Tag Archives: Indian real estate

Apartment for Rent in Coimbatore Awaits You

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Coimbatore, also known as Kovai, is a major city in Tamil Nadu, routinely known for its essential industries, engineering goods, textile mills, educational institutions, health care facilities, traditional culture, and boundless hospitality. It is home to a large textile industry and, more recently, an electronics manufacturing hub. 

The real estate trends in Coimbatore have changed over the years, and apartments are now gaining popularity with buyers and investors to the point where modern apartment designs have evolved. Because of its welcoming green pastures and hospitality, Coimbatore’s growing real estate market is seeing a significant increase in demand. 

Benefits of renting an apartment in Coimbatore

Pleasant weather: Coimbatore would be the best place to live due to its year-round pleasant climate. The city is full of friendly people who adhere to great culture and offer a warm welcome. 

Nature divine: A cosmopolitan city with breathtaking natural surroundings, it’s famous for its tastiest “Siruani Water,” after the Nile. 

Development: Coimbatore’s expanding IT infrastructure and easy connectivity can support businesses. Because of its essential amenities, the city attracts significant investment. 

Connectivity: The city is home to numerous universities, engineering colleges,   medical colleges, and other educational institutions, as well as healthcare industries, and it has easy access to major South Indian cities. It is one of the main reasons to rent an apartment in Coimbatore.  

The ideal location:  Apartments in Coimbatore are great for families, children, working parents, and college students. Coimbatore is a great place to buy your dream home because it has world-class institutes for technology, engineering, and arts, as well as some of the best schools in the area. The city is ideal for families to relocate to because it is not only urbanized and overcrowded. 

We are guaranteed a great future: Many jobs are available in various fields of interest due to the growing BPO, engineering, Computer hardware, and IT sectors. The gleaming city of Coimbatore is a beacon of hope for most rural people who come to fulfill their dreams. 

A flourishing metropolis: Coimbatore is a thriving metropolis in Tamil Nadu, with new buildings, stores, cinemas, restaurants, parks, and shopping malls sprouting up in every direction. A city where social and cultural life is thriving, it is one of the state’s fastest-growing cities. 

Coimbatore is Tamil Nadu’s third-largest city and one of its most industrialized. It is popularly known as the textile capital of India, like Manchester in England. 

Coimbatore has become the best city to live in due to its growing industries and proximity to world-class educational institutions. Students and working professionals, in particular, prefer to live in locales with excellent amenities and reasonable prices. So, if you’re looking for the best places to live in Coimbatore, we will tell you where you can live comfortably. 

Kovaiputhur

The western Ghats surround Kovaiputur, a residential township. Because of its cool climate and peaceful beauty, it is Little Ooty. This township has numerous schools and colleges, with a residential hub for many families. This area also has many playgrounds for children and parks for recreation. It has good transportation to other parts of the city. 

It also has religious sites and easy access to banks, supermarkets, and hospitals. In a nutshell, this is one of the best places for families to live. 

Gandhipuram

Gandhipuram is the city’s commercial district and its beating heart. This area, located in the city’s center, is a popular spot for shopping and entertainment. It is also a bus transportation hub. Many IT companies and commercial shops call it home. Gandhipuram is the best place to live in Coimbatore because it is close to important landmarks. It has a garden and a play area for children for its residents. Gandhipuram is the best place to live because it is close to important landmarks. 

Saibaba Colony

Saibaba Colony is a posh residential neighborhood in Coimbatore. It has good access to nearby areas such as Gandhipuram and RS Puram. The name stems from the Saibaba Temple, located in this area. This area consists of individual and residential properties. This location has the most public and private sector banks. Furthermore, this location is well-known for its restaurants and shopping malls. This neighborhood has well-kept parks where residents and visitors can enjoy a pleasant morning or evening stroll. 

Thondamuthur

Thondamuthur is a suburb within the Coimbatore Corporation. It is one of Coimbatore’s rapidly developing urban suburbs. This area has a good number of housing complexes and properties. Thondamuthur, surrounded by natural greenery, is one of the best places for families to live. 

Renting your dream apartment in Coimbatore would be the best decision you will ever make if you want to settle in a quiet and wonderful place in the entire state. 

How to Calculate Area of Land in Square Feet

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Knowing how to calculate the area in square feet is a helpful skill that is simple to learn and can help you tackle DIY home projects easily. Once you know the total square feet of a surface area, you can calculate the cost of materials for home improvement projects such as painting or laying new floors. 

Understanding square feet will improve your renting literacy- you will know how much space those numbers equate to and whether your queen bed and area rug will fit in your new bedroom. Finally, understanding square feet allows you to calculate the price of your space by dividing rental or real estate purchase prices into a price per square foot.  

What is a square foot?

Square footage is simply the amount of flat space that covers an area. Assume you know that your room is 8 feet wide by 12 feet long. You understand the width and length, but what about the surface area?

How do you know if your furniture will fit comfortably in the room? The square footage will inform you of the size of the area you’re dealing with. Based on how much usable square footage you have available and how much square footage your bed’s footprint will cover, this calculation can help you decide what size rug to buy or even if your room can fit a full or queen-size bed. 

Tip: Knowing the dimensions of your furniture can assist you in planning the best arrangement for your specific space. A footprint is the amount of space an item occupies on the ground, such as a piece of furniture, which, like your footprint, will cover an area of your room. 

How do I calculate square feet?

To calculate the square footage of any area, simply multiply its length and width (how tall x how wide). Because square feet are the most commonly used measurement in the United States for room sizes and DIY home supplies, the unit of measure will affect how you calculate square footage.  

However, using the basic formula, it is simple to convert other units of measurement to inches or yards. 

The basic formula for measuring Square Feet 

To calculate feet squared (or sq. ft. for short), first, determine the length and width of the area in question. Square feet are found by dividing the length by the width. You can use the following basic formula:

The area in square feet is length (in feet) x width (in feet).

If you do not know what a square foot is, draw a square 1 foot tall by 1 foot wide-you had one! Each of those squares stacked against each other equals every wall, followed by fabric sheets, wallpaper, etc. You are measuring the total area of a structure rather than just how tall or wide it is. 

How do I search for square feet in different types of rooms?

  • Rooms with closets are similar to rectangular rooms with small rectangular add-ons. Calculate and total the square footage of each rectangle. 
  • Rectangular rooms: Simply follow the formula to calculate the area of a room or the area with a square or rectangular shape. 
  • Odd-shaped rooms: The standard tool for measuring area can be used in odd-shaped rooms too. Simply divide the room into separate parts that are easy to calculate separately and total the results. If you have a lot of angles in your room, use this triangle formula- it is just a rectangle or square cut in half!

What is the available square footage?

In a commercial real estate setting, “usable square footage” refers to the total square footage a tenant can use, excluding common areas such as stairwells, hallways, and lobbies. 

In a residential real estate context, usable square footage refers to the surface area of your personal space in the household versus common areas such as hallways, storage closets, and shared spaces such as kitchens and living rooms. 

The bungalow provides private rooms in shared homes that are less expensive than single-person housing options in the same neighborhoods. Wifi and utilities, are up before you move in to make co-living as easy as possible. 

Unlike other forms of shared housing, Bungalow vets all residents and pairs you with roommates who share your living preferences and interests. 

Lake View County Apartments for Rent

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The routine of waking up with responsibility, following the rules, navigating congested traffic, and meeting deadlines continue throughout the typical day. After overcoming the challenges of daily life, a home provides comfort and safety. So why settle for an abode that fails to take the day out of your mind?

Metro cities only offer the two options of “splurge-or-adjust,” where you can spend a lot of money to get a large home or stick to a tight budget and settle for a cuboid. 

In contrast, greenfield projects in cities like Hyderabad, Pune, Chennai, and Ahmedabad have emerged with luxurious apartments and low-density complexes with large acres. 

In addition, Hyderabad currently leads the top eight Indian cities in terms of the number of housing sales per year as of 2022. A benefit is that cities that offer affordable housing are now more in demand!

A few benefits of renting a Lakeview County apartment are as follows:

A Fresh Breath of Air 

Polluted air, deteriorating health, and an intolerably hot climate are all costs of city life. However, when there is a water body nearby, it sends cool breezes your way. This lake breeze comes from regional variations in the wind that travel from water to land due to a temperature difference, typically from a lake or an ocean. 

Lakeview County apartments can be an excellent option to stroll along the shore for the utmost tranquility. Living in such an environment only has a few benefits, such as rejuvenation and good mental health. 

