6 tips to finding the right residential property in Hyderabad!
Buying a home or investing in real estate in itself is a question which home-buyers grapple with. Sometimes, we are NOT very clear about ‘why’ we want to buy a home. At times, the dilemma is around ‘what’ to buy!
The mind wanders around various questions like:
….whether to buy an apartment or a Villa. Go for an ‘expensive yet smaller apartment’ in a hot location or choose a ‘cheaper villa’ in a more reasonable location. Opt for a ‘gated community apartment’ or choose a ‘standalone building apartment’. Finalize on a ‘regular apartment’ or settle for an ‘exclusive independent floor’ apartment. The options are too many, and that adds to our confusion!
As a first-time home buyer or an investor in Hyderabad, these questions can be very confusing and frustrating. To top it all, we sometimes end up receiving multiple pieces of advice that are contradicting. Hence, finding the right property within our budget becomes a challenge!
Hyderabad as a housing property market is still very reasonable, be it residential plots, villas of apartments. In this article, we shall limit ourselves only to the question of ‘residential property’ options.
So, you should begin with the question about buying the right property within your budget that meets your objective?
The big question: If the residential property you buy is ever going to be used for self-use in the future, OR whether the purchase is done with the sole purpose of ‘return on investment’ (buy now, sell later)?
Once the answer to this question is clear, you can start demystifying the rest as follows-
1. Which location suits my purpose?
- Find the ideal location that meets your financial objective or family needs matters! For both self-use and investment purposes, and assuming that the children are growing-up, factor-in their future needs and proximity to social infrastructure that suits their needs
- Place of work is important for location. For instance, in Hyderabad, Western Hyderabad near Hi-Tech city and Madhapur area, you have many projects because it is a thriving job hub to the IT enabled and IT professionals
- Sometimes, slightly remote localities away from the job-hubs can be promising in terms of potential to appreciate.
- For instance, Bachupally, Kompally, Alwal, Sainikpuri and Yapral are currently in demand in Hyderabad for this foreseeable potential to grow
- Cheaper localities tend to appreciate with rapid development, thanks to GHMC and civic authorities
2. What’s my budget?
- How much money you can afford to invest in the new property?
- Your decision on budget must be situational and based on hard-facts. For instance-
- You must not jeopardize your ‘present’ in the zest for future returns or even convenience. A mid-path approach helps when your own future prospects on finances are uncertain
- Also, if you are having reasonably high security or assurances of your earnings in the future, you can comfortably take the risk of stretching beyond your budget as well
- Families with double-income (husband, wife or children earning) can afford to go beyond the projected budget to buy a bigger, better home
- Once the budget is finalized, you can explore different options that fit the bill
- Budget also needs to bake-in costs like registration, interiors, and other amenities that make life more convenient and pleasurable
3. Do I understand the residential market of Hyderabad in different localities?
- An in-depth analysis of the prevailing market trends in Hyderabad is a must-have. Do your research about the property market, so that nothing is a surprise for you once the decision is made!
- The past trends of market appreciation, and potential of localities in and around Hyderabad is a must. All these must be viewed with a keen-eye on your own priorities & objectives!
- For instance, while Western Hyderabad is in demand being the IT hub, the other hubs like North, Eastern, South and Central Hyderabad are equally self-sufficient
- Less populated areas like North Eastern Hyderabad, which includes Sainikpuri and Yapral are also witnessing interest of home buyers who want to closer to nature. So, PRIORITIES matter!
- Such considerations make the residential markets in and around localities like Sainikpuri & Yapral very attractive for those who want to live in the lap of nature, and provide well-being for their families
- Beside this, one needs to know about the legal nuances like GHMC building permit, RERA norms, and the legal elements like ‘occupation certificate’ of the property so that you are safe while investing in real estate in Hyderabad
4. What is the quality, size and type of residential property that serves my purpose?
- The quality of construction by the builder must be checked with the past projects delivered by the builder, and the kind of professional team that is engaged in crafting your dream-home
- Finding the right property also means that you must NOT compromise on the construction quality, the size of the unit, and the specifications of the fixtures and fittings
- It also means that you should be able to prioritize your needs on the type of property
- For instance, if you have a budget of Rs 1.5 crore in Sainikpuri, you can easily choose a 2200 sft ‘independent-floor’ apartment, where you own the entire floor
- Compared with this, a small villa 10-15 Kms away from Sainikpuri may NOT be a prudent choice. This means, you must have a balanced view of not just the prices, but also ‘QUALITY OF LIFE’. This also determines future increase in price of your property
- Also, at times it may make sense to invest in an under-construction property if you are NOT in a hurry to get possession
- In another situation, if time is of the essence, and you need to move-in quickly with your family, then a ready-to-move property may make more sense
5. Reality-check on my needs
- You must revisit your actual purpose or need with the purchase before you commit to a property. Never take a hasty decision!
- If your reason is to have a dream home, then your though-process and exploration will be very different from someone who is looking at just return-on-investment
- The kind of amenities and specifications you seek will also determine the choice of home
- For instance, for some home buyers external amenities are important, and for others what’s inside the home matters more!
- MORE SPACE inside the home in itself has become a LUXURY. There has been a change of thought-process in the post-covid era, where home buyers are seeking BIGGER SPACES inside the home, and are NOT very keen on common and shared-amenities
6. How well is my credit history and debts?
- Before your purchase, you also need to check if you are applying for a home loan
- Your credit history is important for banks, and they allow for higher loan eligibility of all your previous debts are cleared, and you have enough disposable income to pay for your EMIs
- Banks look for safety of the ‘credit’ they invest, and a positive cash flow in your savings account, and good track record of your repayment history is a big plus for these financial institutions
These are some of the basic steps that will help you streamline your thought process while evaluating a residential property in Hyderabad…and making the right decision!
To quote Daryl Davis- “There’s a difference between being ignorant and being stupid… For me, an ignorant person is someone who makes the wrong decision or a bad choice because he or she does not have the proper facts. If you give that person the facts and the proper information you have alleviated that ignorance, and they make the right decision.”
To know more about “5 simple joys of living in a spacious ‘independent floor’ 3BHK luxury residence!” Click here