Floor Space Index And Its Impact

By Author: Karma financial and realty solution
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FSI and Its Impact

Property investment is always one of the big decisions and achievements in one’s lifetime. This has a huge impact on one’s life and can get a bit overwhelming considering the complexities of real estate. Whether it is an apartment that you wish to purchase, intend to buy a plot or build your own home sweet home, you have to remember and bear in mind several rules and regulations. Getting to know the concepts, words and abbreviations used in this field of real estate is an excellent idea as it will make this intimidating phase more relaxed and will allow you to be at ease when it comes to real estate.

What is FSI?

This an important term/ abbreviation in your journey of knowing about real estate. The full form of the abbreviation is Floor a Space Index and is also known as FAR (Floor Area Ratio). In short, FSI is the maximum allowed floor area for a manufacturer to build on a specific piece of land. FSI represents the ratio of the area of building floors to the area of the ground. FSI varies from place to place in accordance with city administration laws and regulations.
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... It is determined by dividing the total protected area of the building on all the floors of the building by the area of the plot on which it sits. You can, for example, build up to 1500 sq.ft of covered buildings on a plot if there are 1,000 square feet of land on which you want to build a residential or commercial building, and the SSI in your area is 1.5.2.

Impacts of FSI:

• A lot of factors can have an effect on a building's future FSI. Some of them include the size of the plot, the type of building, the location of the plot (city zone), the necessary facilities that can be made available for the building, etc.

• For example, the FSI of the land can depend on where it is located. The FSI in the old and developed part of the city might be different from the FSI allowed in developing areas. Each city will revise the FSI value depending on the development needs of the city and the value of the land. The FSI number determines the potential and commercial value of the plot.

• Although the math may be easy, it may be difficult to calculate the actual FSI of a potential house, as many areas such as basements, porches, shafts, lifts, service areas, etc. may or may not be counted as part of the FSI as per the regulations of your city. In Mumbai, parking and stilt parking are not included as part of the FSI. Similarly, in another city, the rules might be different. In order to determine this accurately, a detailed review of the city's laws and by-laws is needed.

• Whether you are building your first home or making a smart financial investment, buying property is always a milestone. Because purchasing property requires a large expenditure of money and is a long-term possession, it is important to consider these considerations and the fine print before entering into an agreement. Take an educated decision at each level by educating yourself to ensure that nothing endangers this important purchase.