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Over The Top Luxury Homes

Stretch out on a plush couch and admire your swanky sports car.…parked in your living room!

And no, we are not talking about Batman.Super luxury apartments are offering sports enthusiasts the space to park their pricey cars – right inside their homes.

  Modern Marvel – A success of design and technology this is new age luxury at its best.

Specially designed elevators move the car from the ground level to upper level apartments. Inside, custom made glass car parks house these super engines in style. Owners get to easily admire their super car whenever they want, and also ensure more security for their prized possession.If a single ‘in room car park’ is not enough, there is space for double parking and even penthouses suites that come with 4 showcase style car parking slots at a neat price tag of $24 million.

Source : magicbricks.com

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Salaried real estate investors in mess as loan cost pinches

The deepening economic slowdown, rising cost of living and low wage revisions, coupled with higher interest rares , are forcing salaried professionals who had earlier invested in properties to put them up for sale, say industry experts .People who had invested in properties some 10-15 years ago are now finding it difficult to service their home loans which have become too expensive now due to the rising interest rates and falling rental yields.

 According to a survey, resale inventory has increased nearly 30 per cent over the last six months.

“Economic slowdown has hit the real estate industry. Salaried professionals who had invested in properties five-six years ago to cash in on the boom, are now looking to sell them as they are finding it difficult to cope with the high cost of living,” property portal Housing.co.in co-founder and marketing head Advitiya  Sharma told PTI.

 He said the resale market is currently dominated by young professionals and the high cash inflows that the sector gets, has made it a lucrative field.“In the current economic conditions, finding a tenant with higher rents has become more challenging as people have become cautious due to uncertain economic conditions and are thus opting for properties with similar or lower rents,” DTZ India CEO Anshul Jain said. Primary buyers are willing to deal in the resale sector than new homes due to the risks involved in new projects, said Shashank Jain, Executive Director, PricewaterhouseCoopers.

 “Such resale inventory is mainly concentrated in large metro cities. Buyers are looking at such opportunities as they get closer to possession prices and do not have to worry about risks involved in new projects. On the other hand, sellers benefit as they can get higher returns on their investment, than settling for low rental yields,” he said.

Jain further mentioned that this situation will, however, not attract investors.

“Such deals will attract primary buyers. But people who are looking at investing in properties at this moment, may not consider this option,”

Source :

Source : indianrealtynews.com

For any informations on Properties in Delhi NCREmail us or SMS:SAVIOUR at 53030.

 

 

Four things to consider before buying distressed property

Buying a distressed property in the resale market could be a profitable deal for you. However, there are certain aspects which you must consider before entering into the transaction. A slight negligence on the matters related with the transfer could turn a profitable-looking property deal into a nightmare.

Distressed properties are ones for which a buyer defaults on the payments as per the schedule and agrees to sell the asset in order to facilitate recovery. A number of times, short-term investors book properties during the early stages, in expectation of quick profits. However, when the market goes slow and the asset does not get sold, they default on payment if they do not have sufficient funds to sustain the transaction.

On the other end, there are several genuine buyers who due to some reason or the other are not able to make payment and have no choice but to exit from the transaction through resale.

There is no harm in buying a distressed property, as a buyer is in a much better position to negotiate and gain. Here are some aspects to consider before buying such property:

Record of Payments:
A buyer must take a complete record of all the payments made by the defaulting party. The statement of payments may come from the seller but it should be verified by the developer’s office in black and white.

“A buyer must also check details of the service tax payment,” says Suneet Pratap Singh, sales head, Finlace Consulting.

Penalty Charges:
Generally, there is a clause of penalty charges in the contract in case of default in payment. These charges must be paid by the seller or if you tend to pay them as part of the total cost, then the amount should be finalised, keeping both reseller and developer in the loop.

Transfer Charges:
The developer may have put a condition of transfer charges as well. Factor-in this cost before you arrive at the total price of the property. “These charges may or may not be there, but it is always good to confirm from the developer to avoid surprises later,” states Manish Agarwal, secretary, Confederation of Real Estate Developers’ Associations of India (CREDAI), National Capital Region (NCR) and managing director, Satya Group.