Individualized Space 

Most lake-view County apartments have limited separation, creating the impression that each unit is a singular space. The Lake View County apartments are conveniently isolated from the demanding and crowded areas of the focal city. As a result, you can anticipate more carpet space than in other projects with comparable configurations. 

Aesthetically-Pleasing 

Imagine waking up to serene waters that frame your small world and serve as a constant reminder that, despite the daily grind, all you need to get through the day is a brief moment of peace. 

Beyond aesthetics, living by a lake is considered a form of luxury. You can feel your inner energy rising by sipping tea while taking this ethereal view from your balcony. 

Property tax reduction 

Every owner of the property is required to pay property taxes. We all want to spend as little tax as possible while maximizing our income. That is why living in a lake-view county apartment is an outstanding choice.  It is so because the property tax for a piece of land is significantly less than that for an apartment or an item of commercial property. 

Passive Income Stream 

A Lakeview County apartment is related to the type of vacation as well. As a result, many households and working professionals prefer to rent cozy apartments with intriguing scenery. Such apartments get steady returns for homeowners. 

Conclusion 

We hope you know more about the main justifications for renting a Lakeview County apartment. Every type of person can find the best Lakeview apartment at a fair price. 

Real Estate Digital Marketing Services in India: Boost Your Sales Today

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Over the past few years, real estate digital marketing has become popular. The days of relying on local agents and newspapers for real estate listings are long gone. Nowadays, real estate is an online industry. The internet has allowed individuals to quickly find the real estate projects that best suit their needs. Real estate agents who deal with land and buildings have lost control of their needs. Real estate agents who work with land and buildings have lost control of their power; however, they are now realizing the value of digital marketing for real estate in India and making the necessary marketing investments to reclaim their dominance in the industry. Millennials (ages 23 to 38) search the internet at a rate of 98%, compared to baby boomers (ages 55 to 73) at 89% and the silent generation (ages 74 to 91) at 72%, according to a recent study. 

As a result, developing an effective real estate digital marketing strategy has become imperative. By creating an online presence, digital marketing also increases brand visibility. Buyers and real estate agents concur that digital marketing is the most effective way to produce high-quality leads. 

Benefits of Digital Marketing for Indian Real Estate

For online real estate businesses, digital marketing is a successful marketing strategy. Firms profit from the digital plan, which has allowed them to engage with customers online and transcend physical boundaries. Let’s examine each benefit of digital marketing for real estate in India in more detail: Take a closer look at all the advantages of digital marketing for real estate in India:

Sense of Brand 

Everything is accessible right now with a click. A company’s success depends on its ability to connect. Buyers no longer favor visiting the offices of real estate developers for information. Instead, they can quickly create a list of properties they want by filtering their needs and wants into a search engine. 

Using the advantages of digital marketing, developers can select their target market. Based on elements like geography, psychographics, and behavioral traits.  

To concentrate only on those eligible for the company’s product, narrowing the target audience is a wise move. It lowers the likelihood of a failing marketing strategy and creates an efficient and long-lasting business model. 

The Efficiency of Cost 

Compared to traditional marketing, the budgets for digital marketing are small. Take traditional outdoor media and a Google advertisement as examples. The ad from Google appears on a single platform that’s visible to everyone, regardless of location, whereas the outdoor advertisement has to be displayed in each town separately. Adjusting the message and switching platforms are part of the scope of digital marketing campaigns because they are measurable in real-time. 

Market across languages 

Readers are more likely to interact with content to understand it in their language. It builds customer trust and raises brand recognition and awareness. When a friend or family member suggests a property, the customer purchases it. To connect with their target audience more effectively, real estate companies should adopt a vernacular approach for their content marketing strategy. 

Target marketing

Developers can choose their target market by utilizing the advantages of digital marketing for their company. Based on factors such as geographic scope, psychographics, and behavioral characteristics to identify the audience. 

To concentrate only on those who are eligible for the company’s product, it makes sense to focus on a smaller target audience. It builds an effective and sustainable business model and decreases the risk of marketing failing. 

How Real Estate Businesses Can Benefit From Digital Marketing Services 

Display Advertisements 

Display advertising uses text, logos, animations, videos, photographs, or other graphic materials to deliver highly visual and personalized ad experiences based on customer internet signals. To maximize the impact of their advertisements, display advertisers frequently target users with specific characteristics. The Google Display Network is a fantastic tool for spreading brand awareness to unsuspecting potential customers. 

Video advertisements 

The core purpose of Google Video Ads is to increase reach and engagement with a range f audiences on YouTube and through Google Video Partners. To reach your audience with video ads, use demographic targeting. To attract your audience with video ads, use demographic targeting. 

Google Ads 

When users search for a keyword on Google, online ads known as “Google search ads” appear on the search engine result page. Pay-per-click, or PPC, advertisements are those where the advertiser pays each time their ad clicks on. Google’s AdWords advertising platform, which enables advertisers to craft ad text and place bids on keywords, manages PPC search ads on Google. 

Using Social Media to Boost Engagement

Instagram 

According to the sources, only 14% of realtors are active on Instagram. However, 83% of prospective home buyers also requested online images of the properties. Realtors can share their brand’s story with a highly engaged audience, increase their customer base, and drive brand awareness. 

Twitter 

Twitter has developed into a microblogging platform that has worked well as a real estate market marketing tool. 

LinkedIn 

Among B2B profiles, LinkedIn is a potent tool for raising brand awareness and promoting the product. Real estate developers can connect with other professionals on Linkedin, including interior designers and architects.  

Facebook 

A person uses Facebook for 35 minutes on average per day. It makes it possible for real estate developers to market their brands on Facebook. Choose from placements for your Facebook advertising, including the News Feed, Stories, Marketplace, Video Feeds, Right Column, In-Stream Videos, Search, etc. 

Real Estate Digital Marketing Metrics 

Rate of conversion

It shows how much it costs to acquire a real customer who will successfully convert, also known as “cost per action.

Whether a conversion occurs will depend on what the business wants the customers to do, such as buy something, sign up for something, or watch a video. Based on the total cost of the ad, CPC indicates how successful an ad is in reaching its objective. 

Visitors and Impressions

The number of visitors to a website is known as website traffic. Bounce rates, channels, purchase percentages, and session counts are common ways to measure it. Impressions measure how often a visitor looks at page elements, such as an image, text, video, or content. These are based on the advertisements and calculated according to how much an advertiser must pay to advertise his ad on the website. 

The ratio of Qualified Leads

It is the ratio between the number of leads who visit a website and become customers and the overall number of visits. 

Source for Leads 

You can increase your sales in some ways. The main point is the necessity of locating the top lead sources. The next step is to concentrate on that area once you have identified the traffic source. Your website should be one of the sources of lead generation. 

Lead generation

Locates draws, and converts potential customers into actual customers through marketing channels and lead generators. Social media, email, landing pages, and websites are common lead-generation channels. 

Indian Real Estate Digital Marketing Trends

Chatbots

Due to its specifics, real estate marketing is a complicated process. People don’t purchase properties at any given time. The process requires a lot of thought and investigation. Thus, lead generation becomes a concern. 

Real estate chatbots can help with the complexity of these projects. A chatbot is available 24/7, which enables people to ask the fundamental questions they have about properties. A bot’s ability to personalize leads increases its chances of converting leads. Chatbots can help with lead generation at all levels of the sales funnel. Chatbots can handle everything by giving prospective buyers the details to arrange a virtual tour. 

Augmented reality

Real estate sector, augmented reality (AR) is a game-changer. For both sellers and buyers, it has opened several doors. Real estate buyers can view a property without making a trip using augmented reality (AR). The development of augmented reality has created new opportunities by offering personalized services and a distinctive user interface. Potential customers can see how their homes will look after they finish furnishing them using AR. 

Blockchain Technology 

Real estate deals are typically made offline and in person with various parties. Blockchain, however, has recently altered how businesses conduct transactions. Assets like real estate are tokenized and traded like cryptocurrencies like bitcoin and ether to the introduction of smart contracts on blockchain platforms. 

The Impact of GST on Renting of Residential Property in India

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On June 28 and 29, 2022, the 47th GST Council meeting occurred. Following the previous GST Council meeting, there were multiple modifications to the Goods and Services Tax (GST). The partial elimination of the GST exemption for services provided in connection with the rental of residential property is one of these significant changes.

It’s crucial to recall that services involving the rental of residential properties for use as a residence were exempt from GST as of July 1, 2017. As of July 18, 2022, certain elements of the exemption will be withdrawn.

