Ready to Move in Property is Gaining Popularity.

Homebuyers are opting for ready-to-move-in properties due to the uncertainties of getting possession of under-construction projects. As per a ‘Real Insight Residential-Annual Round-up-2020’ report issued by Prop Tiger, the share of ready-to-move-in properties in total sales has gone up from 7% in 2017.

A large number of projects have been delayed, making buyers wary of under-construction properties. Developers generally offer favourable payment plans for under-construction properties, which make them relatively cheaper than ready-to-move-in properties.

The COVID-19 pandemic has made one realise the value of real estate as an asset class, which is more reliable, as compared to the volatile and risky stock market. Moreover, interest rates have reduced, making it favourable for people who are looking to take home loans. Besides this, many developers are offering discounts and this lures the potential home buyer as he can strike a better deal.

While buying a property is no easy task, another decision that compounds the dilemma for home buyers, is whether to choose a ready-to-move-in house or an under-construction one. While there are advantages and disadvantages to both options, the choice will depend on various aspects like, what the buyer is looking for, his needs/requirements and whether one is buying for investment or end-use.

With the pandemic and work from home (WFH) becoming more prevalent, aspiring home buyers are largely favouring ready-to-move-in homes, as people find it much safer under the present circumstances. According to Amit B Wadhwani, managing director of Sai Estate

Consultants, buying an under-construction property makes sense, if one is looking at it from an investment perspective, while a ready-to-move house makes more sense, if the buyer is looking for accommodation. “As the buyer is also spending his earnings on the property, it should bring profit. The investment should help the buyer in the long run.

Points to consider, while choosing a ready-to-move-in property

Choosing a ready-to-move-in flat, helps the buyer to avoid costs associated with living in a rental accommodation and the long wait in big cities, for an under-construction project to be completed. It also gives the home buyer a sense of security. Moreover, the buyer can check the neighbours and the infrastructure in the vicinity of the house, before buying the property.

Points to consider, while choosing an under-construction property

“Under-construction properties are generally in the non-established parts of the city and hence, the potential for price appreciation due to future development is good. However, this is not true in each and every case. One has to look at the location and future plans around that area. Moreover, in an under-construction project, a buyer also has flexibility in payments, with options like construction-linked plans, subvention schemes, flexible payment plans, etc