Real estate is quite popular among investors as it is considered to be safe in comparison to other investing options. As the demand for property whether residential or commercial is increasing, you can easily see an upsurge in the construction of various projects, especially in Noida.
However, as a beginner investing in real estate requires a good knowledge about the property and the market. This will assure that you are investing in the right property and enjoy its returns.
Here we are listing some common problems that investors make and how you can avoid them.
Common mistakes and ways to avoid them
- Not researching about the property
This is the most common mistake made by the people, lack of knowledge or not conducting proper research. Before you start investing it is always recommended to research well about the market, property rates, location, any issues in the property or location, and others. Lack of research will make you more vulnerable to fraud. a real estate agent can take benefit of your lack of knowledge and will try to hide essential information from you.
So after you have shortlisted your location based on budget, personally explore the property, compare rates through different brokers, check the amenities and facilities provided nearby such as hospitals, schools, and market, real estate company previous work and background, the authenticity of the agent and other aspects.
You should also check the water supply in the area, pollution aspect, transportation access such as bus, metro, etc. these civic facilities are often overlooked during the time of purchase.
- Not working upon setting a budget
You must evaluate your finances well before looking for investment. The most common expenses that are part of any kind of real estate are property cost, taxes, registration fees, however, you need to also analyse the maintenance cost, furnishing cost, moving cost, interiors, repairing cost, utilization charges, etc.
That is why you must prepare a detailed account of expenses that can incur including all the hidden charges as well and see if you can go for the property.
In case you are planning on getting a home loan then you should be aware of your credit score. A score of 700 and above is known as an excellent score.
- Not running a background check on your builder
Going for a known brand is always safe and ensures credibility. A known real estate brand will not hide any information or charges from you. in fact, they will provide you all the authentication from the beginning. They will make sure that you are satisfied with their service.
Running a check on your agent and real estate company is necessary as it can save you from fraud or other legalities. For this make sure to go through its website, social media channels, previous projects, and feedback of previous buyers or sellers.
- Rushing on closing the deal
You might be impressed by the property and feel hat it’s the one to go for, however, do not rush into signing the deal yet. Be calm about investing in the property otherwise, you will miss out on some important details or information.
Take your time, talk to the agent, explore the property, compare the deals and then settle down on completing the paperwork.
- Ignoring small details
Investing in the Real estate can be a tedious process as it involves a lot of paperwork. It is quite natural with all the excitement and too much research work you can miss out on small details which later proves to be a big problem. Like missing out on the clauses included in the paperwork, any damage to the property, or issues in the locality.
It is advisable to consult a professional such as a real estate lawyer who can guide you through this process and check the paperwork efficiently.
- Holding a high level of expectation
while investing, naturally, we all start to ponder upon the idea of when will the cash flow start coming in. however dreaming and holding high expectations can lead to utter disappointment. For any kind of investment, one should have realistic expectations and should be aware of the risks that it comes with.
To sum up
Doing mistakes is part of human nature, however, learning out of them can assure that it does not repeat or becomes a big part of your life. Remembering these mistakes that are usually committed by the investors can help you in avoiding the same.
For your investment needs, you can check out ATS Triumph and ATS Bouquet that is beautifully crafted and established in Noida and has been attracting a lot of buyers for the amenities provided by the builder.