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Purchasing a new or old property one should know the other charges which he needs to pay. There are many other expenses apart from the purchase price that must be considered for, such as:

  • Stamp duty
  • Registration fees
  • Legal fees
  • Brokerage fees
  • Society transfer charges (in buildings with societies)
  • Cost of renovation/improving the property
  • Cost of furnishing the property
  • Future house tax/property tax payments
  • Maintenance fees
If the properties are newly constructed, then there are chances that the builder/developer may not be fully transparent at the time of booking with regards to the final cost of the property. The final price should typically be a sum of the base price, external development charges (EDC), infrastructure development charges (IDC), preferential location charges (PLC), car parking charges, club membership if applicable, electricity and water connection charges, maintenance charges service and any other applicable taxes, etc.

Buyers need to understand the different factors advantage and disadvantages of each individual property.

If the property is Independent House vs. Apartment in a Co-operative Housing Society: Setting aside advantages related to independence and privacy, some of the most important factors to consider while making this decision in India are maintenance costs and responsibilities, A housing society may provide the facilities such as swimming pools, health clubs, and gardens, and arrangements for parking, security, power backup, etc.

New construction or Old: Sale price is generally determined on the basis of built-up area i.e. the measurement of the residential unit at floor measurement, including projections and balconies, and is measured from the external perimeter of the walls, whereas the carpet area i.e. the total area of a premises measured from the internal walls, is the area that is actually usable. In new constructions, the difference between the two might be substantial, and a buyer can end up paying a hefty sum for a smaller apartment, whereas in old constructions this difference is far lower.

Property location is one of the main and price factor of high rate of the property. The convenient location from all necessity area such as station, school, and market can be major factor to boost the property price rate. Whereas the property from far way or remote area would be cheaper compare to prime area.

Title is free from defects

  • There are no encumbrances on the property
  • Property is not locked in litigation
  • Inherited property has a probated will
  • Utilities
  • Property Tax
  • No Objection Certificate (NOCs)
Another factor while choosing a property is whether the price is commensurate with existing market values. The information can be obtained from the market (brokers, residents of the neighborhood/complex, registrar's office, etc
When a buyer has found the property that is the right fit for his needs and budget, there are several legal complexity that must be dealt with to complete the investment. It is highly suggested that the buyer instruct a good lawyer while investing in property.
Reliability of the developer is paramount, and the buyer should enquire as to his reputation and record before committing to buying any property still in development. Financial institutions and banks funding the developer can help the buyer with his enquiries and to gain a better understanding of the developer's financial status.