Buy ,sale,rent ,real estate online in gurgaon

How twitter helps you in property - property Business

2010-01-11T16:37:00.001+05:30

New property agents understand the importance of using the Internet's global reach to their advantage. They build informative websites that are optimized for search engines, they blog regularly, and have started to create profiles on various social networking sites like stumbleupon,digg and twitter.

A relatively recent addition to the social networking sphere is Twitter, a place where you have only 140 characters to write something about your day, ask a question, or link to an article or website of interest. Some consider Twitter to be a place where users "micro-blog," while others see it as more of a chat room with thousands of users 'chatting' all at once.

The original premise of Twitter was to provide a venue for people to post short, simple status updates; to answer the question: What are you doing? Users share stories about their pets, upcoming appointments, their moods, and much more. You can follow the adventures of other users, and accumulate followers of your own. You can direct questions and answers to specific people, or send out calls to everyone all at once.

Rather than trying to see Twitter as a revenue producer, it's important to understand that Twitter is first and foremost a networking tool. Don't be overtly promotional in your posts (known as "tweets"). If self promotion is your primary M.O., you'll quickly lose followers. Users aren't interested in being bombarded with spammy posts, so if you want to use the site to advertise your services, be very subtle and make sure that your personal posts far outnumbers the more professional ones.

While it may seem counterproductive to be laid back when you're trying to promote your property business, you have to keep in mind the intention of social networking sites. They are meant for people to connect with others who share similar interests, or who live in the same community. The mood is casual and definitely more personal than your business website. Grammar and spelling rules are relaxed, and you can talk about the pizza you ate last night or the rotten movie you just watched. People following you will find your posts interesting because you're being authentic.

The more people that get to know you and like you, the more opportunity you have to gain clients in the future. It's the same as expanding your circle of contacts in the real world, and it can be invaluable for your business in the long run.

The idea of social networking being effective over the long term is critical to understand. Unless you are very lucky, you probably won't gain any new clients right away, but you're building a solid foundation of online friendships that may develop into business relationships.

In addition to being a vehicle for finding potential clients, Twitter is also a great venue for networking with other agents. You can share tips, ask questions, and refer clients to agents outside of your service area. Other agents will do the same for you. Building relationships with other property agents can be educational and emotionally satisfying, as they can relate to the stresses you encounter on a daily basis.

Twitter is free and it only takes a moment to create an account. Search your area for people with accounts, or see if anyone you already know has an account. You can start to follow their tweets and engage people in conversation. Soon you'll have followers too, and you'll begin to appreciate the possibilities that this kind of networking can offer. Be open-minded and creative, and soon you'll see how you can make Twitter work for you and your realty business.

Latest New Projects In Noida,Gurgaon Delhi/NCR

2009-12-21T14:30:00.000+05:30

Real estate market in Gurgaon,Delhi/NCR has started to look up again. Many developers have come up with fresh projects in economical budget range. Low cost housing has become the latest mantra.

If you are contemplating an investment in a new project in gurgaon Delhi/NCR, then here are a few recently launched real estate projects you should consider -

1. Jaypee Kosmos - This is a very good project for people considering Noida - Greater Noida corridor. Priced at about 2975/- per sqft, this project is located at Sector 134 near Noida - Greater Noida expressway near ATS Greens. It is about 10 minutes drive from DND flyover. It boasts of all the modern amenities like 24 hrs power and water, social club, medical facilities, kids playing area and so on. The apartments are designed with a price conscious mind. For example, the 2 BHK here has a super built up area of about 850 sqft, giving a basic sell price of about 25.30 Lacs.It is definitely worth a look considering a very competitive rate and good reputation of Jaypee Greens, especially for people who are looking for good long term investment and are ready to wait till 2012 for possession.

2. Jaypee Aman - A project on similar lines in sector 151, which is further towards Greater Noida on the expressway is Jaypee Aman. It is priced at basic sqft rate of around 2250/-. The smallest apartment with a super built up area of 850 sqft costs about 19 Lacs making it a very affordable buy. The possession date for Aman will be in 2012 as well. Official booking of this project is closed as of now, but it's very much possible to get a booking in resale from people who will get an allottment. Of course, the pricing will be slightly higher than the launch rate.

3. Unitech uni homes (plots) - If you are someone who dreams of a self built villa, this might be a good choice for you. It comprises of 120 and 192 sqyd plots in Sector Mu, Greater Noida. The current inaugural discount price is Rs 15,000 per sqyd and will go up to Rs 17,000 per sqyd after project launch. The price of these plots is comparable to the prices currently offered by the Greater Noida authority in close by sectors. The plots are located in Sector Mu, which is about 6 kms from Pari Chowk in Greater Noida. The Unitech Uni Homes plots come complete with all modern amenities like kids play area, community center with games room and multi purpose hall, gymnasium, swimming pool, gated community, round the clock security, fire safety provisions, food bazaar by Big Bazaar, ATM within the campus, banks nearby etc.

4. Lotus Boulevard - Lotus Boulevard is an offering in Sector 100 of Noida from The 3C Company. This project boasts of being the largest "green" housing project in India. It aims to provide a lot of open space, air and lighting in its apartments. Other eco friendly methodologies like rain water harvesting, energy saving lights etc. are part of the eco system here. All the modern amenities are also provided for maximum comfort. The basic price per sqft for Lotus Boulevard is Rs 2825 that puts price of the 2 BHK (1075 sqft super built up area) at about 30 Lacs.

Why should you buy property in 2009

2009-12-10T17:07:00.000+05:30

Indian property experts would nod to this troubling question which now has become a mystery for the indecisive lot looking to invest in Indian property. But for most of the investors and end users, this equivocal 'yes' of the experts is not as reassuring as it sounds. Experts feel that residential property prices will most likely stabilize from April onwards with fears of deflation brooding over the Indian economy. They maintain that the continuous drop in the prices of general goods and services in India will very soon bring interest rates down to affordable levels. And seeing the recent downward trend in India property market, experts predict that real estate developers in India will have to resort to considerable price cuts to cope with the slowdown.

It means that the present 15-20% correction in Indian property prices (which started in the ending months of 2008), 2009 would bring new opportunities for real estate investment in India. Realty experts opine that prices of real estate in India will stabilize by March 2009 and would not go high quickly. They also predict that the sale of residential property in India will climb during the first three months of the new year.

property dalal - a One-stop Guide to All Your Real Estate Requirements

2009-12-04T16:06:00.001+05:30

Indian economy has led by real estate in India.The real estate sector in India has grown as one of the most attractive investment sector for domestic as well as foreign investors. Indian real estate has great potential demand in almost every sector, but especially commercial, residential, retail, industrial, hospitality, healthcare and so on.
Nowadays, many online portals are popular on the Web for real estate professionals to market their services to home buyers and sellers. These portals are constantly trying to make the process of Indian property transactions more conducive, transparent and stress-free.

An online portal called www.propertydalal.com provides an environment where the entire property community including agents, sellers, buyers, tenants, banks, attorneys and so on can freely interact to the benefit of the industry as a whole.Propertydalal.com provides complete listing of real estate agents, brokers, construction companies in and around Delhi, Chandigarh and other parts of India. The website has a comprehensive yet user friendly design that facilitates easy and effective property transactions. It also provides a customized interface across property categories making each listed property unique.

As an internet property dealer, Propertydalal.com provides you with property listings in all residential and commercial sectors as well as agricultural and industrial land too. Here all the property related listings are continuously updated and maintained, to provide you with latest and accurate information. The portal also provides photographs of property listings packed with information so that you can make personalized selections. Their typical property services include property evaluation, marketing and advertising the property, finding a qualified tenant, buyer, preparing leases and helping in property transfers and so on.

Being a property management portal, Propertydalal.com is dedicated to develop effective solutions to cater your varying property needs, serving as a one-stop guide to all your real estate requirements. With excellent service and support, this online portal is constantly working to regulate the Indian real estate market through this virtual platform.

Propertydalal is different from other Real Estate Portals We are not just a Real Estate Portal but we ourselves are Real Estate Advisors/consultants.propertydalal does not put property of an online advertiser on website but markets and sells a property of a seller. We upload a property only after checking all credentials etc. and we ourselves are selling those properties. Whereas other Real Estate Portals are just providing platform for individual buyers/dealers to sell their properties.

Gurgaon Real Estate an overview

2009-12-01T14:20:00.003+05:30

Gurgaon is not only the sixth largest city in the Indian state of Haryana but also is a sprawling megacity, as well as a growing industrial and financial center in the realm of the country. The city, in the period of last 20 years, has grown to a great extent and by now has become a leading manufacturing, outsourcing and shopping destination on account of its world-class infrastructure at competitive prices and its strategic location.

Gurgaon is also witnessing a great increase in the number of BPOs, KPOs and shopping malls in the domain of the city along with a rapid growth in employment prospects and local wages, leading to a mushrooming of shopping malls, swank restaurants and entertainment facilities. This has not only led to the emergence of a vibrant, cosmopolitan, more affluent and better educated population but also has stimulated the real estate sector of Gurgaon. Well, the same picture is prevalent at various corners of India and Gurgaon has reached great heights already. The rising corporate culture has given rise to the demand of commercial space and as a result both residential and commercial real estate sectors are witnessing tremendous rise in demand and growth.

It has been found that companies, ranging from biggest to small ones, are vying these days to take hold of appropriate space and for this reason the city-based property management groups are finding it difficult to deal with copious (also increasing) clients. Keep in mind presence of top-notch MNC's and Fortune 50 companies like Pepsi, Genpact, Genesys Telecommunications, Ranbaxy, Coca Cola, HP, Nokia, have intensified the demand of commercial space to a great extent.

It's the time, therefore, to look at the commercial real estate sector. As per studies, commercial real estate sector of Gurgaon brings forth modern infrastructure and amenities developed by premier real estate developers. These include Unitech, DLF, Vatika and Vipul. What are the existing property rates then? Well, they are growing with the passing of each year and it seems that the rising status of Gurgaon will continue to make a good impact in the real estate sector in the coming years. There is also a striking aspect. While the giants are opting for purchase of fully furnished property to establish their bases in the city, small firms have preference for renting corporate spaces. This new aspect has increased rates of rent in and around the city considerably.

These days the commercial rental properties are available with necessary services security, data wiring, internet connectivity, housekeeping and utilities and electrical provisions. For this reason, one does not need to worry about the initial investment for furnishing the property with basic amenities and utilities.

