BUYING PROPERTY IN DHAKA: EVERYTHING YOU SHOULD KNOW

“Dhaka,” is a city filled with lights, tumult, and dreams. Every year, a large number of individuals from all across the country flock to this city with a dream of living a vibrant life. Have you ever wondered why this city is so popular? 

Though it is the country’s capital, it also has a lot to offer outside of that. One of the most alluring reasons is the capacity to obtain whatever you need close at hand, which makes life in Dhaka incredibly comfortable. Besides, people living in the capital city have rapid access to everything from household necessities to complex technology. They can always find what they need through easy access to a plethora of retail malls, financial institutions, and food stores. Dhaka gives you easy access to all the fundamental needs that will help you to lead a better life. You can also get those facilities by renting a place because living in Dhaka will surely offer a lot of advantages and benefits. But most of us like to have a home of our own that is permanent and secure. Besides, owning a property brings a sense of accomplishment and confidence that cannot be achieved through renting. In this article, we’ll be discussing everything you should know and be prepared for before buying a property in Dhaka.

Benefits of Living in Dhaka

While those of us who live in Dhaka may not always realize it, there are countless opportunities one can enjoy by living here such as easy transportation, better education, better healthcare, etc. These features have significantly boosted the city’s attraction while also significantly improving living circumstances. 

Though people often find the city’s expansion has become uneven and messy because of the dense population, there are infinite blessings in this place. Putting the flaws aside, now we’ll be focusing on the positives and highlighting some of the advantages of living in Dhaka.

1. Dhaka is the country’s administrative capital. Almost all government department heads and administrative organizations are located in Dhaka. As a result, individuals from all across the country must go to the capital to handle a variety of issues like coming to the passport office, Supreme Court, or any kind of head office of govt. or nongovt. organizations. On the contrary, residents inside Dhaka can undertake any administrative transaction at their convenience, which saves them money, energy, and time.
2. The people of Dhaka are the first to learn about new technology and breakthroughs like Uber, Pathao, Foodpanda, various e-commerce sites, etc. Not only that, but in the capital, these technologies are better maintained.
3. Dhaka has a high level of internal and external connections. Anywhere in the country may be reachable with minimal fuss. The government is always working to strengthen Dhaka’s internal and external connectivity.
4. The healthcare system in Dhaka is the best compared to other cities. It’s vital for any seriously ill person moving to Dhaka to ensure better and more accurate treatment.
5. Dhaka is also an education hub of this country. Many students every year move to this city with a dream of better education and secured jobs.

After discussing the above advantages of Dhaka city, it is clearly evident that buying a property in Dhaka is a common dream that we all share for better accessibility to everything. Now, let’s take a look at various types of property that you can buy so that you can find out about what kind of property you need.

Types of Real-Property

The real property comes in many different types, but among them, some types are crucial to know before buying property in Dhaka. The main six types of real property are agricultural, residential, commercial,  industrial, mixed-use, and special use.

• Agricultural Property: Agriculture is one type of real estate. Agriculture is the practice of using land to grow crops, produce animals, and grow plants (trees, orchards, etc.). Farms, ranches, timberland, orchards, etc, are some types of agricultural property.
• Residential Property: Residences obviously are a distinctive form of real estate. These properties in the residential category include single-family homes, apartment buildings, condominiums, cooperatives, manufacturing housing, etc.
• Commercial Property: Any real property owned by a business organization might be considered commercial property. Office space, shopping centers, stores, theaters, hotels, etc. can be contemplated as a business property.
• Industrial Property: Another sort of real estate that obtains properties such as warehouses, power plants, and factories is industrial property.
• Mixed-use Property: A mixed-use property is a form of real estate that may be used for a variety of purposes. For example, a property combines both business and residential uses.
• Special Purpose Property: Special purpose property includes religious buildings, schools, libraries, government buildings, cemeteries, and parks, which are normally owned by the public.

In this article, we’ll mainly focus on residential properties and factors to keep in mind while buying property in Dhaka. 

