Real estate investment trusts: advantages and disadvantages

The realty market received a much-desired heighten in recent times when the real estate investment trusts (REITs) get final cleared guidelines from the Securities and Exchange Board of India (SEBI). This gives the cash-impoverished companies a new route to tap economy.

Realty is known for a trait for the size and number of the bubbles it generates. The worldwide economic troubles of 2007 and its continuation, the crisis of 2012, were both sparked off by realty bubbles. The cost of the same property can differ a lot, depending on emotion.

This makes the Reserve Bank of India really vigilant about providing to the realty property. Banks have to keep a high jeopardy-weight for loans against land, property and as an outcome, charge superior interest and worth the loans conventionally. There are more grounds for caution since the reclamation of mortgaged realty in case of default is a long procedure due to the slow lawful system.

The common process for a realty developer is to obtain the land, get clearances to construct, pre-sell the property and use goes forward to starting construction. Proceeds are never enough to complete construction. So the builder has to find bridge investments, frequently of very high interest.

REIT is a kind of pool or mutual fund, which finds substitute means of sponsoring real estate. A REIT owns realty directly and it might also own loan agreements. The properties are sub-divided into equal units, which are sold to buyers. There are income flows from interest in the case of loan agreements, and from rentals in owning land.

Indian REITs will be permitted to possess only commercial land and there are other limitations. To be suitable for listing, the worth of the possessions owned or planned to be possessed by a REIT should be worth at least Rs 500 crore. Possessions must be valued and net asset value reorganized at least two times in each financial year.

REITs must allocate at least 90% of their net distributable money streams to their shareholders every six months. Also, as a minimum 80% of possessions must be in properties that are producing income. A REIT can invest only 10% in projects under construction. This means REITs can also spend a small portion  in loan agreement-backed securities and cash-corresponding assets like money market finances.

The tax management is overtaken-through, meaning the REIT require not pay tax on the proceeds it distributes. Since REITs can be scheduled, they pay for liquidity to buyers in the same style as mutual funds do. The smallest early investment in an IPO is Rs 2 lakh, which is supposed for a footing in the realty industry. Hence, REITs decrease the lumpy nature of property exposure.

Liquidity, comparatively low entrance-level investments, constant proceeds generation, possible capital approval - all these are clear advantages of REITs. Define downsides? Well, if there's a bubble in the realty industry, a REIT will be inclined to emphasize it. Also, by offering a new industry for trading loan agreement-backed securities, REITs can give confidence the kind of speculation that caused the subprime crisis.

There's an abundance of unsold, semi-constructed commercial projects across India. Once REITs get rising and falling, some of that should come in the industry. This will allow builders to complete delayed projects and exit. The structure differs on the REIT, where the investment faith holds infra venture assets has alike but broader applicability.


There could be an automatic series of investments into real estate stocks. However, in realism, REITs will take a while getting off the ground and, as the rules stand, they will profit only precise builders with experiences in commercial land. If you want to search for good properties in prime location then browse CommonKeys.com. This is a good website for buying, selling and reselling properties.
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How Samajwadi Party Can Bridge The Affordable Housing Gap In Up

Housing that is affordable is not only imperative to the health and the well-being of people, but also for the smooth functioning of the economy. Yet all around the world, there are countries, which are still struggling to give their citizens housing that is both affordable as well as decent.

Considering the rate at which urbanization is taking place around the world and the rate of income growth, which is far less impressive at the lower levels of the social pyramid, we are presented with a rather murky image. Moreover, India would continue to be one of the most housing challenged countries unless the government keeps its promise that it made during the elections of providing everyone with affordable housing. The Samajwadi Party has therefore come up with an affordable housing project for the residents of UP.



Housing for everyone

Housing that can be afforded by everyone is an excellent strategy that would end the dilemma of home buyers. It also helps make sure that people from the different walks of life are able to buy homes. Home buyers face several challenges when deciding as to when they should buy a home. While favourable economic conditions can result in higher incomes, it can also lead to a rise in the real estate prices. This would make it tough for buyers to purchase homes, despite their getting high incomes. On the other hand, when there are economic recessions, the real estate prices decline. However, people tend to be more careful while buying and this is where affordable housing comes in. To provide affordable housing to everyone is a challenge. Therefore, the new government in the state of Uttar Pradesh has given due attention to the development of this sector and decided to provide affordable housing to everyone. The ambitious project by the government of Uttar Pradesh has already begun to take off. Five of its projects have already been launched and it aims to address the need for more affordable housing by launching more such projects soon.

The impact of affordable housing on the real estate sector

Considerable changes took place in the real estate sector of India afterthe global liquidity crisis. Developers purchased land before the crisis with part payment and launched some housing projects. Thisimplied that upfront cash payments were required in order to fund a chain of projects through regular cash flows. The availability of liquid financing options became a major challenge during the global liquidity crisis. With limited consumer demand for housing, it was possible to get very limited upfront payment and therefore, it was not possible to deliver homes on time either. The real estate sector in India is facing a slowdown due to the ever increasing interest rates and property rates. Therefore, an affordable housing policy named the Samajwadi Awas Yojana has been brought out by the Samajwadi party to protect home buyers from the clutches of unscrupulous developers. However, if you are accepting a house from the Samajwadi party, you would also have to vote for them. That is the only deal.