Lots of middle and high-end projects, under the auspices of real estate developers, are continuing at full strength or intensity in different parts of Gurgaon property. They are Old Gurgaon road, Gurgaon Sohna Road, MG Road and Golf Course Road. On the other hand, not only upcoming companies but also global organizations have a preference for renting a property than buying it, as the returns in leasing or renting are money-spinning.

source: http://www.ezinearticles.com/?Gurgaon-Real-Estate

Property Dalal one Stop for all your property needs

2009-11-24T10:08:00.000+05:30

Property Dalal is a one-stop real estate guide, property consultants for Gurgaon, Delhi, NCR and surrounding areas. Dealing in Sale, Purchase, Renting or Residential and Commercial Property. We understand all the problems faced by our clients related to buying, selling and renting of property and provide complete solutions to all their requirements. Pillared by a hardworking team and years of experience, we have associations with companies which are best in the business. Along with most cost effective property dealings.

Finding a house or an office in such a big city can be stressful specially when you are short of time and required information as soon as possible. So it is the need of time to start with an exclusive property that Extreme knowledge of variteyful properties at prime locations in Gurgaon and Delhi like South Delhi, through which you can choose property according to your need. The Prime Property will help you by short listing the properties which suit your requirement the most.

Affordable Housing Solutions Gurgaon

2009-11-18T15:18:00.001+05:30

There are many ways to find affordable housing in Gurgaon . There are even ways to make the home you have more affordable. Here are some of the best.

Move to a cheaper location. This is often not considered by people, but the difference in housing costs between two cities within an hour of each other can be dramatic. This can be true whether you are renting or buying. If the new location isn't too far away, you can commute to your job. On the other hand, if the difference is enough and you can find a similar job, you might do well to move hundreds of miles away to lower your living costs.

Find cheaper types of homes. Often there are many types of housing in an area, and some are definitely more affordable than others. There are apartments, seasonal rentals, mobile homes you can rent, mobile homes you can buy in a park, mobile homes you can buy on land, modular homes that look just like regular houses but sell for less, recreational vehicles in parks, rooms for rent, and more. Make a list of the options and investigate to see which cost less.

Find cheaper parts of town. In some cities the same house can be half the price in one neighborhood versus another. Now, in some places you wouldn't want to live in the half-priced areas. But sometimes it is more a matter of aesthetics than safety, so this might be a temporary solution while you save money to someday upgrade.

You might do something similar even if you are renting. If it's okay with the landlord you could rent out an extra bedroom in your apartment and cut your costs in half. If the landlord says no to that he might agree to two of you splitting the rent and both being on the lease.

Real estate stocks take a beating

2009-11-04T14:47:00.000+05:30

The bear hug over real estate counters continued at the bourses on Tuesday with the BSE Realty index showing a massive fall of 9.76% for the day. All stocks of property developers were battered, even construction companies suffered in the hands of investors.

Among those which lead the fall were Indiabulls Real Estate with 16.15% to close at Rs 209.45. Market leader DLF dropped by 9.04% to Rs 336.55, Unitech was down by 9.85% to close at Rs 82.25, while Sobha lost 10.55% and Parsvnath closed 9.03% lower at Rs 95.65.

"With around $3.20 million raised in QIPs, preferential warrants and a queue of realty IPOs looking to raise around $2.7m, we are seeing speculation building with bigticket land deals back on the radar and return of private equity. We believe this may spike prices and act as a nearterm trigger, but expect this to impact long-term volume and push back the recovery cycle — which is more crucial ," Ashish Jagnani of Citigroup said in a note.

Besides, the markets haven't taken lightly the RBI's recent move which aims to curb lending to real estate sector. "To ward off another asset bubble and ensure credit quality, RBI's recent policy measure to raise provisioning norms from 0.4% to 1% for commercial real estate loans has signalled caution and an uptick in borrowing costs. This has already dampened sentiment, and could act as an overhang on stocks. While the sector is down an average around 6% over last 15 days, with most stocks still trading close to NAVs, valuations are not compelling yet given execution is yet to catch up. That said, we believe new IPOs will offer much more choice - hence see near-term downside/underperformance risks for existing listed players ," Jagnani said.

“The near term pains for the real estate sector will continue . The RBI move has come at a time when things were slowly falling in place for the big developers. Going forward , we believe access to capital will remain a big challenge to these companies. But, since most of the big players have raised funds through QIP placements, the next issue would be that of liquidity . Near term fall in valuation looks stretched even as prices have corrected sharply. We prefer a wait and watch approach ," a fund manager with a mutual fund said.

Source:http://economictimes.indiatimes.com

Gurgaon Property Information

2009-10-29T13:34:00.001+05:30

Gurgaon, a city of Haryana, has now become much famous as India’s Outsourcing Capital. The impressive and peerless growth that this cyber city has shown is highly appreciable. And the existing population of Gurgaon is considered to possess large purchasing power which has further created a large demand for housing thereby giving a high boost to the demand for property in Gurgaon.

Hence buying property in Gurgaon is The Best Option for Future as well as Present.

Here you can get The Latest Gurgaon Real Estate Market trends, Current Gurgaon property prices, Information about Real Estate agents and Property Developers in Gurgaon.
In this Endeavor propertydalal.com provide complete assistance for your Real Estate & Property Deals like Residential, Commercial in Gurgaon through our qualified real estate agents with extensive experience in Gurgaon properties.

Please feel free to contact us for a free, no-obligation discussion on your Sale/Purchase/Lease/Rent requirements in Gurgaon, we will be glad to assist you.

You can also post your property requirements like

• Sale/Purchase/Lease/Rent the property
• Property Type
• Covered area Specification
• flats, apartments with number of rooms
• Your Price range

Diwali 2009 offers are meant more for end users

2009-10-20T14:23:00.000+05:30

It’s that time of the year when you can feel the festive buzz all around you. And real estate developers are cashing in on the festive mood.They have realised that the consumer is not interested in a drop in basic sale price but more in the total outflow that is incurred towards purchase of the property.

Ravi Saund, marketing head of Sare, a real estate-backed private equity fund developing residential properties, says there is a qualitative shift in Diwali offers across years. “The year 2007 was the height of the real estate boom and developers were riding the crest of the boom. Diwali 2008 saw developers struggling with cash flows and global recession and Diwali offers too were highly watered down. This year the offers are structured to be of more use to the end user.” Sare took advantage of the positive buyer sentiment to launch its Chennai and Gurgaon projects. In addition, it offered a Rs 25,000 festival discount.

According to Raminder Grover, CEO, Homebay Residential, Jones Lang LaSalle Meghraj (JLLM), demand this festive season has been 25% higher than it was last year, when the sector was already in the grip of the slowdown.

Whether this demand is on the back of varied offers or an improvement in the overall sentiment, the fact is that many developers are launching special incentives to appease buyers.

Supertech is offering free LCD screens to customers in some of their projects such as 34 Pavilion in Noida, Emerald Court at Expressway Noida, Czar Suits in Greater Noida and Green Village in Meerut. R K Arora, chairman & MD, Supertech, says they have received a good response from buyers. “In the first phase during the Navratras, we had offered ACs per BHK in some of our projects. The response to the previous festival offer and the current offer (AC+ LCD) has been quite welcoming. Around 70-75 units were sold for all the projects put together.”

source:http://economictimes.indiatimes.com/markets/real-estate/news-/Realty-Diwali-2009-offers-are-meant-more-for-end-users/articleshow/5135050.cms

Gurgaon Real Estate - Get Affordable Property Deals

2009-09-22T16:46:00.000+05:30

Considered as one of the largest, well planned industrial townships of Asia, Gurgaon has shown the most remarkable transformation in the past 10 years. Significant developments and proximity to the capital city have made Gurgaon the most desirable city in the entire NCR. Recent studies show that Gurgaon, in the present scenario, is witnessing the heaviest population influx, which in turn makes Gurgaon real estate the hottest market. Today, the city exhibits a great range of flats, residential complexes, societies and apartments. In fact, today, many people wish to get settled down in Gurgaon hoping for good career opportunities and wider scope of development. People from all over the country are making good investments in the city because of its growing popularity and high resale value.

Gurgaon properties serve as an excellent alternative for people who are working in Delhi and are looking for an affordable house or apartment. As Delhi property rate is touching sky and is beyond of many individuals income, Gurgaon real estate market can fix well into their budget. Moreover, several construction companies and builders are offering flats and apartments with exclusive finance schemes, making it easier for the buyer to clear all the installments. Superb network of roads and comprehensive civic infrastructure make the city an ultimate choice to own a property. In fact, this has also been proved by countless young well to do professionals who have shown their interests in Gurgaon and have made it the highest income tax paying district in Haryana.

The phenomenal development rate that Gurgaon has shown is commendable. In a very short span of time, the city has emerged as a complete metropolis, offering countless job opportunities to the populace. As an important part of the Industrial landscape of India, the city has set a desirable example of the concept of integrated Industrial Township providing luxurious lifestyle. Its well managed amenities of wide roads, well developed land, continuous power supply, clean drinking water, dependable telephony, and impressive residential complexes offer the residents a serene and peaceful environment. Moreover, a series of ongoing housing projects have proved that Gurgaon has stood up for an extensive real estate market that has plans to offer a variety of luxurious accommodations categorized according to various budgets. Hence, all such reasons have made Gurgaon real estate a hot market with best possibilities of making huge investments.

Renting property in Gurgaon India

2009-09-11T17:21:00.001+05:30

Gurgaon is very costly place to live in delhi nCR region the prime location like Dlf in GUrgaon and Raheja are most costly palces in GUrgaon a normal person cannot afford rent of prime locations of gurgaon Haryana INdia.To get cheap rental flats and apartments one should to and conatct to land lords directly this is a time taking hard work and it will save money for you there are alos various websites from where one can get cheap rental apartments in gurgaon as this is a very helping webiste http://www.propertydalal.com.

although Gurgaon has villas, condominiums, penthouses,independent houses etc on offer. As Gurgaon emerged IT hub and various MNCs, BPOs, corporate houses have set up their business here, there is huge demand of rental property here. The rental rates in Gurgaon are quite high as compared to south Delhi or other parts of Delhi. The rental value for 60 square yards 1BHK is around Rs.6000 to Rs.7000 per month. According to a property broker, rental prices in areas like Sushant Lok ,South City, and DLF is much high even in times of this slowdown. If you want to rent a 1BHK apartment, it can cost you up to Rs.12000 to Rs.16000 per month so you can rent in Gurgaon according to your budget.

Commercial real estate rentals seem to be bottoming out

2009-08-28T11:55:00.000+05:30

Mumbai continues to be the second costliest city in Asia Pacific in terms of prime rental rates. With rent of about USD 800 per sq metre per annum, Mumbai is ahead of the likes of Tokyo (USD 750 per sq metre p.a.) and Singapore (USD 625 per sq metre p.a.) as per the latest report of real estate consultancy firm Jones Lang LaSalle. This is despite a 40% drop in rentals from its peak values. Delhi comes fourth in the ranking with USD 725 per sq metre per annum.

