How good are residential plots for investment?

Buying residential plots for value appreciation in developing areas is a good move. Property investors are now looking at residential plots as better options of investment.
Well connected residential plots offer good returns.

Well connected residential plots offer good returns.

DELHI: When you see an area is growing and the appreciation is improving, surely you can choose residential plots in the area as options of investment. Comparatively the land prices will be lower in remote areas.

For instance if the land prices in the prime location is Rs.10000 per sq. ft., it will be Rs.200 per sq. ft. in the remote areas.

However the nearest hub must be reachable within an hour. Lesser the travelling hours to the city, the higher the appreciation you will get.

Connectivity and infrastructure developments are also to be noted. If the connectivity is poor or the infrastructure is weak, your investment may not bring the desired result.

Closeness to the railway station, metro station, the nearby bus stop/stand, etc. too are to be considered. They also play their roles in determining the prices. Continue reading

Office Space Absorption to Grow By 68% This Year: JLL

Jones Lang LaSalle India has reported that office space absorption will grow by 68% this year.
Office space absorption in suburbs grows.

Office space absorption in suburbs grows.

Jones Lang LaSalle’s recent survey has reported that in the suburbs the office space absorption will be more this year. The growth of absorption is expected to be by 68%.

In 2012, the office space absorption grew by 60%. This rate is expected to be outperformed. The JLL survey has stated that the companies which plan of expansion will be more concentrating on the suburbs. This will boost office space absorption in the suburbs.

The existing commercial centers are losing its prominence. This will be more visible in the coming five years during which the companies will expand to the suburbs. The expansion is believed to take place within next four to five years.

The survey stated that suburban locations will determine the performance of office market. The companies aim to reduce their cost by shifting to suburban locations. Moreover they will be able to enjoy better facilities and amenities in these areas, however at lower costs. Continue reading

Pallavaram Booms, Connectivity to IT Hubs Remains Keen

Pallavaram in Chennai now witnesses a surge in the property prices. Property prices in the area soar very quickly due to its close connectivity with the IT hubs.
Pallavaram in Chennai booms due to its close proximity to the IT hubs.

Pallavaram in Chennai booms due to its close proximity to the IT hubs.

CHENNAI: Pallavaram in Chennai is a place of historical importance. The area is more connected with Pallava dynasty. However that is not what concerns the home buyers of the area. They are worried over the surge in property prices.

Due to many reasons, Pallavaram is one of the most popular residential destinations in Chennai. The area is just 17km away from Chennai city. Moreover it is well-connected to the Thoraipakkam and Shollinganallur, two IT hubs.

Due to its close proximity to these IT corridors, the demand for housing units has increased. There is a hike in property prices in equal proportion to the demand.

Living in Pallavaram means living away from the hustles and bustles of the city. The area is 7-10 km away from the IT hubs. And so it is easier for those IT professionals to stay here and work. Continue reading

Gurgaon sees surging demand for mid-segment luxury Apts

Gurgaon now experiences and sees an improved demand for mid-segment luxury apartments.
Gurgaon now demands more mid luxury houses

Gurgaon now demands more mid luxury houses

The growth of Gurgaon as a synonymous name for luxury housing segment was very fast. However the city is now witnesses more demand for mid-segment luxury apartments and residential properties.

Gurgaon was one of the top cities which have seen large number of launches in the top end luxury housing segment. Despite of the higher number of ultra-luxury launches, the demand was still more. The top earners for whom luxury is a way of living, these properties are nothing but what secures their happiness in life.

However, now the city is witnessing an altered demand. Gurgaon now is more demanded for mid-segment luxury apartments. Seeing this, the builders are also coming up with projects in the segment.

In fact the sky reaching property prices are said to be one of the main reasons behind the altered demand. With property prices rocketing in the city, top end properties are not so highly demanded now. Continue reading

Reforms in realty sector, untouched by budget 2013

Budget 2013 has failed miserably to bring in any reforms in the realty sector. Many reforms like real estate regulatory bill and so on, were expected by the experts.
Reforms stood away from realty sector

All expected reforms also stood away from realty sector.

The budget 2013 was expected to boost realty sector in many ways. Many reforms like real estate regulatory bill, infrastructure status at least to the affordable housing sector, etc. were the main reforms which realty sector expected from the budget 2013.

Leading realty players to greater despair and mischief, none of these reforms were included in the budget.

The main focus was on the lower and middle income segment people and affordable housing segments. On the other side the budget did not forget to levy heavy burden on the shoulders of the top earners.