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Maxheights Dream Homes under affordable housing Soniapt Haryana

Are you looking for affordable housing? Whether you are an artist, a single mother or a newlywed couple, MaxHeights Dream Homes has a home for you. Since its inception, MaxHeights has always believed in providing customer centric service along with robust engineering and on time delivery of its projects.

The group has grown to be one of the leading providers of housing in India, serving the needs of its clientele. MaxHeights Dream Homes are located in an integrated green township, where luxury meets nature. The Dream Homes radiate a futuristic outlook and yet bring out the true essence of Haryana – the land covered with greenery.
Surrounded by nature
The MaxHeights Dream Homes are surrounded by nature and the milieu around the area is therefore always mood enhancing and pleasant. The Dream Homes have verdant landscapes around them with an area of over 5 acres of green land. Walk into a dream home that opens up to the greenery of Sonepat that is set to add a new dimension to the skyline of Haryana. Towering above the changing landscape of Haryana is an address that you can easily tell apart from the rest of the houses.

Proximity to facilities
A residential project that is just a 15 minute hassle free drive away from Delhi and that is well connected to other cities, the Dream Homes lays out a red carpet for all those that appreciate the finer aspects of life. The special attention that has been given to this project ensures that this is not yet another building amongst the cluster of buildings that have been developed near it. It is also located in the proximity of facilities and the finest in infrastructure. The apartments themselves are equipped with world class facilities such as free form clubhouses, lounges, state of the art gymnasiums, etc.

Easy payment plan
The MaxHeights Dream Homes come for an initial 5 percent of the total price of the home and a later installment of 20 percent upon possession. You could simply choose to pay the rest of the amount in easy monthly installments.

Intricately designed interiors
Not only are the interiors of the MaxHeights Dream Homes intricately designed, but they also have well-appointed rooms for everyone. It promises you a lifestyle beyond the ordinary for an affordable price, which would ensure that every time you step in Sonepat, you would do it in style. The rooms are designed for every whim and fancy that you have, so that you could even create your own personal gym at home or indulge the child in you by creating your own movie lounge at home. The houses have been built with Vastu compliance in mind and also using earthquake resistant materials that would fortify the homes.

MaxHeights Infrastructure Ltd. believes in building sustainable homes for the residents after considering important parameters such as the need for the conservation of water, the need for fresh air indoors, and the use of environmentally friendly materials in the construction of the homes.
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Buying a house in Noida? 5 tips that can help you

Over the last few years, Noida is emerging as the important place for property investors. Greater Noida, Noida, Noida Expressway, Noida Extension and Yamuna Expressway are the major places of Noida where middle class people can buy property in their budget. Common home prices at this place is much less than the  prices of property in Gurgaon, Delhi or many other places. Noida is the main hub for all property buyers. Noida is a place where people can fulfill all their desires. So if you are going to buy a Property in Noida then these points may help you.

Here are some points which help may help you to buy your dream home

Confuse between apartment and plot

This is the main problem arises when you are trying to buy a property. People are always getting confused between whether to buy a plot or apartment. People who are very busy in their life they preferred to buy  apartment then plot. But people who want to invest carefully and desire home in private area they prefer to buy a plot. Today lands near Yamuna Expressway are affordable for middle class people. This is the top class expressway offers easy access from Delhi. 

Find a good Developer or Builder

Todays, many builders are introducing their Projects in Noida. Builders who are launching their project first time are prone to implementation delays. They will be relatively cheap, but may stay grounded perpetually. Many Builders say that investors should always give a little payment, but go with a branded or recognized developer who will make sure the implementation of the project even though it may still get overdue.

Project specification

If you are going for buying a property then take a view on all the specifications of the property. Don’t go for buying only beautiful property, but try to buy something which is strong and stable also. Today, people want to buy property like tall, large and open spaces in buildings. But you have bought a property which near to a public park, or has superior general areas. There will be a small investment between a 25 acres and a 50 acre project to begin with, but with time ventures with better facilities command a larger premium.

Absorption

Several regions like the Noida Extension and Yamuna Expressway have huge stocks and inexpensive could continue to hold back. House in regions with low interest rate are less expensive, but are appropriate only for long term buyers, who have a time structure of at least 5 years to 10 years. You should spend in such projects only if you are an end user with no plans to set out the development. 

Geographical factors


Greater Noida & Noida have a high water level distinct from Gurgaon where ground water is not obtainable. Noida has superior ease of access to Delhi as compared to Gurgaon, that relies just on the Jaipur expressway. Nevertheless, both Gurgaon and Noida come in a seismic zone IV, where the danger of natural calamity is pretty high.
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The Changing Trends of The Real Estate Market

The changing face of the other industries has paved the way for progressive changes to the realty market. With the expansion of the urban landscape, the demand for land has also risen dramatically over the years. The places that have been industrialized and urbanized have therefore experienced an increase in the land rates.

