#RAFTutorials: Apartments, Builder Floor, and Studio: Know the Difference!

Buying property can be stressful. Forget the money, and decisions about location, we are often stumped when confronted with real estate jargon. When one of our readers wrote in to ask us the difference between an apartments and a studio, we knew that he wasn’t alone in wondering.

Let’s begin with apartments.

Classic definition: An apartment is a self-containing housing unit that occupies only a part of a building. Now, apartments can be of many types. These include:

• Penthouses
• Duplexes
• Studio
• Duplex/Triplex
• Convertible studio
• Garden apartment

Typically, an apartment can come with several amenities like round-the-clock security and power backup, recreational amenities like swimming pool, clubhouse, gymnasium, and children’s park, among others.

                                                                         Did you know?                                                                                                  Apartment is an American word. In British English, it is referred to as a flat.

Builder floors

Builder floors are low-rise residential buildings with one unit per floor. These usually have five or fewer floors with basic or no amenities. Since builder floors offer greater privacy and space, these are often more expensive when compared to apartments in the same locality.

Studio apartment

The studio apartment is a nascent trend in Indian markets that has gained significant prominence over the last few years. A single unit comprising of a bedroom, a living area, and a kitchen area is termed as the studio. The only separate room in a studio apartment is the bathroom.

                                                                     Did you know?                                                                                           Studio apartments are also known as the bachelor apartment, efficiency apartment, or studio flat!

Now that you know the difference, let us understand the pros and cons of each property type.

Cost of buying

• The cost of buying an apartment depends on the size, project, and location.
• When compared to apartments, builder floors are higher priced. However, it allows you to enjoy the freedom and luxury of an independent home at an affordable rate.
• The cost of studio apartments is usually low because of the size. However, these days, several leading developers have launched premium studio apartments with extravagant features that are priced slightly higher.
• Maintenance cost is higher in an apartment and studio when compared to builder floors due to the availability of amenities.

Sense of space

In terms of space, builder floors are usually more spacious when compared to apartments. Studio apartments have limitations in space.

However, in terms of quality of life, apartments and studio apartments score higher because of the amenities provided in the complex. While several leading developers have ventured into both the apartment and studio property segment, only a handful have launched builder floors.

Scope of resale

Apartments and studio apartments are more popular when compared to builder floors. While the former is preferred by families, the latter is popular among bachelors and young couples. Considering the low demand, builder floors are usually difficult to rent or resell.

On the flipside, the percentage of undivided share of land is high with builder floors as there is a single unit per floor. Thus, during resale, one can expect better returns.

Privacy and freedom

When compared to apartments, builder floors offer greater privacy because of the lesser number of dwellings. Moreover, unlike apartments, where making structural changes is not always possible, builder’s floor offers flexibility and freedom to redo one’s home.

Security

An apartment complex has a wider net of security with several features. Since the security is shared by all residents, the cost is nominal and is usually factored into the maintenance cost. However, this is not the case in builder floors.

Quick checklist

• Due diligence is a must in all property transactions
• If you are buying a builder floor that has been developed in collaboration with a developer, make sure to get a tripartite agreement involving you, the landowner, and the builder.
• Verify the track record of the developer
• Find and compare the prices of similar properties in the vicinity

RoofandFloor verdict!

In a nutshell, all three property types have their advantages and disadvantages. In the end, it is just a toss between preferred lifestyle and budget. Don’t forget to share your experience with us in the comment box.