Residential and commercial rentals are subject to the GST on residential property rentals. Therefore, even if a residential property is rented out for commercial purposes, the rent remains subject to GST. 

ParticularsNew notificationsOld notifications which are amended vide the new notifications
Notice covering exemption available under GSTNotification no. 04/2022- Central Tax (Rate) dated 13th July 2022 [amendment effective from 18th July 2022]Notification no. 12/2017- Central Tax (Rate) dated 28th June 2017
Notification covering the applicability of the reverse charge mechanismNotification no. 05/2022- Central Tax (Rate) dated 13th July 2022 [amendment effective from 18th July 2022]Notification no. 13/2017- Central Tax (Rate) dated 28th June 2017

The said amendment relating to the applicability of GST on the rental of residential property is briefly covered in the present article.

GST liability for renting a residential property till July 17, 2022

Since the beginning of the Goods and Services Tax (GST), or as of July 1, 2017, any person who is engaged in renting out residential properties specifically for habitation was eligible for a GST exemption. Notably, the exemption listed at SI No. 12 of Notification No. 12/2017- Central Tax (Rate) from June 28, 2017, is tabulated below: 

Heading Description of service Rate Condition 
Heading 9963/ Heading 99721Facilities through the rental of a home for use as a residence NILNIL

The aforementioned makes it abundantly clear that renting out a residential property to anyone who intends to live there is exempt from all regulations. In other words, when renting a residential property to someone for a business purpose, GST is due. 

GST validity for residential property rentals as effective from July 18, 2022

According to notification number 04/2022- Central Tax dated July 13, 2022, SI. No. 12 of notification number 12/2017- Central Tax (Rate) dated June 28, 2017, changed. The amendment states that the phrase “except where the residential dwelling is rented to the registered person” will be added after the words “as a residence.”

Therefore, after the publication of notification no. 04/2022- Central Tax (Rate) dated July 13, 2022, SI. No. as of July 18, 2022, will read as follows: 

Heading Description  Rate Condition 
Heading 9963/ Heading 99721If the property is not rented by a registered person, renting it to be used as a home is prohibited NilNil

With effect from July 18, 2022, GST will apply to residential rentals as follows:

Particulars GST Position post 18th July 2022
Renting a residential property for residential use to the person registered under GST Taxable as of July 18, 2022
(Free from 1 July 2017 to 17 July 2022 and Taxable from 18th July 2022)
Renting a residential property for a personal reason to an individual who isn’t registered with the GST Exempted from 1st July 2017 
Rental of a residential property for a business purpose to a person who is registered for GST Taxable from 1st July 2017
Renting a home for a business for an individual not registered under GSTTaxable from 1st July 2017 

The corresponding modification to the reverse charge service mechanism for renting residential dwellings- 

The fundamental notification, Notification No. 13/2017-Central Tax (Rate), dated June 28, 2017, covers the list of services to which the Reverse Charge Mechanism is applicable. SI. NO. 5AA was added to Notification No. 13/2017- Central Tax (Rate), dated June 28, 2017, by Notification No. 05/2022 – Central Tax  (Rate), dated June 13, 2022. The said SI.No. 5AA is tabulated hereunder-  

SI.No. Description of Service Service providerService receiver 
5AARenting the residential dwelling to the registered person as a serviceAny person Any registered person 

As a result, the registered person (also known as the service recipient) who receives services by renting a residential property is required to pay GST under the Reverse Charge Mechanism. In nut-shell, even if the service provider of the renting of a residential dwelling is registered under the GST, the registered service receiver will be liable to discharge the GST under Reverse Charge Mechanism. 

The conclusion that GST applies to the rental of residential property – 

The following table offers an overview of how GST will be used for residential property rentals starting July 18, 2022. 

Particular GST Applicability GST payable by the service provider GST payable by the service receiver 
Services of renting of residential dwelling for residential purposes to the person registered under GSTGST-taxable as of July 18, 2022,No Yes
Services related to renting a home for private purposes to a person not registered under GST Exempted NANA 

Explore Lucrative Plots for Sale in Hyderabad: Invest Wisely & Secure Your Future

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Are you interested in investing in plots for sale in Hyderabad? Real estate is one of the main things that attracts inventors’ attention. People believe real estate is the safest investment because property prices rise frequently. So, who doesn’t want a return on investment?

Furthermore, real estate can be used to generate rental revenue, which is another reason why many people consider it an investment. People may consider investing in real estate for many reasons, which may explain why demand is increasing. The buyer and seller are the only ones who care whether the property is an office or a residence. The need for residential plots is skyrocketing.

Plots have undoubtedly become the go-to choice for investments in the post-pandemic real-estate marketplace. 

Popular plot features in Chennai 

If you’re looking for residential plots for sale in Hyderabad, many of the available lots include the usual amenities, such as:

  • Internal roads and footpaths: Most plots in Hyderabad include internal roads and paths to facilitate travel within the neighborhood. 
  • Gated community: To ensure safety and peace of mind, most residential plots are part of a gated community with security guards. 
  • Water Supply: To make life easier, all residential plots include a reliable water supply. 
  •  Sewage System: For safe living, most residential communities have sewage systems. 
  • Electricity: You can be confident that every plot will have a continuous power supply.
  • Gas supply: Cooking gas is also supplied to many residential areas in Hyderabad. 

To live comfortably in your new neighborhood, it’s crucial to consider all of this when choosing your plot. 

Factors to consider when purchasing a plot in Hyderabad

Here are a few things to consider before purchasing a residential plot in Chennai. 

Building Restrictions and Zoning Regulations

Be sure to familiarize yourself with all building restrictions and local zoning laws before doing anything because they will dictate what can be situated on the property. If you want to create something specific for commercial or residential use in the future, knowing what kinds of buildings can be erected in advance can save you a lot of trouble later on. 

Size 

When buying a plot in Hyderabad, you should also think about the plot’s size. The plot’s dimensions must be appropriate for the property’s intended use and financial constraints. A larger area might incur higher maintenance costs, while a smaller area may force you to give up space and comfort. Pick a size that fits your needs after carefully considering them. 

Location 

Before making a purchase, it’s critical to understand the neighborhood and determine whether it meets your needs. Do your homework and look into the area, amenities nearby, accessibility, and available public transportation. You can use this information to decide if this is the perfect place to live. 

Benefits of investing in plots in Hyderabad 

  • Lower Investment cost: Particularly in India, unoccupied plots are less expensive than standalone villas and apartments. Furthermore, property taxes for plots are lower than those for houses. Additionally, the cost of maintaining the land will not be prohibitive. 
  • Higher Return on Investment: If open plots are located in areas that are anticipated to experience growth in the future, their prices will typically rise more dramatically than residential assets. For instance, a plot’s value will undoubtedly increase if it is close to a highway or in an area where significant resources are being invested in building necessary infrastructure, bringing profits to the owner. 
  • Provisional choice and flexibility: People have much more leeway when pieces of land according to are more affordable. Plots can also be used for a variety of purposes. Some people build people homes on lots, while others prefer to create farms and henhouses. You can design your home as you make it on your build to suit your needs. Independent homes or apartments with distinctive designs are up for sale. Depending on your preference, you can also choose the neighborhood of your choice. 
  • Easily Manageable: It is also easy for owners of uninhabited lands to manage their properties much better, even from distant locations, than homeowners, as their properties do not attract maintenance overheads, unlike individual homes or apartments.  

In Hyderabad, there are 665 residential lands to buy on Propertywala.com, with prices ranging from Rs. 1.39 lakh to Rs. 30.6 crores (an average of Rs. 18,282 per square meter). Shadnagar, Kothur, and Ibrahimpatnam are locations where people go most often. 

Plots in Kothur, Hyderabad 

In Kothur, Hyderabad, there are 44 residential lands for sale on Propertywala.com, with prices ranging from 4.7 lakhs to 88.67 lakhs (or, on average, Rs 12,722 per square meter).  The plots provide features like a clear title, freehold land, a plot boundary wall, a society boundary wall, a corner plot adjacent to the main road, a green belt facing, water connection, electric connection, and connectivity to hospitals, schools, and shopping malls. 

Plots in Ibrahimpatnam, Hyderabad

In Ibrahimpatnam, Hyderabad, there are more than 40 residential lands for sale on Propertywala.com, with prices ranging from 5 lakhs to 80 lakhs (on average of 1089 sqft). The plots are near well-known towns, hospitals, or schools and adjacent to the main road.  