Even though the land rates around the world barely come down, the ever changing trends in the realty market play a significant role in the prices of properties. Here are a few major factors that affect the trends in the realty market.

Location

Location is a major factor that influences the prices of realty in India. For instance, if a property is located at the heart of a city, then it will naturally be more expensive than the other areas. The location of the property is, for this reason, one of the most important factors to consider before investing in real estate. Invest in a property, which is closer to amenities such as malls, hospitals, government offices, and schools that are located in an urban settlement, if you want to earn profits while selling the property later on.

Human settlement

The trends of the realty market are driven by the human settlement of the place. For example, the population that resides in the urban, suburban or the rural areas influences the rates of the land. This, therefore, also results in an increase in the prices of real estate.

Infrastructural development

Yet another factor that drives the prices of real estate is the presence of infrastructural development in the vicinity of the properties. Properties that are located near flyovers, roads, or other buildings in an urban settlement will naturally cost more than properties that are located in less developed regions or rural areas. The presence of infrastructural developments near properties is, therefore, one of the factors which drive the prices of real estate properties.

Condition

The prospective buyers of a home will take into consideration the condition of the property before investing in it. A home that is in an immaculate condition will fetch top dollar for it. On the other hand, a home that is not in such a good condition will not fetch a good price.

Connectivity

If a property is located in such a place that is well-connected to the other cities or areas, then it will fetch a higher price as compared to a property that is not well-connected to the other areas. This is what explains why many properties are now being built in close proximity of airports, entertainment hubs, hospitals, complexes, and malls.

Customization

If customization of a property is taken into consideration, then the cost of the property would be higher than its counterparts that have not been customized. For instance, some developers may have included special areas such as verandahs or landscaped terraces in the house. This automatically leads to an increase in the prices of the property and also affects the demand for such properties. Before investing in a property, buyers should consider the variegated factors that drive the trends in the real estate market. When you carefully investigate the trends in the real estate market, you can get better returns for your property at a later date.

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Investing Safely in Real Estate by Avoiding Scams

The realty market in India is going through some alterations as a result of the struggling country, inflation, employment inclinations and transforms in lifestyle. This present circumstances make it very important to make sure that you go for the premium yet safe deals.

For famous builders whose lands have the correct permutations, i.e. best site, facilities, infrastructure settlements etc would always find investors. Nevertheless, establish builders or average builders find it hard to attract customers without gainful offers.

In analysis of these tendencies, buyers have a hard job ahead to make the right option in terms of realty earnings. Deals that are "too wonderful" should be moved toward with care, as there could be few unseen causes behind such a low cost.

Also, when you encounter profitable presents from builders, it would be better to charge numerous issues before arriving at the last choice.

Repeatedly, builders are inclined to suggest last-minute reductions, which points at importance on the part of builders to sell off the land.

When a builder promises you of smaller paper work, concern is necessary as all genuine property transactions involve most important papers. There is not anything wrong in expenditure for a moment on charges the authority of such dealings.

In a nutshell, the present situation in the Indian realty market points at a decline in asset. To deal with the condition, a lot of builders are coming up with supreme deals or concessions. It is probable that there is somewhat wrong. So, try finding out the genuineness of any deal before spend your hard earned cash.

The shortage of a prearranged market likely to hit the directive finances. While there is an everyday statement of NAV, it is not clear that how the finances would decide the everyday worth of the physical land. On the other hand, authoritarian has done a huge thing by suggesting a close-ended construction for these finances. Bearing in mind, the present state of the fundamental market and the long era of the finances is the correct way to go for a close over structure, while partially will also play a fine role for establishing product based mutual funds. The diminutive buyers get an opening to spread their funds in the mutual funds that spend in varied quality classes.

Condemnation and property appraisals rationalized over realty group of people openings play a very important role in providing possible patrons with market instincts before investments.



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10 Key Factors That Will Make You Head Towards Real Estate Noida

The real estate scenario at Noida has become extremely attractive to investors and buyers alike. The better living options here make it a viable destination for purchasing property in. Noida is being seen as an upcoming residential hub by many now and for good reasons. The real estate market in Noida is heating up due to better living options and excellent future prospects. So, here is why you should head towards Noida for buying real estate.

Property value appreciation
According to the results of variegated surveys that were conducted with regards to property in the NCR, it has been found that there is a thirty percent hike in the property prices in Noida every year. The rise in the value of real estate would bring several benefits to the people, who have invested in Noida’s real estate sector. Those that invest their money in the real estate sector in Noida would get good returns on the investments they make.

The Yamuna Expressway
The Yamuna Expressway, also known better by its other name - the Taj Expressway, links the two major cities of Agra and Delhi together. This 165 kilometer long also facilitates the access to buyers to facilities.

The Noida-Greater Noida Expressway
This is yet another expressway, which connects Delhi to Noida. Greater Noida is said to be another important part of Noida and also offers some lucrative property deals.