With GDP growth expected to bounce back in 2010, India and China would outperform the global markets with a 7-10% growth rate. The early signs of recovery are visible in Delhi and Mumbai markets. Having dropped by 24% in March’09 quarter over the preceding quarter, Mumbai’s decline in June’09 was well below 10%. Delhi followed with an 8% decline, which was half of what it was in the quarter before.

The average decline for India in June’09 was 8.3% as against 19% in the quarter prior to that. This showed that the rate of decline in rentals has also slowed down in the June’09 quarter as compared to March’09 quarter. It is believed that rents in these cities have bottomed out. Pune outperformed with just about a 4% decline.

This trend is likely to improve by 2011 when the absorption rate would overcome the supply. With 57 million sq feet of office space expected to be operational by the end of 2009, vacancy rate would continue to be high at 27% in 2010 till it comes down to a little above 20% in 2011.

Talking city wise position, Bangalore is expected to relatively outperform other cities with a low vacancy rate as it has received good response for pre leasing properties.

Companies form telecom and pharma sector seem to be fast taking advantage of the low rentals and expanding their geographic reach. For example recently Aircel and Telenor Unitech wireless signed more than 50000 sq feet of real estate space. As rents become more affordable, we could see more companies scaling up their expansion plans.

Source:http://economictimes.indiatimes.com/Markets/Real-Estate/News-/Commercial-real-estate-rentals-seem-to-be-bottoming-out/articleshow/4933106.cms

Diversion of funds leading to project delays

2009-08-10T17:53:00.001+05:30

The prime reason behind project delays in Delhi-NCR has been the diversion of funds by all the major developers. During the boom time, they had over-booked their projects and then failed to deliver their commitments. In fact, the immediate impact of the global slowdown on the Indian residential real estate market was most visible during the second half of 2008. And then, many under construction projects got delayed due to a sudden and rapid contraction in demand. This was accompanied by a significant drop in the residential real estate supply statistics across India as many developers adopted the cautious approach and deferred their plans for any new launches for the rest of 2008.

Source:http://www.expressestates.in/full_story.php?content_id=93883

Real estate looking up, people start buying once again

2009-08-04T12:12:00.001+05:30

The booming real estate market that received a jolt during the slowdown last October-November seems to be recovering. People are slowly purchasing, but only for personal use. Not for investment purposes.

"In the last few months the real estate market has undergone major changes. The slowdown that migrated from the US has got corrected in India now. The prices have got corrected. And whatever pent up demand was there in the market has started getting converted into business," Santosh Rungta, president Confederation of Real Estate Developer's Associations of India (CREDAI), said.With 4,000 members, CREDAI is the apex body of the organised real estate developers and builders across India, representing pan-India associations of real estate and housing developers.

People were virtually not buying during the slowdown as the real estate price was high and insecurity gripped buyers."The government made an appeal to us that the prices should be brought down and we (CREDAI) made an appeal to our fellow developers that they should try and bring down prices, and they acted accordingly," Rungta said.The pan-India price reduction was to the tune of 15-35 per cent depending on various categories and geographies, he said.

"Today flats are being sold, but the pace could be better. Generally things have reversed. In Mumbai also, rightly priced projects have been sold. The major contributor to this is the government policy to generate demand. It brought in stimulus packages, ensured availability of liquidity to the home buyers, interest rates softened," he said.

Another real estate player Indrajit De, chairman of Eden, also said housing loan lending rates cut may attract a few more buyers into the market."If the lending rate falls further by 50 basis points, the sales figure will climb up," he said, adding, "Certainly the market is looking up now. Sales have also improved.

"We are selling around 25-30 units (flats) per month. But it was much higher in the range of 55-60 units per month before the recession actually hit India."Harshavardhan Neotia, chairman, Ambuja Realty Group, told IANS: "Sales have picked up in the last two-three months. There is more offtake now than what it was six months back. But now the buyers are genuine users and not just investors.These are the people who really need housing. They are lot more quality conscious and they look for the right products."

He said there was a drop of 10-15 per cent in the price during the recession period. In the last two-three months the company has sold around 200 flats, he said.Reacting to the recent announcement by union Finance Minister Pranab Mukherjee on interest subsidy on new home loans and extension of deadline in tax holidays on projects approved by March 2008 if they are completed by March 2012, Rungta said: "One must understand that extending the tax holiday under 80 I B (10) for a mere one year to projects approved by March 2008 will fail to create a significant positive impact on the real estate market. It will only benefit a few micro markets with a handful of projects."

CREDAI has suggested the centre consider extending the dateline to March 2012 for providing tax holidays to projects irrespective of the date of approval. "This will be of greater benefit to the sector and encourage developers to take up new projects and expedite ongoing projects as well."Rungta further said: "Even the proposed interest subsidy of one per cent to home loan borrowers for loan taken for houses costing up to Rs 20 lakh is also not justified."

CREDAI has proposed that the centre increase the subsidy to home loan interest rates by another one per cent to two per cent and extend the scheme for houses costing upto Rs 30 lakh from the currently proposed valuation of Rs 20 lakh.

Source:http://economictimes.indiatimes.com/articleshow/4848117.cms

Price correction encourages Gurgaon real estate market

2009-07-31T16:19:00.000+05:30

Encouraged by price correction and lowering of interest rates, the real estate market, after a period of relative inactivity lasting the first few months of the year, witnessed improved levels of activity on the part of retail investors in the residential sector, especially in the low to mid-end housing segment, said experts as well as market analysis reports of the second quarter in 2009.

CBRE Market View, India Office , published for the second quarter, said: "Level of enquiries went up and, more significantly, transaction velocity also increased marginally as compared to Q1 (first quarter) of 2009... However with most of the activity confined to smaller format offices, vacancy levels remain high. Most developers deferred plans for launching any new projects, the focus being on deploying the scarce resources on completing projects in hand."

Source:http://economictimes.indiatimes.com/ET-Realty/Price-correction-encourages-Gurgaon-real-estate-market/articleshow/4840018.cms

DLF sells land to raise Rs 1,000 crore, lines up more deals

2009-07-13T15:21:00.002+05:30

DLF has raised around Rs 1,000 crore through sale of land parcels across four cities in the past 4-5 weeks and is on course to close more such deals worth another Rs 500 crore in the coming weeks, two company executives said.This is in keeping with the country’s largest real estate developer’s objective of raising Rs 5,500 crore through asset sale and use these funds to halve its Rs 14,000 crore debt by the end of this fiscal.

DLF has sold off land parcels in Mumbai, Baroda, Gangtok and NCR. The plots in Prabhadevi, Mumbai and Baroda were not marked for any specific purpose, as the company hadn’t paid government fees and obtained licences for any specific use. DLF has sold a hotel project in Delhi and another in Gangtok.Chennai-based investor C Sivasankaran bought DLF’s 66% rights in the Prabhadevi plot for Rs 310 crore, while another Delhi-based high net worth individual bought a hotel project in Delhi. The details of other transactions were not available.

A slump in Indian property market has forced several developers to sell assets to improve cash flow. A dramatic decline in sales of homes, offices and shops coupled with tight credit situation between September and March forced many realty firms to put their assets on sale as they found it difficult to repay debt and continue with the execution of their ongoing projects.DLF’s smaller rival Unitech sold off its hotel in Gurgaon and an office building in Saket in the past few months. But selling assets, especially land, hasn’t been easy for any developer as there were hardly any buyer for land. The DLF spokesman declined to comment, but two senior executives at the firm confirmed having raised Rs 1,000 crore through asset sale. They also said that DLF has finalised a buyer for its land parcel in Andheri, Mumbai, and is close to signing the deal.

source:http://economictimes.indiatimes.com/News-by-Industry/DLF-lines-up-more-deals/articleshow/4742171.cms

Gurgaon-The most preferred real estate destination

2009-06-18T16:38:00.002+05:30

The famous saying ‘sky is the limit’ definitely holds true for real estate in Gurgaon. The property market of Gurgaon has shown an enormous growth in the past few years. Amongst other commercial hubs in India, Gurgaon has emerged as one of the fastest growing cities with comparatively higher property rates. The unprecedented rise in the property rates of Gurgaon can be attributed to the facelift that the city has received in the last few years. From a low profile unsophisticated village, Gurgaon has emerged as a suburban with all the modern amenities and infrastructure.

Due to the constant growth in the property rates in Gurgaon in the past few years, investing in the city is a much safer option for investors. Those who had realized the prospects of this lucrative investment well in advance are now reaping benefits of increased profits. The rising real estate of Gurgaon has also contributed to the development process in the other parts of the country.

The modern infrastructure of Gurgaon along with emergence of various educational and professional institutions has added to the rise of demand for property in Gurgaon. The coming of MNCs and establishing their bases in the city have also played a key role in making Gurgaon a preferred choice for property needs. The companies that are based in Gurgaon are from the wide spectrum of industries that promise opportunity for everyone.

The construction industry in Gurgaon has achieved international standards in terms of sophisticated amenities and security arrangements that are incorporated in any project. This contributes to the confidence of the investors in investing in the properties here. The transportation facilities in this region are ample and connect Gurgaon to the National capital as well as neighboring states. The Jaipur-Delhi national highway, the Delhi-Gurgaon 8-line expressway and the Delhi-Gurgaon metro rail are considered milestones in the evolution of Gurgaon as the center of supreme commercial significance.

Source:http://www.realestateproarticles.com/Art/6667/278/Gurgaon-The-most-preferred-real-estate-destination.html

Most Updated Information about gurgaon

2009-06-12T14:50:00.001+05:30

find latest and most updated information about gurgaon.

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Get more information about Gurgaon the Corpporate city of india

Gurgaon's commercial significance is growing at an unprecedented rate and the same is discernable from a look at the list of hospitals, banks, BPOs, KPOs, etc. in the city. Commercial and other establishments like hospitals, health centres, dental clinics, etc. find Gurgaon a very promising hub because of the growing urbanization of the place. Others like beauty clinics, banks, BPOs, KPOs, shopping malls, chemists, etc. open their new units in the newly developing areas of the city. With the ubiquitous presence of these establishments in the prime locations of Gurgaon, city life has become much more convenient and comfortable than ever before.

