Calculate the worth of your home based on price, location, area, amenities, age of property, demand and supply.
For several reasons, investment in property is considered to be a good way to park your money. It not only provides utility, but also gives you opportunity to tap on appreciation over time. While one goes through a list of do’s and dont’s while buying a new property, due diligence has to be observed while selling your property as well. Real estate forums are also witnessing footfalls related to resale properties.
Questions around resale property are many and there are various versions to them. We have tried to answer most of them to give you a wholesome picture. It is very difficult to calculate the resale value of a specific property. To get the particular value, you would need to hire the services of a property valuer. If the average value of the property is what you are looking for, then the internet is flooded with tools and knowledge which will help you calculate the sum.
Leaving aside property valuers, if you are keen on knowing the worth of your property, then help is at hand. There are calculators capable of determining the property value, for which, you should have some basic information about the place. These are simple calculators which calculate based on price, location, area, amenities, age of property, demand and supply. You can also compare the worth with similar properties nearby.
Magicbricks has a Home Worth Calculator on its website which is simple to use. One needs to fill in four or five details to get the value of the property.
Other questions that arise are if VAT must be paid for resale properties. Legal expert Nirmala P Rao says, “Usually, VAT and service tax are paid by the original payer when the property is in the under-construction phase. On buying a resale property, it is impertinent to check the sale agreement for any related clause which requires payment by you.”
The prices vary depending upon a number of factors like locality and size of the property. Developer brand, age of the property are some other factors.
Here’s the list of documents that are essential for purchase:
– Documents showing government approval to convert agricultural land or land specially designated for industrial purposes into a residential area. In its absence, the entire project is illegal.
– Ownership documents which verifies that the seller owns the property. Joint ownership properties needs the consent of all owners. If you are purchasing in a housing society, ask for the original share certificates.
– Check the agreement which lists all promised amenities and privileges. Look at the approved construction plans to ensure if they match what has been promised to you.
After the deal is finalised, have it whetted by a lawyer to spot loopholes. Register sales deeds on time. If you are paying an advance without getting possession, document it in the form of an agreement or a memorandum of understanding.
What kind of facilities can you avail with resale property? The available amenities can vary from case to case. With newer buildings, you can expect lifts, visitor car parking spaces, power backup and gymnasiums. However, in old buildings you can cavil only basic amenities such as car parking space and some private green space.
If you are willing to spend time on research, you may find a house at a price lower than that of new projects in the same area. Banks are also willing to lend for resale properties. You do not have to worry about facilities or super or carpet areas when it comes to resale properties. What you see is what you get. Resale properties also make sense as established properties have lower maintenance charges compared to the new ones.
Source: Namrata Ekka, Times Property, Magicbricks Bureau/ Chennai