Huge demand
The modern amenities and the state of the art infrastructure have made the real estate in Noida more lucrative options to invest in. Apart from this, you could also find properties for both commercial as well as for residential purposes. The demand for houses in Noida has also been affected by this high rate of supply. The demand for properties in Noida has risen over the years. People with different budgets can easily benefit by investing in Noida.

Up and coming hub for trade and commerce
Noida is an up and coming hotspot for trade and commerce with different setups having their franchises here. With trade and commerce improving in this location, it has also made it possible for the government to earn revenue through taxation. The entire landscape of this region has changed with the infrastructural development and growth. The growth in the region has made several multinational companies shift base to Noida.

Industrial setup
Noida can be described as a hub, where you could buy any sort of property. There exist several multinational structures amidst the modern residential developments. Such is the diversity of Noida.

Connectivity
The foremost factor that one should consider while buying a property is connectivity. However, Noida is well connected to points such as hospitals, malls, and shopping complexes in Greater Noida. The connectivity factor is not just limited to the amenities, but also to major locations. The metro link and the other links have made it possible for Noida to stay connected to Gurgaon, Delhi, and Faridabad.

Entertainment hub
Residents consider proximity to entertainment centres as a paramount feature, which influences their decision to buy homes. This is something that people residing in Noida need not worry about. There are many mall complexes as well as recreational parks in Noida.

Modern living options

The facilities that have been made available to the residents of Noida have also been enhanced over the years. Due to these modern amenities, many people head to Noida for a better living experience. 
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Are High Rise Buildings The Only Solutions For The Real Estate Industry?

The Indian real estate industry is endeavoring to fulfill the government’s dream of providing everyone affordable housing by the year 2022. Several concepts are being discussed in order to find solutions to this mounting problem, including what the alternatives available to industrial barons are. Since India does not have much land at its disposal, the only alternative seems to be to go vertically or build high rises. This solution does not however come without its challenges.

Safety parameters
The country often faces mild to high earthquake tremors, and it is located in that part of the Earth that it is highly prone to earthquakes. It is, for this reason, important to have high rises with disaster resistant designs, safety measures, and to see whether it is feasible to do so. Some of the essential steps to be taken include the use of fireproof paints, building earthquake resistant buildings, the safe supply of cooking gas, automatic sprinklers, and the existence of evacuation measures in case of earthquakes and fires.

The consumption of energy
The energy consumption levels are higher as you go higher up due to the climate control measures taken by people. You can save energy by planting more trees, constructing more rooftop gardens, designing optimum sized windows, and by using cooling elements around the building such as water bodies. The developers of real estate are of a universal consensus that constructing high rise buildings is a forceful measure that they have to adopt to solve the problem of the lack of the possibility to expand horizontally. They also agree that they have to walk to work, considering the need for conserving the limited energy resources and that they have to construct buildings that serve multiple purposes.

Limited resources
High rise towers would be shared by a vast majority of the Indian population and since the water resources and the other energy resources are limited, affordable homes will not be able to let the residents enjoy the much sought-after life. In order to provide a better life to the residents, the developers should concentrate on the optimizing the use of natural resources. This can be achieved through the provision of proper ventilation, the installation of solar panels, providing the opportunities to harvest rainwater, providing natural lighting to all parts of the building, by recycling the water, and by maintaining the sewage systems.

Sustainability

Contrary to public opinion that high rise buildings are sustainable, experts are of the view that they are not, since the buildings are entirely constructed using glass, which is not energy efficient. Glass is neither a good conductor of heat nor of cold. In addition, experts believe that high rise buildings are less adaptable as compared to low rise and mid rise structures. They are, for this reason, naturally less sustainable. The government has to take into consideration all these proposals and act accordingly to make the “houses for all” mission a success. The concept of high rises is possible for India, provided the developers take into consideration all the above points and move forward.
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Real estate vs. stock market: Where to invest?

Those that get extra income or hold spare cash are often confused about which of these segments they should invest in – the stock market or real estate.  Each of these has their own merits as well as demerits. The economic environment of India of the present is such that it would be a difficult choice to make. The real estate in the country is in a bad shape and needs to recover.

Those that are genuinely interested in buying a house are waiting for the prices to fall a bit. The same is with investors, who are also waiting for the prices to come down a bit so that they can put their money.  At what point you enter the market is what determines the returns you would get. Prices that are stagnant would discourage both investors as well as buyers. In the case of equities, the performance of most stocks is unexciting. When you take both the areas into consideration, then you would have to go in for one after taking a look at a few facts.

Principal amount

The way funds function is different from the way stocks function. A person, who is investing with the creation of wealth in mind, should also be clear on these facets of the investment. The kind of flexibility that stocks give in terms of the increase or the decrease of investments is not there in real estate. You might find a ready to move 2 BHK flat worth Rs. 50 lakhs interesting and you may believe that it may fetch you Rs. 75 lakhs a few years down the line, based on its location. However, you would need to invest Rs initially. 60 lakhs in order for this to materialize. The case is different with flats that are under construction. The cost is less. In addition, if you hold on to it for long, you would get high returns on investment. The amount of funds can, however, be easily changed, in case of equities. You will not have to invest an enormous amount if you do not want to. You can invest based on your personal financial capacity.

