TIPS TO FIND OUT IF YOU ARE PAYING THE RIGHT PRICE FOR YOUR PROPERTY

Metropolitan cities like Bangalore, are buzzing with a lot of real estate options. Whenever we wish to buy or invest in property the most basic criterion that will help us to narrow down the options will be the property price. Nowadays, the term “Property Price” has become a very subjective term. Different people are paying different prices for the same property due to various reasons like the stage of completion of the project, time of purchase, market trends, economic factors etc. Let us find out how to know if you are paying the right price for your property. Few things that can throw light on the same include:

BASIC RESEARCH:
The first and the foremost thing is to find answers to basic questions like:
– Current land value
– Current price trend:
Rising or falling, stagnant or robust.
– Concentration of potential buyers:
What about the demand for that particular property
– Developmental scope:
Are any new constructions or highlights coming up in that particular area?
-Check out the neighbourhood:
The nearby amenities, facilities, projects etc.

This list is actually never-ending. But getting ready with the answers to the above few basic questions will help you to zero in, on at least the area and proceed further to the property. It will also help you to better negotiate the prices.

BEGIN WITH THE FLOOR PRICE:

To bargain properly we need to first know about the floor price of the property. It is nothing but the minimum price which a seller can accept. This means any price over and above the floor price is a premium. This premium can be due to various reasons. We need to do a proper background study and have a prior understanding of the ground realities. Trusting the online portals alone will not work. Sometimes they are not reliable too. By doing proper field research we will be able to understand the pricing trends of different areas. For instance, flats in GUNJUR, flats in HORAMAVU, and apartments in WHITEFIELD are priced on the higher side when compared to the ones on the outskirts. So, a proper ‘area research’ inclusive of the likely future projects that might come up is also important.

GET IN TOUCH WITH MULTIPLE BUYERS AND SELLERS:

It is quite common to resort to real estate agents and brokers. Because they are the channel partners of your builders. But they can’t be completely relied upon. We need to contact multiple brokers. Get in touch with a few of them as a buyer and get to know the price. Then get in touch with the rest of them as a dummy seller and find out the price offered for the same property. In this way, we can get a rough idea of the average buying and average selling price. And if the difference between both is less than 5%, it just means that the price information shared by your broker is right. But however, this method can render only approximate results and not exact figures.

Apart from all these, you can also resort to the office of the Apartment Association. You can also take a look at the online forums that generally discuss the various properties in a particular area. Project-specific forums can be avoided as they are likely to be dominated by agents and brokers. Finally, the credibility of the builder is also very important. For instance, the ,top apartments builders in Bangalore like DSR have a long legacy that can be trusted.

Stay smart! Pay smart!