Should You Buy A New Or Old Flat?

Buying a residential property is a significant investment, so ensure the deal remains financially sound in the long run

When it comes to buying a flat in a city, many people choose to go with newly constructed apartments. However, there are also folks who prefer investing in resale properties. That brings up the question as to who is making the right choice. To understand that, here are some important aspects to consider.

Cost of property – In most cases, a new apartment will be costlier in comparison to a resale property. The difference in pricing will vary based on the age of the resale property. Buying a resale property can also benefit you via lower stamp duty. For a new property, you will have to pay GST and registration fees as well. However, an old property can also turn out to be expensive depending on the level of renovation required.

Location – In addition to the overall cost, one also has to consider practical aspects such as location of the property. New apartment complexes are usually found across the developing and peripheral areas of a city. In comparison, resale properties could be located in prime areas. You have to decide based on factors such as your office location, child’s school, availability of hospitals, shopping malls, etc.

Build quality – It is likely that new apartments will be compliant with stricter construction quality norms such as earthquake resistant, leak-proofing, fire safety installations, etc. They are also likely to have integrated power backup systems, rainfall harvesting and water recycling units. Such options may not be there with an old resale property.

Amenities – New residential constructions are likely to have more amenities such as swimming pools, gymnasium, garden, etc. In comparison, old resale properties may not have these facilities.

Clear ownership title – When buying a new flat directly from the builder, you get the protection from RERA. This ensures that the construction is legit and you are likely to get possession in a timely manner. In comparison, buying a resale property can have risks such as pending dues, ownership title issues, etc.

Personal choices – If you are planning to create a permanent home, you will also need to look into your personal preferences. For example, do you prefer structures built for modern lifestyles or are you looking for vintage charm. Do you prefer amenities or the old-school look and feel with basic necessities? Based on your choices, you can choose either a new flat or a resale property.

As is evident from above, both new flats and resale properties have their specific pros and cons. A new flat will usually offer better amenities, enhanced security and longer life. A resale property can be attractive with its prime location, proximity to popular public spaces and a laid-back lifestyle.