Gurgaon Properties - Residentail & Commerial Properties in Gurgaon India

2009-06-11T18:09:00.000+05:30

Gurgaon Properties - Residentail & Commerial Properties in Gurgaon India

In real estate slump, developers pin hope on service apartments

2009-06-08T16:52:00.002+05:30

After being launched in cities like Delhi, Bangalore and Pune, service apartments will soon be a reality in Tier II and III cities.Considering the growing number of corporate honchos visiting the tri-city, Ludhiana and Amritsar, real estate developers will soon introduce service apartments in these cities.Another reason that has evoked developers’ interest in service apartments is the slump in the real estate industry.

The negligible sale of apartments in the tri-city has forced them to convert these into service apartments.Service apartments, which are fully-furnished with all facilities, are an alternative to five-star hotels. Unlike a normal apartment, a service apartment is given only on lease or rent and is a good option for travelling professionals and nuclear families.Soon, Omaxe will launch a few limited service apartments in Omaxe Royal Residency on Pakhowal Road, Ludhiana. These apartments, with an area of 650 square feet each, will be launched in July.

“Ludhiana has marked its presence in India as a commercial city. It has many industries, which result in a number of corporate heads visiting this city. These apartments will offer them a nice and cheaper accommodation compared to hotels,” Avneet Soni, director of Omaxe Limited, said.Manoj Kashyap, regional director of JLL Meghraj, added: “As there is no movement in the real estate market for the last many months, developers are trying various options keeping in mind the demand. The firm is working on the modalities and research on behalf of several national developers eager to launch service apartments in the region.”

source:http://www.indianexpress.com/news/in-real-estate-slump-developers-pin-hope-on-service-apartments/472935/

Budget for renting 1-BHK in South Delhi

2009-06-03T09:46:00.002+05:30

With a budget of Rs 15,000, one can get a wide variety of options ranging from 1-BHK in south Delhi to 4-BHK flats in some parts of the National Capital Region. The area of these flats would vary from 400 sq ft to 2,100 sq ft approximately.In sectors 6, 11, 4 and 22 of Dwarka, one could easily get a 3-BHK flat for this amount. According to Pradeep Mishra of real estate consultancy Sainik Estates, “Rohini, Dwarka and IP Extension are good options for 3-BHK flats in Delhi. If you are looking for 4- to 5-BHK accommodation within this budget, try the suburbs.”

Areas such as Rohini, Pitampura and Derawal Nagar in north Delhi and Khirki Extension, Malviya Nagar in south Delhi offer builder floors and apartments ranging in size from 900 to 1,500 square feet within this budget. You can also find similar options in west Delhi colonies such as Janakpuri and Vikaspuri.If you are looking for 2-BHK apartments, options would be available in East Delhi’s Mayur Vihar I and II, and in north Delhi’s Pitampura, Model Town and Rohini. Paschim Vihar, Old Rajinder Nagar, and Patel Nagar would also offer you similar-sized options.

If you are looking for a 4-BHK accommodation within this budget, then you would be hard put to find anything in Delhi but would get numerous options in the NCR. Residential apartments and builder floors in Faridabad, Greater Noida , Gurgaon-Faridabad road and Ghaziabad ranging in size from 1,500-2,800 square feet would be easily available.If location is more important to you than the size of the accommodation, then you could go house hunting in South Delhi. 1-BHK options ranging in size from 400 to 900 square ft would be available to you in posh colonies such as Defence Colony, East of Kailash, Safdarjung Enclave, Panchsheel Enclave, Hauz Khas and Safdarjung Development Area (SDA).

source:http://www.expressestates.in/full_story.php?content_id=93826

Unitech to build 20k affordable houses

2009-05-27T09:58:00.000+05:30

Undeterred by the body blow it received due to the slowdown, Unitech today announced plans to construct 20,000 affordable houses at a cost of Rs 1,700 crore to become India's numero-uno realty company within a year."We made a mistake of only focusing on top 2-3 per cent of India's population. Now we want to reach the masses...enter into budget and affordable houses... we will be the biggest player in the housing segment," Unitech Managing Director Sanjay Chandra told PTI.

"We plan to construct 20,000 affordable housing units over the next two years... these will be low-cost homes with prices ranging between Rs 10-15 lakh," he said claiming that they would become the largest realty player within a year.Currently, Unitech has a land bank of about 8,000 acres covering 500 million sq. ft. Its rival DLF's land bank has come down to 425 million sq. ft. in the last quarter of 2008-09.

Both Unitech and DLF suffered the most due to the meltdown and had been forced to go for distress sale of the assets to keep their finances under check even though shares of the two plunged dramatically in the last six months.DLF's share price had hit a 52-week low of Rs 124.15 in February 2009 from a high of Rs 614.90 in May 2008. Unitech's share price also plunged to a low of Rs 21.8 from a high of Rs 267.5 in the past one year.

Elaborating on the new strategy, Chandra said "we have realised that we can't grow until we are able to cater to at least 50 per cent of urban populating in any city." Therefore, the company is planning to construct such houses, whose average construction cost is estimated at about Rs 1,000 per sq ft, on a total area of 16-17 million sq ft, he added.
At this average cost, the total investment for such houses would work out to be about Rs 1,700 crore.

source: http://www.hotgurgaon.com/news/news.aspx?id=36298

Reliance Infrastructure to Raise 4300Cr

2009-05-25T10:46:00.000+05:30

Reliance Infrastructure, an ADA group company, on Sunday decided to allot 4.3 crore warrants, convertible into equity shares within 18 months from allotment, to its promoters for an aggregate amount of about Rs 4,300 crore. RelInfra plans to use the money to finance a clutch of infrastructure projects that are under implementation by it, a top company official said.

The warrants are priced at around Rs 1,000 while RelInfra stocks on the BSE ended at Rs 1,121 on Friday. The exact price will be decided at the time of Sebi approval, company officials said. At the proposed price of Rs 1,000, the warrants are priced at a 11% discount to the stock's last closing price. However, according to rules, the allotment price is at a 83% premium to the average market price of RelInfra stock for the last three months and a 26% premium to the stocks average price for the last two weeks.

The current issue of warrants coincided with RelInfra cancelling an equal number of convertible warrants which were offered to the promoters but were not converted. In January 2008 those warrants were allotted to the promoters at Rs 1,822 and were to be converted by mid-July 2009. However, since the conversion price was much higher than the current market price, the promoters did not opt for the conversion option and hence the warrants were cancelled by the company. During the earlier issue, promoters had paid Rs 783 crore to the company, as per Sebi rules, which is being forfeited and will accrue to RelInfra.

Recently, another large business house, Aditya Birla group, also cancelled its warrants for Aditya Birla Nuvo and are now going for another preferential allotment of warrants.

Under the current plan for RelInfra, if the warrants are converted into shares, based on the latest shareholding pattern promoters' holding in the company will go up by about 5% to 43%. The infusion of equity capital in the company will give it a higher leverage and the leeway to take more debt into its books, Lalit Jalan, CEO & wholetime director, RelInfra said.

Source:http://timesofindia.indiatimes.com/Business/Reliance-Infra-plans-to-raise-913m/articleshow/4572125.cms

Unitech aims to raise Rs 900 cr from asset sale by June

2009-05-18T10:39:00.000+05:30

Unitech, the country’s second largest real estate developer, plans to generate Rs 900 crore from the sale of two hotels in Gurgaon and a commercial office complex in Saket, New Delhi, by the end of June, a top company official has said.

source:http://www.business-standard.com/

Building on benefits

2009-05-12T11:13:00.001+05:30

It also offered a discount to those who stayed on. Similarly, in Gurgaon, another set of 500 buyers on Yahoo! Groups managed discounts from the same builder.

Today, apart from the realtors who are under pressure to woo customers, there are buyers who are forcing developers to offer sops. About 800 people, who had booked flats in DLF's Garden City project in Chennai last year, formed an activist forum on Google Groups in February this year. The objective: to collectively negotiate with the builder on issues such as refund of deposits and scrutiny of the original title deed. Finally, DLF refunded the deposits of 200 buyers who had decided to exit the project. It also offered a discount to those who stayed on. Similarly, in Gurgaon, another set of 500 buyers on Yahoo! Groups managed discounts from the same builder.

The combined impact of consumer activism and sectoral pressures is that a prospective buyer has an upper hand while negotiating for a property. "Overall, real estate prices have corrected by 25-40% over the past six months. With funds drying up from investors, speculators, private equity players and banks, realtors have realised that money is only available with the end-users who, in turn, are looking at value for their money," explains Anuj Puri, MD, Jones Lang LaSalle Meghraj.

Source:http://www.indiainfoline.com/news/innernews.asp?storyId=101227&lmn=1

3-BHK in Dwarka

2009-05-12T10:41:00.001+05:30

Delhi

The budget of Rs.70 lakh is sufficient for getting good accommodations in the Delhi- NCR region. Several of the city Locations also offer good accommodations but the size will not be that much as the buyer can get in the NCR region.The city locations include areas like Dwarka, Patel Nagar, Old Rajinder Nagar, Vikaspuri in West Delhi. In the eastern part of the city, one can buy flats in localities like Mayur Vihar, Vasundhra Enclave and Patpargunj. In the southern part of the Capital, one can have options in areas like Lajpat Nagar, Kalkaji Extension, Malviya Nagar and Sriniwaspuri. In the north, the locations under this budget are Rohini, Model Town, Shalimar Bagh and Mukherjee Nagar.

Considering the price correction that has happened in the market, there are numerous options available for a home buyer with a budget of Rs.70 lacs in Delhi & NCR. Buyers can choose between ready-to-move-in, under-construction or brand new launches at various locations in Delhi & NCR.

In Dwarka

one can buy a 3-BHK apartment in Sector-4, Sector-6 and Sector-18B.Towards western part of the city, Janakpuri offer 3-BHK builder floor in this budget in an area of 1350 sq ft.

In Gurgaon

In Gurgaon, one can have a number of options and all these places have huge space. The apartments available in this budget are on Sohna Road, in Sectors 57 and in the DLF City. These 3-BHK apartments will be spread in an area of 1300 to 2900 sq ft.The suburb of Faridabad offers residential plots in this budget. One can buy a plot of the size of 4518 sq ft at BPTP Farmlands in Faridabad.

In Noida

the size of the available apartments will be from 1700 to 3911 sq ft. and flat types will be 3-BHK to 4-BHK.In Indrapuram, one can buy a luxury apartment, with all facilities including club, and swimming pool. The size of these flats will be from 1500 to 2400 sq ft.In Patparganj area, one can buy 2-BHK spread in an area of 800 to 100 sq ft. In Mayur Vihar, the size of the flats will be same that of Patparganj.

Chandigarh

With existing property price ranging between Rs 70,000-80,000 per square yard, one can find an independent plot of 100 square yards in the sectors depending upon the location. Also, constructed floors or group housing and society flats are available in this range. For Rs 70 lakhs, a 5 marla independent ground floor can be bought in Sectors 15, 22, 23, 27 and 38.