No Objection Certificate:
After all the negotiations, you must obtain the No Objection Certificate (NOC) from the developer as well as from the bank which may have provided home loan to the reseller.

Source: Magicbricks.com, September 2013
Wish to purchase Residential Properties in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

Real estate investors go slow, home buyers in NCR to benefit

A lack of activity from the investor and underwriter segments is increasingly leading to a situation where real estate developers have no choice but to cater to the requirements of an end-user – as a result, a home buyer is in a better position to negotiate and take benefit of the softening prices.

It is due to the upcoming general elections and volatility in the national and global financial order, investors have adopted a cautious approach.

“Underwriters enter the market for short-term gains. Their presence may provide developers a sense of comfort, but at the same time, it results in escalated prices, of which an end-user has to bear the brunt,” says Abhay Kumar, chairman and managing director, Griha Pravesh Buildteck.

This is why, developers in the NCR cities such as New Delhi, Gurgaon, Noida, Faridabad and Ghaziabad, are seen fine-tuning prices to keep the ball rolling.

For instance, in sectors 76, 77, 119 and 120 in Noida, 1,000-sq ft multi-storey apartments that had touched the levels of Rs 50-52 lakh in the beginning of 2013, are now available in Rs 45-48 lakh.

“The recent price correction is a result of withdrawal of investors from various projects,” said Aman Agarwal, director, KV Developers.

Property prices in many parts of Gurgaon such as sectors 84 and 92 are down by 10-15 per cent as compared to the prices that prevailed until March 2013. A similar trend has been observed in Kaushambi and Vaishali areas of Ghaziabad as well.

The prime South Delhi areas such as Vasant Vihar and Defence Colony are reportedly witnessing a correction of 20-35 per cent, mainly because of cash-strapped investors who are now losing their patience and want to liquidate their holdings. Thus, a 1,000-sq ft apartment which was earlier priced at Rs 4.5-5 crore in these areas could now be purchased in Rs 3.5-4 crore.

Source: Magicbricks.com, September 2013
Looking for Residential Properties in Ghaziabad, Email us or SMS: SAVIOUR at 53030.

Of stamping and registration

An agreement to sell (ATS) requires compulsory registration and payment of substantial stamp duty.

an ATS with possession is equivalent to 90% of the total stamp duty applicable on sale/ conveyance of the property. The amount of stamp duty paid on such an ATS will get credited in the stamp duty payable on the sale deed. To cite an example, if the total stamp duty payable on the sale deed for a flat is calculated to be ` 10 lakh, the buyer is required to pay ` 9 lakh at the time of execution of ATS with possession and the remaining ` 1 lakh at the time of execution of the sale deed.

Registration:
As per the Registration Act, 1908, an ATS, under which the buyer receives possession of the immovable property, requires compulsory registration.

If a buyer wants to protect the possession of the property that he wants to purchase, he will be able to do so only if the ATS has been duly registered. In the absence of a registered document, the buyer will not be able to protect his interests where the property is concerned. The other consequence of not registering a document that requires compulsory registration is that the document would be rendered inadmissible as evidence in courts. Hence, the court may refuse to grant relief to the buyer, making it difficult for him to defend his right of possession.

To summarise, the parties must make sure that an ATS with possession is duly stamped and registered as per applicable state laws.

Source: Hindustan Times (Estates), September 2013
Looking for Residential Properties in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

Land buying can be a tricky affair

Housing plots are rare to come by in cities. In towns and on the peripheries of metropolises land is available, but one has to make sure they are not mired in disputes.

From convoluted loan clauses to unclear title deeds, the path to your own land is filled with potholes.

Buying a piece of land and building their first home is the biggest dream harboured by many Indians. So, when Prabhat told his mother that he was buying a plot of land, she was proud of him, something she did not feel when he had invested in a flat.

But buying a plot of land is a tricky affair, what with all the blatant corruption surrounding such deals including creating fake documents, demand for payment in cash and also issues of disputed land sales. If you are ready to buy land to build your first home, it is advisable to be very cautious and thorough.

Also, the steps and procedures are quite different from purchasing a flat and hence require a careful analysis before setting out on the path.