Conclusion

It’s a good idea to familiarize yourself with the various localities, amenities, and social infrastructure. If you’re looking for residential plots for sale in Hyderabad. To make the best choice when selecting an area, you can also look into the zoning laws and the city’s development plans and become familiar with the market rates and other pertinent information.

Finding the ideal plot in Chennai can be difficult, but with the right advice and investigation, you can make a wise choice. You can find the perfect location for your future home among the assortment of residential plots offered for sale in Chennai.

THE FUTURE OF INDIAN REAL ESTATE BY 2040

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A small look at the real estate industry:

The word “real” is derived from the Latin root rex, which means “royal,” since the kings, in the past, used to own all land in their kingdoms. It is said that real estate is one of the most globally acknowledged sectors in the world. If we know real estate in terms of business, it means the game of producing, buying, and selling property. According to all the sectors of the economy, the construction industry ranks third among the 14 major sectors in terms of direct, indirect, and induced effects.

In India, after the agriculture sector, the real estate sector is to be considered the second-highest employment generator, and it is also expected that this sector will sustain more non-resident Indian (NRI) investment for the short term and the long term. Bengaluru is the top city that is expected to be the most recommended property investment destination for NRIs, followed by Ahmedabad, Pune, Chennai, Goa, Delhi, and Dehradun. 

The market size of the real estate industry by 2040:

The real estate market will grow to Rs. 65,000 crores (US$ 9.30 billion) from Rs. 12,000 crores (US$ 1.72 billion) in 2019 by 2040. In India, this sector is expected to reach US$ 1 trillion in market size by 2030, up from US$ 200 billion in 2021, and it will contribute 13% to the country’s GDP (gross domestic product) by 2025. India’s growing infrastructure is much needed to grow, as retail, hospitality, and commercial real estate are also growing significantly. Within a year, India’s real estate sector saw over 1,700 acres of land deals in the top 7 cities. In the commercial real estate sector, foreign investment was at US$ 10.3 billion from 2017-21. 

According to the report of ICRA (Investment Information and Credit Rating Agency of India Limited), Indian firms are expected to boost >Rs. 3.5 trillion (US$ 48 billion) through infrastructure and real estate investment trusts in 2022. According to the Savills India report, the real estate demand for data centers is expected to increase by 15-18 MSF in the year 2025, whereas in 2021, around 40 MSF were delivered in India. Now, It is expected that the country will have a 40% market share within 2-3 years, and India is looking to deliver 46 MSF in 2022. In India, a total of 55,907 new housing units were sold in the 8 micro markets between July 2021-September 2021, which means there is 59% growth year over year, whereas, in the third quarter of July-September 2021, new housing supply stood at 65,211 units, and increased by 228% YoY across the top 8 cities when compared with 19,865 units launched in the third quarter of 2020. When it comes to commercial space in Gurugram, it is expected to record increasing investments in 2021-22. 

According to the Economic Times Housing Finance Summit, about 3 houses are built per 1,000 people per year, compared with the required construction rate of 5 houses per 1,000 people. The current shortage of housing in urban areas is estimated to be 10 million units. An additional 25 million units of affordable housing are required by 2030 to meet the growth in the country’s urban population.

Growth of Real Estate Portals

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With the onset of e-commerce, most retailers and sellers prefer to sell their products online, so it is only natural that, for the time being, the real estate market would follow the trend. Online property portals guarantee to be a noteworthy decision, offering an ample market with a much more hassle-free experience for all the peeps who are looking to buy, sell, or rent. 

In the past few years, real estate portals have evolved, in a nutshell. Gone are the days when exploring was confined to a particular region or developer. Real estate property portals are now supported by verified, extensive data analysis of every micro market, along with detailed property descriptions. These online portals are not only a one-stop destination for buying, renting, and selling, but also provide advice on getting financial loans and legal particulars.

Our significant center of attraction is to seek the answers to some questions, as- What is the Indian consumer searching for? The ways he is using it, the constraints he is facing, etc. And answering these inquiries with tech-driven solutions appears to be the route ahead in creating a robust business for the future. 

In India, the online real estate market is on the rise, with more and more people turning to the web for their property research. According to the statistics, over 5 million people are using the internet to research properties. And there are a few of its advantages, which are mentioned below: 

  • For migrants moving to a new city, online portals enable them to access information in one go. 
  • Listing your property online is normally free.
  • Both purchaser and dealer have immediate access to data that avoids the hassle of various phone calls and site visits. 
  • Purchasing, renting, and selling property is possible without contacting any real estate agent.
  •  All properties will be verified by the site itself to guarantee that no forged postings are available. 
  • Most sites permit photographs of the land which makes it easier for the potential buyer to have a sneak peek at their desired project.
  • Online property portals consist of filter options that provide the means to the customer to match their exact requirements. 

As the growth of the online real estate portal is our fundamental goal, in order to achieve that, we need to take care of our customers’ needs and dig deeper into how to make the market rise and our buyers happy.

Property tax for buyer

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India is the world’s second-largest country by population and one of the most rapidly growing economies, making it a hotbed of real estate investment activity. The Indian real estate market is estimated to be worth US$180 billion and is expected to grow to US$1 trillion by 2030. The Government of India levies taxes on real estate transactions. 

Sec 194 IA of the Income Tax Act, 1961 states that for all transactions with effect from June 1, 2013, Tax Deducted at Source (TDS) on the property is applicable when the value of the property is more than Rupees 50 lakhs. The buyer is required to deduct 1% of the value of the property as TDS, which is to be deposited with the Income Tax Department. Then submit TDS online by the 30th of next month in which TDS is deducted. Buyer is not required to take a TAN. Buyers can fill the form 26QB available on www.T I N – N S D L.com and deposit the government TDS. The buyer is also required to provide the seller with a TDS certificate in Form 16B as proof of payment. It is applicable on all properties except agricultural land.

Let’s have a look at some of the points to be noted:

  1. TDS is calculated on the base amount excluding GST.
  2. If the amount is paid in installments by the buyer, deduct 1% from each installment.
  3. In the case of a home loan, TDS is deducted at the time payment is made to the seller, not at the time when EMI is paid to the bank.
  4. In case there are two buyers and the individual purchase price is less than 50 lakhs but the combined purchase price is more than 50 lakhs, then TDS will be deducted.
  5. This is also applicable when the buyer is a nonresident Indian.
  6.  If the seller does not provide PAN, then TDS is to be deducted @20%.

In case of default to deduct or submit TDS

If the buyer does not submit TDS, the sub-registrar will not register your property, and you will not be able to get the property transferred to your name. TDS is a mandatory document and must be submitted to the sub-registrar. You can get a notice from the tax department as well. In some cases, officers can impose a penalty of Rs. 1 lakh as well.

If a buyer does not deduct TDS, the interest charged will be approx @1% per month.

And if a buyer deducts TDS but does not deposit it, interest can be around 1.5% per month.

Now the amount to be deducted would depend on the residential status of the seller, and the residential status of the buyer would not be considered.

TDS applicability if a Seller is an Indian resident

If the seller is an Indian resident, as discussed above, deduct TDS of 1% of the entire sale value and deposit the same with the government.

If the Seller is a Non-Resident Indian (NRI)

Here, TDS is to be deducted regardless of purchase price, it must be deducted on all properties.

This TDS will be on capital gains tax, which is the sale price minus the purchase price minus the expenses.

Nature of Capital GainsDescriptionTDS Rate on Sale of Property by NRI
Long-Term Capital GainsProperty held for more than 2 years20%
Short Term Capital GainsProperty held for less than 2 yearsIncome Tax Slab Rates of Seller

So, if the property is sold after 2 years, TDS will be deducted by the buyer at 20%. There will be a surcharge, for health, and education of 20%, depending on the budget of the property sale price. If the property is sold in less than 2 years, the nature of the capital gains will be short-term capital gains, and the TDS will be as per the IT slab for NRIs. 

The buyer will submit Form 27Q online and the TDS online. The buyer will give proof that TDS is deducted from the seller by giving Form 16A-NRI. If TDS is not deducted or deposited, the government will catch hold of the buyer, and the buyer must deposit it.

PMAY – Pradhan Mantri Awas Yojana

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What is PMAY?

PMAY is Pradhan Mantri Awas Yojana – Urban, which was proposed to serve housing for all in urban areas by the year 2022. This is a flagship Mission of the Government of India being applied by the Ministry of Housing and Urban Affairs (MoHUA). It was launched on 25th June 2015. This is also known as Housing for All.

