When Amit Verma, a professional working in an MNC of Mumbai was looking for a perfect home to buy, one of the agents and marketing agents confused him with jargon like built-up area, carpet area and superb built up area. Like him there are many others, so it's become important for all to be alert and if you are not, then you can be fooled by any brokers or builders with such terminologies especially when you are a novice investor.
What actually does these jargons mean?
Carpet area- Basically this area allows us to spread a carpet area inside the house and it's defined as the area calculated from the inner wall to wall distance inside the house, it would also include staircase if any, so carpet area is the net usable area inside the house.
Built up area- It is not just the carpet area, but also the area being occupied by the walls of your home. Builder up area is carpet area+Area of the walls and ducts+1/2 area of the terrace and it is actually 10 per cent more than the carpet area. And a terrace is considered half of the actual of the actual area for calculating the built up area.
Super built up area- This is actually the sum of the built-up area+common space which includes the apartments proportionate share of the common staircase, lobby,life and the corridor area outside the apartment’s, club house and awning and it is usually 25 per cent more than the built up area.
Jaya Malhotra, interested in buying a 2 BHK unit in a new construction, which is ready for possession. The builder is offering him the property in Rs 60 lakh, which calculated on the super built-up area of the unit, but the contract will include the cost calculated in the built-up area only.So of course the price mentioned in the agreement is less than what he has to pay. So he just want to make it clear that builder cannot incorporate the super built area in the agreement?
Then one of the Real estate expert answered, “Value of the flat should be calculated on the super built-up area and the built-up area.”
How to calculate it exactly?
For instance, if the builder sell an 1100 sq ft size of apartment, find out if it is the carpet area or super built up area. And it not necessarily mean you are getting 1100 sq ft for the personal use. Here, an 1100 sq ft can be super built area or saleable area the actual usable area, that you might be getting, could probably be only 800 sq ft.
If carpet area is 800 sq ft, the built up area will be approx 10 per cent more than the carpet area (800+80=880 sq ft), then super built up area will be approx 25 per cent more than the built up area (880+220=1100 sq ft).
So always remember and keep these jargons in mind because along with budget, location, infrastructure, amenities etc.So it is better to be alert and attentive enough to get the best property for yourself and the fact cannot be denied that investment in property is the wise decision that one can make and this is something that offer lucrative return in the future.
