In today’s modern era, owning an abode is much more than just having a roof over one’s head. Most of us actually hope to find a genuine place that feels like it was made specifically for our family. However, the home-buying process comes with many different considerations.
Nowadays, it is important to be well-informed about business world, especially when it comes to choosing the right property or booking an apartment, in most practical cases, choosing the right builder. A reliable developer will certainly ensure a hassle-free process of buying an apartment.
Having said that, here are some of the important checks you should do on your builder before signing the deal with him:
1. Is he on the pre-approved list of the banks?
As the fraudulent cases are increasing with each passing day in the real estate market, it is best to ensure whether you are signing a contract with a credible builder or not. In order to identify this, choose a developer or builder who is on the pre-approved list of at least three to four major banks.
Banks always take their due diligence before lending to a builder for his projects. If several major banks endorse the same builder, then you don’t need to worry about his credibility.
2. Track record
Process of home buying is not a piece of cake. After years of planning and financial saving, a person decides to purchase a house. So, invest your hard-earned money with a developer who has completed and delivered several projects in the past and that too on time. A builder needs to take several approvals to complete his project. Give your money to a developer who possess all the project management skills to ensure timely construction.
It’s better to avoid buying from a builder who is new in the business, even if he is offering you a good deal. Apart from the experience, he may also lack the financial strength required to withstand a market downturn.
3. Visit his previous projects
Try to visit developer’s previous projects and if possible, talk to the owners there as well. In this way, you will be able to know about the quality of construction. Another thing you can check with the owners is, whether the builder delivered all the facilities and amenities that he promised. Enquire if he had delivered the project on time and in case of a delay, did he honor the commitment to pay a penalty?
4. Check financial status
Given the slowdowns in real estate sales, builders are facing financial distress. So, before buying the property, it is advisable to the check financial status of the developer. With the builders having numerous counterparts, you may have to dig deeper. Speak to people who deal with him, including the likes of brokers, contractors, vendors, etc. If builder’s finances are stressed, it will reflect in his dealings with these people. eg booking an apartment.
5. Ownership of the land
Make sure that the builder owns the land being used for the construction of the project. If needed, hire a lawyer to do the title search for you. It might happen that the apartment you are planning to buy is located on such a portion of land embroiled in disputes. In that case, you may not get the possession of the flat even if the rest of the project gets completed.
6. Proper approvals
A builder needs several approvals before constructing any property. Check for license to build, environment clearance and other essential documents prior to buying the house.
7. Online research
Once you make up your mind for purchasing a new house, it is always better to go through different websites for a clear perspective of home-buying process. Remember, research is the key to every great deal. There are many real estate websites which have discussion panel where builders and their respective projects are being discussed. This would be a good way to dig up information on builders or any specific housing project or a Booking an Apartment.