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Book
the Property Under Construction
There
are many benefits to book the property, which is under construction.
However, there are few cautions required to take the decision
to book the property under construction.
A)
We are highlighting below the benefit of booking Property Under
Construction
- Lower
Price: Since the builder wants money. He encourages
the investor by offering lower price.
- Payment
under automatic installments: you are required
to pay as per schedule agreed with the builder in proportion
to the work completed.
- Pre-construction
Loans from the banks: The banks are releasing
loan for approved clients and approved builders even through
it is under construction.
- Income
Tax Benefits: Interest amount paid for pre-construction
loan amount is allowed as a deduction from income. However,
this benefit is available only upon completion of loan.
B)
Precautions for booking of under construction property -
- Go
for most reputed builder: Check their past performance.
- Go
for projects that have been approved by bigger Financial Institutes
like HDFC, ICICI or SBI. The Fls usually do a through due-diligence
such as checking title of property and various approvals and
permissions.
-
Ensure proper documentation of Amenities, Facilities, Quality
of Construction, Registration of Agreement, etc.
Just
Summary:
- Typical
payment schedules for an under-construction 13-storey residential
building is shown in percentages in the following picture.
- Stick
to reputed builders
- Go
for approved projects that has received CC from municipal authorities
- Price
for under-construction flats will be lower than ready-to-occupy
flats
- Premium
for amenities like lagoon pool, basketball court can't be more
than
Rs. 500 per sq ft
- You
can avail of tax benefits for the interest paid during pre-construction
period only after the completion of work.

Our
Proposal at Navi Mumbai -
We
have an excellent property under construction.
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Location - Kamothe*,
Navi Mumbai
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Total number of flats in the building - 72 flats
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The availability of flats - 2 BHK (1050 & 1055 sq. ft.)
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Current Rate - INR. 2700 per sq. ft.
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Current status of construction - 3rd slab completed
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Estimated month of completion - December, 2008
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Approved for Bank Loan - By HDFC and IDBI
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Estimated Rate on Completion - INR 3500 per sq. ft.
P.
S. - 10 NRI's have
already booked property in this building through us.
*Kamothe
is before Panvel and after Kharghar, Belapur & Vashi. It is
about 50 kms from Victoria Terminus /C.S.T train station and only
10 kms from the new International Airport at Navi Mumbai, which
will be ready by at 2012.
Log
on to our website www.mideastproperties.com or
click
here for more details of the building.
Thanks
& Regards,
For Mideast Properties Pvt. Ltd.
Nidhi Shah/ Sanjay Bhatt
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