Govt Realty Cos to undertake low cost housing in rural areas: ASSOCHAM

2009-05-05T09:24:00.001+05:30

While the government was able to achieve 99% of the physical target of construction of houses between FY2000-01 to FY2006-07, the achievement rate fell to 51% in FY2007-08.As the real estate sector struggles with depressed demand due to global recession and high cost of borrowing, the ASSOCHAM has suggested the government and realty players to jointly undertake low cost housing projects in the rural areas where the shortage of houses is estimated more than 47.43 mn upto 2012.

An ASSOCHAM report on Rural India has shown that central government has spent Rs.189898.56 crore for constructing 171 lakh houses under the ‘Indira Awaas Yojana” implying the cost per house comes as Rs.1,11,000.However, the desired results under the Scheme have not been fully achieved as there is a problem of land availability, clearances by forest department, delay in release of funds and lack of basic amenities in the houses constructed. Resultantly, most of the houses remain abandoned.

Releasing the report, Sajjan Jindal, President ASSOCHAM said that there is a huge backlog of house requirement which needs to be fulfilled and recommended that the Indira Awaas Yojana Scheme under the umbrella of ‘Bharta Nirman’ programme should be renovated for more effectiveness.There is a strong case for private sector participation to bring in the right technology for low cost houses reach to the masses, and ensure fast tracking of the project, further said Mr. Jindal.

The Indira Awaas Yojana was launched in 1980 as a cash subsidy based programme, under which assistance is provided to rural BPL families for constructing dwelling units on their own using their own design and technology. Engagement of contractors is prohibited and no specific design has been stipulated for an IAY house.The ratio of funding between the centre and state governments is 75:25. About 60 per cent of the funds provided under IAY are meant for SC and ST beneficiaries and the subsidy is sanctioned in the name of female member of the household or jointly in the names of both spouses. The present per unit assistance is Rs.25000 in plain areas and Rs.27,500 in hilly and difficult areas. The Government has raised unit assistance limits for an IAY house in plain areas to Rs.35000 (from previous Rs.25000) and in hilly/difficult areas to Rs.38,500 (from Rs. 27, 500).

According to data provided by the Ministry of Rural Development, since the inception of the scheme, 171 lakh houses have been constructed with an expenditure of Rs1898.98bn. Thus, the cost per house comes out to be Rs.1,11,000.While the government was able to achieve 99% of the physical target of construction of houses between FY2000-01 to FY2006-07, the achievement rate fell to 51% in FY2007-08. Number of houses constructed under the scheme fell to 10.9 lakh in FY2007-08, from average 15 lakh in preceding three years.While the scheme has been showing satisfactory results in terms of physical target achievements, the program has been flouting on many respects. There has been the problem of delay in release of funds. Most of the houses lack on the essential aspects like smokeless chulhas and toilets.

The Indira Awaas Yojana Scheme suffers from many issues such as unavailability of land. Land should be available in adequate quantity, which is not there in most of these rural places. There is also problem to get approvals from Forest Department of the government. There are huge tracts of land which are no more under forests cover, yet fall under the same in the records. This also leads to blocking of land, which can be utilized for useful purposes.One of the major problems faced in the scheme is the rural folks are not willing to live in the houses constructed by the government under the scheme due to various reasons. The housing structures remain abandoned, sanitation is the big problem.The practice of selecting the beneficiaries for the Scheme by gram panchayats is not done on fair basis and lack transparency at ground level. Among the states, Bihar (4.21 million), Assam (2.24 mn), Andhra Pradesh (1.35 mn) and Uttar Pradesh (1.32 mn) face the maximum shortage of houses in the rural areas.

Source:http://www.indiainfoline.com/news/innernews.asp?storyId=100595&lmn=1

DLF targets Rs 5,500 crore from asset sale

2009-05-04T17:51:00.001+05:30

DLF Ltd, the country’s largest real estate developer, plans to raise Rs 5,500 crore through the sale of non-core assets such as power units and hotels to help it reduce its debt. In addition, it is banking on another Rs 2,000 crore of additional inflows from group company DLF Assets (DAL), the company said in a presentation to analysts.
The move follows 33 per cent growth in DLF’s gross debt to Rs 16,358 crore at the end of March, 2009 from Rs 12,277.08 crore an year ago. In addition, during the last financial year, the company’s revenues fell 28 per cent to Rs 10,541 crore as home-buyers deferred purchases and the company offered discounts to lure buyers into many projects. As a result, the company’s revenues were hit to the tune of Rs 688 crore, it said.
DLF’s net profit fell 41 per cent during 2008-09 to Rs 4,629 crore, while there was a 93 per cent decline in fourth quarter profits to Rs 159 crore. Loss from non-core businesses such as insurance, hotels and power was estimated at Rs 163 crore during the year.
The plan to sell parts of the non-core business was aimed at lowering the company’s net debt burden by 53.73 per cent to Rs 6,458 crore by March 2010, as against Rs 13,958 at the end of March this year, DLF said in the presentation. The net debt is arrived at after excluding the cash-in-hand, estimated at Rs 1,198 crore at the end of March 2009, and equity shown as debt and joint venture company debt, which together amounted to Rs 1,202 crore.

Read More:http://www.business-standard.com/india/news/dlf-targets-rs-5500-croreasset-sale/356927/

Unitech Luxury Housing Project Noida

2009-04-29T13:35:00.002+05:30

Under weakening property market conditions, realty major Unitech has been forced to develop its Rs 15,000 crore worth high-end luxury housing project in Noida as an integrated township, aiming to boost sales. Unitech had launched 'Unitech Grande' project in Noida in July 2007 on a 340 acre plot that it had won in May 2006 by outbidding bigger rival DLF for whopping Rs 1,582 crore.

Earlier, the company had planned to build 5,300 flats targeting high-net worth individuals and NRIs for the ultra luxurious project. But, the buyers for the high-end products have vanished from the property market, which is going through a slowdown, forcing builders to change their product mix. "We are re-designing our Grande project in Noida and will re-launch the project as an integrated townships comprising high-rise apartments, bungalows, villas and developed plots," a Unitech spokesperson said.

The spokesperson said that the company would develop 300 apartments that it has sold in Grande. "These apartments will be developed as per the original plan and will not be affected by the re-orientation of the project. Though these buyers will also be given an option to switch to new format".

Unitech, the country's second-largest realty firm, has launched the plots in the township at Rs 51,000 per sq yard. While launching the project, Unitech Managing Director Sanjay Chandra had said the investment will be about Rs 6,000 crore and estimated revenue from this project over the next seven years would be about Rs 15,000 crore.

Unitech's decision to redesign its Noida project came in the wake of huge response it received from the buyers for its recent affordable housing projects in Gurgaon and Chennai.
In the last one and half months, Unitech has sold 750 flats priced at Rs 28-40 lakh in Gurgaon and 500 units in Chennai offered between Rs 19 and Rs 35 lakh.

Unitech, which has recently raised over Rs 1,600 crore through private placements, plans to launch more than 40 projects across the country in the current fiscal, most of it would be affordable housing projects. It would largely utilise the funds raised to develop its projects. This would help Unitech in improving the cash flow of the company and meet debt obligations of Rs 8,400 crore. In a presentation to the investors, Unitech has recently said that it has commenced launch of projects priced below Rs 20 lakh and plans to offer products priced below Rs 10 lakh.
As per the presentation, the company plans to offer housing units at affordable prices by cutting down sizes and also working under reduced margins. "Unitech has a large, low-cost and well diversified land bank, which is sufficient to meet its development plans for the next 7-8 years," the company said, adding it would not acquire further land bank except for "extremely attractive opportunities".

The Gurgaon-based company has a land bank of about 700 million sq ft.

Discounts help DLF sell W Delhi project

2009-04-24T14:59:00.001+05:30

DLF Ltd, the country’s largest property developer, has sold an entire housing project in West Delhi by offering flats for as much as 32 per cent less than the market rate.

The New Delhi-based developer, which launched a residential project at Shivaji Marg (better known as Najafgarh Road) on April 7, managed to sell all the 1,400 apartments on offer.The project is being developed on a 38-acre lot for which DLF paid Rs 1,675 crore in a 2007 auction, making it the biggest land deal of that time. Each apartment will be between 1,200-1,525 sq ft.

The developer had priced the West Delhi project at Rs 6,000-7,000 a sq ft (basic selling price) and offered an initial discount of Rs 1,000 a sq ft, besides an additional one of Rs 500 a sq ft on timely payments. It also offered an 8.5 per cent discount if a customer paid the entire amount within a month of the initial booking, bringing down the effective price to Rs 4,075 per sq ft.However, in addition to the basic price, customers have to pay preferential location charges varying between Rs 500 and 1,250 per sq ft, depending on what they chose and parking charges varying between Rs 300,000 and Rs 675,000.

Brokers who spoke to Business Standard said those still wishing to buy would be added to the waiting list. A DLF spokesperson confirmed the sale of all apartments but declined to say anything further.Though brokers in Delhi say the price is good compared with current prices in the area, they say developers are cutting prices to clear their stock quickly, to create liquidity. According to data from property consultant Cushman & Wakefield, the current market price in the nearest comparable residential area is Rs 6,000 a sq ft.

“Apartments are not getting sold easily today. If they have to sell immediately, they have to sell at cheaper rates,” said Anil Singhal, a property broker based in New Delhi.DLF has been forced to drop prices of some projects after facing opposition from customers. In the past month, it has reduced prices in some of its Chennai, Bangalore and Gurgaon projects by 10-20 per cent.

Source:http://www.business-standard.com/india/news/discounts-help-dlf-sell-w-delhi-project/356103/

Unitech The Residences

2009-04-24T14:41:00.000+05:30

Unitech The Residences Gurgaon-Unitech launches a new project “THE RESIDENCES” at Uniworld Resorts in Sector 33, Gurgaon. Near NH-8. Unitech The Residences offers 1, 2 & 3 Bedroom Apartments with booking amount only 3.75 lacs for 2 Bedroom & 5 lacs for 3 Bedroom.

