An accurate evaluation for financial security
Blog

Aspects that you should not treat superficially when you want to purchase an apartment in a newly built block

Posted by
Ioana Marcu

We already know that Romania is among the European countries where the share of homeowners exceeds 90%. During the pandemic, Romanians continued to purchase homes, even if the economic situation was uncertain.

The process of granting the loan plus the great desire to conclude the transaction as quickly as possible make the buyer not to give more importance to the physical and legal aspects related to the home he wants.

We have been present in the valuation market for over 17 years and we can confirm that sometimes the process of granting a loan is not an easy one for the buyer. We are constantly trying to make it as smooth as possible to go through this step of lending – evaluation – but we do not omit the aspects that can protect the buyer from some unpleasant situations, such as the payment of a higher advance than the one initially established or even the non-granting of the loan.

We continue today with examples of aspects that you should not treat superficially when you want to purchase an apartment in a recently built block, namely: the quality of interior finishes, installations and thermal facilities.

The "gray" finishes or the lack of parquet and interior carpentry are aspects that influence the value of the apartment. Even if in the promise of sale purchase it is stipulated that you purchase, at the completion of the works, the apartment with 90,000 euros, this being also the value indicated by the market, the market value estimated at the current stage will be a lower one.  Why? According to the Valuation Standards, the estimation of the market value, when we talk about bank guarantee, will be made taking into account the status of the works from the date of the inspection, not in the premise of the completion of all the works.

Thermal installations and facilities are also aspects that you need to take into account. A defining criterion in the granting of a loan is represented by the existence and functionality of the heating plant and radiators, the absence of which may have the effect of not granting the loan.

Yes, sometimes the execution of the interior works takes several weeks, but our advice is that before requesting the realization of the evaluation report, make sure that the finishes and interior installations are completed, in order to avoid making the loan granting process more difficult and even, in the worst case, not granting the loan. In addition to the time and money wasted, you also risk paying a higher advance, so it is not at all recommended to speed up the evaluation process in such situations.

Buy responsibly!

Want to read more articles?

You may be interested in

Tax
What businesses should know about building tax
Read more
Blog
Tax incentives for positive equity!
Read more
Blog
The equity of a company
Read more
An accurate evaluation for financial security