Appraisal: Determining the Value of Your New Home
Before obtaining a loan from the bank to purchase a new home in L&T Raintree Boulevard in Hebbal, it is crucial to have the property appraised. An appraiser conducts a thorough examination of the property and compares its price with similar properties in the area to determine its value. This process ensures that the bank lends the appropriate amount of money.
Understanding Carpet Area: Space for Your Comfort
The term “carpet area” refers to the usable space within a room, office, or unit where you can lay a carpet on the floor. It’s important to note that the carpet area doesn’t include the thickness of the inner walls. In simple terms, it represents the area you can utilize for various purposes.
Collateral: Securing Loan Repayment
Collateral is an asset that serves as security for loan repayment. If the borrower fails to repay the loan according to the agreed terms, they risk losing the asset specified as collateral.
Decoding Floor Space Index (FSI)
Floor Space Index, or FSI, denotes the ratio of the combined area of all floors to the total plot area. A higher FSI indicates a greater built-up area. The built-up area comprises the carpet area, wall thickness, and enclosed balcony area within the inner walls.
Understanding Freehold Property Ownership
When a property is classified as freehold, it means that the individual has complete ownership rights over it. Essentially, the owner holds the property and the land it’s built on without any external entity exerting control or ownership claims.
Interest: The Cost of Home Loan Borrowing
Interest represents the expense incurred when borrowing money to purchase a home. The interest and principal together determine the monthly loan payments. Generally, the longer the home loan term, the higher the accumulated interest. If you are considering a home loan application, refer to our comprehensive checklist for more information.
Leasehold Property: Temporary Ownership
Leasehold property refers to a property where the ownership is temporarily leased to a tenant for a specified period. To gain a better understanding of the difference between leasehold and rental properties, please refer to our informative blog post on the subject.
Maintenance Charges: Upholding Property Facilities
Maintenance charges are fees paid by property owners or occupants to support the overall upkeep of the property’s facilities. Typically, these charges are paid monthly and vary based on the amenities provided by the property.
Evaluating Property Value with Per Square Foot Rate
The per-square-foot rate helps developers assess the value of a property’s super built-up area. The super built-up area encompasses common areas such as staircases, lobbies, and lifts, along with the built-up area consisting of carpet space, balcony area, and wall thickness, among other elements.
Unveiling Pre-launch Properties
Pre-launch properties refer to projects that are still in the planning stage and are expected to receive complete construction approvals. Property developers often offer attractive discounts during the pre-launch stage to raise funds. However, it is essential for investors to weigh their options and make informed decisions due to the potential risks involved.
Principal Amount: Owed Debt to the Lender
The principal amount of a home loan signifies the debt owed to the lender, excluding the interest. Homebuyers repay a fixed principal and interest amount each month as Equated Monthly Installments (EMIs).
Among the numerous tasks involved in purchasing a property, registering it with the government is a critical responsibility for homebuyers. Property registration involves filing property documents, paying stamp duty, and registration charges. Once registered, the property is considered legally owned by the individual registered as the rightful owner.
Ready-to-move-in Properties: A Move-In-Ready Option
Ready-to-move-in properties are fully completed and ready for occupancy. They have obtained a completion certificate, indicating their readiness in all aspects.
Real Estate Agent vs. Real Estate Broker
It is essential to differentiate between a real estate agent and a real estate broker. While an agent brings buyers and sellers together and receives a percentage of the property’s price upon sale, a broker operates independently and oversees multiple agents employed under their brokerage.
Saleable Area: Exploring Super Built-up Area
The term “saleable area” is synonymous with “super built-up area.” It encompasses common areas such as staircases, lobbies, and lifts, along with the built-up area consisting of carpet space, balcony area, and wall thickness.
In conclusion, we understand that diving into the world of real estate can be overwhelming, given its diverse nature. However, familiarizing yourself with these real estate definitions and terminologies will prove valuable in the long run, whether you intend to invest in or sell a property. If you are interested in residing in and around Bangalore, we invite you to explore our exceptional residential projects that offer various properties like row houses, villas, gated apartments, and more. At Assetz, we strive to provide you with the luxury and comfort you deserve in your new abode.
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