In this mission, the lack of houses in urban areas is among the Economically Weaker Section (EWS) or Low Income Group (LIG) and Middle Income Group (MIG) groups including the slum occupants by ensuring a pucca house to all urban households who are eligible for this scheme when the Nation completes 75 years of its Independence in 2022.

In the execution and success of PMAY(U), State Level Nodal Agencies (SLAs), Urban Local Bodies (ULBs)/ Implementing Agencies (IAs), Central Nodal Agencies (CNAs), and Primary Lending Institutions (PLIs) are the main contributors, and plays an essential role in it.

According to the guidelines of PMAY(U), the size of a house for EWS could be up to 30 sq. meters of carpet area, however, States/UTs have the flexibility to increase the size of houses in approval and consultation with the Ministry.

PMAY(U) EXTENDED TILL 31, DECEMBER, 2024:

According to the government statement, everyone knows that this scheme was launched in 2015 with the target of constructing over 1.12 crore homes in urban areas by August 15, 2022, but the Cabinet approved an extension till December 31, 2024. So, the houses already approved are completed. This is because while the initial order for houses was 1.12 crore, the Housing and Urban Affairs Ministry has approved 122.69 lakh houses, of which 102.59 lakh have been grounded and 61.77 lahks have been delivered as on August 1. 

As per the statement of the Lok Sabha on July 21, Housing and Urban Affairs Minister of State Kaushal Kishore had said: “A proposal seeking extension of the mission up to March 2024, to complete all houses authorized under the scheme up to 31 March 2022 without changing the funding pattern and implementation methodology, is under consideration. Meanwhile, a temporary extension of 6 months for all verticals except Credit Linked Subsidy Scheme has been granted.”

MISSIONS AND FACILITIES UNDER PMAY(U):

The mission covers the whole urban area, including statutory towns, notified planning areas, industrial development authorities, development authorities, special area development authorities, or any such authority under state legislation that is authorized by the functions of urban planning and regulations. Under PMAY (U), all houses have amenities like toilets, electricity, a water supply, and a kitchen.

ELIGIBILITY CRITERIA FOR PMAY (U)?

This mission provides ownership of houses in the names of the female members or in a joint name to promote women’s empowerment. Although, preference is also given to differently-abled persons, senior citizens, STs, SCs, OBCs, minorities, transgender people, single women, and other vulnerable and weaker sections of society. 

The eligibility criteria for the Pradhan Mantri Awas Yojana are as follows-

  • The Applicant’s Family must not own a house in any part of the country.
  • PMAY is accessible for an economically weaker section (EWS), LIG (Low Income Group), MIG-I (Middle Income Group I), and MIG-II (Middle Income Group-II) sections of society.
  • The family should not have a pucca house in their name or any family members.
  • The subsidy is notifying both banks and housing finance organizations.

Legal documents to be checked before buying property

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Today, we will discuss the 12 legal documents we must check before purchasing a property. What are those legal documents, let’s have a look. We have often heard cases of people buying a property that is owned by somebody else or has been mortgaged to the bank. Eventually leading to money getting stuck on the buyer and leading to unwanted court cases. So, to save your time, and money and have peace of mind, always check the below legal documents before buying a property. 

TITLE DOCUMENT: The first document is the title document. The meaning of the title document is from whom you are buying this property. In short, it refers to ownership of the property. Insist on seeing the original, and not a copy of the title deed because it will also tell you whether the seller owns the property legally or not. A buyer should check the original documents either the sale deed (it means the person who sells the property to you from where he gets that property, you have to look into that sale deed), gift deed (sometimes in such cases there is no sale deed of the property, the seller has got it from someone as a gift, so check the gift deed of that property), or conveyance deed ( conveyance deed, means the seller has bought it from any UID or corporate instruments). Although, the conclusion of all these deeds is to check and verify the property. 

CHANNEL DOCUMENT:  The second document is channel documents also called hawala documents. It means when the property is sold from ‘A’ person to ‘B’ and then from ‘B’ to ‘C’. so, whenever the property is sold out and a registered deed is built or any trail is built on, then you have to check everything in it. That’s why it is also known as a hawala, where the property is transferred from one person to another person. So, in this document, you have to check all channels.

ENCUMBRANCE CERTIFICATE: The next and most important one is the encumbrance certificate. This certificate tells you whether the property has any tax or is mortgaged, or has any penalty on it. Generally, we don’t look at this certificate but for safety purposes, you should go to the sub-registrar office, and fill out form number 22, it is almost in every state but it can vary in every state. So, you have to pay those nominal fees and you will get every information about that particular property. Like; who has bought this property, who sold it, taxes on the property, or any pending penalty or not. Therefore, if there is nothing pending then through form number 15, you will get it back and otherwise they answer back every pending detail of the property. But, there is also one limitation, if the registry department has no information available then they are also not able to provide any information to you. So, you must not depend completely on this as well. 

OCCUPANCY CERTIFICATE: The fourth one is OC. Normally, if anyone buys a property from a developer, then in that case they get the OC from a particular UID or the local government. Also, look at the other sanctioned plans from the builder. 

POSSESSION LETTER: The fifth one is the possession letter or it is also called the allotment letter. If you are buying any flat or property then you must check whether the builder has the possession letter of that particular property or not. This letter is given by the government when all the rules and regulations are followed.

 MORTGAGE: Next one is the mortgage, in which you have to check whether the property you are buying has any type of mortgage/loan or not. Although, if the property is mortgaged then the property should not be bought by the buyer.

TAX RECEIPTS: It is on every land purchase. The municipality takes land taxes. The only thing you have to check is to see whether the previous owner of the property has completely paid the taxes or not because it helps you to save your liabilities and you also get to know who owns the land. 

UTILITY BILLS: The next one is utility bills. You have to check whether the previous owner has paid all the utility bills or not. For example, electricity or water bills.

CAR ALLOTMENT LETTER: The ninth one is the Car Allotment Bill which means if you are buying any flat or property in the metropolitan area, there is a letter for a car parking area. So, you must check whether you get the car allotment letter or not from the owner. If the owner has no car allotment letter then you have to face some problems regarding it in the future.

RESIDENTS WELFARE ASSOCIATION (RWA): This point is for those people who take any property or flat or used to live in a building where the residential welfare association is already made. So, you have to look for NOC whether the previous owner has NOC or not because usually, people don’t pay the maintenance charges of the society and then the next owner will have to pay those liabilities.

MUTATION: The next document is mutation also called JAMA BANDI. It is additional evidence. In this document, you have to check whether the government documents have the previous owner’s name registered or not, and the day when you buy a property then you must register it in your name.

Conversion Certificate: The last and most important document is the conversion certificate. Mainly, there are two types of land- one is agricultural land and the other is non-agricultural, Therefore, you must not buy residential/commercial property built on agricultural land, and you must verify if the seller has converted the property to non-agricultural from agricultural if it can be done. Therefore, it is important to look for the conversion certificate.

India’s 5 most expensive houses

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Reliance Industries Limited chairman, a business tycoon, Mukesh Ambani is one of the wealthiest men in India. Therefore, a man who currently holds the title of 11th richest person in the world lives in Antilia, the most expensive private residence in India.

  • It is located at Altamount Road, Mumbai, Maharashtra
  • The area of Antilia (in sq. ft) is: 4 lakh sq. ft
  • Total no. of floors: there are 27 floors
  • Mukesh Ambani’s house has approx. 600 staff
  • Other vital features: It has 9 high-speed elevators, a Private movie theater, 3 -helipads, a hanging garden, an ice-cream parlor, a salon, and a gym. Apart from this, there is a parking space for 168 cars with 6 floors of car parking.
  • House price: 15,000 Crores Approx. ( The price of the house is approximately 15,000 crores).

Gautam Vijaypat Singhania, the chairman, and MD of the Raymond Group, the world’s largest producer of suiting fabric. He has a mansion that is called JK House, which will be a combination of a private residence and a textile showroom.

  • The location of the house is: Altamount Road, Mumbai, Maharashtra, located next to Antilia
  • The area of the house ( in sq. ft) is: 16,000 square feet 
  • The total no. of floors is: 30 
  • Parking floors are: 6
  • Some other features: 2 swimming pools, a spa, a gym, and 1 helipad.
  • The price of the house: 6000 crores.

A top businessman in India and the Chairman of Reliance ADA Group Mr. Anil Dhirubhai Ambani’s property offers luxurious and 7-star hotel amenities. This luxury villa is known as Abode. Let’s have a closer look at this magnificent property.

