Why Freebies In Real Estate Deals Are Not Really Free
January 12, 2015
There is a glaring FEE in the FrEEbie that most of the people, more often than not, fail to see.
– A wise home buyer
No other quote can clearly summarize the current real estate scenario as much as the one mentioned above. Home buying is an important life decision and a lot of research goes into finalizing a property. In today’s market scenario, realtors are everyday coming up with innovative marketing gimmicks such as deals and offers in order to woo buyers.
The various offerings provided to entice buyers range from gold coins, cars, foreign trips to free property registrations, parking facility, built-up area, etc. These marketing gimmicks touched an all new high when a realtor recently offered a ‘Buy One Get One’ scheme – a studio apartment that comes free with the purchase of a luxury home in one of its projects.
The Real Scenario – There’s no free lunch
Experts believe that these attractive schemes like discounts, freebies and flexibility in EMI payments offered by the developers are already factored within the project price. And in case of luxury or high-end projects, the profit margins allow developers to give away freebies that contribute nearly to 3-12% of the property value.
What’s the catch?
In order to boost sales and offload unsold inventory, many developers offer specials deals & schemes. It is a buyer’s responsibility to not get blinded by these sales techniques and thoroughly research on the various factors that are to be considered before investing in a property such as,
- Neighbourhood and connectivity
- Price as compared to other projects in the locality
- Credibility of the builder
- Past delivery records
- Project quality
- Necessary approvals, etc.
One should not do a property search based on special schemes or deals as buying a property is a significant milestone in terms of making a lifetime financial investment. One can also compare the property price with the other projects on the same locality to find out if the special cash discounts and freebies are already discounted within the price or not.
Where Quality Sells & Not Deals
Driven by a strong belief in building aspirations and fulfilling them, Casagrand focuses on delivering quality homes ahead of schedule at the best price and does not believe in offering special schemes or freebies in order to bring in sales. We believe in the fact that quality sells itself and we focus on passing on the best benefits to the customer in terms of price.
If you’re looking for your dream home or to invest in real estate, you can check out our various projects – villas and apartments in Chennai, Bangalore and Coimbatore.