Pre-launch projects in real estate industry are gaining momentum with support of public interest in India. The attractive interest figures of Home loan and improved economic earnings of professionals has acted as a medium for investing in Residential property.
Most of the real estate projects are developed in phases. With the basic approvals from the authorities in place and before the start of any construction activity, developers start marketing the projects to buyers at a discount. This is called pre- launch in industry parlance.
Although investing in pre-launched projects can be risky undertaking but it will surely pay off as long as one has factored in all possible variables. It makes most sense to investors who have a high risk appetite and the ability to weather an eventual setback. Many end users also try and invest during the pre-launch phase to get financial discounts.
The real estate prices of any new property are generally lowest at pre-launch. While pre-launch helps in creating a market buzz around the property, the offering of discounts doubles up as a great marketing tool. The users are also equally eager to invest in such pre launches as it offers a good rebate on the overall costs if the project finishes as per its schedule.
A checklist for buyers especially those planning to buy in soft launches and pre-launch is to personally scrutinize builders property documents. As a potential buyer, one must check the documentation of the builder with the concerned land authorities including municipal corporations, declaration and sale deed from previous owners to other financial details of the project. Due to the lack of any industry watchdog to supervise complaints for deliberate delays, taking a legal course in the consumer court is the only remedial measure for buyers facing conscious delays.