The affordable housing segment may be boosted as the budget includes some sort of boosts to the sector. However the budget is expected to affect the luxury housing segment inversely. After the budget, the prices for luxury houses are expected to rise sharply. Continue reading

Luxury housing segment turns costlier after budget 2013

The recently launched Budget 2013 will have an adverse impact on the luxury housing segment. Experts opined that the prices will shoot up in the luxury housing segment.
luxury housing segment will be costlier now with the revised deduction rate.

luxury housing segment will be costlier now with the revised deduction rate.

Was the Budget 2013 really a tolerable one? Though many of the experts have expressed that the budget 2013-14 was a moderate one, looking at the fate of luxury housing segment they may rewrite or overwrite on what they have said or written earlier. Here let us see how the budget will have an impact on the real estate sector as a whole and particularly on the luxury housing segment.

It is true that the real estate sector as a whole has received a slight help from the budget. Precisely saying only the affordable housing segment received a boost from the budget. On the other end, the budget 2013 has slapped on the top earners by imposing additional charges on them.

Luxury homes will be more expensive for the buyers as the budget reduced the rate of reduction on homes and flats from 75% to 70%. The revised deduction will be applicable to all homes and flats with over 2000 sq. ft. Continue reading

Suburbs, better for long term investment

The growth of suburbs into cities assures better options of returns from the investment in these areas. Property investment in Suburbs is expected to be more attractive and productive than investing in metro cities.
Invest in suburbs for longer periods to gain better returns.

Invest in suburbs for longer periods, to gain better returns.

The growing demand for housing units has asked the real estate developers to develop more housing units outside the metro cities. Suburbs around all metro cities like Bangalore, Chennai, Delhi, Kolkata or Mumbai, or any other emerging cities, have seen spectacular growth.

Growth of these new corridors has provided the investors new options. Yet, the investors must approach such locations with a perfect view of investment. The tenure of investment is one of the main factors, that each investor should be careful.

It is never advisable to have in investment for shorter periods in any of the suburbs. If you plan to invest in any suburb, you should plan to invest for a quite longer time- so to say minimum three to four years.

On the other hand, the metro cities and other tier-I cities are more preferable for short term investment. If you invest for a short term also you will be able to gain bigger or higher returns. This is because the property prices are rocketing in all these cities. Moreover the growth potential of these cities is limited. This will assure sustainable returns to all the investors over the time. Continue reading

Land Acquisition Bill May Boost Property Prices

Land acquisition bill may boost the property prices in the urban cities. Investors expect land acquisition bill to provide more clarity to the land acquisition process.
Property prices may go up with land acquisition bill

Property prices may go up with land acquisition bill.

The farmers may be happy to see the parliament passing land acquisition bill. Once the bill gets through the parliament the farmers will be sure of gaining more rights on their land parcels.

Though the bill will bring clarity to the land acquisition; the bill will affect the property prices severely. The prices will shoot up as the bill stands for the consent of the land owners, at least four- fifth of the entire land holders.

Industries also fear that the cost of the projects will be costlier. The land acquisition bill forces them to pay an amount, four times higher than the market price, in the rural areas.

The bill also asks them to pay a double the market price for the land in the urban areas. Project development will not be as easier as the builders have to get the permission of the land owners. Continue reading

Hot Investment Destinations in the Delhi NCR

Offering higher returns to the investors, properties in Delhi NCR remain one of the most sought after options of investment. Investors in the Delhi NCR are keen to invest even on residential plots as well.
Investment in Delhi NCR properties increases.

Investment in Delhi NCR properties increases as it offers better returns to the investors.

Delhi NCR is one of the top real estate investment destinations in India. The city offers higher returns to the investors and so there are many investors who remain keen to invest in the properties in this region.

According to a recent survey, nearly one-fourth of the property investors are attracted to Delhi NCR which is second hotter destination after Mumbai. The area offers around 90% of returns to the investors.

Among the investment options in the Delhi NCR, Dwarka Expressway Corridor is the best and most sought after real estate investment destination. The area’s growth is well-supported by the infrastructure development and the location advantages. Continue reading

Faridabad Set To Compete With Gurgaon and Noida

With high paced infrastructure development and growing transportation facilities, Faridabad is slowly emerging as one of the best realty locations in the NCR.
Faridabad real estate booms along with widening of Highways.

Faridabad real estate booms along with widening of Highways.

Faridabad has already become a hot spot for the realty players. Many of the most noted real estate developers of the NCR region have their projects in the city now.

Though the city is facing hard-hearted competition from other neighboring cities like Gurgaon, Noida and Greater Noida, it still has achieved a place among the hot real estate locations in the NCR region.