Timing

Investing during a recession can be very complicated. It is not the same as investing during a period, when the economy is at its peak. Even though you may have invested in real estate during the recession period, you may not always get buyers for your flat, when you are about to sell it. In such cases, you would have to settle for a lesser amount of money or wait until more buyers come to you for buying the flat. In case of stocks, it is not the same. If you are averse to risks and aware of stop losses in the stock market, then you can easily liquidate your money any time. Transparency is also yet another issue, when it comes to real estate. There is no authority to regulate the real estate sector and everyone involved in handling the sector is purely looking to make profits.  

Conclusion


If you know the knack of buying and selling real estate along with enough cash to invest, then you should consider going in for it. Otherwise, if you are looking for high returns in the short term, then you should consider going in for stocks.
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Want to buy property then know what to do before buying property

Want to invest in real estate market then read this article before investing in real estate market. Investing in real estate market can be costly so think before you want to purchase a property. Search out the builder firms who are giving good property in less investment. If you think you are all set to buy a home, but have you done your research before purchasing your property? Are you ready to take home loans? Are you recognizable with the different advance options that could be offered to you?

Trying to invest in the projects where are sure about your investments. Make acquainted yourself with the property market, and get awareness to forecasts and investment calculations in different developments. Examine tendencies and estimate the potentials for a change. Be acquainted with the dangers and benefits. Make a clever resolution from the information gathered, then, continue with the investment. Discover many real estate groups for promising investment. Builder firms like Krasa Developers offers good projects for real estate asset.

Krasa Developrs are coming with their latest venture named Centrade Business Park. This is very good project for investing because of the points which I am briefing in this section. Firstly Krasa Centrade Business Park is spread over the land of 5 acres and is located at very close to all major places of Greater Noida and Noida. If you are investing in this project this will be your best decision ever.

Secondly, Krasa Centrade Business Park is giving reasonable discount of every purchase. So if you are going to buy commercial space here then you get all possible discounts on your property purchase.

Here you can buy your kind of commercial space like lockable office space, food court, retail store, premium business suite or virtual office space. As per experts Greater Noida is the best place for investing in properties. Greater Noida is in demand for both Commercial and residential spaces because this is the safest place where can invest in buying a property.  

Delhi-NCR is the place where everyone wants to settle for getting a good job or starting a new business and Krasa Developers introducing their commercial project which is like cherry on the cake for all the people who want to buy property in Greater Noida. This is just like a dream come true for all the people who want to do business or job in Greater Noida.



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Strong demand in India for Affordable Housing

The overall housing shortage rate of India, as of today, stands at 20 million homes. The shortage of affordable homes accounts for a substantial share. The supply of homes for the financially challenged people, who still yearn for a house, is still constrained. Banks have for this reason slashed the rates of interest on loans that real estate developers, who build affordable housing, take.

Funding for affordable housing

The affordable housing sector needs to amplify its supply levels that would happen only if more funding pours into this sector. Until recently, most of the housing developments were focused on the middle to the high-income groups. It however resulted in a significant gap in the supply and the demand for affordable homes. The prolonged recession in the economy however caused the real estate sector to shift its focus to an area, where the actual demand exists – the demand for affordable housing. Today, there are many affordable housing projects near larger cities such as Delhi, Pune, Mumbai, etc. These projects have benefited from institutional funding. Buyers have also shown great interest in these projects. The fact that many microfinancing companies have stepped forward to offer financing to those in need of funds to buy affordable housing is a great source of encouragement to the industry. Institutional financiers can expect a 25 percent internal rate of return, when they invest in residential projects. Affordable housing projects that are well-located can fetch an even higher internal rate of return. The projects also enjoy a greater degree of certainty in terms of the success and the feasibility, if they are built by those developers that have a good rapport in the market and that have their foothold in the right locations.

Challenges


The main challenge for the affordable housing sector is that the projects are mostly undertaken by regional developers that are small and with whom it is hard to form an amicable partnership. The other areas of concern to investors as well as institutional financiers include the unfriendly state of Foreign Direct Investment processes in India, the absence of sufficient tax initiatives for those developing the affordable housing, deficiency in the support infrastructure for many of these projects and the lack of speed when it comes to approving these projects. All these factors go to more funding from going into the affordable housing sector of the country. The cumulative challenges in developing affordable housing are not less, considering that the profit margins in this sector are extremely thin. Unless and until a sizeable number of units are built and sold, it would not become an attractive sector to invest in.  Investing in this sector calls for a large supply. Many of the developers of affordable housing have been funding the projects from their own pockets, using some institutional financing, and revenue that has been generated from the sales of the houses they had developed in the past. The financing of projects using a combination of means has been sustainable, thanks to the high demand for affordable housing in the country.    
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What Is Assured Return In Real Estate

When you are into real estate investment, you find assured return to be lucrative for your future. The fixed monthly return that is given to you by the builder is called the assured return. This is calculated on the total amount that you have invested on any real estate. The commercial buildings like business parks or shopping malls are mostly the area where you can invest and get assured return on the money that you invest. There are studio apartments, service apartments, IT Park and Shopping Arcade where you can enjoy a good return on amount invested on the construction. Now you can also get returns on the investment on domestic properties or residential buildings.

