Farmhouses were not as famous before the pandemic as they are now! However, during the pandemic, farmhouses are increasingly becoming more and more popular among homebuyers. The reason behind farmhouses gaining popularity is that they are located away from city centres, and a homebuyer may experience a whiff of fresh air, chirping birds, and green surroundings. With nature coming closer to your house, farmhouses guarantee you a refreshing lifestyle.
Apart from the calmness and serenity that a farmhouse offers to the residents, it can also be an excellent real estate investment and a source of additional income for the family. Investing in farmhouses is also attracting interest from the NRI population, who are hunting for real estate investment avenues in their hometown and are interested in flipping farmhouses for profit.
So, if you are interested in buying a farmhouse but don't know much about it, then we have got you covered! Here in this article, you will get to know the basics related to buying a farmhouse. Let's begin with the meaning first!
Meaning of a farmhouse
In India, there has been a lot of confusion about farmhouses amongst urban investors in recent years. Well, discussing the meaning, a farmhouse is a property in an agricultural setting between greenery used for residential purposes. Farmhouses are generally situated amid a landscaped garden or a farm in a rural area. Such kinds of homes boast a large number of front porches and can also have two storeys depending entirely on the total area available.
Aside from being a second home, a farmhouse holds great potential for appreciation and, therefore, acts as a lucrative real estate investment. Moreover, by owning a farmhouse, you have an advantage and freedom to dispose of a part of your land at the time of liquidity requirement.
7 things to take into account while buying a farmhouse in India
Buying a farmhouse in India is affected by many factors that you might not know. Here's a list of the things that you must keep in mind when buying a farmhouse:
1. Release certificate
The first thing you need to keep in mind while buying a farmhouse is to get a Release certificate from the bank if the property you are buying is up for resale. The Release certificate will ensure that any loans on the property are fully paid and closed. Additionally, the Encumbrance certificate will confirm that the land has no pending legal debt. Apart from all this, all government approvals, land-use conversion documents, property tax receipts, and other important paperwork must be in place so that you can be clear of any hassles in the future.
Also Read: EWS Certificate Online UP 2023: Validity, Eligibility, How To Apply
2. Title Deed
When buying any sort of land, Title Deed is the most crucial document. To have legal ownership of the farmhouse, you must ensure no deeds are left unclear. It's highly advisable to get details of all the owners and figure out whether there is a lien on the land you are buying. Make sure to get a copy of the Title Deed, and if necessary, you can consult a lawyer.
3. Need for Renovation
Another thing to keep in mind while buying a farmhouse is the need for renovation. Make sure to perform an in-depth analysis of the farmhouse and check whether all your needs can be checked off. In case the property or farmhouse lacks space, ventilation, a shed, a parking area, etc., it will be a tedious task for you to refurbish the farmhouse in the future. Therefore, it's vital to consider the need for renovation before buying a farmhouse in order to be free from all the hassles in the future.
4. Land use permission
On the basis of your requirements and preferences, make sure that you have permission for further construction on the land you have purchased. In addition to this, if you are willing to rear livestock in your farmland, make sure that you have the authorisation to do the same.
5. Distance from the city
If you want to have hassle-free access to essential services, facilities, and public transport, you must find a farmhouse located not too fr away from the city. Although most farmhouses are built far away from the city on the outskirts, you can still find upgraded and modern farmhouses pretty close to the main city that is perfectly built to suit the needs of urban dwellers.
6. Applicable taxes
Applicable taxes are another thing that must be taken into account while buying a farmhouse. Before you purchase a farmhouse, find out the total amount of taxes you would have to pay before purchase and on a yearly basis. The applicable taxes differ depending upon the type and size of the farmhouse.
Also Read: Guide To Property Tax In Delhi
7. Future Developments
When purchasing a farmhouse, it is vital to understand the growth prospects that the farmhouse holds. Any plans of upcoming government or private projects like industries, fuel stations, highways, etc., which may highly impact the overall land value must be given due consideration before going ahead with your purchase.
All the points mentioned above are imperative and, if taken care of well in advance, will surely ensure that you have made the right investment decision.
Pros and cons for buying a farmhouse
Owning a farmhouse offers a pretty good number of advantages, but unfortunately, there are a set of disadvantages as well. Let's have a look at the pros and cons of buying a farmhouse below:
pros:
1. Additional source of income
If you have been thinking that owning a farmhouse will cost you much and maintaining it can be another hassle, then there is an easy solution to that. You can convert your farmhouse into an additional source of income by renting it out as a weekend site or vacation home. You can do this by simply registering your property on multiple travel websites, and that's all! Your farmhouse will then become an additional source of income for you.
