Rising Demand of Residential Plots amidst Covid-19 Pandemic
As the onslaught of the Coronavirus pandemic is spreading like a wildfire across the length and breadth of our nation, a paradigm shift in the need for housing properties is witnessed to have been considerably rising amongst the prospective homebuyers. The primary reason for the demand for residential plots in covid 19 aftermaths lies in the intention of the inhabitants to opt to stay in separate homes.
In such dreadful times, individuals have started realizing the practicality of residing in larger and open spaces, as this cataclysmic effect of the corona virus widespread has confined them within four walls surrounded by an overcrowded commune.
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What can be the Possible Reasons behind the rise in demand for residential plots in covid 19?
The impact of covid-19 on real estate business offered deep insights to the real estate investors, to justify the preferences of the homebuyers. With the norms of social distancing as the top priority for individuals in these times, more and more people are nowadays craving to buy a greater detached personal space, than opting to leave in congested flats, especially in housing societies. Therefore, the demand for these separate plotted spaces has been seen to have a calibrated rise in the year 2020.
Although such plot buying trends did not fluctuate at a higher rate during the first three quarters, the realty investors were surprised to witness a considerable increase of nearly 50% in the last quarter of 2020, i.e. October to December. Even though there is always an urge amongst the property buyers for such independent residential plots, the covid – 19 pandemics provided the further impetus, resulting in such augmented demand among buyers. The most probabilistic factor for such an impulsive desire to buy independent residential spaces can be the inclination of the homebuyers to reside in more open spaces.
Besides, as the plot of land is an invaluable long-term tangible asset for the buyers, the urge of such plots is quite realistic and practical. Again, another reason for the demand for residential plots in covid 19 can be the low-density realty ventures, or areas where the population is low, helping the homebuyers to gain the advantage of a distinct private space while keeping in mind the social distancing standards.
Hence, such plot developments and investments among real estate investors and buyers consecutively offer enhanced adaptability and serviceability gaining prompt acknowledgment, which will rightfully stay higher shortly. Due to such growing demands for land plots, in addition to the fact that the worth of land never plummets, the realty developers are bringing in enhanced plot layouts offering an improved way of living for the property buyers.
Moreover, these residential plots of land are far better alternatives for the property investors, as well as the owners, as, unlike flats and housing complex apartments, they will not offer any depreciative values in the long run. On the contrary, wear and tear over the length of time might devalue the worth of apartments in housing complexes.
The residential plot properties on the other hand assure a more feasible and prospective yield on financing than any flat or studio apartments, due to their higher recognition value and lesser cost in capital funding. Hence, the covid impact on the real estate sector in India will stimulate the buyers to acquire a separate and distinct piece of plot, which is far from the hustle and bustle of a flat or apartment.
Now, as purchasing a piece of residential land or plot is increasingly becoming a good investment for the homeowners in the wake of covid – 19, so it is vital to consider some factors, which should be checked before purchasing a plot of land.
When the property buyers decide to purchase a residential plot of land, which is a separate space area unlike flats and apartments, the foremost point to be considered should be the locality or location of the aforesaid dwelling space. The desired plot to be bought should have convenient access to the important locations in the city and should be in the vicinity of the central hub of the town. The homebuyers should never get influenced by lower prices, when the residential plot is positioned in a far-off place, and where there can be transportation issues, and key facilities such as hospitals, schools, bus and railway terminals, and grocery markets are not in proximity.
Now, when choosing to buy a plot to build the ideal house, another component to consider is the size or area of the residential stretch of land. Therefore, the buyers should specifically need to ascertain the built-up carpet area that is available to construct the home, along the terrain and type of soil. Hence, the homebuyers should initially investigate the exact proportion of land, on which they are required to build their dwelling space. Moreover, residential buyers are nowadays opting for sizeable open spaces, thereby sustaining the social distancing norms and effectuating a successful impact of covid-19 on real estate.
