the lower BSP quoted by the builders. But actually, lower BSP is exclusive of all relevant additional charges like parking, preferred location charges (PLC), club memberships among several others. Builders deliberately keep the BSP low, in order to make the project most desirable one.
Management costs: you must have noticed in the marketing brochure of projects that the facility management costs shall be decided at the time of the possession. The reason behind this is that the builders prefer to remain silent as many of the facilities like an amphitheatre; a spa is a great saleable feature preferred by limited buyers not many. So if they inform the buyers about such facilities at the beginning then many of the buyers might cancel their deals. Hence the builders share the management cost at the end as the charges for facility management has to be paid by everyone whether they use the facility or not.
Loading percentage: the term usually refers to the actual carpet area which is used against super built-up area and the buyer pays for it. This includes common areas and stairs. So, none of the builders advertises about the loading percentage. In many instances, the loading percentage is extremely high to the extent of about 40 percent to 50 percent of the property value. The loading percentage actually is a profitable aspect for the builder.
So, how can the buyers be careful about these claims and make a safe investment? Experts always suggest to thoroughly research before buying the property. The buyers should visit the location; check the status of infrastructure development, present and future infrastructural projects such as flyovers, metro line etc that are mentioned in the advertisement. Be double sure that whatever is mentioned in the advertisements are true and then make your financial commitment toward buying the property. Check the project amenities that are mentioned in the marketing brochure. Enquire about the total cost of the project that includes stamp duty and registration charges along with other charges. Compare similar project offerings like fittings, flooring, windows, amenities like play area, temple, garden area etc. Also, check the carpet area and built-up area. Analyse every aspect and then make a sound decision of property buying.
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