The world of real estate is vast. One must consider the kind of investment they want to make. Pakistani real estate market flourishes as it has the potential to be ever on the rise. Investment into the real estate world can seem daunting for beginners. There are many fears of failure and regrets when trying to buy plots for sale /residential plot.
For people who are looking to invest in plots, we have a few tips that will surely make the process easier.
Saving up for your first property:
This is a prerequisite of dealing with the buying of any land. Buying land is no small business for an individual. It reflects the status of money and power. Saving up for buying your first plots for sale /residential plot is something a lot of people are looking to do in near future.
Setting a monthly saving plan is a big thing to achieve. We all have thought we will budget and save our income, and yet no profitable savings have come from those ambitious thoughts… you might find the way to follow the 50/30/20% rule where you spend on your needs, what you want, and rest goes to savings respectively. You could follow a rule for yourself or try to at least commit to saving a small portion of your income money monthly/weekly. Sticking to the plan is the key to the success of it. The slow yet steady plan will work if you start soon enough. Opening a savings account in your bank may also help.
If you do not have the capacity to buy a fully furnished plot, try to look for an area that needs tidying up to do; as such plots will go for a lower price that may fit the size of your savings.
Have a clear motive:
One of the first things a person should consider when buying a plot is deciding ‘what will be the ultimate fate of the property’. Some want to build a house, some are buying property to resell it for a better return on investment, similarly, some are looking to build shops, plazas, etc.
The importance of having a clear objective is that you will be cautious to buy land in the appropriate area. Some areas are reserved only for commercial properties; whereas others are purely designated for residential buildings. Building a shop in the middle of the street may not be legal. Likewise building a residential property amidst a busy bazaar might not be the vision of your dream house.
Tips on searching through the variety of options:
Once a clear motive is set, the next step is the research of options.
There are many outlets online that can allow a person to figure out what the market offers. Try to opt for reputable websites on the real estate market that can provide authentic listings of properties. Check if the listings are verified or not, this ensures that the property is real and the seller is registered with the website.
Another way is to get in contact with the local real estate agents to give you advice on what plot will be best for you. Network in your own social circle to find a potential buyer that you can negotiate with, ask around your offices to find a closer insight on a plot that is for sale. Dealing with people who you may know on other terms can result in better and risk-free deals of property.
Visit the interesting properties in person:
If you have heard of a property that interests you, or have pinned an online listing; it is important to visit the site in person. This will get you a better understanding of the area you are investing in. this will help you judge whether the plot of land fits the goal you have for it or not.
For example in the case of buying plots for sale /residential plot for reselling; if the property is placed on a corner of a flourished society, or near a busy road; potential future buyers will be discouraged by those factors. Such points can be missed when telltale of a plot are believed in.
Check the property background:
There have been recent cases of people buying lands that were actually part of a property dispute. Some people may have ill intent while selling a property or maybe hiding some of its flaws or shortcomings. If you are interested in a particular plot, it is a good measure to ask around for its history. Usually, the locals around the property will have some know-how of the land and its authenticity or not.
Moreover, if the plot is being bought for building a residential property; the background check of the area is something to confirm. Safety and facilities of surrounding areas are something that should always be kept in mind in such cases.
Getting the Paperwork done:
In simple terms; the paperwork of the property is proof of its dealing and transfer of ownership. This is a task that you may want to be assisted by a professional. Lawyers or estate agencies can help put together the official paperwork that provides the legal basis for the dealing of property.
Getting paperwork for the property is a process that should be taken with extra care and caution as the margin of mistakes is less. Any unintentional errors or intentional foul play can lead to a future dispute and legal issues over the property.
Applying for an NDC and getting allotment letters. Confirming the ownership of the said property by collecting pending property taxes, utility bills, society fees, membership charges, development charges, possession charges from the previous owner. Getting the property purchase agreement and a lot more details that all need to be put together before the property’s deal is finalized.
Hiring Real Estate Agents to ease the process:
Are you too caught up in the routine of dealing with your job, businesses or do not want to compromise quality time with your family and friends? A great option to lift off your concerns is hiring a real estate agent.
Moreover, for a first-time buyer; doing all the research and investment yourself is quite intimidating. We encourage the new investors to utilize the array of tools for their own ease. You can look to reputable real estate agents and hire them for your dealing.
These educated and reputable dealers can provide a set of knowledge and skill set of negotiation tactics that will end up benefitting you to get the best prices. The estate agent you hire can take the workload of finding the best property, making appropriate paper works and dealing with sellers all at once.
Reputable and successful real estate agents are part of a vast network of property owners and dealers. This allows them to find the best property for you. They can also apply their knowledge and experience to help you steer clear of any scams (briefed later) that first-time buyers can fall for while dealing.
Emphasis on ‘reputable and successful agents’ is important. An inexperienced agent may be easy on the pocket to hire but they may end up making mistakes, or worse; committing frauds that leave you at a financial loss.
Be aware of market frauds and scams:
As the real estate market goes on the rise, it is unfortunately infiltrated by numerous criminals. In the current state of the market, many greed-driven con-artists are awaiting to scam people off of heaps of money that they can pocket. There are many kinds of frauds out there on the real estate market. Following is a brief of the most common ones:
Fake Listing of property:
This scam is prevalent in the online dealing of properties. These websites do not verify the listings and there is a chance that is there is no physical existence of a property being offered. Such sellers can lead to online scamming where the buyer is left empty-handed… certainly a position no real estate investor wants to end up in.
This is a big reason why physically visiting the property is encouraged amongst real estate buyers.
False marketing values:
Another common scam is telling tales of false market values. The seller will usually exaggerate the condition and value of their property to make it sell more than its actual worth. It is a smart choice to always educate yourself with the real market values of the property you are looking to invest in.
One of the most dangerous, yet common scam is forging paperwork. Always read the fine prints of the paperwork of property. A person can change a few statements around to trick you into fraud, which when overlooked can end up in disappointment and regret.
Overall we would say that buying your first plot is easy if one is aware of what they are doing. You can tackle this task ambitiously by yourself and take help following in the footsteps of the advice given above. Or you can simply do the easy way out of leaving it up to a professional real estate agent. One has to be cautious and careful in the dealing of property; especially when you are a beginner.
We hope you found our article helpful.