Plots are scarce in big cities, but you can still get a good piece of land in smaller towns or even the peripheries of the cities. If you are planning a loan, then a land loan offered by banks is an option. Some bank loans entail a clause that requires the buyer to start construction within six months of land purchase. So, it would be advisable to plan your course beforehand. You may procure a personal loan, but that might be a little more expensive.

Watch Out:

  1. It is advisable for land buyers to check for the following factors thoroughly and get them examined by a legal expert before making the purchase:
  2. The Deed Title: Check if the deed title is in the name of the seller and he has the full right to sell it. Insist upon seeing the original and not just a photocopy.
  3. Encumbrance Certificate: This document can be procured from the sub-registrar’s office where the deed is registered. It declares that the land is free of legal hassles and unpaid dues.
  4. Property Tax Receipts and Bills: Ask for the originals again and ensure all the payments have been made; non-payment could lead to legal complications and more expenditure in the future.
  5. Apart from these, you must also make sure loans on the land have been repaid, and a release certificate has been issued by the bank. Get the property valued for the exact land measure.

Documentation:

  1. To purchase land, the following documents are required from the seller’s end: Original Land Deed of the current owner, known as the 7/12 document and also the previous owners with the proper names on the title. Secondly, an Encumbrance Certificate from the Sub-registrar’s office for the at least the last 30 years. Thirdly, Release Certificate from the bank, stating that the loan on the land has been completely repaid. And finally, the original property tax receipt and other bills relating to the plot.
  2. For the buyer, the requisite documents include the title deed after it has been transferred to the buyer’s name, written by a Government licensed Document writer, the receipt from payment of stamp duty charges.
  3. Now, you can get your land registered in the sub-registrar’s office or have your name added in the village office records.
  4. The state municipality act requires that a prior sanction be obtained by a person who wants to undertake construction activity for building a new house or modifying an existing one. The process has been made automated in most states and is not time consuming. Your contractor, engineer or architect needs to take care of this. The architect needs to submit the building plan along with a prescribed fee for getting the building plan approval done.
  5. The construction costs involved in the project includes the fee to the architect/contractor, building material costs, and labor costs. Interior fittings such as light fixtures, bathroom fittings and tiles will add to the expenditure list.

Smart Ideas for Saving:
The cost escalators will be the choices you make such as the construction plan itself, the material be required for building your house will vary according to your plan, the material quality and so on. Sometimes, it is better to pay extra at the time of building and save maintenance and repair expenses later.

Outstripping your budget plan is inevitable while constructing your own home. But you can cut corners though:

Keep your construction plan simple and don’t make too many changes once the construction work commences. Get materials and fittings with long-term savings in sight. Pick the materials when prices are low even if you require them at a later stage. Finally, get what you need and not what you want. Cost cutting is very important from your end as there will be many unforeseeable expenses that will crop up.

Sticking to the original construction plan as much as possible is the best way to finish the project early or on time.

Source: The Hindu Business Line, September 2013
Looking for Residential Flats in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

NCR housing market subdued in H1: Report

Residential markets across the National Capital Region (NCR) were subdued in the first half of 2013, a report by global commercial real estate services firm CBRE said.

The report on the residential sector, ‘India Residential Market View H1 2013’, said Delhi witnessed stagnancy, concentrated in both the mid-end/high-end as well as premium housing projects.

Buyer interest remained largely focused on cost-effective suburban markets, with prime areas witnessing no new launches during the first half of 2013.

Capital values across most micro-markets of Delhi witnessed a decline owing to restrained demand levels, besides a cautious buyer sentiment. Developers delayed the launch of new projects, as they focussed on clearing existing vacancy levels, the report said.

While the prevalent market sentiment was one of caution, marginal price appreciation was seen in specific projects in Gurgaon on account of their relative affordability, developer profile and location.

Anshuman Magazine, CMD, CBRE, South Asia, said, “The NCR’s residential sector has witnessed lower levels of activity primarily due to inflated prices. Going forward, this will continue to dampen demand levels, particularly in the premium markets of Delhi and Gurgaon. Though the market is expected to witness developer focus on clearing existing inventory levels, launches by prominent developers are expected during the second half of the year – primarily in Gurgaon. The Reserve Bank’s latest ruling on disbursement of loans on special schemes, however, will further impact the residential market here.”