Steps of assured return
When you get an offer for an assured return to your investment, you need to have a good project that is being worked on. There is an agreement signed or a Memorandu of Understanding is prepared between the two parties. The agreement or MOU is signed by the buyer and the seller. The buyer gets an assurance and the seller promises to pay the buyer a particular amount against his investment made for the seller’s project. The amount is to be paid till a particular time period and it is clearly mentioned in the agreement. The period is mostly calculated in three ways:

•             Till one gets possession of the property
•             Till one gets possession and then another 3 – 5 years from the date of possession
•             Till one gets possession and then till the time of first lease.

The builders are getting more difficulties to gather funds for a good project. There are banks and other institutions where they can get loans on the work that they do. These institutions and banks are finding it hard to get the loan as the interest rates are very high. The interest that these builders need to pay can go as high as 16% -24%. The builder who prepares project for selling to the general investors often offers the assured real estate profit at 115 – 12% rate. This is cheaper than the interest for loan and this is the main reason why sellers prefer to go for investments from general people than working on the application of loans.

These sellers work for commercial constructions like office or restaurants. They do not offer prime positions for sale but mostly offers the slow moving projects to gather fund with ample time for paying the interest and the original amount. The sellers get the amount from selling the properties and then pay back in installments after investing money in other projects. This gives the investor a satisfaction of getting the interest each month. They work on the ways they can invest the small amount of assured returns they get each month.

Ending up
There are different time period for getting the assured returns. You can choose the scheme where they will pay you the returns till the first lease. This way you make sure that the buyer goes to lease out the property and pay you the money due to you. You must check out the project documents before going for the investment. Make sure that you know the developer and keep an eye towards the project to be sure of the condition of the assured gifts.



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Obtaining A Real Estate Licence In India

In order to start making money out of any of the businesses associated with real estate in India, you would need to obtain a licence. The licensing requirements are different for the different states in India. The to-be real estate agents need to complete a course in the field of real estate, so that they can gain mastery over the skills they require for these jobs.

You would also be required to attempt the real estate licensing examination. The examinations conducted in each state would be different from that set in the other states of India. Here is how you can obtain a real estate licence in India.

How India is different from the other countries
The broking firms and the agencies that deal with real estate have not yet been institutionalized in India. What have been guiding the brokers and agencies to do business are the ethics and the principles that have been followed since the days of yore. The real estate sector has always been considered as a consulting service rather than as a business. There is, of course, a great amount of money involved in the real estate sector in India. If you are solely in the business of real estate consultancy, then it is sufficient to register your company with the right authorities. However, if you are a consultant for a construction firm, then you would require registering with as well as getting approvals from proper authorities.  

Courses to undertake
A real estate agent must be knowledgeable about the markets in which they would be working. They must possess a well-rounded understanding of the variegated factors that influence the quality of life. Because the laws and the trends in the real estate industry keep changing, most of the states in India require that brokers and real estate agents take part in ongoing continuing education courses. You could study towards obtaining a real estate licence with an institute that offers state approved courses by distance learning. It takes just a few weeks’ time to acquire expertise in the field of real estate. You could also consider enrolling yourself in a community college, which would help you work towards acquiring a real estate licence through examination. These community colleges are government approved, since they have been established by the government itself. The duration of the courses in community college would be somewhere between three months and six months.

Real estate licensing exams vs. courses

Before you can enroll yourself for a real estate agent course, you should understand that not all the real estate courses have been created equal. The very fact that there are different licensing requirements for each state goes to show that the courses would also have been creating keeping this in mind. The rate of passing also varies from one state to another, depending upon the kind of real estate licence that is required. The state licence would be valid only for a certain period of time, after which you would have to take the examination once again. You would therefore need to make a clever decision while choosing a course that would give you an edge over the others. 
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What Is Mutation Of Property And Why Is It Important?

When you try to sell your home or land, you need to show the copy of the mutation of the property. The buyers need this document of mutation and it is a must for the selling of any property. The property owners change hand and you must prove that you own the property with this document that shows it is in your name. The property is therefore recorded with the Government in your name and you are the legal owner of the land or the building. The Government gets its tax from you and it recognizes you are the right owner of the land.

There are different documentations needed for mutating the property and you will find there are different rules and requirements of documents for this process of mutation. The requirements also vary from state to state. The land revenue department acknowledges the documents that they need for proper acknowledging of the owner. If the owner of the property dies, then the department checks the right owner with these documents and then announces the new owner of the property. There are requirement for death certificate of the deceased person who was the rightful owner and there are other documents that are asked for, namely relationship documents that prove that you are the heir of the last owner of the property.