Unitech The Residences Location:

Unitech Residences located at Uniworld Resorts in Sector 33, Gurgaon. Near NH-8. Perfect location of gurgaon for all unique addresses

Unitech The Residences Distance from Unique Address:

20 Min. drive from IGI Airport , Proximity to Reliance SEZ, 1.2 K.M. from proposed ISBT& Metro Depot Gurgaon, Walking distance from Metro Station, Walking distance from NH-8 Hero Honda chock, 8 Min. drive from IFFCO Chock, Metro stations with in the radius of 2 K.M., 40 Min. Drive from C.P., Closer to upcoming five star hotels at NH-8 , All basic facilities like hospital and school are closed by , Close to Malls, SEZ, and IT parks

Unitech The Residences Project Options:
Type———Size (Sq. ft.)—–Booking Amount (INR)
1 Bedroom---- 825----- 3 Lacs
2 Bedroom—–1100——3.75 Lacs
3 Bedroom—–1500——5 Lacs

DLF protesting buyers in Gurgaon

2009-04-13T17:57:00.001+05:30

DLF, the country's largest real estate developers are offering to select customers from the New Town Heights Gurgaon is a project to move protests mount.The irate customers come from a few days after that select company. announced a 20 percent discount on apartments for both current and new customers through the complex structure. But the discount does not allow customers to exit a future date. The proposed concession on March 25.

By email by Valsala, Executive Director (Marketing): unhappy customer can exercise program. "Exit options" However, the refund is only available to members after DLF can "retrade" property, or as soon as six months if the company can not sell the company's customers know the property. "We want to clarify that we will not be doing any more concessions / discounts natural''letter of customers. DLF's spokesman declined to offer immediate comment.

"We have done our best to do all the above so you happy and satisfied with the project and also has the best of us to start construction within a month's time plus" DLF.

notice customers.Meanwhile, buy home Gurgaon approximately 300 projects are planned to send out letters. They will send a letter to the flower bouquets Express "disappointed" in the later units of the project by members of the New Town Heights in the Format Yahoo!. Members declined to identify. New Town Heights is a residential project at Gurgaon's DLF is launched in mid-March, is housing the apartments sold in the RS range of 45-75 lakh. A project apartment. around 3300, which received approximately 90% sold.The member of the group called for the support of around 700 homes purchased in the latest survey among the project members found that more than 70 of them to want a refund by DLF. The construction did not start the project.

Most known members of the clients have spent approximately 42.5% of the amount. DLF is also facing problems that are similar projects in Chennai city and agreed to refund the booking amount in between 30 April and 30 September 2009 for those who are sent from the Garden City letters.DLF open. in January 2008, with apartments priced between around 3493 and RS 31 and RS 39 lakh, but the company has slashed prices by 10-18%.

Why Property Investment in Gurgaon is a Good Option

2009-04-01T15:28:00.001+05:30

Gurgaon real estate is a land of retailers and the concept of ‘Specialty Mall’ is emerged from this city. Gurgaon’s real estate business is growing at a faster pace due to huge demand from IT/ITES companies.The greatest strengths of this city are its proximity to International airport in New Delhi and the national capital of India, New Delhi. There are large number of construction activities in Gurgaon by leading real estate players that include DLF, MGF, Vatika, Unitech, Ansals, and EMAAR in the form of commercial complexes, residential and offices. Gurgaon is a preferred destination of leading retailers like Mega Mall, Metropolitan Mall, DLF City Centre, Omaxe Wedding Mall, Ambi Mall and Vatika City Market that house the leading brands, cinema halls and theaters.

DLF cuts prices of Gurgaon apartments

2009-03-27T17:04:00.001+05:30

After slashing prices in Bangalore, Hyderabad and Chennai, DLF Ltd, India’s largest developer by market value, is offering a discount of 20% on apartments in its New Town Heights project in Gurgaon, on New Delhi’s outskirts, for both existing and new customers.DLF sent a letter to its customers on Wednesday announcing the price cut. But, unlike the flat cuts on DLF’s projects in the three south Indian cities, the discount on apartments in New Town Heights is structured in a complicated fashion and comes with caveats.

In February, DLF cut prices of some projects under way in Bangalore, Hyderabad and Chennai by about 20-30%. That price cut was for both existing and new customers.Real estate developers are cutting prices to retain and attract buyers after a property market slump in the face of slowing economic growth caused land and apartment valuations to drop sharply, dampening demand.New Town Heights is a 23-acre project consisting of three- and-four-bedroom apartments in Sector 86, 90 and 91 of Gurgaon. The apartment size ranges from 1,760 sq. ft to 2,505 sq. ft, priced between Rs2,250 and Rs2,350 per sq. ft.DLF said in the communication to buyers that the price cut was to pass on the benefit of lower raw material costs to them. DLF has given a 5% discount on the basic sale price of the property. The company has also said that it will increase the area of the property by around 5% free of cost which would decrease the cost of the apartment by 5%.

It is not clear whether the increase in the area would be in the super-area or the carpet area of the apartment. While super-area is the entire area of the building including the common area such as the lobby, carpet area refers to the actual usable area within the apartment.DLF has also promised a 10% rebate on timely payment by customers.This rebate will be on the sale price and will be credited to the buyers’ account in the last instalment if the payments are made on time.The developer has also changed the payment plan for some customers from a time-linked plan, under which customers have to make payments in line with a pre-set schedule. Those who have paid 35% of the sale price would now be allowed to pay the remainder according to progress made in the construction of the project.

Customers who have not paid 35% of the sale price will get the benefit of the construction-linked payment plan only if they pay the balance payment before 25 April, the letter says.“I am not happy with the discount,” says a customer, Rahul Bhambri, 32, who bought a 1,760 sq. ft apartment in the project by making a down payment of Rs42 lakhs in July. “The discount has been structured in a very complicated way...also prices have gone down in Gurgaon by 30-40% and they have only given an effective discount of 5%.”

Bhambri is a member of the online forum of New Town Heights buyers on Yahoo Groups. The forum has around 500 members.Though, unhappy with the discount, Bhambri has decided to stay invested in the project. “I have taken a loan from HDFC and I am paying an interest on that and even if I exit, DLF will charge me a penalty, so I will lose money if I exit,” he says.DLF has, however, steered clear of talking about an exit plan for its buyers. “The deal has been structured with a bias towards compelling people to stay in the project,” says Sanjay Sharma, managing director of , a real estate portal on Gurgaon. “What is also missing is explicit terms and conditions for exit... There are lots of people who want to exit but DLF has been non-committal on this.”

DLF is offering buyers other benefits. The developer is giving its customers so-called price protection, which means that if the basic sale price is reduced by the company before handing over possession of the property, existing buyers will get the benefit of the reduced price.DLF has also doubled the compensation in case of a delay in handing over possession of the apartment from Rs5 per sq. ft per month to Rs10 per sq. ft per month. The same amount would also have to be paid by buyers if they delay in taking over possession of the apartment.
Source:http://www.livemint.com/2009/03/26232827/DLF-cuts-prices-of-Gurgaon-apa.html

DLF gets Rs 203 cr refund from Haryana govt

2009-03-05T17:07:00.000+05:30

Realty firm DLF has been refunded the licence fee amounting to Rs 203 crore by the Haryana government for its proposed real estate projects in Gurgaon."Yes, we have refunded Rs 203 crore as license fee out of the total demand of Rs 240 crore raised by DLF for its projects in Gurgaon,"

DLF had demanded refund of Rs 240-crore licence fee for its commercial projects and IT park proposed to be set up in Gurgaon. "The company had proposed to set up commercial projects at an area of 120 acres and an IT park in 30 acres in Gurgaon," he informed.

Singh further informed that the department had received applications from several real estate companies for seeking the refund of licence fee in 50-60 projects in Gurgaon alone. However, he refused to divulge the names of companies which demanded refund of fee from the state government.

He said in the last two years, the state received licence fee amounting to Rs 3,000 crore when the realty sector was booming and now, out of Rs 3,000 crore, the state received a demand for the refund of Rs 600 crore from the companies.

Haryana used to collect licence fee in the range of Rs 400-500 crore per annum, but because of the sudden boom in the real estate market in the last 2-3 years, the collection reached a whopping Rs 3,000 crore.

source:http://www.business-standard.com/india/news/dlf-gets-rs-203-cr-refundharyana-govt/16/03/56106/on

Real estate companies face ire as homebuyers band together

2009-02-27T14:24:00.001+05:30

It may not grab as much attention as the online campaign to send pink lingerie to the Sri Ram Sene, but home buyers across the country are coming together in online groups to negotiate with developers such as DLF Ltd, Raheja Developers Pvt. Ltd and Vatika Ltd over several contentious issues, the prime among them being a reduction in prices in the wake of the lower demand for housing.Around 950 buyers of DLF’s Garden City project on Old Mahabalipuram Road near Chennai have banded together on Google Groups, an online group run by the eponymous Internet search giant, to put pressure on the developer on several issues. DLF Garden City is a 3,493 apartment project, of which 1,800 apartments have been booked so far. Top on the demands is that DLF reduce prices of apartments by at least 25%.

On Monday, DLF announced a price cut of between 10.5% and 18% on the apartments from Rs2,800 per sq. ft to Rs2,500 each, from Rs3,000 to Rs2,550, and from Rs3,200 to Rs2,600 per sq. ft depending on which stage the buyer comes in. DLF is also offering a special price of Rs2,650 per sq. ft till 1 May, after which it will be revised upwards by Rs100 each.“This is not enough,” said one of the members of the group. “When DLF announced a price cut of 32% for one of its projects in Bangalore, they should cut prices in Chennai by at least 25%,” he insisted, asking he not be identified.

Some 600 buyers have “submitted letters to pull out,” he said, adding not all of them have received letters from DLF stating the company will refund their booking amount. “There could be another 300 more” sending the letter, he said. This could not be independently verified by Mint.A DLF spokesman said it expected very few buyers wanting to exit the project after the recent price changes. “After the announcement of new package, most of the customers expressed their satisfaction,” he said on email.

A similar group has been formed for DLF’s New Town Heights project, launched last June, in Gurgaon. “I am a member of both the groups, the Chennai one and the Gurgaon one,” said a person who is spearheading the Gurgaon group, which he said has around 200 members. The person did not want to be identified.No work has happened on the project, he insisted, adding, “the members of the group have stopped payments to DLF for the project.”The Gurgaon group is also demanding a 25% reduction in prices of apartments for existing and new buyers. New Town Heights has apartments ranging from 1,760 sq. ft to 2,505 sq. ft that are priced between Rs2,250 a sq. ft to Rs2,350 each.A Yahoo group has also been formed by buyers of a Vatika project in Gurgaon who are concerned about the delay in India Next.Buyers of Raheja projects have also formed a group as the builder has not been responding to the buyers’s complaints, Nitin Goel, a member of the group, said.

