Does a Apartment Price Depreciate?

[muthumani LLC]

Most of us have thoght that the value of a plot appreciates more than a flat. Is that true?

 

The answer in short is - It Depends.

 

Yes, It depends on a lot of things. Getting a plot in a area that would not develop in the next few years is wose than getting any stupid apartment in good locality.

 

More so, it depends on these qualities of the flat:

 

Builder	Flats/apartments by good builder and promoters demand a higher valuation.
UDS	Some flats come with a higher UDS – those are helpful when the flat is sold. Older the apartments, UDS is more important.
Locality	A flat is bought in second hand mainly due to this – they like the locality. So, if there are schools nearby, bus facilities to the office they need to travel to, the buyer is interested.
Maintenance	Keep your home well, it gets a better price. This is true for the community and the building as well. better it looks, better it would last – more you can sell it for.
Parking	This is essential for the sale-ability of the apartment. People need to park their cars/bikes – so make sure your apartment has enough.
Internal Layout	Buyer needs to like the layout before he/she buys it.
Transportation	Bus/train facilities and good roads around the flats when you sell fetch you better value for the investment
Lift	I guess this is obvious, people like comfort – lift becomes essential in a few years from now.
Security	Gated communities sell at 15-20% premium
Rental income	A lot of people buy homes in the same place in which they were living rented. So, instead of paying more rental income, they own home in the locality they are used to. A lot of others buy to rent the home – Here, rental income is very important
Facilities	Gyms, Tennis courts, Swimming pools, parks, walking areas, halls to rent, shopping areas – all this helps in its own way.