Understanding a Home Buyer’s Journey

The different stages a buyer goes through while buying a property
Buying a home is no way similar to a retail shopping experience. It is a game changer for many middle class people.

Get real; a home is a tangible asset!

Going to a mall and buying clothes you had not intended to buy will not burn a hole in your pocket even if it was an instant decision, probably triggered of by an approaching holiday. A home purchase will similarly be triggered off by a need or desire, maybe because you are fed up of shifting house every time the lease deed expires or because like your friends, you too desire to own a home of your own.
However, buying a property is never as easy as entering a mall, finding something you like and making the purchase. Investing in a property requires deliberation on the state of your finances and capacity for paying EMIs. It is deeply interwoven with your dreams about a home, your ability to find projects that are within your budget, visiting the properties to zero in on what you like, and finally signing on the sale agreement.

Financial considerations take centre-stage

Then come the down payment that determines the final decision to invest.
The first stage in buying a property is probably awareness that you need it. Awareness will lead to a search that will first begin on the internet and then on ground by visiting project sites. You would at the same time make enquiries among friends and family.
What you will also factor in is what kind of home you can afford, the kind of features you want— like the number of bedrooms, kitchen size and open spaces. You might find that you liked the location of one of the luxury villas in Bangalore you recently visited but that does not mean you have the wherewithal to be able to finance such an apartment. Remember to be careful when you go in for under-construction projects as builders can take you for a ride and you would be left with an incomplete apartment even after having made a full payment. Unscrupulous builders might not have the necessary clearances like sanctioned plan or commencement certificate so look into these aspects before making the down payment. Check relevant documents which give credence to the project in which you are investing. It is the most logical thing to do when buying a new home.

Check the legalities

Consult a property lawyer; you are putting in your hard earned money into the property.
While it is a good idea to dream about living in a luxury villa you must not be taken in by the glossy brochures or the sugar coated sales talk of the builder. Instead what you must do is make a checklist of all the legalities of buying a property in consultation with a property lawyer and go over these with the builder. This will ensure you are making an investment in a property that has legal sanction.
Once you have ensured everything is above board you must go check out the property so you can see what kind of material is actually being used in the building. You need to also see if the features, amenities promised to you in the brochure actually exist on ground. With the new rules that govern the realty sector, all is set to change. But due diligence is highly recommended at every stage.

The final stages

Before sealing the deal in an under-construction project do a thorough check once more.
After having checked out everything if you then decide to go in for an under-construction villa go in for a payment schedule that reflects the actual completion stages. In the next stage of the process you will need to sign a sale agreement. You must again check out the terms and conditions of the sale agreement.
If you feel that the terms of the agreement don’t suit you and the builder is not willing to make the necessary changes, you might find it a better idea to look for another property.
On making the down payment you will receive an allotment letter which will have the details of your flat or villa like flat number, area of the property and price. The payment details and other extra charges levied on amenities such as car parking, club membership, and maintenance charges that you are liable to pay at the time of possession.
The final stage is possession and registration of your property so that it becomes yours legally. However, a registration of Khata will happen only if you have an Occupancy Certificate (OC). An OC is given only if the construction is according to sanctioned plans and bye-laws. Therefore, the builder must commit to OC and Khata in writing in the sale agreement.
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