Ready-to-Move-In vs Under-Construction Flats: Which is Better

Ready-to-Move-In vs Under-Construction Flats: Which is Better

Among the options of buying a property, one of the most significant choices is to decide between a residential flat, which is ready for occupancy and an under construction one. Each option also has its benefits and drawbacks and their choice is rather contingent upon the customer’s individual likes or dislikes, his/her financial circumstances, and plans for the future. This blog is designed to shed a light on the advantages and disadvantages of every option so that you can make the right choice.

Ready-to-Move-In Flats

Advantages:
Immediate Possession: The availability of ready to move flats is one of the major benefits you stand to get when you are buying any of the available flats. The process of obtaining the home does not take time and this is preferable for those who require shelter immediately.

No Construction Delays: What is important is that the property is already constructed and there is no possibility of the construction getting stuck. You can personally visit the flat, make sure that all the facilities as provided by the owners are in good condition and functional as required before buying any flat.

Tax Benefits: Once homebuyers start repaying and the EMI is paid, homebuyers can also deduct on their tax from the repayment of the principal amount and the repayment of the though interest under Section 80C and Section 24(b) respectively of the Indian Income Tax Act.

Also read: What is the Price of a 3 BHK in Noida Extension?

Rental Income: If you have no immediate intention to live in the property you can let it and get rental income immediately.

Disadvantages:
Higher Costs: As for the Ready to move in Flats these may be slightly more expensive than the under construction ones. The factor of an immediate possession of a home comes at a cost.

Limited Customization: However, as you mentioned earlier, you have a built property, therefore your options for customizing it are somewhat limited. Any changes or renovations will have to be done after the property has been bought hence will be very expensive.

Older Inventory: A few move in flat stocks may belong to old constructions and, therefore, the facilities that accompany such units may not be as advanced or trendy as what is being offered by relatively newer constructions.

Under-Construction Flats

Advantages:
Lower Costs: It is common to find that under construction flats are cheaper than flats that are already built. It is cheaper initially in terms of cost of construction since once the structure is completed, it is very expensive to alter it.

Flexible Payment Plans: Of course, flexibility in payment options is one of the major advantages when contacting builders. Regarding the costs, you can make payments in phases as the construction work begins, which is more convenient.

Customization Opportunities: If one acquires a flat when construction is in its embryonic phase, he enjoys the freedom of making alterations to the interior of the building to suit his/her tastes. It is also possible to choose finishes, layout, and do many other changes.

Potential Appreciation: It is also true that the amount which is paid for an under construction property will increase over a period of time, especially if the building site is in a developing zone. This can be very rewarding in terms of outputs from the laid down investment.

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Disadvantages:
1. Construction Delays: That’s one of the major pitfalls of purchasing an under-construction flat, Construction delays. Unfortunately, the actual completion of the regulatory aspect, financial constraints, or any other concern can delay the possession date.

2. Uncertainty: The thought is rather open-ended and there’s an element of uncertainty with what the final product is. The final design and quality of the flat might not be to the tune of what was offered and advertised.

3. No Immediate Tax Benefits: Exemptions on taxes on home loans are only applicable after the house is fit for occupation. In return, until then you will not be in a position to offset against tax on the interest paid.

4. Double Financial Burden: In case, you are living in a rented house waiting for the flat which you have constructed to be ready, you might find it difficult to pay rent as well as the EMIs.

Factors to Consider
1. Purpose of Purchase:
•If one wants a house immediately, mainly for their own use, then a ready to move flat would be more appropriate.
•In case you buy it for letting it out or for hold purposes and you have time to wait then under construction flat will give you

superior returns
2. Financial Situation:
•Think about what you need in terms of your available money. A ready to move in flat would require a onetime payment while a flat that is under construction would give you the option of making payments in installments.

3. Risk Appetite:
•Determine your level of risk. Still, if you are apprehensive and do not think you are very good at interior designing, then a ready to move in property is less risky. If, for instance, you are willing to incur extra risk for a probable higher yield, an under-construction flat would be good for you.

4. Customization Needs:
•If you have certain ideas about how the house should look, and you want to individually choose everything, an under-construction property is perfect for you.

Conclusion

Initially it is imperative that it is worth to note that both ready to move flats and flats which are still under construction have their own pros and cons. It only implies that the right choice depends on the capacity that is needed in the immediate future, the monetary position and the vision for the distant future. Ready to move flats have more comfort of occupation and less risk whereas under construction flats have the comfort of having less cost, opportunity of making payments in instalments and an opportunity to alter the flat as per one’s choice and the probability of having an appreciation in the value of the Flat. Measure your needs and get the most suitable way that will suit your needs.