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Words of Wisdom : "Try to be a rainbow in someone's cloud." ~ Maya Angelou

Why a resale flat outscores an under-construction property

Normally, our first preference is to buy a new house property.

Nothing really wrong with it:

But, sometimes, a resale property may turn out to be a much better bargain.

Let us explore the various advantages of buying a resale flat instead of an under-construction property.

One. Resale should not necessarily raise the picture of an old dilapidated property in your mind. In fact, if not yet lived in, it would be as good as new. So don't be prejudiced against a property on resale. 

Two. There is no risk of delayed possession. As you may know, thousands of home buyers are facing the double burden of rent and EMI, till their property is ready for occupation. (In fact, they would be lucky ones. There are many who are stuck in the projects shelved by the bankrupt developers, with no hope of ever getting the ready property.)

Three. You get what you see. Most people are often disappointed when they take the possession of their new flat. There is a lot that was promised or shown in the sample flat, which is now missing (or of inferior quality).

Four. The amenities are also ready and available for use. In most projects, swimming pool, club, etc. are built in the end. So for quite some time after taking possession, you cannot enjoy these benefits. 

Five. You have a better idea of your would-be neighbours. So the chances of getting stuck in a unfavourable neighbourhood can be avoided.

Six. In a resale property, tax benefits are available from day one. As you know, you can avail tax deduction, of interest and principal on home loan, only after the property is ready for occupation. So, in under-construction properties, there are good chances of losing the tax benefit for the 2-3 years of construction time.

Seven. You can get a resale property at comparatively lower price. This not only reduces your down-payment requirements, but also your EMI burden for the next 10-15 years. This is of such an immense benefit, that it can simply overshadow the pleasure of a new property.

Eight. Society maintenance costs are known beforehand. Many people fail to account for this annual expense when buying a property. They are later shocked by this regular expense, over and above the EMIs.

Nine. Infrastructure such as roads, shops, schools, etc. already developed. This is a big risk, as sometimes it takes years for such facilities to come up; putting you and your family to extreme inconvenience day-in and day-out.

Concluding, instead of following the general trend of buying a new property from the developer, you must first explore and evaluate the resale properties. 

You may be pleasantly surprised by the deal you can get.

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