Jagoinvestor

September 9, 2013

The Scam called “Sample Flat” – Learn how builders trap property buyers

One of the biggest traps for real estate buyers are “Sample Flats”. When you visit properties sites to inquire about any under construction properties or ready for possession flats, the builder or the sales person there shows you a “Sample Flat”. The moment you look at a sample flat, something happens to you. The sample flat is so beautiful and mesmerizing that, you feel like you are in love again, some kind of beautiful music starts playing in your head and for a moment, you visualize the future with your family living within that same sample flat and how you and your loved one’s are enjoying the ambiance and premiumness the sample flat offers.

You are delighted !

But – This is trap, set by Builder

Sample Flat Example

Why you get trapped ? 

Because you are human, you have emotions and you have lots of dreams for your family and yourself. Because in this competitive society, you have to grab your share of status and show to the world, that your time has come finally! .

Builders know how to exploit the human psyche and how to manipulate your aspirations. Every person wants to give himself and his family the best housing and the most spacious and premium living conditions – a fact, well known to the builder. When they create sample flat, all these things are kept in mind and the sample flat is constructed in a manner that makes you fall in love with it at the first sight. The builder’s goal is to ensure that your emotional mind is activated and prevents your rational mind from questioning things or think hard. You should be hypnotized! . Check out this guy sharing how his builder did not fulfill his promise

Lets look at 2 important points you know should be aware about the so called sample flats, which can save you from potential disappointment some time in future when you hunt for your dream home.

Trick #1 – Sample Flats are created to look more “Spacious”

Everyone wants a big house at a lower cost. Given there are 4-6 people in family on an average and lots of belongings in home, a bigger house is always preferred than a smaller one. You should have space for all the things you have at home, without making your home look cluttered. So few tricks are used to make sure that the sample flat looks more spacious artificially! . Here are they

  • There are no doors in toilets and bathrooms, and some of the walls are merely glass partitions, which creates a visual illusion of more space.
  • There are no doors between rooms in a sample flat, which makes the flat appear more spacious than it really is.
  • The ceiling is much higher than the real flat and is just increases the volume of sample flat, thus giving a feel of space.
  • The lighting using in sample flat is suggested by interior designers, who are experts in creating optical illusions.
  • The furniture used in sample flat is kept smaller, so that in comparison the rooms and kitchen looks bigger.
  • Even the other things like bed, almira’s and dining table in kitchen are placed in such a way and are of smaller size, to give a feeling of more space.
  • The walls are much thinner in sample flat, compared to the real flat, which again gives more spacing. They are known to use gypsum boards and not the real cemented wall.

What you should do ?

Once you visit a sample flat, the first thing you should do is slow down and stop yourself from getting biased by the spacious feel of it. For a moment, consciously tell yourself that you know its not reality and a kind of trap (remember 3 idiots – “All is well, All is well”) . Visualize the furniture, bed, kitchen belongings, all the almira’s you own at home. Your Sofa, your TV, your Waching machine and Refridgerator and every thing you own and ask where will you keep it ? Also consider those new things you might buy before moving to new property ?

If you are seriously considering buying a house, then actually mark places where you will keep what and check the space it will take (mentally atleast) . Seek help from ladies at home, because they have a better understanding of minor details and can tell you, if the flat will be able to accommodate everything with higher accuracy (and in most of the cases, women are anyways more bothered for those things compared to men).

Note that rather than blaming builder on using these tactics and fooling you, I would suggest being self-reliant, as there is nothing illegal in what the builder has done. Yes, its kind of unethical and the tricks employed here, are just a way of exploiting human psychology and aspirations. But then, there is no law on all these points and anyways, the agreement will mention that the sample flat was just for demonstration purposes and the look and feel of the actual flat may be a little different. I want you to be prepared for this, rather than complaining about things.

Here is one real life experience I found on the net, which talks about the same thing we are discussing here

At the time of booking Builder shown a central park as well as a very huge green area (80% of the project), the same is also shown/mentioned in the Brochure given to me during the time of booking. He also showed a sample flat and did a sale agreement with me.

Now builder is constructing three new towers on the park area and also cutting down the green area as he is coming up with another project on the same green land – Source here

Trick #2 – Sample Flats gives the feeling of PREMIUM

Who does not want a premium and beautiful home? Everyone does!

We want our house to be better than others, we want to make sure we get the best. We aspire to live in premium homes (majority of them, if you dont). Builders do their homework properly and put all their efforts in making sure that the sample flat looks the way most of the people cant actually afford!.

I mean to say that every bit of work, furniture, finishing and material used are expensive and of very high quality and high standards. In many cases, the cost incurred in making the sample flat look premium is more than the cost of the flat itself (Imagine 50 lacs flat having 50 lacs of premium things inside it, just to make it look premium).

