The list of resolutions from 2021 starts with an old dream, which you have decided not only to articulate, but also to put into practice: a new house!
You have decided that it is the right time to take the big step and buy your first apartment. You know what colors you would like the walls to look like, how you will decorate the living room, what kind of bed you want and you have an idea of what kind of landscape you would like to admire when you open the window or when you go out on the balcony. There are, of course, other criteria: proximity to public transport stations, to work or to the apartment of relatives.
But where do you start?
What are the steps you need to take to make your dream come true? In fact, what is the first step?
There are two main criteria by which people look for an apartment: Area and Budget .
The first category: there are people for whom the area matters a lot , whether it is due to the existing parks, tranquility or animation, nature or architecture, proximity to kindergarten or job. These people will look for a home in that area (or in those "areas", as they may be 2-3 preferred) and all other criteria will be subordinated to it.
The second category: there are people who have set a budget (an upper limit) and depending on this they want to buy a home. The area is less important, they are flexible in this regard if the other requirements related to the apartment are met.
Step 1: Why?
In addition to the two categories above, there is another criterion, subordinate: the purpose of the apartment. In other words, "why do you want a new apartment?" Do you want to start a family and the current place is too small? Would you like to have your place in a more central area? Do you want to make a long-term investment? Basically, establishing the "why" - beyond the "I want" - is the first step.
Step 2: List
The second step is to create a list of everything you want from an apartment, beyond the area and within a certain amount of money. Do you want to have 2 rooms or one? How big should the storage space be? How many square meters does it have? Is parking important? To be in a new residential complex or in a block of flats built before '89? Newly renovated or no improvements? With a balcony? On a lower or upper floor or does this matter less?
Write down all the things that are important to you now. Then, think about how important you expect each thing to be in 5 years and 10 years.
Step 3: The actual search
With the list made, the next step is done: create a second list of potential apartments. Their search is done on search engines ("apartment for sale in area x" or "apartment 50,000 euros"), on profile sites (a good example would be https://www.remax.ro , on the marketplace On the sites of the new residential neighborhoods, you can also call on relatives, friends, acquaintances who may know of an available property.
Those looking for a certain area will also do searches on the spot. If you want an apartment in a certain building, you can contact the owners' association to find out if there is anything for sale, for example.
Step 4: Viewing and Checking Documents
With this second list made, one more step is taken: scheduling viewers. No matter how good the photos of an apartment look or how good the apartment recommended by a friend looks, it is necessary to go on the spot, to see the proximity area, the atmosphere, the entrance to the block and, of course, the apartment itself, with all aspects and its corners.
During each viewing, ask the agent / owner to start from list no. 1, the one with your real estate criteria: what is the usable area? Is the parking space included? How easy is it to get to the center? What is the value of maintenance?
We have published, in the past, a list of 10 questions you should ask a real estate developer if you are interested in a home in a new complex - here you will find the first part and here the second.
It is very important that the documents of the apartment are in order and available (not on the spot, but shortly after viewing):
- Documents attesting the quality of owner and the right to sell
- Documents attesting the legal status of the property
- Documents proving the technical quality of the construction
- Documents that ensure the transfer of ownership
It happens that a property is put up for sale by a person who does not have the legal right to sell it, for example. Or, it is crucial to check with documents if the apartment is in a building framed at seismic risk.
After viewing, it is important to note what impression your place of viewing made, what is the status of the documentation and whether or not your criteria were "checked".
Step 5: Prioritize
The second list, of the viewed apartments, will be narrowed. Some will be closer to the ideal and some further. In addition, even if at first glance all the requirements seem important to you, some will weigh harder than others.
For example, if you found the ideal apartment but it is more expensive than you expected, can you supplement the budget?
Step 6: Choosing and signing a pre-sales contract
You have chosen the most suitable apartment and you are ready for the next step: concluding a pre-contract for sale. The pre-contract (or "pre-contract") is a written agreement, a promise made by both parties that the transaction will take place in the near future, by mutual agreement.
It is not mandatory to have a pre-contract, but it is recommended to do it because:
- clearly set out the intention,
- note that an advance has been paid (such contracts are made because the buyer does not have all the money available at that time)
- it is a legal act in all respects, which can be cited in court if one of the parties does not fulfill its promise of bad will.
The pre-contract must state clearly
- its period of validity
- the value of the apartment
- the amount that was given as an advance.
In addition, there should be two clauses, one for each party, with what duties each has in case there is a change of mind - if the buyer no longer wants to buy, he may lose the advance; if the seller no longer wishes to sell, he must return the advance or double the advance.