3. Ascertain the Original Valuation of the Plot
Yet, another vital consideration is to ascertain the original valuation of the plot as per the current market price. Some unscrupulous reality developers might offer the buyers a dirt-cheap price for the residential plot, which should never be recklessly accepted by the homebuyers. In case, the buyers do not perceive the correct valuation of the plot, they need to seek advice from an expert realty consultant, and cognize the real value of the land. Besides, it is advisable to consult more than one realty dealer to find the actual cost of the property. Therefore, with such unique recommendations, the demand for residential plots in covid 19 has seen a considerable increase, as the homeowners can benefit from the optimal deal.
4. Authentication of the Land Developer
Sometimes, the house-buyers can face issues like, disputed or litigated property, wherein the specific plot might be facing legal hassles between the developer and the local authorities, or the homeowners’ associations. In such circumstances, the homeowners need to perform double-check on the seller or property developer, authenticating the aforesaid builder’s current and past reality projects. Besides, they can also engage in chats or post their questions in the various real estate digital discussion symposiums to have a better perception of the trustworthiness and loyalty of such property developers.
5. Substantiate the Title Deed
Now, the purchasers of residential plots need to ascertain, whether the seller or realty developer has complete jurisdiction over the concerned property. Herein, they should find out, if the title deed of the plot to be purchased is in the name of the seller, and the entire right to sell the plot is only with the seller or property developer, and nobody else. The homebuyers need to seek expert advice by having the original deed scrutinized by any well-known advocate to avert any legal hassles.
6. Give the Once-Over Encumbrance Certificate
Again, with the demand for residential plots in covid 19 arising considerably, the buyers deciding to purchase such plots need to ensure that the residential property is free from any type of judicial case. In this context, they need to inspect the Encumbrance Certificate of the aforesaid plot, which should be not less than 30 years. This vital certificate can be acquired from the sub-registrar office where the title deed is legally registered; specifying the particular plot does not have any juridical outstanding dues and litigations.
7. Justify the Usage of Plot
Another significant determinant before buying a dwelling land lies in ascertaining the usage of that particular plot. Such land usage is generally specified in the city master plan, which can be easily acquired from the regional housing authorities, where the aforesaid property is located. Such land usage zones are vital, as they help to mitigate the issues of land conflicts between residential neighbors and regulate the problems of overcrowding.
Moreover, it aids in permitting the homeowners to know exactly what can be constructed in their bought residential plot. Furthermore, such land-use zoning from local housing authorities can prevent any unlawful or hazardous establishment to be located in the vicinity of the concerned dwelling land. Hence, the covid impact on the real estate sector in India has seen the homebuyers follow such protocols that will offer a healthier and fortified environment in such separate residential plots.
8. Vindicate the Invoices of Property Tax
Again, the homeowners before negotiating for any particular residential land must ensure that they have the original property tax certificates and bills. They can approach the seller or property developer of the concerned land and request all the previous property tax counterfoils that have been paid by the seller for the same plot. Such bills obtained from the seller will certify that the owners buying the dwelling plot do not have to undergo any tax-related hassles. Hence, these property receipts, if not acquired in time can lead to judicial disputes and unnecessary incidentals in subsequent times.
9. Essential Compliances with Regional Authorities
Moreover, the plot purchasers need to validate the fact of the approval of the entire residential land from the regional housing authorities, and city improvement council. The homebuyers should enquire the essential documents for sanction to build the residential property, and should also get it authenticated by an advocate. In scenarios, where the property developer is designing a substantially larger residential building plan in the plot, they should always get the construction groundwork authorization only from the city development consortium and regional administration.
10. Release Authorization
Now, in few cases, the particular residential plot can be kept as a guarantee or collateral for acquiring the home loan from a bank. In these circumstances, the residential property buyers should obtain a release certificate from that specific bank, assuring them the home loan taken for the plot has been thoroughly reimbursed. However, in situations where there are multiple owners, the aforesaid certificate is needed to be obtained from all the individuals engaged in the proceedings.
Hence, the residential plot buyers need to evaluate such crucial factors and adhere to the regulations laid by the regional authorities before deciding to purchase the choicest dwelling space that will suit their distinctive tastes and preferences, and meet the demand for residential plots in covid 19.