If you have decided to read this article then you are trying to or at least are seriously considering buying a residential property. Be it an apartment, a piece of land, or a whole building, there needs to be a lot of thought spent behind the endeavor. For most people of Bangladesh, it usually is a once-in-a-lifetime phenomenon and the investment is in the emotions. Such a sensitive purchase requires careful consideration of many points that can affect your and your loved one’s lives. Let’s delve into some information to keep in mind while planning the purchase of residential property-
- Need– The first thing to consider is your need. Do you need to buy a home right now? If yes, then what exactly are the parameters of your needs? Your needs may be defined by your family dynamics or your lifestyle or even, your profession.
- Financial Capability– Buying a home requires a sizeable chunk of money. There are things like down payment, installments, taxes, upgrades, etc. to consider. It is not a wise move to get into the property purchasing market without having certain financial capabilities.
- Duration– Think about the future a lot while looking for residential properties. Consider your long-term plans. Why are you buying a home now? Will you stay here forever? Will your family ever grow and can your home be adjusted according to that dynamic? Do you plan to sell the property at some point down the road? What kind of investment is this: emotional or financial? Finding the answers to these questions will secure your purchase.
- Budget– This is of utmost importance to consider in this stage. Now that you have identified your exact needs and analyzed your financial capability, you need to line out a budget. This is important considering that the housing market is dynamically versatile with its ranges of offerings. You want to ensure that you maximize the value you get for your purchase.
Done figuring out your home purchasing plan while keeping the above four points in mind? Now, let’s get down in the market and search for properties while keeping a keen eye out for the facts below:
In real estate, location is gold. Location can make or break the appeal of a project both emotionally and financially. While looking for homes, check if the location works out for you and your family. Is it close to work? Are good schools, hospitals and banks close by? How far are the grocery stores, produce markets, laundry service etc.? Very important in the Bangladeshi context- are house help easily available? What is the real estate value of the neighborhood? Does the area get flooded every monsoon? How secure the area is in general? What about noise levels of the roads, nearby constructions etc.? Keep note, a home can be upgraded constantly but once purchased, the location cannot be changed.
Once you have macro screened a list of viable housing options structure is the next thing to consider. This encompasses several important points, such as- natural light and ventilation, the durability of the building, strength against natural disasters, building life, infestation issue, environmental impact etc.
Next to consider is the size. If you are looking for a 3 bedroom apartment with 3 bathrooms then they can come in a range of sizes. Prices will vary accordingly. Keep in mind that currently, you might be happy with just a 3 bedroom 3 bathroom apartment in a small size unit, but in the future, you might want the same specifications with room to spread.
After structure and size have been sorted out, the home layout needs to be analyzed. Is it a north-facing building or a south-facing one? How is the kitchen laid out? Which way are the balconies located? Does the layout address privacy, light and ventilation in a harmonic way?
Age of the Property-
Two things are important while analyzing the age of the property. If it is an old building then how old is it at the moment of purchase and deterioration quality. If the property is brand new then how many years have been promised ahead and what is the rate of deterioration?
Titles, Deeds and Quality Assurance Documents-
All parties involved must have a crystal clear understanding of the homeownership documents, such as- titles, registration etc. Any deeds signed should be thoroughly examined and legally consulted. The seller or realtor should provide the buyer documents containing the Quality Assurance or Quality Status to indicate the physical strength of the home.
Resell value of a house or an apartment is a crucial factor to consider. The future is unknown and you just may need to sell the property for many reasons. In such a scenario, your sale should bring you some margin of profit. Hence, analyzing resell value when purchasing a home is important.
If you are hiring a real estate agent to find you your desired home then it is of utmost importance that you do business with a trusted one. A trusted real estate agent is transparent about all aspects of the endeavor and does not compromise with quality.
Utility and Legal Viability-
A prospective home should have proper utility provisions as per the government’s rules. Does the building have a well-functioning power, water and gas supply? Does it comply with the authority’s rules? Is it safe from being demolished as an unruly property? Along with these, the legal viability of the home, land ownership and city corporation rules should also be verified.
Cost of Maintenance-
Now that you have micro-screened out the perfect residential property to buy, the last thing to consider is the cost of maintenance. This will be a constant fixed cost periodically and will sometimes require upgrades. It is very common for properties to be affordable yet have a high maintenance cost.
It is not unheard of to fall in love with the first property you visit. A home is not just about the number of rooms, paint and location. It is a culmination of all the points discussed above. Purchasing a residential property is a highly personal matter. Therefore, making the right choice is crucial.