Tips on Buying a Resale Property

Bangalore : Property buyers are often torn between the choices of a new flat and numerous – and often equally alluring – options accessible on the resale market.It is a unanimously known fact that effectual investment in residential property obliges an area which meets certain parameters. Primarily, the area ought to have good social and physical infrastructure, accessibility of ample public transport and enough financial choice to sustain development and growth. The possibility of finding a new property that meets all these parameters today is rather slim, since the best localities are already solidly urbanized and often saturated. In such a scenario, looking at resale property yields various options.

The primary benefit of going with a resale property is laying a house in a strategic location where no new supply is coming in. If a person has personal cash resources and is not contingent on a home loan, buying a home in a project that is 20 years or more in age can be a good investment. If the property is in high demand location with low supply, this would imply that the project would come up for redevelopment, guaranteeing better benefits to the owner.

Documentation & Procedures

The seller should be ready to bring into being all the original documents allied to property. All the documents would be required for a clear resale level transaction. If the property is to be acquired by using home loan, then the lending bank will do its own due diligence and ascertain the availability of all the obligatory documentation.  Conversely, if the buyer is using existing personal funds, it is advisable to consult a lawyer for property transactions.

The home buyer ought to create the existence of a proper society. The original sale deed and society certificate are most important, because the operation cannot ensue without them. Also, proper re-registration and transfer form is essential.Apart from the sale deed, the documents from the society exposes the property details such as the construction year, number of floors in the building, locality and total number of lifts available in the building.

Additionally required is an assessment bill from the municipality to the society, if the property exists in collector’s land a NOC is mandatory, a copy of property card and a receipt for the payment of registration fees.Moreover, home buyer should ask a clear possession history if the property has changed hands before. The local register will provide the accurate details.  If the property is over 18-20 years old, it is possible that it was never officially registered in the first place.  Enrolling it at the current point would mean paying stamp obligation with arrears.

Is resale property always cheaper?

Not necessarily, in large cities residential property supply is scant in many vital localities.  In such localities, there would not be a matter for discounts on resale properties. Discounts are more ubiquitous in areas where the market is more economical. But there is a higher leeway of flexibility in payment terms.