What happens when apartments get old in India?
Generally multi storied apartments are governed by owners associations. Once a majority of them decides to demolish it, irrespective of the age of the building, each owner will have ownership of their UDS ( un-divided share ) of the land. Well designed buildings can go on for more than 50 years easily.
What happens to flat after lifetime in India?
Once a majority of them decides to demolish it, irrespective of the age of the building, each owner will have ownership of their UDS ( un-divided share ) of the land. The owners association have generally the choice of sale or re-building. If it’s sold each owner gets money according to their UDS.
What happens to apartments after 100 years?
After 100 years you (your grand children) will get a notice stating the lease is over. You would then have two options. Vacate the property or renew the lease. It would be foolish to vacate the property and most legal fights going on are when the gov refuses to renew a lease term as the property.
What happens to apartments after 100 years in India?
The development authority of a particular area provides land development rights to developers and sells properties for a lease of 99 years. … Buyers of leasehold properties are required to pay a ground rent to the landowner for this. Lease of such properties can be renewed after the completion of the term.
Is flat better or house?
Should I buy a flat or a house – the pros and cons
|Flat||Usually under a leasehold agreement Usually cheaper to buy than houses Security e.g coded entrances, above ground apartments Sometimes come with on-site amenities|
Why you should not buy a flat?
Repairing and maintenance charges: This is probably the greatest reason why buying a flat can be so expensive in long run and can cost a substantial amount of money which will be required if the overall area of the building, which houses your flat, deteriorates or needs repairing.
Is flat worth buying?
If you wish to put your investment to use and look for using the asset on daily basis, then flat makes more sense and it can also be let out on Rent to generate monthly income which can offset your current living expenses to some extent or maybe create additional income for that foreign trip you had in mind for your …
Should you buy a 15 year old flat?
The best resale value for an apartment in Bangalore is within 3 years of purchasing and that too dependent of factors like Location,Builder and Quality of Construction. The resale value of an apartment after 15 years will be close to 50% of the orginal purchase price of the property.
What is the average life of flat?
Ideally, the average lifespan of any concrete structure is 75-100 years. But, it is considered that the average life of an apartment is 50-60 years while of a house it is 40 years.
Do apartments value after 20 years?
In conclusion, a new apartment with a price tag of 50 lakh rupees, with a 20% down payment and a loan with the bank at an average 8.5% interest rate for 20 years will end up with a price paid of over a crore rupees in total.
What is 99 years lease India?
99 years lease is basically if anyone has purchased the land as a 99 year leasehold, that person will be the owner of the property for 99 years only after that the land will be given back to the original land owner.
What is the maximum lease period?
Most rent agreements are signed for 11 months so that they can avoid stamp duty and other charges. According to the Registration Act, 1908, the registration of a lease agreement is mandatory if the leasing period is more than 12 months.
Is a 100 year lease long enough?
Here is how the remaining term on the lease should impact on your purchase decision: 100+ Years remaining: If there is more than 100 years remaining on your lease, go ahead with the purchase; you don’t need to do anything at this stage. 95-99 years remaining: You’re OK to buy.
What happens if flat expires?
Once the set period in the lease expires, the ownership of the property is given back to the land owner. Most leases are roughly given for the period of 99 years. … It is possible to extend the leasehold to up to 999 years and you can actually purchase the leasehold property, but by paying a price for it.
Is a 999 year lease as good as freehold?
A 999 year lease is effectively as good as freehold, and there can even be some advantages to owning some properties this way, rather than under freehold (see below). … If a lease has less than 80 years left to run, it may make the property hard to sell, and it may even be difficult to remortgage.