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Process of buying a Property

It is surprising that how much time the property buyers spend on searching for the right house or apartment. Before stepping into the process of buying the residential property in India, getting the complete knowledge of property buying process is essential to hit the right deal. The property market in Bangalore is no exception from the recent adverse affect of economical slow-down in India. But, now it is seemingly back in the saddle after the slow-down in the recessionary phase of the market. In the present scenario of the property market in Bangalore, both commercial and residential properties are high on action with deals and talks. In the residential property sector, Recently there has been active involvement of lower and middle-income-level segment, which shows the boom in this market. In the renewed interest in the residential property investment, inexperienced investors may suffer due to a variety of reasons. Therefore, it is essential that the potential buyers who are inexperienced in the field need to gather relevant and required information before they venture in to the market.

As part of understanding the buying process, the client need to spot the ideal property which can afford better admiration within a fixed time span. For this, the knowledge on proposed developmental projects in the desired location is essential. Further, while you select property, it is always advisable to keep some important factors under consideration like infrastructural facilities, landscape, scope for further development of the neighborhood, etc. Awareness of the rules and regulations followed by that apartment and the society before striking the deal will make the process smoother. This will avoid the detrimental to your free and fair tenure and enjoyment of the property.

STEPS TO BUY PROPERTY

For your better understanding we (RelocateEasily) have given you the complete scenario of the procedure in buying property in a step wise manner.

1. Understanding the Actual Cost:

Once the client has finalized a property, the first step in the further proceedings is the understanding of Actual Cost and the Price Break up. The client has to understand the different charges that he has to pay for the finalized property . Apart from the basic price of the property and the building, the client also pays for a lot of other expenses, like the car parking, Maintenance, Club house etc., the final price on the price of the property is being calculated by considering all these costs together into consideration.

Price Break-Up:
Let us take an example of property of 1730 sq.ft (Rs.2800/- per sq.ft) in a particular locality for better clarity.

PROPERTY PRICES
Basic price (1730sqft@Rs. 2800/- per sq.ft) 4844000 (current market price in this locality)
Car Parking 150000
Maintenance charges @Re 1.00 per sqft per month 20760
2bhk apartment 13 to 16k
Club House 50000
Modifications 50000
Reg & Stamp Duty 259500
Paper Charges 25950
BESCOM & BWSSB 173000
Wood work & Fittings 200000
TOTAL 5773210

GLOSSARY

        EC (Encumbrance Certificate) : An Encumbrance Certificate is a document issued by the Registration Authorities which is an important document provides the information of the property’s current status. EC will give the informations like property is mortgaged or is in some legal litigations.
Sale deed: Sale deed gives the buyer, the absolute and undisputed ownership of the property. By executing this, the donor transfers his right on property to the buyer.
Khata: Khata is an account of a person who has property within BBMP (Bruhat Bengaluru Mahanagara Palike) jurisdiction. Khata plays key role when you are applying for building license, loan from banks or other financial institution and for trading. Khata contains important information like owner and size of the building, location of the building etc.
GPA(General Power of Attorney): GPA is a document, signed by the donor in the presence of witnesses, allowing another person to act on the behalf of donor to take decision and actions.

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