Smart Property Investment: Evaluating construction quality for better ROI

When purchasing any property, key factors such as location, price, and accessibility to the property play a crucial role in making a sound investment. If you fail to evaluate any of these factors, you may miss out on acquiring a quality property.

Along with these, it is equally important not to overlook the construction quality of the property you are planning to buy. This factor becomes particularly significant when you decide to put the property on the market for resale.

“Think about it yourself—would you want to buy a property built on a weak foundation? Or would you be interested in a property with broken stairs leading up to it, or one that has peeling paint and cracked plaster that gives it an unsightly appearance? Naturally, your answer would be no. Evaluating construction quality is essential for several other reasons as well,” suggests Pradeep Mishra, CMD, ORAM Developments.

Let’s explore them:

Long-Term Investment

Investing in a piece of property is a long-term investment. It is crucial that both the buyer and the seller feel confident that the value of the investment will remain stable in the future, just as it is in the present.

“Therefore, when you make an investment, pay close attention to the project’s energy efficiency. To help reduce hefty electricity bills, many builders have started using solar lighting in common spaces. This is an environmentally-friendly option that is highly useful yet cost-effective. Additionally, we frequently read and hear about water scarcity, not only for drinking but also for regular use. The root cause of this issue is the rapidly declining groundwater levels,” says Mishra.

To contribute to water conservation, builders and developers have begun installing rainwater harvesting systems. In recent years, several resident welfare societies have also taken the initiative in this regard. It has been observed that areas with rainwater harvesting systems have seen a reduction in the decline of groundwater levels. Understand that solar energy and rainwater harvesting have become necessities in today’s world. If your property meets these criteria, it will undoubtedly positively impact its overall quality.

Structure and Finish

When it comes to evaluating the quality of a building, the first things that come to mind are its structure and finish. Before purchasing any property, you can hire a structural engineer to assess its quality, while you can judge the finish—how it looks—yourself based on its appearance.

“Along with the construction, pay attention to the property’s ventilation arrangements. Check how many sides of the property are open and how well air flows through it. Also, ensure that the property is not in a location with excessive noise, such as traffic, schools, or a nearby street market. There is no doubt that excellent construction quality leads to lower maintenance costs. If poor plumbing or subpar electrical items were used during construction, the extra burden of repair costs would fall on you,” says Mishra.

Safety

When an investor buys a property for personal use, their primary concern is the safety of their family. They want protection not only from disasters caused by human error but also from any potential threats from antisocial elements. Therefore, before making an investment, check the crime rate in the area. If you are buying property in a gated complex, review the security arrangements, including security personnel and electronic security equipment. Assess the fire safety measures and smoke detectors in the home before making any investment decisions.

There is no doubt that superior construction quality and other quality-enhancing factors increase the buyer’s confidence in the property. Such properties do not take long to sell, and the profit margin also increases.