  • It is located at Pali Hill, Mumbai
  • The area of the house ( in sq. ft) is: 16,000 sq feet 
  • The total no. of floors is: 17
  •  Other vital features are a: Swimming pool, gym, 1 helipad, parking space, and lounge area displaying Ambani’s car collections.
  • The price of the house is 5,000 Crores.

Jatia House is also one of the most expensive houses. It is owned by the chairman of Aditya Birla Group, Mr. Kumar Mangalam Birla who is also a Chartered Accountant.

  • Jatia House is located at Little Gibbs Rd, Malabar Hill, Mumbai.
  • The area of the house (in sq. ft) is:  30,000 square feet 
  • The total no. of floors is: 3 
  • Some other features of Jatia House are a grand garden, a pond, a central courtyard, and 20 bedrooms.
  • The price of the house is 425 crores.

The King Khan of Bollywood, Shahrukh Khan is one of the most loved stars in the Hindi film industry. His house, Mannat, is a famous landmark in Mumbai city. His house looks very glamorous and has become a tourist place for his fans.

  • The address of the house is Mannat, Land’s End, Bandra, Mumbai.
  • The area of Mannat (in sq. ft) is: 27,000+ square feet
  • There are: 6 floors
  • Other vital features in Mannat are multiple bedrooms, living areas, a gym, pool, a library, a private movie theater, Shahrukh’s office, an impressive terrace, and a bar. 
  • The house price is: estimated to be around Rs 200 crores.

Story Behind Jaypee’s Failure

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Shri. Jaiprakash Gaur, the founder of Jaypee Group, had a single-minded focus after graduating from IIT Roorkee with a diploma in civil engineering. He decided to contribute to nation-building by branching off as a civil contractor in 1958 and founded Jaypee Group. The Group’s business interests include engineering and construction, cement, power, real estate, expressways, fertilizer, hospitality, healthcare, sports, and information technology. This article covers the story behind Jaypee’s failure. How did Jaypee start, what all the good things it did, what exactly went wrong, and what is the future now? One thing is for sure, if everything would have gone well, Jaypee would have completely changed the situation in Noida. It could have become the DLF of Noida. But could not. More than 20000 buyers are still struggling to get the homes of their dreams. Let us look at the story behind the making of Jaypee.

Work done by Jaypee:

Jaypee Infratech was founded in 2007 and it is the part of the Jaypee Group. So, let’s look at some of the successful works done by Jaypee Infratech.

1. Yamuna Expressway project:

The Group entered into the construction of expressways with a 165 km access controlled 6 lane super expressway along the Yamuna River connecting Greater Noida and Agra. You would know how well-developed the Yamuna expressway is if you have been to it. It has become a big boon for Noida. Jaypee has also built the Zirakpur-Parwanoo Himalayan Expressway. 

2. Jaypee’s Hotels and Resorts:

In New Delhi, Uttar Pradesh, and Uttarakhand, the hospitality division of the Group owns and manages five hotels. 

3. Jaypee’s Hospital:

The Jaypee Hospital is well-developed and offers excellent health facilities. The hospital is now commissioning 525 beds in the first phase of its intended 1200-bedded tertiary care multi-specialty complex.

4. Jaypee’s F1 Sports:

The Group hosted the inaugural Formula One Grand Prix of India on October 30, 2011. The track is anticipated to hold more top-tier international racing competitions in addition to F1. Though this was unsuccessful as F1 races did not succeed in India. 

5. Jaypee’s Real Estate:

The first real estate project of the group, Jaypee Greens Greater Noida, covers 452 acres. This distinguished municipality includes an 18-hole Greg Norman golf course, upscale homes, shopping centers, etc. 

India’s First Wish Town, a premier township featuring an 18 + 9 Hole golf course, world-class residences, commercial developments, numerous entertainment amenities, and acres of greenery, was Jaypee Greens’ second project when it was unveiled in Noida in November 2007. The group then started construction on Jaypee Greens Sports City and Jaypee Greens Wish Town Agra, two townships along the Yamuna Expressway and Jewar International Airport, which is scheduled to open soon, and is a 20-minute drive from the city center. 

But destiny was against Jaypee’s prosperity, and Jaypee’s fantasy township became a failure. So let’s talk about this township’s swindling and how many house buyers lost their dream homes.

Jaypee’s Failure in Real Estate:

Who doesn’t want to be the owner of their own home? All of us do. Not just any house, either. A perfect home must be spacious, well-connected to the rest of the city, have a room with a view, and have the best amenities. However, it has been more than 12 years since thousands of Jaypee Infratech Limited (JIL) home buyers in Noida were victims of the mother of all real estate failures in India. The long-drawn legal battles are ongoing, leaving more than 20,000 Jaypee home seekers running from pillar to post and many giving up.

Jaypee got the land of the wish town in return for building the Noida expressway for Rs 400 crores. The company launched 32000 flats, still, 70% of apartments are in the under-construction stage. This project did not show any signs of readiness for the completion date. Around 90% of buyers made their payment, but it was still claimed that progress has been made on this project, although there was nothing to show for it.

A total of 18,767 people paid a total of Rs.8,676 crores to the company. 1410 people received possession worth 528 crores with no registrations. 413 people canceled their booking and their refund of Rs 64 crores is still pending.

Reasons for the failure:

 The reason behind the Real estate failure of Jaypee are:

  1. Jaypee group took the money that buyers had paid for homes and invested it in other projects.
  2. The company invested the money in other businesses.
  3. The government changed at that time.

 Future of Jaypee’s Failure:

After a super-lengthy resolution process, Mumbai-based Suraksha realty group got the approval of financial creditors and home buyers to take over the company in June 2021. Furthermore, in its offer, Suraksha promised to deliver all Jaiprakash Associates’ pending housing units within 42 months. It has offered to pay Rs 125 crore upfront and infuse Rs 3,000 crore within 90 days for completing the stalled projects. It will also put Rs 300 crore receivable from Jaiprakash Associates for completing the pending housing unit. Since Jaypee was an extraordinary case, the finalization of the bids is pending before NCLT for more than 17 months for approval. After the approval, the 20,000 home buyers who have been waiting for their units in various housing projects of Jaypee can finally breathe a sigh of relief.

Things you should know about GST in Real Estate

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Centre's FY22 GST compensation amount should be higher than projected Rs 1.58 lakh crore: Opp-ruled states - The Economic Times

OVERVIEW OF GST: 

In 2000, the late Atal Bihari Vajpayee, the then prime minister of India, initiate a committee to draft new indirect tax law and i.e. GST which stands for Goods and Services Tax. It was launched to replace multiple indirect taxes in India. Such as excise duty, value-added tax (VAT), services tax, purchase tax, octroi, entry tax, luxury tax, and so on. Here, propertywala brings every fact and figure that you should know about GST in real estate.

DEFINITION:

The Goods and Service Tax Act was driven in Parliament on 29th March 2017 but it came into effect on 1st July 2017. It is the only tax that applies all over India and imposes on the supply of certain goods and services. However, GST does not replace customs duty, which is still required on imported goods and services. Different categories of products and services attract different tax rates under GST.

Now, we will go ahead with the GST regime which is given by our Honorable Prime Minister Shri Narendra Modi, In his words, the Goods and Services Tax (GST) is “a path-breaking legislation for New India”. Then, GST is not just a tax reform but a milestone in realizing Sardar Vallabhbhai Patel’s dream of building ‘Ek Bharat – Shrestha Bharat’.


GST APPLICABILITY IN REAL ESTATE:

APPLICABLE –
1. It is applicable to under-constructed flats only.
2. It is because the GST does not cover the real estate sector under its range. Therefore, the tax rate applicable on a property is charged under ‘work contracts.

 
NOT APPLICABLE –
1. GST does not apply to ready-to-move-in flats, plots, and lands.
2. Upon completion and receiving the occupancy certificate i.e.(OC), the property is categorized as ready to move in. That is why a developer cannot charge GST on selling ready-to-move-in homes.

GST RATE ON REAL ESTATE 2022:

Everyone has a dream of a house. Well! It is fine if you are planning to buy a property. Because buying the right property is one of the biggest achievements in life. So, home buyers in India have to pay GST on the purchase of under-construction properties such as flats, apartments, and bungalows. Before hurrying on to the process, the foremost thing you must ask yourself is, “what is the GST rate on real estate?”