“Raheja has also been demanding payment on a time linked payment whereas they had said they will take payment on a construction linked plan,” Goel said. “There is also a delay in Raheja’s Vedaanta project where I have invested.” Mint couldn’t ascertain the veracity of these claims.“If the group has any problems they can discuss it with the developer,” Dimple Bhardwaj, a Raheja spokesperson said. “We haven’t asked for time-linked payment plan... ours is always a construction linked plan,” she said.“The buyers probably think it is time linked because we are demanding payment every two months. We have only demanded for what we have constructed. As for the delay in Vedaanta project, that is because there is a water retention problem in the soil at the site because of which we have not been able to construct.”A realty expert saw the banding together of home buyers as symptomatic of young investors using technology to bargain better with realty firms.

“These days we have far more discerning buyers...these are not people who have invested money in a project at a later stage in life and are dependent on the developer for delivery of the project,” said Aditi Vijayakar, executive director, residential at Cushman & Wakefield Asia.

source:http://www.livemint.com/2009/02/25212713/Real-estate-companies-face-ire.html

Ansal receives Gold grade environment clearance

2009-02-10T14:06:00.000+05:30

Ansal Properties & Infrastructure (Ansal) has announced that a commercial complex of thecompany, Palam Corporate Plaza, at Gurgaon, Haryana has received a Gold Grade environment clearance from Department of Environment, Government of Haryana.

Ansal Properties & Infrastructure operates in the business areas of real estate promotion and development, education, environment upgradation, retail shopping malls, facilities management, township development, hospitality, hotels & clubs, hi-tech engineering, and overseas.

Shares of the company gained Rs 0.4, or 1.54%, to trade at Rs 26.45. The total volume of shares traded was 264,054 at the BSE (12.39 p.m., Monday).

source:http://www.myiris.com/newsCentre/newsPopup.php

India's largest listed property developer is to sell assets

2009-02-05T11:47:00.000+05:30

India's largest listed property developer is to sell assets and reduce operating costs due to the global slowdown in the real estate markets

New Delhi based DLF made the announcement as it reported a 69 per cent slump in quarterly profit and 59 per cent fall in revenue. It said it would focus on selling non-strategic assets and reducing operating expenses, as it battles the slowdown.
The company said that it expected challenging market conditions would continue in the foreseeable future and its aim was to boost liquidity and cash flows rather than growth in the short and medium term.The company, whose slogan is 'Building India' raised 31.57 billion in June 2007 in what was then India's biggest initial public share offer. Its core businesses are homes, offices and shopping malls along with hotels, infrastructure and special economic zones.

Property stocks have been battered in India over the past year, amid an economic slowdown and foreign fund outflows, as growth in Asia's third-largest economy has dipped.'The real estate industry has moved from a period of abundant capital availability to times of liquidity crisis,' said Rajiv Singh, Vice Chairman of DLF.

'The current economic environment has affected sentiments at a macro level, with demand from both home buyers as well as corporates being affected,' he added.He said that DLF would continue to follow a cautious approach and focus on timely completion of existing projects but admitted that the short term outlook is gloomy and is expecting a 10 to 15per cent drop in property prices in the next three months.The country's second largest developer, New Delhi based Unitech, also posted depressed figures. It revealed a 74 per cent drop in profit last week.

Source:http://www.themovechannel.com/news/41fdfcde-c52e/

Luxury Houes,flates sell does not effected in Gurgaon/Delhi/NCR desipte of economical slow down world wide

2009-02-02T12:14:00.003+05:30

On January 15, Rakesh Ranjan, a top management executive with an MNC, shifted to a five-bedroom mansion, with state-of-the-art furnishings, in Gurgaon. Ranjan, who was earlier posted in Singapore, bought the fully-furnished house for Rs 2.45 crore.

The demand for luxury houses remains surprisingly high despite a stunning economic downturn, dubbed as the worst in decades. Explains Raj Chopra of Mahalaxmi Properties in Gurgaon: “The number buyers of these luxury flats have been on the rise as demand in this segment is more than the actual supply.”

Also, owing to the heavy discounts offered by developers as well as dealers, the selling of luxury homes have been on the rise. “Metropolitan cities like Mumbai and Delhi have been witnessing consistent selling off of luxury complexes including standalone villas and high-rise luxury apartments,” cites Chopra.

Emphasising the presence of buyers rising steadily in this segment, Navneet Chak, regional director of Sobha Group, describes, “In reality, there has been no hold back in demand for the Rs 1 crore-plus homes as people who can manage to pay for these homes are the well-heeled, who are not influenced by inflation or high interest rates.”

He says that the demand in this segment is largely contributed by rising income levels of top management of corporates and affordable interest rates on mortgages. NRIs, corporate heads, high networth individuals (HNIs), expatriates and celebrities form some of the standard customers of this luxury housing segment.

A study denotes that the total wealth of HNIs in the Asia-Pacific region is expected to reach $13.9 trillion by 2012, with an annual growth rate of over 8 per cent, which will replace Europe as the second largest regional depository of HNI wealth. The number of millionaires in India has already grown up to approximately 1.45 million in the year 2008.

Sanjay Verma, executive director of Cushman & Wakefield, insists, “In the last two years there has definitely been a shift in how luxury segment is viewed by developers. Its attractiveness was largely driven by high margins and good investor demand for a premium product. With the change in economic conditions most of the end users are focusing on controlling costs and getting high value for their money.”

However, he cautions that the developers need to provide ample proof of the final quality and value to customers before they can charge a premium. “Given the fact that greater part of demand supply gap is in the affordable and budget category of housing, we may see more developers making luxury segment a big part of their future plans,” he asserts.

With one more notable and imposing than the next, these luxury developments shows off facilities and services that are extraordinary and elite. Fascinatingly, one will be amazed to observe that the demand for these luxury houses has really been unaltered even with the global financial meltdown.

Source:http://www.expressestates.in/full_story.php?content_id=93694

Ansal Properties eyes sale of 10,000 affordable units

2009-01-28T09:47:00.001+05:30

Real estate developer Ansal Properties and Infrastructure Ltd said that it expects to sell 10,000 dwelling units in the affordable housing segment this year, but has put on hold plans to build 30 hotels.

The affordable dwelling units are being sold in two categories – Rs 2.5 lakh for 200-sq ft unit and Rs 9.50 lakh for 850-sq ft unit. This means that the average cost for the buyer works out to between Rs 1,120 and Rs 1,250 for every sq ft as compared to Rs 1,700 to Rs 2,000 a sq ft for mid-income housing. The construction cost for the company for these projects is expected to be between Rs 500 and Rs 550 a sq ft.Ansal Properties – which derives nearly 70 per cent of revenue from mid-segment housing – has already launched the affordable housing projects in UP and Rajasthan and has sold 2,000 units. It is targeting a sale of 10,000 such units this year.

Ansal Properties to invest Rs 500 cr on low cost housing.“These projects are coming up in Lucknow, Meerut, Agra, Jaipur, Jodhpur and Ajmer and also in Bhilwara as part of our townships,” said Pranav Ansal, Vice-Chairman and Managing Director of Ansal Properties and Infrastructure Ltd.“There is a strong demand for affordable housing projects, as banks have announced attractive rates for loans up to Rs 5 lakh and up to Rs 20 lakh. Beside this, we are also talking to the States and urging them to bring down the stamp duty for affordable housing projects,” Ansal said.Now, the stamp duty in UP is pegged at 8 per cent and in Rajasthan it is 8.5 per cent.The total cost of these projects would be close to Rs 400 crore spread over the next two years. This includes investment for land.

Ansal said the company’s investment requirement for the ongoing projects would be Rs 1,500 crore in the next two years, and claimed that a significant proportion of this would be supported via internal accruals. “Our debt requirement will be only Rs 100-200 crore,” he said.The company is planning an engineering industrial SEZ in Murthal (near Sonepath); and two IT SEZs in Greater Noida and Gurgaon.While HDFC has come in as equity partner (33 per cent) for the Greater Noida project, IL&FS has committed a 49 per cent equity holding for the Gurgaon project, Ansal said.The company had initially planned a follow-on public offer for 2008 but ruled it out after the markets plummeted.The lacklustre demand in the hospitality business also seems to have taken a toll on the company’s elaborate plans to come up with 30 hotels.

“The hospitality plans are on hold. We are not pursuing it aggressively. For all the 30 hotels that we had planned, we already have land. But due to the slowdown in the market, we are not looking at developing them. We may evaluate our plans in one years’ time,” he said, adding that bulk of these hotels were in the three-star and four-star categories.

Source:http://sify.com/finance/equity/fullstory.php?id=14844913

Bids sought to set up recreation centre in Gurgaon

2009-01-15T17:54:00.000+05:30

The Haryana State Industrial Infrastructure Development Corporation (HSIIDC) is seeking bids to set up a recreation and leisure project in Gurgaon, an official said Wednesday.”The project would be set up by private builders selected through international competitive bidding. The bidder should have a minimum worth of Rs.500 crore (Rs.5 billion),” HSIIDC spokesperson said.

He said the proposed project will be spread over an area of 350 acres at village Wazirabad in Gurgaon district, 25 km from New Delhi. It will comprise commercial, residential, sports and golf course facilities.

“Gurgaon, situated in the vicinity of New Delhi, is the corporate capital of India. It is also a major hub for the IT and ITeS (IT enabled services) industry and real estate development in north India. The project will provide a good outlet for professionals,” he added.

Sourec:http://www.thaindian.com/newsportal/uncategorized/bids-sought-to-set-up-recreation-centre-in-gurgaon_100142351.html

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2009-01-14T09:57:00.001+05:30

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DLF repays loans of about Rs 1,000 cr

2009-01-13T17:29:00.001+05:30

Real estate company DLF Ltd is learnt to have repaid loans to the tune of nearly Rs 1,000 crore during December, to various banks. It has also raised close to Rs 1,750 crore from a clutch of banks including PNB and SBI, a senior official told Business Line.Overall, the company has converted the short-term foreign debt into long-term Indian borrowing. Earlier, the foreign debt had become cheaper than Indian debt and Indian banks had also become cautious in funding real estate. However, now the situation has somewhat reversed, and so the company has made this move,” the source said but declined to divulge the names of the banks the amount was repaid to.
Another top official pointed out that the company had not approached any bank for rescheduling or restructuring of its loans. “The company has neither sought rescheduling of loans nor roll over,” the official pointed out.RBI had, last month, permitted banks to consider their commercial real estate exposure restructured up to June 2009 under the ‘standard category’.
This means that the banks would not consider these accounts as Non Performing Assets (NPAs). The move had been welcomed by realtors as the sector has been hit by slump in sales and liquidity crunch.Meanwhile, DLF share on Monday fell 5.4 per cent on BSE to Rs 205.75, against the previous close of Rs 217.60 a share.The stock had hit a 52-week low on January 9 after a report that the company’s CFO had sold about one lakh shares. The CFO later that day had clarified that he had sold the shares at Rs 300 each for “personal reasons”. The top honcho, however, had dismissed speculation that he had stepped down from his post.
Source:http://sify.com/finance/fullstory.php?id=14835906

Now a Gurgaon twist in DDA tale

2009-01-09T17:33:00.000+05:30

The Delhi Police have specific leads on a few property dealers of Gurgaon, suspected to be hand-in-glove in the DDA housing scam. Gurgaon-based property dealers, the police said, did play a role in procuring identity proofs from villagers in Haryana. After Rajasthan, Haryana is emerging as the place from where details of several applicants were collected. Over the next few days, teams from the Economic Offences Wing (EOW) will be raiding villages in Haryana and property dealers in Gurgaon.
Sources said a tailor, Dharam Pal Koli, among several others, was approached by Gurgaon property dealers who claimed they could provide DDA flats at cheap rates.
“Koli will help us to identify the property dealers who contacted him within days of the DDA inviting applications for flats,” said an official. “Koli who did not have any identity proof was given an identify proof, a PAN card and other documents by the dealers who also completed the bank formalities,” added the source.

