Buying a home is a big decision. This is an investment that you are making for a life time, often with a significant portion of your life savings. You will want to ensure that the builder you are approaching has high standards, in terms of quality, construction and post sales services. Here are five things that you may do to check on the reputation of a builder and make the right decision when choosing one.
Overall Perception: The Internet is the first place you will head to when you want to investigate the reputation of a builder. Look for reviews online in forums, blogs as well as in the news. Some amount of field research is also a good idea. Visit other properties in the same area, completed recently by the builder. Check with the residents on the quality of construction. Speak with local brokers and check on the current prices for the particular project in the area. This will help you understand the appreciation you may expect from the property.
Established Track Record: An experienced builder will have a better track record over someone who has recently made a foray into construction. An experienced builder will have processes in place and will have their paperwork for every project and customer up-to-date. You must especially look for a builder who is a member of Confederation of Real Estate Developers Association of India (CREDAI) or Builder’s Association of India (BAI). These bodies have strict norms about quality and transparency for each of its members.
Recognised Certification: It is important that the builder you approach have an ISO certification. This is an elaborate system of checks which are aimed at customer satisfaction. It dictates the level of professionalism a company has to maintain. Check with your builder on his certification before you take the plunge.
Star Ratings: Ratings of this nature are no longer restricted to electric products and credit reports. The CRISIL Real Estate Star Rating is a city-specific assessment of real estate projects that are coming up. Developers are judged on a range of parameters such as clear titles, legal standards of construction and timely handover. Rest assured that if the builder of your choice has a good rating, then you may expect a great product. These ratings also contribute to a national standing. A developer will have to register with CRISIL in order to be rated.
Financial Standing: It is important that the real estate developer you approach have a great financial track record. The last thing you need is for your developer’s company to go belly up before handing over a project. Every listed developer’s balance sheet is available for public scrutiny. If you find that the company is in debt to a large extent or has loans pending for a long while, you better steer clear. For those who are not listed, you may look into their credibility on the Ministry of Corporate Affairs website.
It is important that you do all the ground work yourself, as you will be the home owner. Real estate is a lucrative business in India and many unscrupulous entities are out there to try and make the most of it. The onus often lies largely with the prospective home owner to do the research and make the right choice.