PROPERTY  TYPEGST RATE FROM APRIL 2019
Affordable housing1% without ITC (Input Tax Credit)
Non-affordable housing5% without ITC
According to the table, if the property is affordable,  the GST rate from April  2019 is only 1% without ITC. Also, for non-affordable housing, the GST rate is 5% without ITC.

WHAT IS ITC?

Input Tax Credit refers to the tax already paid by a person on any purchase of goods and/or services that are used or may use for business. Therefore, it is available as a deduction from tax payable.

AFFORDABLE HOUSING AS PER GST:

According to government norms, housing units worth up to Rs 45 lakhs are referred to as affordable housing in metro cities in which carpet area measures up to 60 sq. meters. The Delhi-National Capital Region, Bengaluru, Chennai, Hyderabad, the Mumbai-Kolkata are categorized as metropolitan regions. A housing unit in non-metro cities barring to be an affordable house, if it costs up to Rs 45 lakhs and has a carpet area of up to 90 square meters as mentioned in the given table.

CITIESPRICECarpet AREA (SQ/M)
METROSup to  Rs. 45 lakhs60 sq./m
NON- METROSbelow Rs.4590 sq./m

SOME FACTS TO BE NOTED WHEN CONSIDERING GST IN REAL ESTATE:

  1. It does not subsume the stamp duty and registration charges, which you still have to pay.
  2. Seller increases the cost of ready-to-move-in properties to factor in the GST cost. So, overall the under-constructed properties are still cheaper than ready-to-move-in properties. 

That’s all you need to know about GST when it comes to real estate.

Best tips to hire a broker in India

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Real estate is one of the largest industries in India. There are several companies of real estate agents who work as intermediaries between buyers and sellers of property. Finding an agent for real estate can be a difficult task. There are so many qualities and attributes to look for that finding someone who has them all is impossible. However, there are some basic qualities and tips to hire a broker in India.

Designated Agency Duties & 4 Good Reasons for an Exclusive Buyer Brokerage Agreement - Illinois REALTORS

Here’s what you should know before hiring a broker in India:

  1. Whenever we hire a broker for our real estate transaction, we must list our requirements clearly. For example, what type of property you want, locality, etc. As brokers don’t specialize in the entire area. So, they might show options that they’re selling. So, make it your job to be clear about what you want to purchase.
  2. If you are looking for a best real estate broker, choose a registered one. This will provide you with another level of trust and credibility. The Real Estate (Regulation and Development) Act, 2016 (RERA) requires real estate brokers to be registered with the state RERA authority.
  3. You should always ask about the latest pricing and gauge the broker’s market knowledge. Excelled brokers always know about their localities’ future developments and capital rates. They should have good interpersonal skills and find out how good they are at conversing with clients.
  4. You need to find out how many years they have been in the real estate business, their record on selling the property, the number of deals they cracked, what their credentials and qualifications are if they have experience, etc. Ask all brokers you are communicating with for details on previous clients and speak to the clients so that they can also give their reviews on that particular broker.
  5. Find an agent who will spend enough time with you until you find a property that suits your desires. A broker should understand the nuances and will advise you accordingly.
  6. Buyers need to find a broker who has good intentions and should be thinking about your benefit. 

Now you know how to choose a good broker, and this is the end of the best tips to hire a broker in India.

How to search brokers in India:

  1. You can also search online on platforms like propertywala.com.
  2. Try to talk to at least two to four brokers before finalizing, and try to discuss all talked-about matters with expectations.
  3. Try to connect on call, see his office, and have a meeting with him for your trust.

THE FUTURE OF INDIAN REAL ESTATE BY 2040

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Why Real Estate Investment in India is the Most Profitable Option?

A short look at the Real Estate Industry:

The word “Real” is the Latin root rex, which means “royal”. Earlier, kings used to own all the land in their kingdoms. Therefore, the most globally acknowledged sector all over the world is the real sector. If we know real estate in terms of business, it means the game of producing, buying, and selling property. According to the economic sector, the construction of industry ranks third among the 14 major sectors. The future of Indian real estate by 2040, the market will grow to Rs. 65,000 crores (US$ 9.30 billion) from Rs. 12,000 crores (US$ 1.72 billion) in 2019.

After the agriculture sector, the real estate sector is the second-highest employment generator in India. Also, this sector will sustain non-resident Indian (NRI) investment for the short and the long term. Bengaluru is the top city and is the most recommended property investment destination for NRIs, followed by Ahmedabad, Pune, Chennai, Goa, Delhi, and Dehradun. PropertyWala.com evaluates the future of Indian real estate by 2040.

The Market size of the future of the Indian Real Estate Industry by 2040:

This sector is about to reach US$ 1 trillion in market size by 2030, up from US$ 200 billion in 2021 in India. It contributes 13% to the country’s GDP (Gross Domestic Product) by 2025. India’s growing infrastructure is much needed to grow as retail, hospitality, and commercial real estate are also growing significantly. Within a year, India’s real estate sector saw over 1,700 acres of land deals in the top 7 cities. In the commercial real estate sector, foreign investment was at US$ 10.3 billion from 2017-21.

Indian firms are estimated to boost >Rs.3.5 trillion (US$ 48 billion), according to the report of ICRA (Investment Information and Credit Rating Agency of India Limited). It is through infrastructure and real estate investment trusts in 2022. The Savills India report said that the real estate demand for data centers is to increase by 15-18 MSF in the year 2025 whereas in 2021 around 40 MSF has been delivered in India. Now, it assumes that the country will have a 40% market share within 2-3 years whereas India is looking to deliver 46 MSF in 2022.

Conclusion:

In India, a total of 55,907 new housing units were sold in the 8 micro markets between July 2021-September 2021, which means there is 59% growth year over year, whereas, in the third quarter of July-September 2021, new housing supply stood at ~65,211 units, an increase by 228% YoY across the top 8 cities when its compared with ~19,865 units which launched in the third quarter of 2020. The commercial space is to record increasing investments in 2021-22 when it comes to commercial space in Gurugram.

 According to the Economic Times Housing Finance Summit report:

Almost, 3 houses are raised per 1,000 people per year as compared to the construction rate of 5 houses per 1,000 people. The current shortage of housing in urban areas is said to be ~10 million units. Hence, 25 million units of housing are vital by 2030. This is to meet the growth in the country’s urban population.

Budget 2013: What it offers to Indian Realty?

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Budget 2013 was expected to be a real estate friendly budget due to many reasons. Crushing the hopes of builders and realty players the Budget 2013 remain tepid to the sector.

Budget 2013 holds nothing special to the realty sector

Budget 2013 holds nothing special to the realty sector

The first time home buyers will be benefitting from this budget as the Budget 2013 has proposed Rs.1 lakh additional deduction to them. As per the proposal of the budget the home buyers will be given Rs.1 Lakh deduction for the loans up to Rs.25 lakh and Rs.1.5 lakh for the loans above Rs.25 lakh.

By raising the tax deduction limit by Rs.1 lakh, finance minister P Chidambaram aims to promote the housing sector.

Anuj Puri, Chairman Jones Lang LaSalle India, said that the Budget 2013 is not realistic as it was expected to be. In the opinion of Mr. Puri though the Budget 2013 as an overall level is a moderate one it was not so useful to the real estate sector.

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South Indian Real Estate Sector footprint

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What a South Mumbai is to Mumbai or a South Delhi is to Delhi could well be South Indian cities to India! The question is – will the southern region become the downtown of India?

Southern India has for long been the silent crusader, building and strengthening its real estate development as one of the most sought after destinations in the country. With improving transparency and visibility of the real estate markets in the South zone, cities such as Bangalore, Chennai and Hyderabad have attained a place on the global real estate map, a status that was limited just to Mumbai and Delhi in the past.

While South Indian cities constitute nearly 45% of the country’s office space, the stock of 140 million sq ft in these cities is projected to grow at a CAGR of 8% for the period 2012 – 2016, lower than the projected national growth of 11%. This implies that the southern cities, particularly Bangalore and Hyderabad, are relatively rationalised in terms of medium term supply of office space, and the cities have chosen a strategy of pursuing selective quality developments over rapid expansion. While this would keep their share in India’s office stock range bound at 37%-40%, the South Zone’s vacancy rate by end-2012 is expected to be 16%, considerably lower than the pan-India vacancy rate of over 20%.

While demand remains healthy for organised retail spaces, it is polarised towards either successful malls or high streets, which have better footfalls and conversion ratio. As the mall stock in the southern cities sum up to breach the 40 million sq ft mark by end-2016, the vacancy by then is expected to witness a notable decline from the peak levels of 2014 to drop below the national average of 20.5%.