The title of ownership is recorded after the transfer of the title of the property and the municipal records start showing your name after you get the property mutated in your own name. The process of mutation is often called Jamabandi or Dakhil Kharij in India. There is a fees payable and this also varies from state to state. There are people who buy the property through registered Power of Attorney and in this case the ownership of the land is transferred from seller to buyer through the Attorney.

The person who buys agricultural land must take care to check the ownership of the land. Sometimes the Government buys such agricultural land masses and will provide the fund for the land to the person whose name is recorded in the Revenue Department as being the rightful owner. You must make sure that any change of the name of the owner of the land is made you get the mutation done in the favor of the actual owner. This makes sure that the right person gets the amount for the land during sale of the property.


There are some important documents needed for the mutation of the name of the owner and these are the copy of the sale deed, application of mutation, stamped avidavit that shows the real value of the land, details of the area acquired and non judicial stamp that shows the mutation value. These are important for the future time when someone wants to buy the property from you. You make sure that you have the right to sell the property and also if there is any value for your property, it comes directly to you. If the property is inherited by more than one person, then the mutation must be made in the name of each of the heirs. If there is a single person after the owner dies, he should apply for devolution of the whole property. Once the property is devolved, the current owner should go for transfer of the names in municipal records.   
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What To Know On First Time Offers Made By Buyers

Everyone knows that it is human nature to be cautious and suspicious in general. This is especially true when being involved in mighty transactions like real estate. A seller has the tendency to reject the first offer made by a buyer as they don’t want to hurry into an investment decision they might regret later. Read on to know why rejecting this offer might be a bad idea. 

The seller usually rejects the first offer he receives for the property as they feel they can get more money from the sale, for the value of the house. However, this approach is incorrect as there is no guarantee that the subsequent offers he receives would be more than the first one. Here are some reasons why accepting a first time offer might not be that bad an idea:

It Might Be The Highest Offer

Getting multiple offers for your property is pretty unpredictable and there is no assurance that you will get a lot of options to choose from. Keeping this in mind, don’t you think accepting the first offer is a good idea, provided that it is at the same level as your asking price? There is always the possibility that the offers you receive after that will be lower than the asking price, which will be loss inducing for you.

Your Property Is Not Priced Too Low

Assuming that you got a good offer for your house at the first instance itself, this doesn't mean that you have priced your property too low. Sellers usually jump to conclusions and reject the first offer on account of wondering whether they should hike up their asking price or that the house is worth a lot more than what they estimated.

You Can Always Negotiate

Remember that there is another step after accepting the offer. Negotiating the price is an important part of this business transaction, and if you are not satisfied with the buyer’s offer, you can always discuss these things during the negotiation phase. So before out rightly rejecting the offer, discuss the pricing with the buyer while keeping an open mind, and see how things go.

An Agent Might Know Better

Honestly, common folks are not expected to know all the intricacies of the real estate market, be it the buyer or the seller. What helps in such situations is taking the advice from a real estate expert. They are knowledgeable, and can guide you on how to properly place an offer, or how to go about accepting an offer. Thus it’s always advisable to consult a realty agent before making any major decision.


Simply put, getting a clear idea about the first offer you receive is of utmost important, because you don’t want to miss out on a good opportunity, and regret that later. Since there is no telling about the type of offers you might receive after that, why not safeguard yourself? Be smart about every investment decision you make.
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Mumbai The Number of Approvals And Nocs Decrease For Developing Projects?

There is much reason for Mumbaikars to rejoice because the BMC has proposed to cut down the period of 180 days needed for granting permissions for construction down to 45 days. In order to cut down on delays and red tape in the system of approvals for housing buildings, the department of urban development under the CM has directed the BMC to work on modalities which would help to implement reforms.

Currently in Mumbai, the period needed for different permissions is 185 days which is close to thrice the time needed in Hong Kong, 66 days. For beginning construction on a property developers must get a set of 70 No Objection Certificates or NOCs. They include clearances from sewerage, own water, road and traffic, storm water drains, fire brigade departments and development plan under the BMC. Permissions are also needed from the Pollution Control Board of the state and tree authority apart from clearance from ministry of civil aviation, ministry of environment and even Archaeological Society of India among other bodies. 

According to a report published by Colliers India, the average delay in a project in Mumbai is between 1 and 2 years. The presence of multiple bodies and regulations in the urban municipality regions lead to delay in the clearances and approvals and subsequent completion of the property. The complications in construction sanctions is very time consuming and completed which makes it a major reason for price rise. As per the World Bank’s report- Doing Business 2015, India has been ranked 142 among the 189 nations that were surveyed for the ease of doing business. The rise in cost is later on borne by buyers. It is an important reason why builders cannot provide houses at affordable prices. The building proposal system of cities must be renovated completely and transparency must be accommodated along with collective effort for streamlining procedures.

