Should I Buy This Property?

Enter the numbers you’ve been quoted. We won’t tell you “buy” or “don’t buy” — we lay out the measurable factors next to our locality data so you can see where the deal is strong and where it isn’t.

Each factor is marked in your favour, worth checking, against the deal or for context. Here is what each one means and the thresholds we use.

Price vs locality average

Your price per sq ft against the locality’s average asking price. At least 5% below the average is in your favour; within 10% above is in line with the market; 10–25% above is worth checking; more than 25% above counts against the deal unless there is a clear reason — a better tower, developer, view or specification.

Rental yield

A year’s rent divided by the price. At or above the locality’s average yield is in your favour; well below it means you are paying more for each rupee of rent, so the return leans on price growth.

Price trend

How the locality average has moved over one, three and five years. Growth of 5% or more in the latest year counts in your favour; a fall counts against. Past growth is context, not a forecast.

Comparable projects

Projects we research in the same locality priced within 25% of your price per sq ft. Open them to see what similar money buys nearby — and whether the developer, possession date and verdict compare well.

Infrastructure

Roads, metro and other projects on our locality record, plus infrastructure stories from the last 90 days. More isn’t automatically better: check what is built, what is under construction and what is only announced.

5-year cost you don’t get back

Stamp duty and registration, loan interest and maintenance over five years — money that doesn’t come back when you sell. Compare it with five years of rent for the same home to see the real cost of owning.

Say you are quoted ₹2.23 Cr for a 1,500 sq ft home on Dwarka Expressway, Gurgaon — ₹14,850 per sq ft, 10% above the locality average of ₹13,500. You would borrow ₹1.67 Cr at 8.5% for 20 years and expect rent of about ₹50,500 a month.

• Price: 10% above average — in line with the market, so the price alone is not a red flag.
• Rental yield: 2.72% against a locality average of 3% — lower, because the price is above average while rents are not.
• EMI: ₹1,44,926 a month; down payment ₹55.8 L; stamp duty and registration about ₹16.1 L.
• 5-year cost you don’t get back: about ₹86.8 L — ₹67.1 L of interest, ₹16.1 L of duty and registration and ₹3.6 L of maintenance — against roughly ₹30.3 L of rent over the same five years.

The quote is reasonable, but the numbers show that owning costs more than renting over five years here, so the case rests on Dwarka Expressway’s price growth continuing. That is exactly the judgement the tool helps you make with your own numbers. See Dwarka Expressway’s price trend

1. RERA registration: the project and the agent must be registered; read the project’s quarterly progress updates on the state RERA portal.
2. Title and encumbrance: have a lawyer check the title chain and an encumbrance certificate for loans or disputes on the land.
3. Approvals: sanctioned building plan, environmental clearance where required, and — for a ready home — the occupancy and completion certificates.
4. The agreement: carpet area, possession date, delay compensation, escalation clauses and what happens if you exit.
5. Advance limit: under RERA, a developer cannot take more than 10% of the price before a registered agreement for sale.
6. Loan pre-approval: confirm your bank will lend on this project, and how much, before paying anything.
7. Circle rate: stamp duty is charged on the higher of your price and the circle-rate value.
8. All-in price: ask for parking, club, preferential location and maintenance deposits in writing.
9. The developer’s record: visit a completed project by the same developer and talk to residents. Compare builders

• The project isn’t RERA-registered, or the registration has lapsed without an extension.
• Pressure to pay a large booking amount before you have seen the agreement.
• Construction on the RERA progress reports has not moved for several quarters.
• The developer has other stalled projects, insolvency proceedings or unresolved RERA orders.
• An “assured return” or buy-back promise that isn’t written into the registered agreement.
• A price far below comparable projects with no clear explanation.