Developer focus remained largely on luxury housing, attracted by the higher returns offered by this niche segment, particularly in a few central and peripheral locations of the city, the report added.

Source: The Hindu Business Line, September 2013
Looking for Residential Properties in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

Gurgaon: Condominiums or floors – take your pick!

Gurgaon has undergone fast urbanization during the past few years with an influx of people from all corners of India as well as overseas. The wide gamut of industries in Gurgaon attracts a huge workforce with heavy pay packets. Consequently, there is a continuous demand for housing. In a bid to cater to this demand, developers are building both condominiums and independent floors. But what to buy is always a concern for a real estate buyer. To find out, MagicBricks.com organised a Brokers Meet who unfolded facts to help you make your choice.

Ashok Narang of Insight Re-location and Realty consultant says, “Due to high plot prices, the cost of a condominium and a builder floor is at par today. However, the rate of growth is always higher in case of condominiums as compared to builder floors in Gurgaon”.

Many experts feel that condominiums score over independent floors in terms of security and power backs-up. Pankaj Bansal of Oxford Realtors and Arbitrators says, “Gurgaon houses a number of migrants who have shifted due to job opportunities. These young professionals have nuclear families. For them, security in Delhi-NCR is a major concern. Therefore, they prefer condominiums over independent floors as it offers 24-hours security with latest technologies such as CCTV cameras, in comparison to gated communities or societies.” However, there is an extra cost involved in condominiums. One has to pay for security, maintenance charges, facilities and recreational activities, which can be avoided in independent floors.

Talking about security with respect to independent floors, Ajay Bajpai of Home2office says, “Developers today, are also offering integrated townships which include plots, villas, floors and apartments with tight security measures.”

In addition to this, independent floors win over condominiums in terms of space. Adesh Munjal of Home2office says, “Independent floors offer more carpet area, whereas in the case of multi-storeys, a builder has to draw space for common areas such as lift, staircase and recreational activities.”

So, if you are looking for space, independent floors in Gurgaon can be your choice but at the same time condominiums offer an array of benefits that you may not want to overlook.

Source: Magicbricks.com, September 2013
Looking for Residential Flats in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

Gurgaon: Condominiums or floors – take your pick!

Gurgaon has undergone fast urbanization during the past few years with an influx of people from all corners of India as well as overseas. The wide gamut of industries in Gurgaon attracts a huge workforce with heavy pay packets. Consequently, there is a continuous demand for housing. In a bid to cater to this demand, developers are building both condominiums and independent floors. But what to buy is always a concern for a real estate buyer. To find out, MagicBricks.com organised a Brokers Meet who unfolded facts to help you make your choice.

Ashok Narang of Insight Re-location and Realty consultant says, “Due to high plot prices, the cost of a condominium and a builder floor is at par today. However, the rate of growth is always higher in case of condominiums as compared to builder floors in Gurgaon”.

Many experts feel that condominiums score over independent floors in terms of security and power backs-up. Pankaj Bansal of Oxford Realtors and Arbitrators says, “Gurgaon houses a number of migrants who have shifted due to job opportunities. These young professionals have nuclear families. For them, security in Delhi-NCR is a major concern. Therefore, they prefer condominiums over independent floors as it offers 24-hours security with latest technologies such as CCTV cameras, in comparison to gated communities or societies.” However, there is an extra cost involved in condominiums. One has to pay for security, maintenance charges, facilities and recreational activities, which can be avoided in independent floors.

Talking about security with respect to independent floors, Ajay Bajpai of Home2office says, “Developers today, are also offering integrated townships which include plots, villas, floors and apartments with tight security measures.”

In addition to this, independent floors win over condominiums in terms of space. Adesh Munjal of Homes2offcies says, “Independent floors offer more carpet area, whereas in the case of multi-storeys, a builder has to draw space for common areas such as lift, staircase and recreational activities.”

So, if you are looking for space, independent floors in Gurgaon can be your choice but at the same time condominiums offer an array of benefits that you may not want to overlook.