If the pre-contract is signed in front of a notary (it is not mandatory), the notary can check the legal status of the building. Writing the pre-contract in the land book guarantees that for a period of about 6 months the sale will not be made to another interested person.
To go with the pre-contract to the notary you need the following documents:
- identity documents of the seller and the buyer (if there are 2 or more owners, everyone's documents are needed);
- property deeds;
- an extract from the land book for information (which will be obtained by the notary).
There is also a notarial fee to be paid, which is calculated according to the value of the advance, as a percentage of 1% of it (plus VAT), but not less than 150 lei plus VAT.
Step 7: Available funds / credit eligibility
If you have only a partial amount to buy an apartment and you are thinking of applying for a mortgage or a real estate loan ( here you will find a clip in which we explain the differences between the two types of loans), the next step is to obtain one.
We recommend researching the offers of several banks: what are the commissions, interest rates, eligibility criteria of the future buyer, the loan repayment period.
In addition to the following documents, usually required by banks:
- identity documents (of the applicant and, as the case may be, of other persons participating with their income on credit, called co-payers)
- marriage certificate or divorce decision, if applicable (copy)
- documents attesting to the realization of income
- documents regarding other existing credits / credit cards / overdrafts
- deed of ownership of the property to be sold (copy)
- the declaration on the seller's own responsibility, according to Law 10/2001, that the respective real estate is not claimed and that there are no disputes related to them
- extracts from cadastral documentation (copy)
- energy efficiency certificate
the pre-contract for the sale-purchase of the building must also be brought.
The bank will make its own assessment of the apartment and, depending on this and the above documents, will make you an offer.
Very important: the estimated credit rate should not exceed one third of the income, in order to be supported.
Step 8: Sign the sale-purchase contract
The purchase contract is signed by a notary. As the case may be, the signing of the mortgage / credit contract will follow, also in the presence of the notary.
Documents that the seller must have for signing the sales contract:
- deed of ownership
- fiscal attestation certificate - obtained from ANAF
- cadastral documentation: cadastre and tabulation , land book extract (obtained from the notary office of the Office of Cadastre and Real Estate Advertising, at the written request of the seller of the apartment)
- energy performance certificate - obtained by the seller from an energy auditor for buildings, certified by the Ministry of Regional Development and Public Administration
- the latest utility bills and proof of payment (if any)
- certificate issued by the owners' association (if any)
- company registration certificate (if we are talking about legal entities)
- GMS decision for sale (if we are talking about legal entities)
You, as the buyer, must present the identity card - and the pre-contract of sale - purchase.
Step 9: Pay the collateral fees
You signed the sale-purchase contract, you signed the credit contact, you paid for the apartment. Now, you have to pay the following fees:
- tabulation fee (to the Office of Cadastre and Real Estate Advertising), which is 0.15% of the sale price.
- notary fees (which vary depending on the sale price, there are several thresholds). For example: for a value between RON 60,001 and RON 300,000, the tax is a fixed amount of 970 lei + 0.9% for an amount exceeding RON 60,001; for a value located between RON 300,001 and RON 600,000, the tax is 3,130 lei + 0.65% for the amount exceeding RON 300,001)
- Tabulation (calculated as a percentage of the value of the apartment, amounts to several hundred RON)
- Mortgage contract authentication fee
Step 10: Register the apartment at ANAF
There is one more step to take: within a maximum of 30 days from signing the sale-purchase contract, you must register the apartment in your name with ANAF, in order to be able to pay, from now on, the tax on the new home.
To register you must have:
- Identity card
- Sale-purchase contract
- cadastre
- Energy certificate
Step 11: Celebrate!
Congratulations! You just ticked the first and most important resolution for 2021: you bought the apartment you wanted for so long! Now it's yours, the documents are in order, all you have to do is celebrate the moment and enjoy your new home every day!
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If you think that the apartment of your dreams could be in the Aqua City residential complex, we are waiting for you to see it in our showroom in 12-16 Rocilor Street. You can make the appointment online, here: www. aquacity.ro/ro/oferta-lunii
Note: Consider the above article a starting point. Depending on the chosen apartment (old block vs. new block, by real estate agency or without real estate agency, with or without co-tenants), the necessary documents may be more or less. The notary you will work with will give you details in this regard - in fact, the buyer chooses the notary. And, if you consider a new apartment in a residential complex, the developer's representatives will be at your disposal with the list of documents and other useful information.