South India’s residential market has been an ardent follower of the ‘affordability’ mantra, with more than 80% of the new launches in the past two years being priced under INR 4,000 per sq ft (USD1 812 per sqm). As a result, the residential markets of South Indian cities have remained resilient in the past few quarters, relative to the significant decline recorded in the sales volume of Mumbai and NCR-Delhi.

The focus of Indian real estate is shifting from Tier I to Tier II cities, and the southern region is also embracing the same, with secondary hubs developing in Kochi, Coimbatore, Vishakhapatnam and Mysore, that are persistently striving for higher milestones.

 

Realty PE Deal Volume in Q1 rises but Big Deals are missing.

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Private equity deals are alive and kicking in Indian real estate space even though headline numbers do not reflect the same due to the absence of big ticket investments. The total number of PE deals during the first quarter of CY 2012 has hit a three-year high, according to VCCEdge, the financial research platform of VCCircle.

There were 12 deals worth $279 million in Q1, compared to 9 deals worth $432 million in Q1 CY2011 and 4 deals worth $97 million in the same period in 2010, according to VCCEdge. This is much lower than the peak of 22 deals cumulating to $1.2 billion in the first quarter of 2008, after which stock markets went into a tailspin due to global financial meltdown.

Although the overall value of PE investments has shrunk and investors remain cautious about the sector, it does not necessarily reflect a poor investment scenario in the realty space, according to analysts.

Shobhit Agarwal, joint managing director (capital markets) at property consultant Jones Lang LaSalle India, says, “Most of the funding that is happening now is for last-mile project completion where most of the money has already been spent by the developers and they don’t need large-size funding.” In fact, the projects are 60-70 per cent complete and developers are looking for some more equity to finish them off, he adds.

Last year, the average deal for PE investments was skewed up in the first quarter due to two $100 million-plus investments, including one by Ascendas. This pushed up the average deal size to around $50 million, as against the average size of $20-25 million in Q1 of the previous two years.

But there is another reason for lower quantum of investments by PE firms in the realty sector. According to V Hari Krishna, director of Kotak Realty Fund, “Most of the funds are reaching their shelf life and new fundraising is not happening in the same pace as it happened in the earlier round. Therefore, a lot of funds have either exhausted their capital or are on the verge of it and investments are slowing down.”

Even though the average ticket size of PE investments has shrunk, real estate remains one of the top sectors drawing PE firms. During Q1, real estate accounted for almost 10 per cent of the total PE deal volume and around 15 per cent of total value of PE investments, as per VCCEdge.

NRI Market is less volatile.

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For most top property developers in India, the Non-Resident Indian (NRI) is a crucial part of their business.

They know that the NRI will always want a piece of his/her homeland, no matter the price and no matter the time.

Thus, despite the price rise of 43 per cent to as much as 166 per cent in various cities, the NRI cash is still flowing into the Indian property market.

Developers say sales in that segment are not as variable as the domestic Indian market.

Noida-based property developer Amrapali Group’s chairman and managing Anil Kumar Sharma told tabla!

“NRIs wish to have a second home in the country they belong to. Favourable government policies are also a driving force behind the increased interest of NRIs in investing in Indian real estate. NRI investments are the least volatile of all in our industry. They are assured that they are investing in an asset which they can fall back upon.”

Mr Sharma, who is also the vice-president of the Confederation of Real Estate Developers’ Associations of India, added that prices are rising because of the expanding infrastructure, which in the long run will help the buyer and increase the value of the property even further.

He said: “Upcoming projects like the metro, monorail and the international projects in the big cities in India have contributed to the inflated real estate prices in these cities.”

Amrapali claims that almost 35 per cent of its overseas business comes from Singapore.

No wonder it will be participating in Sumansa Exhibitions’ Indian Property Show to be held in Suntec City on April 14 and 15.

Home Loan Rate Should Be Restructured.

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With speculations about the Union Budget 2012-13 already doing the rounds, city’s real estate industry too has voiced its expectations. Mainly revolving around increased subsidy on interest rate for loans towards affordable housing and industry status for taxation and construction and relaxation of FDI up to 51 per cent into multi-branding, the industry is hopeful of a favourable budget.

Sushil Mantri, president of CREDAI, Bangalore, says that “The Indian real estate industry was riding through highs and lows in 2011. Last year, one per cent interest rate subsidy was offered for loans towards affordable housing. If the subsidy can be broadened, home buyers especially in mid and lower income groups will benefit.”

“Indian real estate, especially housing needs the government’s support for further growth. The government should consider restructuring interest rates on home loans to attract larger base of lower and middle income group to benefit. For loan amounts lesser than Rs 25 lakh, the interest rate should be lower and should scale up as the loan amount goes higher,” said Sankey Prasad, chairman and MD of Synergy Property Developments Services.

Further the Experts demanded that the glaring concerns of the real estate industry be addressed.

“The real estate industry will be looking forward to RBI’s intervention to control inflation which has adversely affected the industry. If FDI is relaxed up to 51 per cent in multi-branding, this will boost the growth path for the Indian retail industry,” Sushil Mantri added.

Prospectus for 513 million dollars filed by Realty Firms

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250 Million Dollars
Last Monday, prospectus was filed according to which the Embassy Property Developers, an Indian real estate firm is planning to raise an amount of 513 million dollars through an IPO (Initial Public Offering) of shares.

As per the prospectus, a pre-IPO placement of around 57.5 million shares for up to 11.75 billion rupees is being considered by Embassy Property. However, it is expected that they will provide a discount of 5% to the retail investors.

The IPO time line is not yet set.

According to the data collected by Thomson Reuters, in 2009, there was a raise of $16 billion from 87 offerings, while in mid June of this year; a total raise of about $11 billion from 56 issues took place.

Indian Realty has Bright Future

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The Future is Bright
The future of Indian Realty market seems to be brighter than ever. Following are the major reasons for the growth of Indian Realty:

  • The policies made by government for the Foreign Direct Investment have brought quite a large number of foreign investors into the Indian real estate market. India now ranks second in the list of most preferred location for real estate investment. In fiscal 2005-06, the FDI turned thrice to that in 2004-05, i.e., it turned from 2.38 billion USD to 7.96 USD.
  • Another reason for the growth of Indian realty sector is the positive reform implemented by the government. The growth of this sector is also evident by the fact that this sector is the largest sector after agriculture providing employment.
  • The education system also has impact on the realty sector. It is estimated that in next 2 or 3 years, there will be around 2 million graduates who would create a demand for 100 million sq ft of industrial space and office.
  • Lastly, the existence of world renowned Fortune 500 companies also other large companies to start operations in India, which in turn would generate huge demand for corporate hubs.

Beary’s Group Bags Prestigious Prize

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A Bangalore based residential project has won the runner up award by the International Real Estate Federation (FIABCI). ‘Bearys Lakeside Habitat’, a twin tower residential project was awarded the prestigious award on May 27 at Bali, Indonesia.

IMG_5472.jpg
Photo by [ecpark]The ceremony was held in the presence of the President and the First lady of the Republic of Indonesia along with many other renowned developers and dignitaries especially flown in from around the world.

The project promoted by the Bearys Group, ‘Lakeside Habitat’ that welcomes you to the city as you drive into it from the airport is the only Indian project to win this award this year. This is not the first time that Lakeside Habitat has won an award; it has been recognized on many previous occasions also.

There were fifty-four projects chosen from across 11 countries to compete for the coveted Prix d’ Excellence award 2010.

The award was received by the Director of Beary’s Group, Mr. Siddique Beary.

Indian Real Estate has once again a reason to rejoice.

Tata Housing Won Cityspace Award

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tatai naplemente
One of the leading real estate companies of India, Tata Housing was honored by the Best developer award in the category of CSR in the recognized award ceremony called Cityscape Awards – Real Estate Asia, 2010.

According to experts, when they analyzed the commitment and positive contribution of the company in the society welfare, it would be fully justified to call it one of the best developers in the Indian real estate market.

The award ceremony was originally organized to honor the real estate companies and industry professionals who have put their heart and soul into the realty and have done significant contributions in the growth of Indian realty. A panel of experts was the judge.

The Managing Director and Chief Executive Officer of Tata Housing, Brotin Banerjee, said that the company has the motive of delivering to the consumer what he wants. They firmly believe in ‘what you see is what you get’. And the Cityscape award is the evident of the contributions the company has made over the years to the society.