It is rare to find a real estate project that is not involved in some form of legal dispute. Land disputes have increased in parallel with the real estate industry's surge in popularity. Disputes with land ownership, approvals, and NOCs have been some major issues that investors and buyers usually face.
Here is a list of elements that you should consider while evaluating the validity of any real estate project to keep yourself safe from any sort of scams and harm.
History of the Developer:
The hiring of a real estate developer or choosing a project from a developer who has a sound record of meeting deadlines and completing all the legalities is always a wise decision to start with. These developers or projects are likely to appear more professional and valid. One can go through their past projects to have some know-how about the developer.
Tracking the Ground Reports:
To find out more about the company, you can simply do online research through blogs or news articles, or any property websites. One can get a substantial amount of information online regarding the developers and the projects.
On the other hand. Field research is also recommended. Talking to real estate agents in the area, people living in that vicinity, or people who are also interested in that specific project.
The requirements for a quality management system to be accredited to the ISO 9001:2008 standard are based on eight principles, two of which are concerned with customer focus and customer satisfaction. Confirming that the developer has been audited and certified in accordance with ISO 9001:2008 standards is essential before choosing any project since it indicates that they take their work seriously and are credible.
Most of the builders offer to share their financial data on their websites, you can check if the company is in too much debt and if it is unable to pay back, try not to invest in that particular project. This information can also be collected from the Registrars of Companies (ROC) office. Furthermore, it is difficult to get data for companies that are not registered.
Developers are given grades based on their past performance in delivering projects as planned and transferring clear titles in the allotted time frame. When assessing real estate developers, companies look at a number of various standards, such as past performance, organizational capacity, and financial skills.
The ratings are based on both qualitative and quantitative criteria. The developer's legal history, quality testing technique, previous project execution, the projected timeline for delivery, and financial stability are all examples of quantitative variables.
Trusting only what someone says they will do is a bad idea. Make sure the developer provides you with everything you need in writing. Read the fine print to ensure you understand the payment terms, the expected delivery date, and any late delivery charges. Keep a copy of the agreement for your records; it will be your primary piece of evidence in court. An individual may also seek legal advice to review the documentation for additional approvals and verify the property's ownership.
Finding out what others' experiences have been with a particular real estate developer will help you make an informed selection. If you want to find out more about the firm, the internet and social media are the platforms where you should look.
These steps might help you save yourself from the scams people usually face while investing in real estate projects.