When you are buying a house and comparing alternative schemes of different builders, always work out the cost per sq.ft. of carpet area by dividing the total cost of flat by its carpet area. This will give you an idea of the best economical offer you have in hand. Thereby making such comparative study, you should take a decision of buying a house i.e. compare rates of all the properties on per carpet area basis. While negotiating with the builder/developer try to get the cost per sq.ft. of super built up area, built up area as well as carpet area. With RERA in force now, this is not much relevant now. Also check the carpet area declared by the builder with RERA authorities.

Remember, cost of the house is not only what your architect/engineer estimates or what you pay to the builder but it also includes stamp duty, registration fee, advocate fee, service connection charges/deposits in statutory authorities, cost of infrastructure, society maintenance, broker’s fee, cost of parking, cost of interior design, furniture, fixture, appliances, cost of shifting, cost of vatu puja, and other such ceremonies.

Assimilate all your sources of funds. Based on that, decide upon the amount of loan you need. You might have to pay some instalments before taking the possession of the house. So, keep this in mind too. It is always wiser to make provision of minimum 5% to 10% of the total cost under the head of contingency expense as some unforeseen expense can always turn up.

Check the normal service charges that you will have to pay to the society after the completion of the building. In metropolitan cities or even in the posh localities of many developed cities, the service charges are so high that it might not be affordable for every buyer to bear it. For some, paying the charges in one go might not be possible and they may even think of paying the charges on long term basis.

If you are buying a new house, you will have keep aside some fund for fixtures like lights, bulbs, fans, air conditions, furniture and various other home appliances. Even if the house is purchased on resale, you might have some of these facilities but not necessarily everything as per your requirement.

Remember, you can never close a deal regarding the purchase of a house, unless you make some advance payment. Even if you are trying to get a housing loan through any bank, the bank will certainly ask for a margin which has to be paid. Most banks insist anything between 10% and 25% as margin.
Many builders also ask for the down payment of equal amount which can be paid in 2 / 3 installments, depending upon the status/progress of the work. Keep this advance amount ready with you. Pay the advance, ensure legalities, go for proper agreements, understand terms & conditions of sale, finance and act accordingly to honour your commitments in time bound manner.

Visit the site periodically and confirm that the builder is using all the materials he has promised. Similarly keep a track and check all the amenities which are facilitated ‘in common’ to all the flat holders of the project -be it inside the flat or outside. Make sure that you get all that has been promised to you and also satisfy yourself regarding its specifications.
Many builders do not provide very important documents like original conveyance deed of land, copy of approved plans, as-built drawings, society registration documents, completion certificate etc. As a prudent buyer you must get all these and preserve it.

Sometimes the developer/builder are smart enough to get the completion certificate in halfway, i.e. even on completion of the skeleton of the building while the changes in the approved plan might be done subsequently without any knowledge of the buyer. e.g.: Covering balcony, covering area provided for parking etc. Thus, you might land yourself into a property where construction is not fully authorised.

There is hardly any transparency as far as carpet area, built up area and super built up area is concerned. Hence, check properly every aspect related to your flat and cross-check whether you are paying accordingly. You must confirm about the carpet area efficiency of your flat with the builder. If it is very low, you will end up paying him a higher rate per sq.ft. / sq.mt.

There is no transparency and declaration of correct carpet area, built up area and super built up area. It is stated randomly as certain %, though there are scientific methods to calculate all.Don’t get confused between Built-up Area, Carpet Area & Super Built-up Area.

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