Want To Invest in Pre-Launch Properties? Understand the Pros and Cons Firstby Keerthi Builders Real Estate Developers & Builders
Real estate projects are coming up like mushrooms across India. In Bangalore too, people may opt for properties of various specifications at multiple rates. Do you know that Bangalore is now emerging as the best city which is experiencing wonderful appreciation in real estate prices? There is some specific reason behind such enhancement in property prices. Bangalore is known as the IT capital of India having the existence of top-notch IT firms and start-up companies in the city. Thus, it indicates it offers excellent career opportunities for people. People from different segments of the nation are flocking to Bangalore for job opportunities and thus gives a hike to the demand for real estate.
If you are planning to buy a property in Bangalore you need to understand several factors for a smart buy. Properties are available in three different stages of construction- pre-launched, under-construction, and ready-to-move. Many opt for pre-launch properties.
What is pre-launch property?
You can opt for varied pre-launch projects in Bangalore at different prices in a different location. Here you must understand what a pre-launch property is. In the real estate market, pre-launch properties are available at a low price. Pre-launch properties can be divided into two areas- soft launch and pre-launch.
Pros to buying a pre-launch property
Many construction companies start selling their project even before the project gets approval from different authorities. It is known as a soft launch. It helps the real estate builders to raise funds to complete the construction of the project. Hence, these buyers are eligible to get some benefits from the builders.
Are you aware of the early bird discount? The pre-launch period flags off before the construction begins. In this phase, the builder opts for acquiring permissions from local authorities. Promotional activities are conducted to spread the news about the upcoming project of the builder. At this stage, buyers start making investments in the project. Such promotional activities help builders in project funding. They also offer the clients, booking units in their project some discounts on the total unit cost. So, at this stage, the total cost of the apartment will be lower than the one, you pay for a ready-to-move building. Various amenities and interior designing options are given at this stage to the buyers as an added advantage. If you are an investor, then book units at this stage, and later after completion, you can sell it off at a high price leading to more profit for you.
Cons of investing in a pre-launch project
If you are keen on investing money in a pre-launch project unit, it is also necessary to understand the short-comings of investing in such a project. Majority of the Pre-launch projects managed to show a delay in completion. Hence, you have to wait for a long time to get ownership of the apartment. It will create pressure on your budget. You may have to pay extra rentals and EMIs. In many cases, construction delays happen due to unethical business practices.
you need to be cautious if you wish to invest in a pre-launch project.
Created on Mar 5th 2021 22:44. Viewed 221 times.