Is it beneficial to buy flats from Landowner’s share?6 min read
Both the landowner and the builder are important stakeholders who invest a great deal of enthusiasm and commitment in a real-estate project, whether it is flats or villas. A buyer can buy from either landowner’s share flats and villas, or from the builder’s share, depending on the availability. In this article, we discuss the advantages of buying landlord share flats or villas.
1. Build rapport, get a better deal on landowner’s share of flats & villas
Landowners are not business-minded. Of course, they do aspire to sell the landowner’s share for the best price. However, negotiations with them can be more warm and human. And if you can strike a rapport with them, you can negotiate the price and get a fair concession. Often, buyers develop a nice bond with the landowners while buying landowner’s share property and become permanent friends. Buying from landowners share of flats or villas is more than just a real-estate deal, because of the human connection. Therefore, it is possible to get the property for competitive pricing.
2. Landowner’s share of flats & villas are generally better units
For buyers who are looking to buy ready-to-move flats and villas, the landlord’s share property is a better option. These are mostly better inventory like corner property, premium facing (east) units. Landowner property may also be better in terms of vaasthu, floor choice, neighboring details, view from the apartment, and other architectural benefits.
3. Landowner’s share of flats & villas are better quality
In any real-estate project, there is a hired site engineer who supervises all the apartments and villas related to the project, irrespective of whether they are landowner’s share or builder’s share. However, in case of landowner’s share of flats or villas, the concerned landowner will also take a personal interest in supervising the construction and look into all the necessary details related to quality, functionality, and other aspects. This results in better quality for the landowner’s share of the property.
4. Landowner’s flats & villas may be more customized
Landowners may reside in their share of property or rent them out before they decide to sell. In such cases, a lot of customization with respect to plug-points, switchboards, shelves, fittings, etc. might have been done already. This is an added advantage to the buyer.
5. Landowner’s flats & villas would have better aesthetics
Again, landowners take personal interest with a sense of love and attachment to the property. For this reason, landowner flats or villas may look more beautiful.
6. Save on GST and Pre-installments
Landowners sell their share of flats or villas in the ready-to-move stage as opposed to the builder’s share that may be registered before completion of the project or handover. Occupation Certificate from the government may have already been obtained. OC will help buyers save on GST.
Additionally, if you buy a ready-to-move property from the landowner’s share, you don’t have to pay any home-loan installments (pre-installments) before you get possession.
7. Landlord’s share flats & villas may be distress sale
Landowners may sometimes be in a hurry to sell, for whatever reasons. As a result, they may be willing to sell landowners share flats or villas for a lower price.
Thus, there are numerous benefits to buying landowner’s share property. To summarize, you may get better quality, better-looking apartments at a competitive or even a lower price compared to builder share property, if you are lucky. You can also save on GST and pre-installments,
One more point to remember
When it comes to issues like landowner’s share having a lot of legal heirs and a lot of shareholders – like children and grandchildren, it is important to note that the same issues can also apply to the builder’s share. That’s because, ultimately the whole property (including the builder’s share) belongs to the landowner. In the majority of the cases, the builder does not include all the legal heirs/stakeholders of landowners in the Joint Development Agreement between landowners and builders. As such, any risk arising from legal heirs is equal for both landowner’s share apartments and villas, as well as the builder’s share.