“Don’t wait to buy real estate; buy real estate and wait” – Will Rogers.
Buying a property is one of the most exciting and challenging things in life. After a long ordeal in selecting that dream home, legal verification, and arranging the funds to purchase it, you finally get a space that you can call your own. Just as you begin your property search, you would come across terms such as new-launch, pre-launch, early bird offer, etc., on newspaper & online advertisements, billboards, and websites. The offers do sound very tempting to prospective homebuyers.
The primary advantage is, of course, the pricing of the project. You can get attractive benefits if you are among the early investors. If it is a 1000-unit apartment complex, the first 100 buyers may be offered cash discounts and other gifts by the developer. But there are other advantages to homebuyers. In this article, you can find the top reasons why you should consider investing in a newly launched realty project.
#1: Best Pricing For Pre-Launch Investors
The project has just been announced by the builder, and the construction is set to begin shortly. Not many people may be aware of the project. During this pre-construction phase, the builder offers attractive discounts to motivate the buyers to take a quick decision. If you compare the prices with a similar under-construction or a ready-to-occupy project in the vicinity, you will realize that you are getting a very good deal. In fact, the prices may be 20-25% lower, translating into huge savings for new homebuyers. You will not be able to get this pricing once construction starts, as it is exclusively reserved for the pre-launch phase. With the enactment of the RERA law, you need not worry about the safety aspect too.
#2: Price Lock Kiya Jaaye!
Once construction starts and the word gets around, more and more people evince interest in the project. The higher the demand, the higher the probability of price hikes by the builder. As the project nears completion and early buyers start occupying the apartment units, the price would be significantly higher in the later stages. The launch of other projects in the locality, infrastructure development, connectivity, and general inflation also contribute to upward price revisions in due course of time.
Builders also charge higher prices in the future to make up for the early discounts. So you can reap substantial cost benefits if you can lock in the early bird price offered during the new launch phase.
#3: Choose the Best & Design Your Nest
When you are among the first buyers, you have the rare privilege of choosing the apartment unit that suits your budget & requirements.
You can decide whether you want the 2nd floor or the 20th one; the garden-facing unit or the one with a sea view; a plain 2-BHK or the grand penthouse. You are literally spoilt for choice when you come early, and the price discount is just the perfect icing on the cake.
Another benefit is the option to design & customize the housing unit as per your specific needs and taste. The flooring, woodwork, kitchen area, and sanitary fittings can be built exactly according to the family’s preferences. Some builders also provide the services of an interior designer to help the buyers spruce up their dream homes in tune with their aesthetic sense.
#4: Easy & Light On Your Pocket
It’s not just the tax benefits and the interest rate subsidies that every homebuyer gets. The best deals are reserved by the builders for their first set of customers. If you book a house during the new-launch phase, you can also avail yourself of some special schemes that can reduce the financial burden significantly. Under the Zero EMI feature, the builders may waive the loan EMI payment until the possession of the flat is given. Special interest rates may be offered only to the first few customers.
Other benefits such as gold, a car, free parking space, or a paid family holiday are also offered by the developers for their early buyers. Generally, a nominal amount is charged for booking an apartment during the pre-launch phase.
#5: Earn the Best Return on Investment (ROI)
Real estate is probably the biggest financial investment that most people make in their life. An early investor is also an intelligent investor as he can reap the maximum potential gains on his capital investment. The various benefits & price discounts obtained by the buyer reduce the effective cost of purchasing a property.
The wealth creation formula is simple. You have to choose the right property in the right location from a good builder at the right price. The property can be sold later when the project is completed or after a few years of holding to make good returns. Therefore, the key to smart investment is to invest at the right price point.