Things You should Know before Buying an Old Apartment
Dec 17, 2018 Real Estate News
When you decide to buy your own home, your search begins way before you buy. In certain areas that you may be preferred to buy might not have many options. In those cases, you end up investing in an old property, probably very old. The property May look lucrative enough; however, you must go for legal as well as technical verification before finalising.
Here are some factors that you must consider before investing in an old property
You need to verify all the documents very carefully before you sign the sale deed. Make sure that the seller is the actual owner of the flat. You must take care that the title of the resale property is clear. At the time of buying you need to get the purchase agreement, sale deed, No-Objection Certificate (NOC) from the society, a copy of the builder-buyer agreement as well as the encumbrance certificate. All of these documents will establish the chain of ownership.List Of Documents Required For A Home Loan
- Check for all utility bills to ensure that there is no due, for instance, water, electricity and property tax. You can also check the maintenance, electricity and the water from the society office. Verify from the revenue department for pending tax bills.
- Verify the financial history of the property. Check if the property was ever mortgaged to the bank. You need to get a NOC from the lender. Remember to check if the cash component asked for by your seller is within the permissible limit.
- You can avail a home loan, which is subject to technical and legal verification. The factors that lenders consider are the age of the construction, depreciation value as well as documentation. You may get the maximum loan amount that is mentioned in the sale deed. So, be prepared to bear the expenses of registration and stamp duty.
Check the following things before possession of the properties
- Check if there are any additional charges involved with the society, including maintenance, usage charges for amenities and society electricity charges.
- Check for structural damages that need repair work at a later stage, including water pipes, wiring, cracks, moisture, clogged drains and seepage.
- Check for the age and quality of the wiring in case you are planning to use heavy wattage appliances
- Check if painting, water-proofing as well as structural repair cost.
- Check for ventilation and lighting if the property is an old locality. It could be a challenge because there would be other high structures and buildings around. In such cases, you can opt to buy a flat on top floors, which may give you a better view and ventilation. Chances of dampness and leakage would be minimum.
