Real estate investment is one of the most opted investment options. As the availability of usable land is reducing at a faster rate, the property is e
Real estate investment is one of the most opted investment options. As the availability of usable land is reducing at a faster rate, the property is expected to give you better ROI. Further, it doesn’t have volatility as in the case of the stock market, wherein, you will have to keep a close watch to prevent loss. Clients normally choose to invest in flats in Kochi, being a safer investment option.
Real estate sector in Kerala has been showing an uptrend for a long time. The positive factors offered by the state have been attracting investors. Thus, augmenting the influx of investments. Although the property is a safe investment option, you may consider the points discussed in this article before investing.
Scrutinize the Documents
You must scrutinize the documents thoroughly to ensure that the property is the person’s name. You may seek help from an advocate if you are unable to confirm it. Normally, the bank’s lawyer will examine the document thoroughly, in case, you are obtaining a loan for buying the property. The title deed must be on the person selling the property. Further, it should not be mortgaged, leased or sold one. There had been cases in the past, of the person selling a single property to multiple people.
The government has earmarked lands as commercial, agricultural and so on. You will not need any additional approval to construct a house on commercial land. However, it is not the case with agricultural land. You will require additional permission for building a home, on agricultural land. At times, the approval process may turn troublesome.
Of late, Kerala was affected by floods in the month of August/ September in a previous couple of years. Unauthorized and unplanned constructions may be one of the reasons for the floods. Hence, you must check the property is in a safe zone. It is better to check out the property during monsoon.
Requirement of Piling
Some areas in Kochi, Trivandrum and other parts in Kerala may require additional piling for a strong foundation. This may increase your budget and may affect your plans. Therefore, check about the area before buying. This will not be an issue if you are considering flats in Trivandrum, Kochi, Thrissur or anywhere else. As the builders would have done adequate strengthening of the foundation.
Choose a well-connected locality. Availability of infrastructure facilities also must be inspected. Availability of good educational institutions, top hospitals and other necessary facilities may be given paramount importance. The locality will not only make your stay comfortable but also provide better ROI. Even if you are not going to stay in the property, you will get a good income from rent.
Approvals and Legalities
Green norms have become more stringent in the country. You are not authorized to construct on a restricted location. Check that all the approvals from competent authorities are in place. Otherwise, it can land you in complications and legal troubles in the future.
Fair Value of the Property
Fair value is the value decided by the government for a particular locality. It will vary depending on the level of development in the area, proximity to the city, scope of growth and other similar features. Although the fair value is not followed by builders, developers or property owners, knowing about it will help you negotiate. Further, it will tell you about the exact value of the land in that particular location. You can also use the fair value for a comparative study between locations.
The reputation of the Builder
You can ascertain the quality of building material used, the design features you can expect, and all the relevant data, from the builder itself. Therefore, you don’t have to be apprehensive whilst considering the purchase. The quality of their construction since establishment creates the identity of the builder. Hence, try to buy the property from a reputed, well-established, builder only.
The Tail End:
The above-mentioned are the generic points you can contemplate when you think of buying a particular property. Following to check the aspects elaborated here will be beneficial for you. It will be helpful in precluding possible perils. Once you are sure about the property, you can invest unconcerned. The value of the property will go up in no time, making sure that you get better ROI in less time than you expect.