Dominating Factors Which Affect Your Property Purchase Plan
Mar 28, 2017 Real Estate News
Doing anything in life has its own advantages and disadvantages. So here it’s no way different when it comes to buying a house property. It’s necessary for the person who purchases the property to takes steps in planned and channelized manner so that it proves to be beneficial even for the present as well as the future time to come and if any smallest mistake made can ruin the entire property purchase plans.
So let us further understand some crucial points which could help to make the process of property purchase easy and risk free.
Affordability
It’s necessary to buy property as per your budget and capacity as it does not make any sense to go out of your reach and do something because if you do so you may lose out on many things and may not able to meet the ends and have disturbed and stressful life. Keep all your finance and expenses in order and also not let your monthly EMI exceed 40 percent of your monthly income. Though if you are sure that you may get an increment in next year or two don’t rely on it because you never know when a new expense can pop up.
Builders reputation
It is always advisable to invest in a project of reputed builder as he has good track record of various projects and they would never cheat to maintain their name and standards. Also, ask for the people who had invested in the previous projects of the builder so that you get an idea of his previous work. It may be a risky proposition for investing into new upcoming developer’s project as he may not have any successful track record.
Location of project
It’s advisable on the buyer’s side to invest in house property in a prominent location as it helps easy connectivity with metro, roadways, railways and other facilities like schools, hospitals, market etc. As it also cut down on the travelling cost and time consumed to reach the desired location if everything is nearby.
Documentation
The documents should be properly put in place while you purchase the property. The purchase documents should be properly stamped and registered and the original title deeds need to be taken from seller/developer while you purchase the property. One needs to keep documents like stamp duty, registration fees, receipts of VAT and service tax clear and also submit the acknowledgment copy of such documents to the developer. As it also acts as a proof in the court of law if there are any disputes.
Rights of buyer over developer
Buyer has the right to go through documents like Land record, Title deed, authority or municipality approvals and other similar documents of the premises. Clear title to a property is one of the most important factors to be considered before purchase. Also, have a look at land records and the records of the Sub-Registrar. A person should see the property is residential, commercial and has been approved as non-agricultural land as per the Development Control Regulations.
Taxation policy
One needs to look at the fact whether there is any proceeding against the seller under sec 281 of the Income-tax Act, 1961. Look out if the developer is an NRI and TDS is deductible from the purchase amount paid unless one receives non deduction approval from the concerned Income-tax officer.
Hence, after looking at all these factors prior to your property purchase plan can prove to be fruitful and may lead to appreciation in the worth of your property in the coming future. So never make such decisions rationally and in hurry. As small mistakes made creates huge regrets.
So let us further understand some crucial points which could help to make the process of property purchase easy and risk free.
Affordability
It’s necessary to buy property as per your budget and capacity as it does not make any sense to go out of your reach and do something because if you do so you may lose out on many things and may not able to meet the ends and have disturbed and stressful life. Keep all your finance and expenses in order and also not let your monthly EMI exceed 40 percent of your monthly income. Though if you are sure that you may get an increment in next year or two don’t rely on it because you never know when a new expense can pop up.
Builders reputation
It is always advisable to invest in a project of reputed builder as he has good track record of various projects and they would never cheat to maintain their name and standards. Also, ask for the people who had invested in the previous projects of the builder so that you get an idea of his previous work. It may be a risky proposition for investing into new upcoming developer’s project as he may not have any successful track record.
Location of project
It’s advisable on the buyer’s side to invest in house property in a prominent location as it helps easy connectivity with metro, roadways, railways and other facilities like schools, hospitals, market etc. As it also cut down on the travelling cost and time consumed to reach the desired location if everything is nearby.
Documentation
The documents should be properly put in place while you purchase the property. The purchase documents should be properly stamped and registered and the original title deeds need to be taken from seller/developer while you purchase the property. One needs to keep documents like stamp duty, registration fees, receipts of VAT and service tax clear and also submit the acknowledgment copy of such documents to the developer. As it also acts as a proof in the court of law if there are any disputes.
Rights of buyer over developer
Buyer has the right to go through documents like Land record, Title deed, authority or municipality approvals and other similar documents of the premises. Clear title to a property is one of the most important factors to be considered before purchase. Also, have a look at land records and the records of the Sub-Registrar. A person should see the property is residential, commercial and has been approved as non-agricultural land as per the Development Control Regulations.
Taxation policy
One needs to look at the fact whether there is any proceeding against the seller under sec 281 of the Income-tax Act, 1961. Look out if the developer is an NRI and TDS is deductible from the purchase amount paid unless one receives non deduction approval from the concerned Income-tax officer.
Hence, after looking at all these factors prior to your property purchase plan can prove to be fruitful and may lead to appreciation in the worth of your property in the coming future. So never make such decisions rationally and in hurry. As small mistakes made creates huge regrets.
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