Things to consider before buying

If you’re thinking about buying property in Dhaka, there are a few things you should think about first. Whether you’re buying an apartment in Dhaka, a piece of land, or an entire building, you should put a lot of thinking into it. It is normally a once-in-a-lifetime event for the majority of people, and the investment is in the emotions. Such a significant purchase demands careful consideration of several factors that may have an impact on your and your loved ones’ lives. Let’s look at some details to consider while making a residential property investment.

Necessity

The first thing to think about is your necessity. Do you have a pressing need to purchase a property right now? If that’s the case, what are the specific criteria of your requirements? Your requirements may be determined by your family dynamics, preferences, or even occupation.

Economic Capacity

Purchasing a property involves a substantial sum of money. There are a variety of factors to consider, including the down payment, monthly payments, taxes, improvements, and so on. It is not a good idea to enter the real estate market without first determining your financial capacity.

Budget

This is quite important to consider at this point. After you’ve determined your precise requirements and assessed your financial capacity, you’ll need to create a budget. This is significant since the housing market is dynamically diverse in terms of its products. You want to get the most bang for your buck with your purchase.

Privacy and Security

Higher-floor apartments are often seen to be safer than lower-floor apartments as it’s easily accessible. The chances of burglary, theft, etc are much less in higher-floor apartments than in lower-floor apartments.  However, if you would like to reside on a bottom floor, be sure it has adequate protection employing modern technologies like CCTV, certified guard, smart lock on the main gate, etc. You’ve to make sure of the privacy and security of your property before investing in it.

Location

The importance of location in real estate cannot be overstated. The emotional and financial attraction of a project can be determined by its location. You must ensure that the region to which you are migrating meets your requirements. Factors like commuting and apartment costs are directly affected by where you live. Despite the great demand for flats in magnificent places like Dhanmondi and Gulshan, you may have your own preferences. Wander about the neighborhood to learn about the many modes of transportation available, such as taxi and bus services. If at all feasible, speak with local residents because it’s the most authentic and fastest way to know the neighborhood. The distance between your apartment and your employment is another factor to think about.

Level Of Noise in the Neighborhood

Sound pollution, often known as noise pollution, is one of the most irritating difficulties that contemporary cities face, and the problem is particularly serious in Dhaka. Make sure the apartment you’re buying is in a quiet neighborhood.

Avoiding the Pitfalls

With so many offers and adverts that we see every day from various real estate businesses buying a property in Dhaka, especially for first-time buyers, may be fairly difficult. So you should avoid some pitfalls discussed below while purchasing a property in Bangladesh:

1. Before you sign the contract, do some research on the current real estate market to be sure you’re getting a good bargain. Talk to individuals who have recently purchased in the same region and stay up to speed on current real estate pricing by talking to others. To obtain a clear image, evaluate properties from different developer corporations, their specs, brand value, and so on.
2. In hunting for flats in Dhaka or elsewhere, you should visit as many homes as possible in order to discover the one that best meets your needs. Examine the neighborhood’s facilities, such as stores, bus stations, parks, hospitals, schools, a gym, and so on. Staying in an area with such amenities would undoubtedly save you time while living in Dhaka and facing its vexing traffic.
3. When looking for an apartment, you should think about whether you want ready-to-move-in apartments, underused flats, or residences that are still under development. Ready flats allow you to move in right away, but you won’t be able to personalize them because they are already built. On the other side, you can personalize under-construction structures, but you’ll have to wait till they’re finished. If the flat is not ready, you should examine the developer’s credentials as well, since many developers might deceive you and cause delays in handover.
4. When looking at apartments for sale in Dhaka, take into account the building’s amenities, such as common space, landscaping, rooftop facilities, firefighting facilities, and so on, so that you can enjoy your new home.

Necessary Legal Documents

Legal paperwork is extremely sensitive and is one of the most crucial aspects of buying a home in Dhaka. Sensitive issues like these should be handled with care, thus, familiarizing yourself with all of the relevant documentation before buying property in Dhaka is a must. RAJUK leased properties and freehold properties are the two primary types of property in Dhaka.

