While the affordable housing is emerging fast as the blue-eyed boy of the Indian government, developers are making a beeline to launch attractive new schemes and projects in this segment. However, be aware that affordable housing does not imply lesser facilities or poor construction quality.
As you may get tempted at the sudden rush of affordable housing projects, you should beware of the developers who are selling poor quality homes in this category to cut their cost and maximize the profit. While RERA now in place with a tight noose across real estate developers and promoters, the onus to double check a property ultimately lies on you before making the final deal.
While the top affordable micro markets offer ample options for investors and end-users, they also call for the highest-possible due diligence, over and above RERA registration. Here are some due diligence or precautions every affordable home buyers should take before signing the dotted line:
- Past Record:
You must check the builder’s past track record for project completion and consistent product quality. Stick to reputed builders. The new regulatory environment is seemingly separating the wheat from the chaff, but it will take its own time.
- Civic infrastructure:
You must double-check civic infrastructure, particularly public transport facilities, water availability, and sanitation, of the place where the project is located. If these facilities are not in place, assurances of the imminent arrival of civic infrastructure must be verified against public announcements by the concerned authorities, or through credible real estate consultancies.
- Social Infrastructure:
Being on a budget housing should not mean that residents have to do without the basic necessities of life, including shopping, healthcare, and entertainment. Availability of social infrastructure in and around every project should be considered.
- Physical condition:
However attractive the valuation may appear, the physical condition of the asset to be purchased plays a key role in its inherent value to the new owner. Regardless of whether the buyer plans to refurbish and release/sell and/or demolish and rebuild the property, this check is important to assess the cost implications.