Source: Magicbricks.com, September 2013
Wish to purchase Flats in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

New land bill will Hurt Realty Sector

The new land bill passed by the Lok Sabha is already drawing flak as experts say the bill will lead to an increase in the gestation time of projects and overall costs.

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Bill, 2012 (formerly known as the Land Acquisition , Rehabilitation and Resettlement Bill, 2011) was passed in the Lok Sabha on August 30, 2013.

The bill, which replaces the century-old Land Acquisition Act, 1894, proposes a unified legislation for acquisition of land and adequate rehabilitation mechanisms for all the affected people.

CRISIL Research has assessed the impact of this bill on real estate, infrastructure and industry and believes that this bill will lead to an increase in the gestation time of projects and overall costs.

Real Estate: With the rehabilitation and resettlement clauses of the land bill, CRISIL Research expects land prices to increase as the expectation of landowners will be higher. The land acquisition process will be longer and project gestation period will increase. Currently, the proportion of supply (which comprises projects of over 50 acres) to total planned supply in the Top 10 Indian cities is 25%.

Infrastructure and Industry:
In case of Industrial and infrastructure projects, too, CRISIL Research believes that the overall project gestation time as well as costs will increase. “Our interactions with industry players suggest that the overall project costs will increase by around 3-5%,” it says. CRISIL Research expects this increase in overall costs to impact the viability of such projects.

The provisions of the bill relating to land acquisition, rehabilitation and resettlement would apply in cases where government acquires land for:

  • Its own use and control
  • To transfer it for the use of private companies for public purpose (including PPP), and
  • On the request of private companies for immediate use for public purpose.

The term ‘Public Purpose’ in the bill includes:

  • Strategic defence purposes and national security
  • Roads, railways and ports, built by government and public sector enterprises (excluding private hospitals, private educational institutions and private hotels)
  • Project-affected people
  • Planned development or improvement of villages
  • Residential purposes for the poor and landless.

‘Public Purpose’ includes other government projects, which benefit the public as well as provision of public goods and services by private companies or public-private partnerships. Affected families include those whose livelihood may be affected due to the acquisition, and includes landless labourers and artisans.

Consent of landowners:
The bill calls for the consent of 80% of the landowners in case the land is acquired by private companies and 70% in case the land is acquired under the Private-Public Partnership (PPP) mode. The process of obtaining consent would be carried out along with the Social Impact Assessment (SIA) study.

Compensation:
The compensation policy calls for payment of four times the market value of the land in rural areas and two times the market value of land in urban areas. The market value of the acquired land would be based on the higher of:

  1. Market value specified in the Indian Stamp Act, 1899, for the registration of sale deeds
  2. Or average of the top 50% of all the sale deeds in a similar type of land situated in the vicinity
  3. Or the amount agreed upon as compensation for acquisition of land for private companies or PPPs

The value of the assets (trees, plants, buildings, etc) attached to the land being acquired will be added to this amount. The bill proposes that in cases where the ownership of an acquired land is sold to any person, without any development made, 40% of the profit made will have to be shared among all the people from whom the land was acquired.

Retrospective Clause:

  1. The new rules will apply retrospectively to cases where no land acquisition award has been made.
  2. Deepak Sharma and to those where land was acquired up to five years prior, but no compensation was paid or no possession taken place.
  3. The rehabilitation and resettlement compensation would include a house, one-time allowance and (either Rs 5 lakh or a job or inflation adjusted Rs 2,000 per month for 20 years) for each of the affected families.
  4. Families affected by land acquisition include farm labourers, tenants, sharecroppers and workers.

Quick Bites:

  • The provisions of the bill relating to land acquisition, rehabilitation and resettlement would apply in cases where the government acquires land for: its own use and control, to transfer it for the use of private companies for public purpose (including ppp), and on the request of private companies for immediate use for public purpose.
  • The new rules will apply retrospectively to cases where no land acquisition award has been made and to those where land was acquired up to five years prior, but no compensation was paid or no possession taken place.

Source: Times of India (Property), September 2013
Wish to buy Residential Properties in Delhi NCR, Email us or SMS: SAVIOUR at 53030.

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