  • The fixtures and furnishing used are of world class quality and brand and is so premium that instantly a prospective buyer imagines him selves owning it.
  • The floor tiles used are of high quality and more beautiful than what you get in reality.
  • The view you get from Balcony and Windows is really great (lake view, greenery, beautiful mountains), but in reality your flat might be on the other side of the project, which has all the old buildings and has a crowded road (may be after some years) and you will not get the same view which you saw in sample flat. This is because the sample flat is created first and the location chosen for it is well planned and for the purpose 🙂
  • The furniture used in the sample flat is very expensive and promises high lifestyle. Imagine 5-6 lacs worth of Sofa set, whereas you will buy only 50k worth of sofa in your case.
  • The walls will have beautiful paintings which most of people want, but cant afford .

Tip – This startup called ArtSquare sells ART and Paintings at affordable price to common man. Boy! , they also have the feature which shows you, how it looks on the wall. check out this example.

Difference between Sample flat and real flat

What to do ?

Incase of under-construction property, you cant do much, you can only rely on the builder words and do some research on how truthful they are by talking to their old project buyers (actually go there, and talk to some flat owners about their experience). Before booking the flat, you need to get all information from builder on the materials going to be used, which brand they will be, what kind of wall paint , which fittings ? which wires ? what kind of tiles ? everything in detail ! .

Note that, you are going to get unfurnished flat, and then you have to put everything from fan, AC, bed, sofa and everything else you have at home. So its important to check out the unfurnished flat apart from sample flat, but its possible only when you are buying a ready to move in property. Check out this debate on Under construction property VS Ready for Possession Property if you are considering which is better than other.

Conclusion

As buying home is one time decision, its always better to be more present (physically and mentally) to reality and not take the decision in hurry. Sample flats are not reality and you have to get that. You also should control yourself and your family members emotions (a lot of real estate buyers complain that ladies fall for the beautiful looking flats and get excited by beautiful wall colors, premium kitchen and the wall texture giving wow-experience and then do not comeback to reality from the unreal world they reached after looking at sample flat. Slow down and take the right decision.

I want to hear your views now ! . Have you seen sample flats in past or recently ?

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Nina
Nina
3 years ago

You keep saying himself, him, his family, etc. While the rush of testosterone in this article is overwhelming, do you not see that there are women who buy flats as well? Or does your article not target them? Anyway, your theory is flawed if you think that buyers base their purchase decisions on sample flats. Buying a house is a huge decision. I saw at least 40 houses and sample flats before finalizing my purchase.

propfacilitator
propfacilitator
8 years ago

Mr.Manish i gone through all the articles u have written on Real Estate that is really appreciable . But i don’t agree with u that builders are traping the buyers by showing Model Flat. The Main reason of showing the Model Flat to the buyer is only to show them what all the specifications they are using for a flat construction. Interiors could be done on own tastes of the buyers. If the buyer can do the same interiors as shown in the model flat they will get the same view like a Model Flat. The quality of the construction and the materials what we are showing in a specification for model flat and the flat what the customer chooses will be the same.
Thanking you,
Sagar Reddy
PropFacilitators

Mayank
Mayank
8 years ago

Very helpful points to be kept in mind. Great post Manish, keep up the good work!

manish
manish
9 years ago

Manish, I am offered sample flat to buy by builder. whats shall be my call on this ? As, the furniture and all will be the real one which is generally shown in sample flat.

manish
manish
Reply to  Jagoinvestor
9 years ago

Thank you so much manish. I am you lont time fan, rading all possible articles. keep going. God bless you. 🙂

SumeetSali
SumeetSali
9 years ago

Manish, thankyou for the post and the topic chosen.

Whenever I am in a quandary, I rush for help to JI. I am too on a search mission for my dream home. Recently I visited few flats in Vadodara and I wish to share my experience that will help all visiting the various builders after reading this.

In one of the instance, I saw the specifications given in the brochure was not provided in the sample flat, for eg – the specs. said all the doors will be provided with stone door frame. Here the builder is not revealing the stone (marble, granite or simply stone………can’t say (if they go by actual English)), but in the sample flat they didn’t even provide that. Here too the interiors were mesmerizing, but me and my wife were quick to return to reality and saw that everything used in that flat was compact version of the things we have at home and judged the space keeping that in mind.

In second one, the sample flat was getting ready (the furniture), when inquired with the carpenters, they informed that the furniture is worth around 30 Lacs=50% of the actual flat price.

As me and my wife are from construction background we could easily judge the space, specification and quality of material and workmanship. Generally the person accompanying us to show the flat is a Sales person and doesn’t have much knowledge about materials and specifications, try talking to a technical person to know in-depth.

To all readers please don’t get mesmerized by aesthetics, look for quality, workmanship etc as well.

lucas_arrogant
lucas_arrogant
9 years ago

very helpful for someone like me who has just started..
THANKS for this article…

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Anonymous
10 years ago

[…] […]

swarup
swarup
10 years ago

Hi Manish,

I am in love with this site now.

