So how do you know which deal is the best for you when it comes to real estate?
Buying a house without having good knowledge in the field of real estate could be such a big task. Like if there was someone who wanted to buy a flat in a city like Mumbai, one cannot afford to make the slightest mistake. But the question in hand is how do you find that right deal?
In fact there are plenty of properties out there with attractive price tags and a lot of potential. It does require a lot of work upfront but that can all be made easier and better if you look out at the right places. So here’s how you can find the best deal for yourself and work like a pro.
1. Foreclosures:
Foreclosures are those properties which are in the process of being repossessed by the lending institution that issued the loan as a result of the homeowner’s failure to keep up with mortgage obligations.
Each state has its laws governing the foreclosure process, including the notices a lender must post publicly, the homeowner’s options for bringing the loan current and avoiding foreclosure, as well as the timeline and process for selling the property.
But foreclosures have now been associated with a stigma as people don’t want to invest in something they have little working knowledge about. But that’s where you gain advantage of the situation and invest in such properties.
Learn what it takes to acquire a foreclosure and get started with the process. The sooner you do so, the sooner you will have access to some of the best deals on the market.
2. Shortlisting the most appropriate real estate projects.
So how do you do you know which deal is the one which suits your needs? Here’s a list of pointers which you need to consider to know which deal to finalize-
§ RERA Registration-RERA, full form of which is Real Estate Regulatory Authority, stands for transparency in the real estate industry. Knowing RERA rules will help you navigate the real landscape industry with ease.
§ Location-Location is one of the other very important aspect while considering a real estate project.one needs to consider a number of factors like the proximity of the project from the work place and the center of the city. Of course important landmarks like schools and hospitals need to be considered.
§ Builder Reputation
Factors in background of the builder in terms of:
The number of projects the builder has launched till date. Of them how many have been completed and how many delivered on time?
Also if there any known pending litigations against the builder in public domain?
Other factors that need to be considered are budget, amenities, necessary clearances and cancellation policy.
3. Properties for sale at auction-
Auctions are a great way to find great real estate deals no matter what level of experience you have. There are essentially two different ways in which a house is being auctioned: either the homeowner has failed to keep current with their mortgage (foreclosure) or they neglected to pay their property taxes. Typically, houses placed on the auction block receive a starting bid of less than or equal to the remaining balance on the mortgage.
This is definitely to be kept in mind that while there are great deals to be had, there is also an inherent degree of risk. As with any investment you need due diligence and conduct as much research as you can beforehand. So it is better to know as much as you can about a property going into an auction.
4. Bank owned properties-
Bank owned properties better known as REOs (Real Estate Owned).It requires much more than simply scanning the MLS(Multiple Listing Service).REOs are owned by the bank as these properties have either failed to sell at auction or were repossessed after an owner’s failure to pay their mortgage. That said, banks aren’t in the business of holding on to properties and would welcome selling them at a discount .Real estate investors familiar with the process of acquiring said properties are therefore likely to find real estate deals which are well worth their time.
Real estate companies can definitely help you decide and finalize the right deals. Among the various real estate companies Kanakia is one of the real estate companies that provides various services in the areas of property and hospitality.