 According to the plan adopted by the BMC, the format for initial application has to be filed for approval and it would include various NOCs that are required to be cleared by civic departments. Once the application for commencement certificates are made, it would be sent to all the departments involved at the identical time. The BMC has also fixed time limits within which all departments would have to decide whether the NOC should be issued or not. If the department fails, it would mean that the approval has been given and the department puts forth no-objection to the commencement of the project.

On its part, the Maharashtra government has begun a process for working out standard guidelines for pollution control board clearances along with state agencies. It has been decided as well that the ministry of civil aviation would streamline NOCs for clearance in height of high rise projects.  

Much like Mumbai, if other metropolitan areas of the country adopt these procedures, then construction cost would fall and it would be easier to stall the hike in prices for properties in India.


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Know the Top Reason Why to Invest in Noida

There are many reasons for the investors for buying property in Noida. Noida is a hub of commercial and residential properties. People are coming there from different cities of the country for buying property. Noida is so popular among people who want to invest in property. If you're searching to purchase an apartment in the region of Noida or in Greater Noida, here is a good news for you.

Noida, Greater Noida, Noida Extention and Noida Expressway are emerging as the new hot spot for buying property. Many big builders of India are coming with their new commercial and housing projects nearby these famous places of Noida.

Builders like Krasa International are coming with their new venture by the name of Krasa Centrade Business Park. This project is located in Sector 140, Noida. This is the first steel structure of Delhi-NCR. The advantage of living in the building of steel is that it gives you protection from all natural calamity. Steel structure also takes less time in construction as compared to the building made up up cement, bricks and these types of things. Krasa Centrade Business Park Noida has spread over the land of five acres and consists of all modern facilities and luxurious amenities. The Centrade Business Park is very close to FnG and DnD Highway. This is the best commercial project of Noida till now. This is surrounded by residential apartments so you can also buy your home near Centrade Business Park. This will save your precious time by travelling from office to home and home to office.

Another builder like Mahagun Groups are also introducing their project Mahagun Manorial. The project presented by them is residential and spreads over the land of 3.85 acres of land. This project consists of six towers and each tower consist of 3 BHK, 4 BHK and 5 BHK apartments. A middle class person can easily purchase this residential apartment in their budget. So, if you want to invest in the good housing project, then this is a perfect option for you. This development is located in Sector 128, Jaypee Greens Wishtown, Noida Expressway.

Another best mixed use project has been launched by UTC Contruction Private Limited by the name UTC Code 60. You can easily buy the property of your choice in your financial plan. This development is located in Knowledge Park 5, Noida and spreads over the land of twenty acres. Vicinity to all prime locations of Noida. The developers of this project are working of tiny details for giving you the best best development ever.


Sunworld Group is also introducing their new project by the name of Sunworld Arista in sector 168, Noida. Sunworld Arista Noida includes of 1 BHK, 3 BHK and 4 BHK High End AC magnificence Apartments designed by globally famous Architect Contractor. Sunworld Arista Noida is a well – incorporated housing township with luxuriant green countryside which make "Sunworld Arista Noida " an outstanding location to live where you get expediency of Yoga Centre and Meditation Centre, restaurant, Badminton court and Billiards court etc..
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Indian Real Estate Sector Forecast 2015

Looking at the present real estate sector in India, it can easily be said that even the sky cannot be considered as a limiting point. It is believed that all the coming years and especially 2015 will prove to be a great year for the real estate sector. It is believed that with the overall economic growth of the country the real estate sector will see a growth of around 40 percent this year from the first time buyers. According to a survey, it was concluded that apart from the cities which belong to the category of developed cities, a lot of those cities and towns will also see the real estate investments where people hail from or plan to settle down on retirement.

No matter how poor or less earning a person is, he would always need a place to live securely. Irrespective of the size, every person dreams of owning a house of his own. So instead of renting a place, people will prefer to pay the loan. A lot of working is being done by the RBI on interest rates and thence, the mortgage rates won’t prove to be a big hurdle in the process of buying a house. Also, with the growing jobs a lot of young people are moving out of their houses and searching for the new ones in new towns and cities. It is believed that the in the coming year the property rates especially of the housing property would decline at a great pace. And due to this the demand and buyers belonging to the middle class will increase.

Since the government is getting more liberal towards the investors, it is believed that a lot of Indian as well as foreign bigwigs will try hands by investing in real estate development projects. Also, as is the present  real estate scenario, the budget homes will be designed. Projects will be developed in such a way that a common man is able to lead a comfortable and luxurious life in his home. With the increasing trend of single families, more people will move out and look for independent homes. This fact itself proves that the industry is going to see huge growth. No matter how slow or inconsistent the pace is, growth is meant to happen in the housing real estate sector.


Talking about the commercial real estate sector, he investors have always considered this as a robust investment option. With the national as well as the global economy’s progress, there is no doubt the performance of the real estate sector is meant to improve in the coming year. The process of design and redesign will increase in the year as the technological developments will take over and will be incorporated by the real estate sector for their integral growth. So no matter if you are an investor or want to buy a house or property for using it, the coming year definitely has a lot of things in its kitty for you and makes your purchase enthralling. 
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