It is opening my eyes in many fields. Thanks for the infor

ujwal
ujwal
10 years ago

I need some guidance over here.
I saw the sample flat and I really liked it and I booked the flat , But after some days of booking builders sale person are clarifying that the sample flat is just for shot, and the material they are using in actual flat will b different, and if u want same material as sample flat u have to pay more for that.
What should I do now…?

Bhagirathi
Bhagirathi
10 years ago

Hi Manish. I was once invited to attend the inauguration of a building. A sample flat was ready. I was mesmerized when I saw it. When I asked the builder if the sample house was for sale, he said it was not for sale, but meant for display. Probably he had decided to live in it himself. You are right, sample houses are cleverly designed to trap the customer.

astrosunil
astrosunil
10 years ago

One thing to take precaution is the sample flat will have good light & ventilation from all sides, the unit you may shortlist may not have such a luxury. I saw an appt which had a huge wall just opposite to main door which implies less light. One my friend told that his appt was not as per the dimensions as mentioned, he took a tape & measured. If its less, well, then we should think about this !

hari
hari
10 years ago

I think the article is partly correct, if the builder has built the sample flats out side the actual apartment. (for example prestige, he will construct the model/sample flat out side the apartment). But some of the builders they do make the model/sample flat in one of the flats in the actual apartment/building.

Ravi
Ravi
11 years ago

If someone is buying a flat because he/she saw and liked a sample flat..I’m sorry to say he/she is a fool and deserves what they get.
By the way I have a 100% sure way of tripling your money in 3 months. Send me Rs 5000 and take 15000 in 3 months.

Kuntal
Kuntal
Reply to  Ravi
11 years ago

@ Ravi,
I have a very useful suggestion for you. Why dont you invest your own money
into the tripling scheme- in a few years you will be the richest in the world.
More foolish than those falling for sample flats, are those falling for
doubling-tripling-quadrupling schemes.
What do you think?

Ravi
Ravi
Reply to  Kuntal
10 years ago

@ Kuntal…..someone missed the irony my friend 🙂

Norman Dgama
Norman Dgama
11 years ago

what about the multinational companies which sell burgers and pizzas and put up larger than life posters, is this not wrong in your opinion?

R Choksi
R Choksi
11 years ago

Hi,

Nice article.

I will give you a real life example of such a thing. A very well known builder in Thane and Powai is building a cluster of ‘premium’ buildings in Thane in his existing township. He has built a new office to showcase ‘sample’ flats. The Living Room in the actual floor plan has an area (duct) which cannot be broken and cannot be included in the living room, BUT the builder in his sample flat has shown this area in the Living room thus giving a false illusion and feeling that the living room will be much bigger than the actual one. Similar false representation is done in the kitchen too. I was shocked to see such things since the builder is supposed to be having good reputation and is known to use quality material and give timely delivery of the flats.

Version
Version
Reply to  Jagoinvestor
10 years ago

I believe Mr. Choksi is referring to Hiranandanis and its project named Rodas Enclave in Thane. This builder is known for creating hidden spaces in such a way that the walls can be broken down after you get possession and lay slabs to create additional space. Same would have been shown in the sample flat. Such hidden spaces are not added to the saleable area of the flat.

Sucharita
Sucharita
11 years ago

Hello Manish,

Nice article !
Me and my husband has bought a flat in Pune last year. As usual we also have visited many of the residential projects. The fact that you have shared in this article is actually what I have seen at few projects but not all. Moreover the builder from whom we purchased, they have just made one of the flats in their 1st building as a Sample Flat, and had put the furniture in a very normal and reasonable way. And now after the possession the family staying there, have actually placed there own things in the same way as it was at the show case time.

I really feel, buying the first home is a very big decision and we should do all the R&D before making the final call. In my personal opinion, one should go with well known trustful builders.

Regards,
Sucharita Sinha

STEVEN J. FROMM, ATTORNEY, LL.M. (TAXATION)
STEVEN J. FROMM, ATTORNEY, LL.M. (TAXATION)
11 years ago

Great article with some good comments from everyone. In America, sample homes are sold as is usually after all building lots in a development are sold. You can sometimes get a good bargain on these homes.

anonymous
anonymous

So does here in India. Unless specially built at an office location (which sometimes happens specially with a very big builder/developer and premium project), the samples flats/ houses are sold to customer towards the end of the project, mostly with the furniture. I don’t completely agree with this article. Most projects don’t have the flats with all equal area and flat with the biggest area is chosen as sample .

angan chandra
angan chandra
11 years ago

i don’t think anyone take buying decision by just seeing sample flat. The builder show it to customer just to create a feel good factor. The sample flat doesn’t have any role of buying decision.

GB
GB
11 years ago

very good artical…
keep it up…

Ashvin
Ashvin
11 years ago

Hi Manish. I have seen many homes / flats & still searching. With that experience, I surprised to read this article. I don’t agree. I had seen sample flats / house and ready possession flats / house in the same building and almost all the time, I found no such trap / difference. After all, they need to remain in market.