4 Steps To Avoid Being Cheated In A Buyers' Market
Pulkit had decided to buy an apartment that the owner was giving away at almost 5 percent lower than the market rate. The seller informed that he was unable to maintain the house and hence, he was selling the property. However, after he moved into the Peddar Road Road property, he saw that the roof was leaky during monsoons and the walls became damp too. Pulkit had to spend a hefty amount to get all the issues corrected.
Pulkit's experience warns us of caution in the property market. This becomes especially true in a buyer's market, as numerous available and cheaper options can make one too excited to exercise caution. To make the most of your deal, here are four things you must do:
1. Visit More Properties
Because this is a buyer's market, you should make it a point to check more options out. Combing through a range of upcoming properties in India will help you find the one that fits the bill. Moreover, after visiting quite a number of properties, you will be able to make out the differences in housing structure, layout and positioning. It may take up a good amount of your day, or could even cost you several days in a month, but the exercise would be worth its while.
2. Participate in online forums
Several real estate websites in India have forums where home buyers and sellers can participate and share their experiences. Much like online shopping where you can read the review of a product before buying, you will be able to know a lot about residential projects from these forums. You need not actively participate in the discussions but simply browsing through the write-ups and subscribing to discussion threads on topics that interest you, will equip you with the trending market information. This information can vary from details on micro-markets you should look at for houses, the prevailing rate per square foot in a given locality and brokerage charges, and other small but significant details on social infrastructure et al. Manav decided to participate in one such discussion and found out that a part of New Alipore in Kolkata where he shortlisted properties for site visits witnessed frequent power cuts. He decided not to visit any ready to move flats in New Alipore.
3. Account for all factors
Do not make the error of settling for a property simply because it fits your budget. Consider the allied factors that influence the liveability of the property. For example, properties towards the interiors of Behala in Kolkata are less expensive because these areas remain waterlogged for a couple of days even after a few hours of heavy showers. If you unknowingly settle for such a property, you would have to bear its consequences for years to come. Hence, do not make pricing the only parameter for choosing a home. If you come by a house in a better locality that is slightly more expensive, it would be better to pick that. Because this is a buyers' market, you would be able to negotiate with the seller to get a good rate for it anyway.
And, last but not the least:
4. Do not believe everything you hear
Just as it is a rule of thumb to not listen to speculators in the stock market, you should consider it a rule of thumb to not pay heed to rumors. There may be a lot of people who would ask you to wait longer in the hope that property prices would drop further. However, the real estate markets may turn around anytime. If you have found a good property in Mumbai or any other city that suits your budget, don't hesitate to pursue it. You may not want to lose out to other buyers while waiting for prices to fall!