Compared to other neighboring cities the city is more suitable and demanded by middle income class group. Viewing the increasing population level; in the city Haryana Urban Development Authority has launched a 20 year development plan for the city. Continue reading

Thane: Connectivity-Based Popular Realty Destination

Connectivity is considered as one of the major factors which makes Thane in Mumbai as one of the top most and popular realty destination. In fact connectivity fuels Thane’s popularity.
Connectivity holds the growth-key of Thane

Connectivity holds the growth-key of Thane.

A few couple of years or decades back, Thane remained as an unpopular suburb in the Mumbai Metropolitan Region, right now this has become one of the most popular suburbs in the region.

Though the well planned development and schemes of the Authority plays a key role in the growth of Thane, the main role is played by the connectivity which has attracted more population to the city. Along with the infrastructure growth the connectivity of the area got developed.

The area is all set to be a fully–developed city in all spheres. With easier connectivity to Brahamand, Ghodbunder Road, Owala and Patlipada, the city becomes a hub for all the other areas of the city. Moreover there is a simultaneous and concurrent growth of commerce and infrastructure in the city. Continue reading

Property Investment: Pre-Launch Properties Remain Better

Blooming real estate sector makes property investment probably the best investment option. However the returns are more when they are invested in pre-launch properties.
Property investment in pre-launch projects better as it offers better returns.

Property investment in pre-launch projects is better as it offers faster returns.

The booming nature of real estate market is one of the main reasons which attract the investors to property investment. There are many who have invested in much number of properties. Other forms of investment are incapable of providing better returns as quickly as property investment does.

For them property investment is a faster means to earn better and higher returns and financial benefits. Bank deposits and other financial schemes are only secondary to the property investment.

The most sought after location for property investment is Gurgaon. In fact the city is more or less has become an investor-driven market. However according to many experts the property prices are rocketing in the city mainly due to the presence of vast number of investors. Continue reading

Bangalore Residential Market Goes Green Now

Green buildings are slowly becoming the new trend in the Bangalore residential market. Recent reports show that the number of green buildings is increasing in the city.
Green buildings strike Bangalore residential market .

Green buildings strike Bangalore residential market .

There are totally 41 LEED India-acknowledged green buildings in Karnataka. Out of these 41 green buildings 39 are in Bangalore. Now you realize how Bangalore residential market is becoming green now.

Karnataka has fourth-maximum number of green buildings in India. However there is a good appreciation from the buyers’ side as well. The people in Bangalore demand more for green buildings now and it seems to have become one of the leading trends in Bangalore residential market.

With the highest number of green buildings, Maharashtra is on the top list which is followed by National Capital Region and Tamil Nadu.

According to the industry experts; in India, the number of residential apartments – compared to commercial buildings, will be more by 2030. Continue reading

Iyyapanthangal in Chennai Entices Buyers With Connectivity

With infrastructure growth in the area, Iyyapanthangal in Chennai has become one of the most sought after destinations in Chennai. The area now offers better connectivity to the people here.
Connectivity boost the growth of Iyyapanthangal

Connectivity boost the growth of Iyyapanthangal

The home buyers are always keen to know the connectivity of the area. Once they feel that a residential property is located in a location where they can enjoy better connectivity, their sentiments are boosted and they readily buy out the property. This is what happens in Iyyapanthangal in Chennai now.

Iyyapanthangal; an area located in the Sriperumbudur Taluk of Kancheepuram district, has carved a place for itself in the Chennai’s real estate landscape. The growth of the area is mainly due to its improved connectivity and infrastructure development.

Iyyapanthangal is rightly supported by better connectivity and infrastructure. The residents of the location enjoy better advantages as it is situated between the Bangalore Highway and the Grand South Trunk Road which provides better connectivity.

Connectivity and infrastructure development affects the property prices of the area which move upward day by day. The average capital value for the properties here range from Rs.4000 to Rs.6000 per sq. ft. There is an increase in the rental rates of the area as well. Continue reading

Bollywood Loses Multiplexes Due To Sluggish Realty Market

Due to the slowdown in the realty market, Bollywood missed many multiplexes which were supposed to be completed by now. It affected the entire Bollywood industry.
Revenue of Bollywood movies affected as number of multiplexes are lower.

Revenue of Bollywood movies is affected as number of multiplexes are lower.

Bollywood film industry is affected by the sluggish realty market which has halted many mall projects. It is estimated that around 150 multiplexes across the country has not been completed in time due to the slowdown in the realty market.

It is a bad news for any Bollywood fan to hear that real estate market has indirectly affected the Bollywood industry. If the developers are not developing multiplexes, where will the Bollywood movies be shown and the people will be able to watch them. So in short the slowdown in the real estate sector has affected Bollywood, though indirectly.

