2 November 2014
LARD. That is the mnemonic. It stands for location, area, rate and developer. For supreme realty investment security, realty investors need to focus on these four vital factors. For, these are the bulwarks of sound realty investing.
It pays to repeat. Realty investing is all about location, location and location. So, turn eagle-eyed to check out on the strengths of the location, its socio-civic infrastructure, its connectivity positives and its demographic composition. These are the very elements that determine your comfortable living, your realty security and potential uptick in your realty valuation. Never shy away from doing a SWOT analysis of the location and weigh the geographical gains that are on their way.
Turn your attention to area now. Check out the area you are paying for and check out the area you are going to get as your living space. That means you need to understand the percentage of loading on the carpet area. Ensure the developer is not loading too many things on your carpet area so that your living space is reduced to a pigeon-hole and your pocket to a gaping hole.
Then the rate. Compare the per-square foot rate charged by other developers for similar projects in the locality. Compare, compare and compare. That is the secret to smart realty investing and the mantra behind realty investing security. Do not dive in without comparing.
Finally, do a reality check on the developer. Analyse his past history, study his track record, assess his investor-friendliness, evaluate his grievance redressal mechanism, rate his compliance standards and weigh his commitment to quality. Make sure he was not embroiled in litigation in the past and ensure he had not violated the canons of consumer protection anytime before.
Once you go through this LARD motion, you are sure to lord it over.
2 November 2014