Properties in Chennai

What’s Your Choice: Ready to Occupy Apartments or Under-Construction?

Ready to Occupy Apartments or Wait to Be Ready
Written by Team Urban Tree

Real estate investments are a tricky business due to the volatility of the market and the cost involved. There are several options available in terms of location of properties, payment mode, facilities offered, etc. Ready to move apartments and under construction apartments are both put up on the market. Both come with their own benefits and drawbacks. Let’s look at some of the parameters, which are worth looking into before finalizing on a decision…

Availing finance and credit

Loans are easier to avail due to the tangible presence of the apartment, which is built and considered a ‘finished construction’. Banks will be more forthcoming on providing credit facilities under better terms when choosing this particular option. This is one of the advantages of a ready-to-move apartment.

Availing finance and credit for home

Under construction:
Given the fact that the project is only decided ‘on paper’ and not finalized yet in terms if the actual building, finance, and credit are much more difficult to avail when looking for the under construction options. Lenders are hesitant to lend due to the element of uncertainty in terms completion of the project.

Negotiating scope

Ready to move:
In terms of scope for negotiating and landing on the better end of the bargain, there is limited opportunity in ready to move apartments. Quotations are fixed and are to be met strictly as the apartments are already finished and ready to be occupied. The builder has the upper hand in terms of the deal as they can always find another client for a property that is already finished.

Negotiating scope

Under construction:
Negotiating can be done to a certain extent using different cost options. Whether simply quoting a lower amount or in terms of cost to be borne, there are different possibilities. There can be negotiations in the “back end”, in terms of ‘closing costs’, which are home owners association fees, stamp duty etc. If these are borne by the real estate builder (through negotiation), it can reduce the final payment made.

Neighbours’ profile

Ready to move:
Chances are the other houses are already occupied or to be occupied in the near future. This way, one can make informed decisions after reaching out to prospective neighbors and listening to their experiences in dealing with the particular builder, facilities available and other factors based on the priorities.

Under construction:
Given the fact that the property is yet to be finished, not many occupants would have been finalized. There is no specific way of determining the profile of those who are likely to occupy the neighboring property. Only on completion will there be clarity after deals are finalized.

Payment options 

Ready to move:
There is the requirement of immediate down payment; registration fees, etc., as it has to be arranged within a short notice at one go. Banks usually provide loan payments based on completion of each phase of construction, hence on a ready to move property EMIs cannot be availed.


Under construction:
EMIs can be availed just making the payment phase-by-phase of the construction. This is a pocket –friendly mode of payment, which is conveniently when availing home loans. Payment is favorable for an under construction property due to the EMI options available.

Involvement in design

Ready to move:
With the construction complete, there are not many changes that can be entertained. There lacks flexibility when it comes to additional features. Ready to move apartments are rigid in terms of choices. The completed view is what is available.

Under construction:
There is the element of personal inputs as customization is possible in terms of features of design, and facilities that can be provisioned. There is room for the opinion of the client as they can provide their thoughts before any amenities are finalized upon. This allows a great deal of flexibility of options keeping in mind future expansion.

Project completion

Ready to move:
There are uncertainties as the project is already done. What you see is what you sign up for and there is no question of delays and halt in construction. This is a major aspect of ready to move apartments, given its surety and assurance of finalization.

Under construction:
Construction could be delayed owing to pending clearance and scarcity of resources. There is a high risk of stagnation of project. Under construction, apartments do not offer the stability in the construction plan.

Having looked at these criteria, it is important to keep in mind one’s priorities in terms of what is being sought after based on requirements. Cost escalation and appreciation of value are both based on an individual property and there is no general rule, which is applicable to all properties. It is important to make informed decisions after doing the necessary background search.

About the author

Team Urban Tree

Urban Tree are the creators of magnificent homes in Chennai. Urban Tree is committed to creating world-class homes featuring innovative new styles that are meticulously integrated into every aspect of modern day living.

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