In the period of financial crisis, what are the advantages and disadvantages of buying a property?
After all, do we have a good time to buy a property? Today we are following several developments in the economy, for example, the decrease in the loan for real estate financing and any other type of credit.
In addition, today we also see a rise in interest rates, inflation, new properties at a standstill and investors passing properties “at a bargain price” due to inventories. These are some of the events of these troubled past years where we are experiencing a delicate moment in the economy. Difficult to say whether it is a good time to buy or not, it actually depends on the financial situation of each one.
Have you heard in that sentence “Where many see a problem, there are always those who see an opportunity”? Well, let’s show some advantages and disadvantages of the moment.
Advantages of buying a property right now
Despite all the events, the moment is good for investors, since from now on, with the amount of properties for sale, diversified offers, competitive prices, square meters with the price below the market and the option of real estate financing portability were generated. In addition, construction companies are already adapting to the new moment, reducing the number of launches and lowering inventory prices.
Another advantage of buying a property at the moment, is that the FGTS can now be used as input for the acquisition of new properties, and the value of ITBI (Tax on transmission of real estate) had its value reduced to rekindle sales.
Disadvantages of buying a property at the moment
Some of the disadvantages are due to the high interest rates for real estate loans, in addition, the banks reduced the amount of credit granted for purchase and construction by 33% in 2015. In addition, the savings bank is only financing 50% of the total value of the used properties.
If we talk about new properties, at the launch, the number of disadvantages increases due to delays in the delivery of keys, which obviously has to do with the current market moment, if we are in a time of crisis, it also applies to construction companies that often fail to deliver the property within the agreed time. In the city of São Paulo, 2,748 complaints from borrowers were registered in relation to construction companies, and 46% of the claimants were brought to court, totaling 1,264 cases. Of these complaints, 70% were related to delays. Research conducted by AMSPA.
Still talking about new properties, we have the expenses with finishing the works, which include floor installations, lighting, heaters, cabinets and etc. Therefore, it is very important to evaluate in advance what will be the expenses before closing a deal.
Did you like our tips? Are you thinking about buying a property? Be sure to read other articles on our blog to understand more about the subject!