2. Fresh air and scenery
Sometimes, all you need is a change of scenery in order to boost your mood. Fortunately, the farmhouse offers some of the best options when it comes to natural beauty and landscapes. You can easily embrace the beauty of nature every time your heart desires.
3. Social distancing
Another crucial advantage of owning a farmhouse is social distancing. Owning a farmhouse is a great option for maintaining social distancing in this pandemic. By living in a farmhouse, you simply stay away from the city and crowded places, which helps in maintaining social distance. It further allows you to live in a conducive environment.
4. Perfect family and life balance
The farmhouse that people visited once a month before has now become their safe haven. While living in a farmhouse, you are striking a perfect balance between your family and work-life due to the fact that once you are free from work, you can spend an ample amount of time with your family and loved ones amongst nature.
Cons:
1. Accessibility
From the meaning of farmhouse, it is pretty clear that a farmhouse is a home away from the city, which means commuting can be an issue. You might not have enough public transportation options in the vicinity and might have to rely on your own vehicles for travelling. This can be a hassle for many of you.
2. Security
Security is another primary concern when it comes to living in a farmhouse or owning one. You will have to find a reliable and trustworthy security guard or gatekeeper to take care of the entire premises while you are there and while you are away. This will definitely cost you extra.
Also Read: How to Keep Your Home Safe When You Are Not Around?
3. Additional Expenses
While the idea of owning a farmhouse may excite you but it's important for you to know the cost of living in a farmhouse. From property maintenance daily convenience to commuting hassles in finding out reliable labours, security personnel, etc., will cost you much time and money.
Best locations to build a farmhouse in India
Are you confused about opting for the best locations to build a farmhouse in India? Well, finding a farmhouse amid a calm and peaceful locale, with all the important conveniences nearby and at a budget-friendly price, is pretty challenging. So, if you're planning to buy a farmhouse as your second home, here are a few of the best places to build farmhouses in India:
1. In Karnataka places like Thalli, Chikkaballapur, and Sakleshpur are good for building a farmhouse owing to the location's red soil and serene surroundings. Mysore is another preferred location for homebuyers because this clean city offers a relaxing environment with villas ranging from Rs. 60 lakhs to Rs. 3 crores.
2. Ooty, the Queen of Hill Stations, Tamil Nadu, is another sought-after destination for building a farmhouse, with prices ranging from Rs. 60 lakhs to Rs. 3 crores. Apart from this, owing to the popularity amongst beach lovers, Pondicherry is an ideal location for buying farmhouses that range from Rs. 50 lakhs to Rs. 2.5 crores.
3. Lonavala, Karjat, and Goa are other most highly preferred destinations for buying a farmhouse by Mumbai locals. While farmhouses in Lonavala range from Rs. 1 to 2.5 crores, plots here range from Rs. 25 lakhs to Rs. 1 crore, and cottages cost Rs. 1.5 crore to Rs. 4.5 crores. Karjat and Goa offer villas and farmhouses ranging from Rs. 30 lakhs to Rs. 5 crores, with critical USPs that involve proximity to beaches, serenity, and affordability.
4. Boasting pleasant weather, comparatively lesser property rates, and excellent growth potential, Vizag near Hyderabad is a good place for getting your dream farmhouse built. Bungalows here typically range from approximately Rs. 45 lakhs to Rs. 90 lakhs. In contrast, the residential plot prices vary between Rs. 5 lakhs to Rs. 1 crore.
5. Last but not least, if you are willing to build a farmhouse in Delhi, then Delhi NCR is a perfect location. The cost of farmhouses in Delhi NCRs Chattarpur, Mahrauli, and Bijwasan regions range somewhere between Rs. 2.5 crores and Rs. 12 crores.
conclusion
farmhouses are the latest addition to the premium real estate market. The Coronavirus pandemic has also driven homebuyers to look for real estate projects that can perfectly match the demand for a healthy lifestyle, and here farmhouses came into the picture.
Farmhouse living is not just limited to families staying away from packed and polluted residential areas, but they are also being used as vacation houses and second homes. Buying a farmhouse that is old and renovating it to sell for additional profit is also being highly considered as an excellent real estate investment option for owners.
So, without waiting much, buy your farmhouse and make a remarkable real estate investment by keeping all the above-mentioned things in mind.
Also read: Vastu Tips to Keep in Mind While Buying a House in 2022