If you live in a city like Pune there is no dearth of residential options for home buyers: from ready-to-move-in homes to plots of land. However, buying land and building a house or buy a ready home is a common dilemma for people who intend to invest in real estate. Most home-buyers end up spending lots of time and energy either searching for or designing “the perfect home” before signing any contracts or laying down funds. Whether you’re considering buying an existing home or buying land on which to build a new home, both options require considerable research.
Although different investment is appropriate for different people by comparing the two options we can provide some insight into what is better, land purchase or ready home. Here’s a look at both sides.
Let us run through a few points to explore why buying land is better.
Since the appreciation of land is higher than a ready home, in the long run, the cost of land will work out cheaper. Besides, building a home gives you more flexibility with regard to time. You may figure out the time of construction as per your convenience and as per your finances. So you may buy land now and build later.
There is an element of risk in ready homes. The risk is that the builder doesn’t offer possession of your house and you end up paying EMI’s to the bank without having moved there. There have been cases when the builder has failed to deliver on time or in some severe cases, failed to deliver at all due to various reasons such as funding crunch, rise in the cost of construction materials, and increase in lending rates, among others. This is a grave issue with small-time developers. Having your own land and building a home at your convenience saves you from this huge risk.
The biggest advantage of building a home is that you are much more likely to get exactly what you want. For many, this factor alone is enough to choose to build over buying. The most common issue with ready homes is not getting the promised product at the time of possession. Usual incongruities are lesser usable area than the promised changed layout and deficient amenities. Buying ready homes doesn’t give you the freedom to make any structural changes.
Since you are building your home on your own land, you get to choose the quality of fittings to be done, the material to be used for construction. You can create a more efficient home with provision for sunlight and ventilation. You can install green appliances/ energy star rated appliances, more efficient toilets, plumbing fixtures, and electrical fixtures allow you to build “green” for a more sustainable home in the long run. Besides, you may explore the option to install, wires for future technology upgrades, such as home automation and solar installations.
The appreciation in the price of land is way more than that of ready homes because of the demand and supply gap. Eventually land would yield better returns than property. A large initial capital must be invested to buy a house and this may turn into a bad investment if you would not generate good returns. However, capital investment in land is lower in comparison to property.
It is easier to sell the land when the prices are high because of the high demand for land but selling a property at the best price is not so easy because of the different demands of customers. In places like Pune, buying land for investment will offer an excellent return on investment.
The maintenance cost of land is very low compared to properties. The building would age with time and result in higher maintenance costs. The return value of the ready house might decrease as its new look would disappear.
Money and features aside, building a house can lead to a level of satisfaction that you can’t achieve through buying an existing home. There is a definite feeling of an emotional connection to living in a new home that you have created. It would be your creation that matches your style and personality, something that you created from scratch.
It gives you more freedom and less intrusion from nearby neighbors and costly maintenance. If you like the idea of being able to do more of what you want on your land without neighborhood covenants and restrictions, then investing in land is probably a good choice for you.
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There is no waiting period; make the payment, go through all the documentation work and move in.
Unlike an under-construction unit, in the case of a ready unit, you actually get what you have paid for. As the unit is ready for you to inspect before you finalize the purchase, there is no risk of discrepancies with the promised layout, features, and amenities, among other important things.
Disadvantages of Buying a Ready Home
One of the most obvious drawbacks of buying a ready-to-move unit is the higher cost since you pay upfront.
When you build your home you have the option of choosing the quality of material strength of the foundations etc. However, in the case of a ready unit, you cannot conduct any such checks.
Pune offers you ready homes as well as plots of land. However, if you are one of those who believes in buying land and building a house process, then Pune outskirts offer you great options. Namrata Group offers you NA plots for sale in Kamshet.
But before you take the plunge you must know where to put your money into. Ready homes have their own benefits and so also buying land and building a home there. But if you are keen on buying your own land then you must invest in property in Kamshet Pune for excellent returns in times to come.