In India, majority of the multiplexes which contribute a major share of film’s total collection, are built in malls. Once the mall construction has been halted by the developers due to the existing slowdown, the film industry also is affected. According to experts, Bollywood industry might have lost over 150 multiplex screens which would have generated more income to the industry. Continue reading

Properties In Pune Unsold; Boon For Home Buyers?

Home buyers look with lure to attain a better one among the many unsold properties in Pune. The home buyers are expected to bargain for the unsold properties in Pune.
Properties in Pune remain unsold. Home buyers see it as a boon.

Properties in Pune remain unsold. Home buyers see it as a boon.

Vast numbers of properties in Pune remain unsold. Recently residential market in the city has experienced stable property prices for a few couples of weeks.  Home buyers consider this as a boost for them as they will have plenty of options to choose from. They are also hopeful of attaining properties in Pune at lower rates through bargaining with the builders.

Global property consultant Cushman & Wakefield’s October-December (2012) quarter residential research report stated that the home launches fell sharply in the last quarter of 2012. Though there was a substantial increase in home launches here in the first three quarters of the year, the final quarter faced around 60% fall in new launches. Continue reading

Top Property Investment And Home Destinations In India

Many cities are emerging as hot destinations for property investment in India. Here we have shortlisted a few property investment and home destinations which provide better returns to the investors.
Top destinations that provides better returns for your property investment .

Top destinations that provides better returns for your property investment .

Chembur, Ulwe and Wadala in  Mumbai are three most-promising property investment and home destinations. These areas are noted for its improved infrastructure and job-generation capacity.

Noida-Greater Noida Expressway, Yamuna Expressway and Noida Extension are three top destinations in the National Capital Region. These areas offer better price appreciation to the investors. So they remain top destinations for property investment as well. Continue reading

Property Prices Will Remain Stable; No Chance For A Fall

The situation seems impossible for the property prices, especially in the metro cities, to fall downward in near future or ever. Will there be a price correction, sooner or ever?
Property prices will remain stable despite no takers are around.

Property prices will remain stable; despite no takers are around.

The situation in India shows that there will not be a fall of property prices, especially in the metros like Bangalore, Delhi, Mumbai or any other metros. Though everyone wishes a fall in the property prices, it is almost impossible to happen, neither in the near future nor in the longer- future.

Developers have taken loans from the banks and housing finance companies. Some of the builders have even taken loans from private equity firms which normally lend loans at 25 to 30 %. Still, builders are forced to cut down prices as many of the projects remain without any demand as buyers’ sentiment has been hurt by the sky rocketing property prices. Continue reading

Bangalore Sees Lower Office Space Absorption as IT Demand Falls

Compared to 2011, the office space absorption has fallen in Bangalore. Experts opine that the situation was the result of weaker demand from the IT and ITeS sectors.
Office space absorption in Bangalore fell due to the lower demand from IT and ITeS sectors.

Office space absorption in Bangalore fell due to the lower demand from IT and ITeS sectors.

Real estate experts said that the office space absorption in Bangalore has been dropped as the IT (Information Technology) and ITeS (IT enabled Services) did not raise much demand. The reports show that the office space absorption has dropped by 24% last year.

Cushman & Wakefield, a global real estate consultancy, reported that in 2012 nearly 7.3 million sq. ft. of office space was absorbed. This rate of absorption is very lower to the 9.59 million sq. ft. of 2011. If the IT and ITeS sectors had shared nearly three fourth of the total supply in 2011, in 2012 their absorption is just above two fourth of total supply. Continue reading

Real estate in Ghaziabad is Growing Faster Compared To Noida

With the improvement in infrastructure, facilities and connectivity, real estate in Ghaziabad is growing faster compared to Noida.
Ghaziabad real estate

Ghaziabad real estate will thrive as the city achieves  better development.

Real estate in Ghaziabad is on the verge to become a hot real estate destination in around 5 years’ time as compared to Noida. Yet one should notice that Noida has achieved a level of growth in a quicker span.

Earlier if the real estate builders avoided Ghaziabad real estate due to its weaker development, the current situation shows that they are keen to build up projects in Ghaziabad. Due to the steady improvement, the city seems to be competent to Noida real estate. Ghaziabad might now obviously hold better investment chances than Noida. Continue reading

Odisha Real Estate Feels Crushed By Scams

Builders of Odisha fear that the real estate market may become crushed as news about real estate scams came out. Odisha Real Estate has determined to wash off the stain away and with this purpose CREDAI- Odisha Chapter has appointed a scrutiny- committee to check out the membership applications.
Odisha real estate builders have become highly cautious

Will Odisha real estate be able to acquire the trust of home- buyers?

