Cecelia Ahern, an Irish writer once said, “Home isn’t a place, it’s a feeling”. In fact, it’s a concoction of many a feeling – of love, family, ownership, pride and the list goes on.
However, it’s not an easy decision though it’s in everyone’s wish list. Because, we need to find answers to many difficult questions – When to buy, where to buy, what to buy and how to buy. Many of us get stuck at ‘What to buy’ – whether to buy an apartment or buy a piece of land and do bespoke construction.
So, which one is better? An Apartment or land? One way to find the answer is to go back to the ‘feeling’ we spoke about sometime back. Ask yourself what you really want and why? Let’s try and decode it a bit, going by logic and the ‘feeling’.
Which one easier
Of course, it’s the apartment – You just need to arrange the money for the apartment you like. No need to run around to figure out if the titles and legal documentation are in place, unlike that for a plot of land. If it’s an apartment, the developer would have done all that by default. Acts like RERA make it more secure and protect homebuyers, as all developers are required to adhere to its bylaws. If you plan to construct a house on your own, you better be ready to do a lot more legwork. You will have to find an architect, get the construction plan approved, negotiate and find the best deals for raw materials etc. All these might be worth the effort as you are going after that ‘feeling’ of building your dream home.
If you are living in a metro, the cost of buying land and then constructing a house would end up being way higher than buying an apartment. Having said that, it also depends on your budget to buy a home.
These days, most of the apartment complexes offer amenities like clubhouse, swimming pool, sports facilities, landscaped gardens etc. Unless the land you purchase is part of a community or township, you should be willing to sacrifice these amenities. Another important factor to consider is the safety aspects of living in an apartment complex.
As an investment
The type of property is not the only parameter that decides the return on real estate investments. Factors like timing, location, buying price, cost of buying, interim returns like rentals etc. are to be considered. However, it’s fact that a piece of land can appreciate faster and longer than an apartment.
The process to avail a loan to buy land is way more tedious than that of an apartment. Most of the banks would also levy higher interest rates on loans for land. However, if you plan to construct your house within two years of purchasing the land, banks would offer loans at better interest rates.
Now, you take a call, buy land and construct with all the freedom to design your dream home or buy a beautiful apartment that suits your needs. Guess we have discussed a few important factors that would help you make a decision. Hell No, you may think. Yes, we understand, because Home isn’t a place, it’s a feeling. If you need help finding a home, just visit NoBroker.com