New Flats vs Resale Flats: Pros and Cons

Table Of Contents

Newly Constructed Flats and Resale Flats

Newly Constructed Flats: New flats are flats that are brand new. It is often stated that new construction has an allure of its own. It is equipped with the latest amenities, including recent trends. Because no one has lived in the house before, everything is shiny and new, and there are no worn-out pieces that require maintenance.

Resale Flats: Resale apartments are apartments being sold by the current owners who have already purchased the apartment. If the owner decides to sell the apartment after a period of time, then those flats are called resale flats. These resale flats are usually known as economical options when compared with ready-to-move-in flats.

Essential Considerations for Newly Constructed Flats

• Reputation of the Builder: Finding out about the developer’s reputation in the industry is crucial. Check for any grievances or unfavorable comments in the evaluations and testimonies left by other homeowners.
• Building Quality: It is essential to examine the new home’s building quality. Pay attention to specifics like the kind of materials used, the level of craftsmanship overall, and the finishes’ quality.
• Design and proposals: Make sure the house suits your needs and tastes by carefully examining the design and floor layout. Make sure the house has adequate space for a family and their lifestyle, and that the layout is functional.
• Resale Value: Consider the resale value of a flat, as it can hugely impact the property’s value. The higher the resale value, the higher the property prices would be. Flats with better resale value will also have better property value appreciation.
• Budget planning: To receive the best price, make sure to review the financing alternatives and evaluate the expenses of various loan schemes.
• Energy efficiency: Look for features in the house that save energy, such as insulation, high-efficiency HVAC systems, and appliances with energy stars. Over time, these qualities can result in lower utility expenses.

Essential Considerations for Resale Flats

• As a new buyer, be sure to carefully review and have the registration paperwork support the unit area, owner data, undivided portion of land, and parking. It is advised to do title diligence. The property owner should complete the selling agreement rather than those who have a General Power of Attorney (GPA) arrangement.
• There shouldn’t be any unpaid debts to the government or the Resident Welfare Association (such as property taxes).
• If the buyer plans to obtain a house loan, it is necessary to determine whether banks or other financial organizations are prepared to fund the project.
• The project ought to have received all required permissions.
• If there is a mortgage on the property, the loan must be closed before the sale is finalized.

Advantages of Newly Constructed Ready-to-Move Flats

• With new flats, you need not worry if you get everything as per your requirements. You can check it yourself during the construction. This not only offers satisfaction but also makes you feel at home.
• It is easy to secure home loans for new flats for sale. This is because ready-to-move properties pose less risk than newly constructed flats. In addition to this, the home loan interest rates are also on the affordable side.
• There is no waiting period if you purchase new flats. You can move in immediately if you make the purchase and complete the necessary formalities.
• The build quality and condition of new flats are far superior. They are built based on the latest construction standards, making them more safe, secure, and long-lasting.
• Homebuyers can enjoy a variety of guarantees and warranties with newly constructed flats for sale in Chennai and other top metropolitan cities. This offers peace of mind, not letting you worry about any potential damages.
• New flats are often built in the developing and upcoming localities. This allows room for scope in the development and growth of the infrastructure.
• The property appreciation value and resale value are comparatively high. This is because of the latest amenities and technologies that come with the newly constructed apartments for sale.

Advantages of Resale Flats

• Resale flats are highly affordable, which allows homebuyers to purchase a home without having to wait for years to save for it. Further, the prices can also be negotiated based on the age of the building, fixtures, and interiors.
• Most of the basic amenities are pre-installed in the case of resale flats. Some of the pre-installation amenities would include gas, water, electricity, security services, and maintenance.
• Though new flats are available for immediate possession, there might be a delay due to construction completion. On the other hand, with resale flats, such deals can be avoided with zero waiting time.
• Resale flats are exempt from paying Goods and Services Tax (GST). This also offers an additional advantage, as the overall cost will be straightforward without any hidden charges.
• There are very minimal to zero chances of legal disputes with resale flats. As the property was previously owned, all the documents would be clean and clear. This ensures extra security and a smooth transaction.

Disadvantages of Newly Constructed Flats

• The cost of buying newly constructed flats for sale in Chennai and other top metropolitan cities is quite high. This is a result of the growing demand for residential housing and the expanding real estate market.
• The property tax charges might be on the higher end, and the GST charges might be applicable for newly constructed flats for sale.
• The variety of options available, ranging from paint colors and light fixtures to carpeting and tiling, may easily overwhelm someone who isn’t an interior designer. You may slow down the process if you let choices hold you back.
• The completion time for new flats can be a little longer, which will delay your move-in to your new home.

Disadvantages of Resale Flats

• The maintenance and renovation costs for resale apartments are higher. Resale apartments are used and might require electrical and plumbing work during the time of purchase.
• Unlike newly constructed flats, there is no room for warranty or guarantee with resale flats. Any damage or renovation work should be done by the homebuyers.
• The utility bills for resale flats can be higher when compared with new flats. This is because new flats will have better energy-efficient sources than resale flats.
• There is very little room for customization. However, any major changes in the look and design of a resale home are made possible with higher expenses.
• The layout and design of resale flats can be outdated and might not have all the latest amenities and technologies.

Frequently Asked Questions

1. Is buying an apartment in Chennai a good investment?

Buying apartments in Chennai is a good investment option. It has various advantages, such as consistent and steady property value appreciation and better resale value with added tax benefits.

2. What are the best areas to buy newly constructed, ready-to-move flats in Chennai?

Neighborhoods that offer newly constructed ready-to-move flats for sale in Chennai are Tambaram, Medavakkam, OMR, Pallavaram, and Mudichur.

3. What are the best places to buy resale apartments in Chennai?

The best areas to find resale apartments for sale in Chennai are KK Nagar, Vadapalani, Velachery, Mambalam, and Triplicane.