Once the news came out as businessman Tirupati Panigrahi was arrested along with two associates of him, the real estate players in the state is cautious as the real estate scam may adversely hit housing market.

Businessman Tirupati Panigrahi and two associates of him were recently arrested for real estate scam. The real estate builders fears that the real estate scam news will hit the real estate sector adversely. The sale of housing –units will be all the more affected. Continue reading

Real Estate Price Trends: Job -Generation Determines

Real estate flourishes only in cities which generate higher numbers of job opportunities. In these areas real estate price trends remain more dynamic. Other factors remain unable to bring any favor to the real estate price trends.
real estate price trends

Real estate price trends shift according to the location’s capacity to generate large job-opportunities.

Real estate price trends change according to the construction costs and inflation. However the dramatic shifts of prices is more visible in cities which produce higher number of job opportunities.

South Indian cities like Bangalore and Chennai, other cities like Hyderabad and Pune appear to be ahead of other bigger cities in creating job opportunities. With this improved and leading position in creating job opportunities, these cities witness better real estate growth in comparison to Delhi and Mumbai.

Jones Lang LaSalle India’s CEO Om Ahuja reported that if the situation goes on like this these cities will overtake Mumbai and Delhi. He also pointed to the growth of Gurgaon as well. Continue reading

Real Estate Discounts To Attract Indore Property-Takers

Indore real estate is attracting the takers through various discounts and freebies. Real estate builders of Indore find no other way than cutting the edge of the real estate prices.
Real estate discounts to play again

Real estate discounts to play a crucial role in real estate market of Indore.

Existing real estate downturn forces builders to attract takers through freebies and discounts. This is more visible in Indore real estate. The builders offer wide range of freebies and discounts to the property buyers as well as real estate investors.

Real estate investors are assured handsome returns on their investments. Some of the real estate developers assure 30 to 40% returns on real estate investment within couple of years. Continue reading

Real Estate Investment: Tier 2 Cities More Profitable

Real estate investors of India prefer to have real estate investment in tier two cities now. These developing cities offer higher returns for the real estate investors.
real estate investment in tier 2 cities

Real estate investment in tier 2 cities is more profitable as it offers higher returns.

The Tier two cities are more preferred by real estate investors now. These cities are noted for their faster development and this is the main factor that attracts the Indian real estate investors to these cities.

Real estate investors’ traditional approach to bigger cities such as Delhi and Mumbai shifts as they remain incapable of delivering higher returns to them. On the other hand tier two cities are emerging as better real estate destinations.

The cities with better job- opportunities are all the more preferred real estate investment destinations. Higher population inflow to the small cities like Pune and Gurgaon prompts the builders to increase the supply.

With the growth of population the commercial needs improve and so does the demand for commercial spaces. These cities better offer chances for business growth as well. All these factors have pushed up the real estate prices as there is an increased demand.

Real estate investment not in developed cities

Developed cities do not support Real estate investment as it offers only lower returns.

Leading real estate consultancy firm Jones Lang LaSalle India (JLL) reported that the cities like Bangalore and Chennai will grow along with the expansion of IT centers in the cities. The real estate consultancy firm highlighted the expansion plan of Wipro.

Wipro has recently disclosed their plan of expansion. The firm plans to expand their existing Bangalore headquarters and campus which at present has the capacity to hold 31,000 people. Another 25 lakh sq. ft. of area will be added to the current Wipro headquarters.

IT expansion is taking place in Hyderabad and Chennai as well. These areas’ growth will be dependent on the IT expansion. JLL India’s CEO Om Ahuja opined that the real estate prices in these cities will be more dynamic than in other cities. He added that trends of real estate supply will be different in these areas.

All these features tell the real estate investors to tap new and emerging markets. They can reap sizeable returns from these cities and so these cities remain hotter places to have real estate investment. In short prime real estate investments in tier 2 cities are easier way to become rich now.

Real Estate Investment? HNIs Become Cautious Ever

High net- worth individuals (HNIs) have excess money. Yet they find no proper place to invest it as the real estate market fails to give them higher returns. For them real estate investment has become unsafe.
Real estate investment

Real estate investment? HNIs turns highly cautious about their investment on real estate properties .

High net- worth individuals (HNIs) always look for income generating assets. They are least bothered about the fluctuations in the economy. High net- worth individuals’ (HNIs) real estate investment was always well- known. As any others they also preferred real estate investment to all other forms of investment. Continue reading