Why Buy A Bare Property And How It Works?

The bare ownership is a very interesting sale mode. There can be many, in fact, buyers who want a first home or a property to be exploited later.

Most of the bare-rented property in Gurgaon sales are carried out to find liquidity and therefore to ensure a certain standard of living, or to meet the needs related to the passing of the years or to support children in purchasing the house.

But what exactly is bare ownership? What are the advantages for the seller and the buyer? We will try to answer these questions in this article.

What is bare ownership?

When we speak of “bare ownership” we refer to a particular way in which the owner of the property, usually an elderly person and without heirs, decides to sell his house with the condition of being able to live there until his death.

Selling the bare home property, therefore, allows the owners to have the liquidity deriving from the sale of the property while continuing to live in the apartment for the rest of their life; those who want to invest in the “brick” can, for their part, buy properties at prices lower than the market ones in relation to the age of the seller.

In fact, the sale price of a bare property is very advantageous for the buyer who, in turn, will come into possession of the property on an indefinite date.

Advantages for the seller

It is easy to guess that the seller can only gain advantages from bare ownership. In fact, he will continue to live in the home and will be able to enjoy the right of usufruct for life, immediately having the liquidity deriving from the sale of his home.

Advantages for the buyer

Even the buyer can enjoy significant benefits from purchasing bare home ownership. In fact, it will be able to buy the property at a much lower purchase price than a new or building to be built: the discount can go up to 50% compared to the market price.

Tips for buying a home in bare ownership

If you have decided to buy a home in bare ownership, there are some aspects that you will need to keep in mind.

First, the evaluation of the property: it is important to rely on professionals in order to obtain a correct evaluation of the sale price of the house.

Another aspect to be evaluated well is the age of the seller: the value of a rented property in Noida in bare ownership changes according to the life expectancy of the seller, as well as the future usufructuary, since the duration of the contract statistically depends on it.

Therefore, the value of a bare ownership property varies according to the age of the seller. If the seller belongs to the age group 45-50 years, the percentage discount with respect to the market value will be approximately 75%, while if the seller falls within the last age groups the discount for the buyer is reduced between 25% and 10% if the owner is over 80 years old.

Divide and Rent: When and How Non-Residential Real Estate Can be Leased in Parts?

Not always the tenants are ready to rent the entire office building or even the entire office: sometimes it is enough for them only a part of the non-residential premises. True, at the conclusion of such a contract, questions inevitably arise. How to identify the subject? What criteria should a part of the premises meet in order to be leased? Why divide the unfinished property between tenants fail? Answers to them (unfortunately, not always unequivocal) are provided by judicial practice.

Among the owners of commercial real estate, it is quite common practice to lease non-residential premises not fully, but only parts of them. Often this is due to the fact that the transfer of the entire object is impossible due to the need to ensure the regime of common use. For example, in a hotel lobby, which is a single room, a small restaurant can be placed, which will occupy only a part of the hall, with the possibility of using the rest, unoccupied, part by other persons (the owner, hotel guests, tenants, etc.).

The owner will be able to use the unused part of the non-residential premises for the placement of other objects on lease terms or for their own needs. This situation occurs everywhere due to the need for economical and rational use of non-residential premises, the owner achieving the maximum economic effect from the use of its commercial real estate.

office space in Gurgaon

For renting office space can be divided

Ownership gives the owner of office space in Gurgaon the opportunity to carry out with it, if necessary, three operations, namely: separation, merger, and separation. Under the division should be understood the cessation of the existence of the former property and the emergence on its basis of two or more separate objects.

Merging is an inverse operation when several are combined into one object. When allocating a real estate object, the old object continues to exist as an independent accounting object (only its quantitative characteristics change as a result of the allocation of a part of the object), and thus another (new) separate real estate object appears. The current legislation of the Russian Federation considers such objects as newly created, which means that the right to them arises from the moment of their state registration (Article 219 of the Civil Code of the Russian Federation). After registration, it is possible to dispose of such objects.

office space in Noida

In order to separate a separate room from the office space in Noida belonging to it and lease it, the owner must first carry out technical and cadastral registration of the object, register the right to it. And only after he has formalized the ownership of a part of the premises, he will be able to transfer it to a long-term lease, subject to the state registration of the relevant agreement. Rent for the long term, of course, can be issued without registration. For example, by entering into a contract for an indefinite period, which does not need state registration, or for a period of less than a year with the condition of automatic renewal.

In addition, it is possible to conclude a contract for several years, bearing in mind the approach by which an unregistered long-term lease contract for real estate still creates a binding bond between its parties, but does not give them the right to oppose it to third parties.