For RAJUK Leased Properties

RAJUK stands for Rajdhani Unnayan Kartripakkha, the only government agency dedicated to the development of the capital. If your property is managed by RAJUK, you’ll have to need a RAJUK Lease Deed & a RAJUK Approved Plan. As RAJUK provides an allotment for 100 years of a plot in Dhaka, the official permission for this is given via the RAJUK lease deed. To construct something on the land, you need to have permission from RAJUK. The construction design, which includes information such as the number of floors, floor size, and free space, must also be authorized by RAJUK. So, before buying a property in Dhaka under RAJUK, you must check these two documents. 

For Freehold Properties: 

Freehold properties are those that are not administered by RAJUK or another organization. You should be extra careful before purchasing these types of property. However,  three documents must be checked, which are City Survey Record, Copy Of Registration, and Mutation. About City Survey Record, The Bangladesh Government conducts land ownership surveys in Dhaka at regular intervals. In addition to Daag number, Porcha, and other information, existing records are renewed, and new owners are entered throughout each survey. You may use this document to verify the owner(s) and property information because it is a government record. The main ownership document of a property, analogous to the lease deed for RAJUK-owned properties, is the Copy Of Registration. This formal document is completed and authorized by the area’s designated Land Registration Office. And lastly, a mutation is an official record that confirms the successful completion of registration and the register office’s recognition.

These are the most important legal documents to have when buying property in Dhaka. Therefore, make sure you thoroughly examine and re-examine these materials.

A Major Concern While Buying Property

In the majority of nations across the world, a prospective homebuyer’s main worry is usually related to house financing, mortgages, or the property’s appeal. When it comes to Bangladesh, though, such worries are not among the most critical. After all, buying property in Bangladesh is incredibly slow. Even after decades of trying to fix the problem, there have been few “substantial” improvements, and more homeowners are complaining about receiving their house considerably later than the scheduled date. According to Dhaka Tribune, Bangladesh’s population is expanding at around 1.1 percent per year, with a 1.69 percent urbanization rate. For the expanding population, we require roughly 120,000 more housing units each year, but the existing supply is only around 25,000, practically all of which is generated by the private sector, namely developers. As a result, handover delays are not exclusive to residential real estate. So, before purchasing, keep in mind that there might be an issue that you might not get your property in time as you have been promised. Many people deal solely with well-established and reputative real estate development companies to avoid such concerns and get their dream projects on time. So, choose your developer wisely through proper research. 

Conclusion

Excited, worried, agitated, and maybe even sorrowful. These are all feelings that you may experience while purchasing a home, but you must remain calm and collected before purchasing. You should conduct thorough research to choose the most dependable, trustworthy, and reputable real estate agent to entrust with your dream property. Concord is Bangladesh’s top real estate company, with more than 47 years of expertise. We understand the feelings that come with purchasing a home, and we promise to offer you the finest service possible while staying within your budget. You may put your faith in us when it comes to your dreams.

FAQ

Old or New: What are the greatest types of flats to buy in Bangladesh?

Answer: The answer is extremely subjective and depends on the area, money, and living facilities. People would choose based on their requirements, affordability, and location.

Should I purchase or keep renting?

Answer: Purchasing a home may be a wise investment. However, depending on the circumstances, renting may be a preferable alternative for some. It wholly depends on your mindset.

Should I consult a bank before going house hunting?

Answer: If you’re looking for a loan, then definitely “yes”. But if you’re well occupied with your budget, then it’ll be wise to consult with a well-known and trustworthy real estate agent.

Should I buy another property before selling my present property?

Answer: There is no definitive “right” response to this question. It is entirely up to you and your financial situation.

Is it really necessary to hire a real estate agent when purchasing a property?

Answer: It is extremely advised that you use a Real Estate agent when purchasing a property to prevent any kind of fraud and cheats.