The EOW is also investigating the role of three persons — all Delhi-based businessmen. They allegedly went to Jhunjunu (Rajasthan) and collected documents from villagers. Meanwhile, sources said the Delhi Police have questioned several people in the DDA, Delhi and Rajasthan and have enough information for an FIR (First Information Report).
Source:http://www.expressindia.com/latest-news/now-a-gurgaon-twist-in-dda-tale/408511/

Nine best places to invest in real estate in 2009

2009-01-06T17:43:00.002+05:30

Investing your money in real estate is not enough. Knowing where to invest is necessary for attractive gains in the property market.So which are the best places to invest in real estate in 2009? Global real estate consultancy Jones Lang LaSalle Meghraj (JLLM) outlines the nine best places that can fetch you lucrative returns:

Mumbai: It has different areas in which growth can still be observed. These areas will sustain prices even as other areas in Mumbai will see a correction. Vasai-Virar region, known for budget housing, is a good bet as connectivity will increase with additional trains planned for next year.
Price: Rs 2,500-3,500/sq ft

For prime property hunters, Bandra-Khar area is a preferred destination owing to its elite profile & high-level of shopping & other facilities.
Price: Rs 18,000-25,000/sq ft

Delhi: There is a slowdown currently in the suburban market. However, the areas around the 150-metre road that will eventually connect Gurgaon to Dwarka, specifically, Sectors 103-111, have significant growth potential. One can expect a year-on-year appreciation of at least 5-7% even now. The area is currently under-developed. However, when residential projects reach completion in 2-3 years, the appreciation will be between 30-35%.
Price: Rs 2,200-2,300/sq ft;

In Dwarka: Rs 4,000-4,500/sq ft

Chennai: While Chennai’s residential scenario is considerably depressed, the Mogappair-Porur region holds mid-to-long term investment potential. It is close to the prime residential catchment of Anand Nagar, Chennai Railway Station and bus terminus. The fact that it is not near the IT corridor also increases its potential.

Price: Rs 2,800-3,000/sq ft

Bangalore: The city is feeling the brunt of the IT slowdown. However, established suburban areas like Koramangala, Outer Ring Road and Bellari Road continue to be good investment destinations. While Koramangala is close to Electronics City, Outer Ring Road & Bellari Road are close to IT hub and appreciation potential is 10-15% in long term.
Price (Koramangala): Rs 7,000-8,000/sq ft

Price (Outer Ring Road and Bellari Road): Rs 3,500-5,500/sq ft

Pune: Pune’s new growth corridor encompassing Kharadi and Nagar Road can be considered as the most lucrative real estate investment zone for 2009-2010. Proximity to revamped airport, improved connectivity, upcoming IT SEZs, commercial ventures and reasonably low entry costs make it profitable for investment.
Price: Rs 2,700-3,500/sq ft

Hyderabad: Significant growth in Hyderabad has now been restricted to specific areas. The residential investment growth potential will centre primarily around Gachibowli and Tellapur. Factors such as its proximity to the financial district and Outer Ring Road reducing the commuting time of residents to key workplace locations are the significant drivers here.
Price: Rs 3,000-3,500/sq ft

Mohali: The area adjoining Mohali called Greater Mohali, which encompasses the fast-developing Landra-Mohali Road area, is a promising residential nexus. Pan-India, developers such as Unitech, Emaar-MGF, Ansals & DLF have snapped up land for mega, multi-sector residential hubs.

Price: The investment opportunity here is in land which currently sells in the range of Rs 12,000-14,000/sq yard.

Kochi: Apartment units have the highest demand here owing to affordable prices and availability. The prime residential areas adjacent to M G Road & along Marine Drive command a premium.

Price: Rs 3,000-3,500/sq ft

Ahmedabad: There are attractive residential hotspots coming up in the city. Considerable economic activity is expected with the arrival of the Tata Nano project which will boost the value of real estate in and around Sanand corridor. Located in an industrial region rich with SEZs together with good land availability and low land prices makes this location a viable one.

Price: Villas selling at Rs 2,600-3,000/sq ft.

Source:http://economictimes.indiatimes.com/Features/The_Sunday_ET/Special_Report/Nine_best_places_to_invest_in_real_estate_in_2009/articleshow/msid-3932739,curpg-2.cms

New generation property investment in India

2009-01-02T17:44:00.001+05:30

A developer has unveiled a luxury lifestyle apartment project in Gurgaon, India, which even includes purpose-built jogging and walking tracks for new residents.BPTP said the Freedom Park Life property investment scheme had been built to suit the needs of a new generation of Indian families and features top health facilities.
Offering two and three bedroom apartments and penthouses, the scheme also includes landscaped courtyards and a childrens’ theme park.Buyers will also be able to take advantage of a jacuzzi, swimming pool and a health club.
Located in Sector 57, Gurgoan, the development is near the city’s thriving new commercial district.Founded in 2003, BPTP is one of the fastest growing Indian firms and is already a key player in the real estate development industry.It currently has development projects in New Delhi, Gurgaon, Faridabad, Noida and Greater Noida.
Source:http://www.offplanpropertyexchange.com/news/2008/12/new-generation-property-investment-in-india/582

When interest rates go down...

2008-12-29T11:24:00.000+05:30

Good times seem to be smiling yet again on the real estate sector. Several banks have cut their prime lending rates (PLR), making home loans cheaper for the borrower.Borrowers are eagerly waiting for the benefit of slashed rates to be passed on to them. What are the options before the borrower when the rates are set to fall? Let us explore.

Your next move is determined by what you foresee for the real estate sector. Some borrowers may perceive this reduction in rates as a temporary phenomenon.Others may expect more rate reductions in the future. It is impossible to accurately predict the direction of the interest rate movements.
Source:http://economictimes.indiatimes.com/quickiearticleshow/3904577.cms

Delhi Real Estate Gears Up For Future

2008-12-24T14:21:00.000+05:30

Delhi has always been a trendsetter in the real estate industry of the country. So forth, the city swirls its way ahead into the future, big revamp plans awaits it. Delhi real estate in the next few years is expected to witness a major revolution in the infrastructure segment.
A significant improvement in the road and transport system is on the cards. A six-lane National Highway 8 connecting Delhi and Gurgaon, which is already functional substantiates the statement.

Amid the current 65 km-long Delhi Metro Rail's expansion plan taking shape, it will not only be providing commuting convenience but will also offer better connectivity to suburban areas. More than 400 km lines will interweave the city and extend to the suburbs of Ghaziabad, Noida and Gurgaon before the commencement of 2010 Commonwealth Games in the capital.
Delhi has always been a land of equal opportunities for real estate developers, investors and professionals. The city is a significant destination for MNCs and Corporates and with more investments pouring in the corporate sector, the commercial real estate market of the city can only boom.

In view of these large scale investments and Commonwealth Games 2010, the city is gearing up to host huge number of expats and tourists from across the globe. Considering this, the hospitality industry in Delhi-NCR is likely to go through a substantial overhaul.
According to industry reports, Delhi-NCR is expected to have 27 new hotels, serviced apartments and mixed-use developments with approximately 4,900 rooms in various categories in the next three to four years. Delhi Real Estate is anticipated to have at least a hundred shopping malls by the year 2010.

Source:http://ezinearticles.com/?Delhi-Real-Estate-Gears-Up-For-Future&id=1235170

Affordable housing next focus for developers

2008-12-23T09:13:00.000+05:30

The slowdown in property market will see developers focusing more on mid-range and affordable housing with a considerable correction in prices of existing residential projects, says a recent survey by an industry lobby.The Federation of Indian Chamber of Commerce and Industries' (FICCI) survey on 'Impact of Global Financial Crisis on Indian Real Estate Market' says while scarcity of funds has affected the supply side, high interest rates have led to demand dwindling.

“The corporates are postponing their expansion plans as they are expecting the prices to fall further. There is time and cost overrun in the existing projects, while new projects are being deferred. This would eventually lead to a reduction in price in the coming four quarters and the market is expected to turn in favour of the end user," the survey report says.The survey says developers also seem to have finally realised the need for affordable and mid-range housing with emphasis on the quality of product to survive the current slowdown, as there is a dearth of low-cost affordable units that will be the main focus of investors.

"Due to higher risks of investing in real estate, the real estate sector will witness lower PE (private equity) deals in the next 12 months, as funds will not be easily accessible, valuations are expected to go down further and the costs are going to be very high for developers," the survey says."PE funds will put forward their own terms and conditions like guarantees and assured rates of return. In view of higher risks due to adverse market conditions and the ongoing financial crisis, investors expect internal rate of return (IRR) of above 25 percent from Indian real estate projects," it says.

To fight the impact of slowdown, FICCI has proposed an eight-point agenda to boost the realty sector and help the foreign direct investment in this sector.The FICCI agenda includes policy changes like availability of adequate and cheap long-term finance, simpler legal framework, single-window clearance, land reforms, incentives for housing projects, check on speculation in land prices and stricter laws for defaulting developers to boost confidence of consumers.

Home loans under this scheme should be offered till March 2010 and not till June 30, 2009 to encourage buyers to return to the market.Private sector banks should also follow suit by cutting down interest rates on home loans significantly to benefit both existing and potential home loan customers.

FICCI is of the view that as the right climate for a revival of real estate sector has set in now, banks should consider lending funds to developers selectively so that existing and new projects do not face significant delays.

Source:http://www.hindu.com/thehindu/holnus/006200812211431.htm

Tips For Buying a New Home

2008-12-18T16:03:00.000+05:30

If you are a first time home buyer, the process may seem overwhelming. However, there are some tips for buying a new home that will ensure the process goes as smoothly as possible. Check out these tips for buying a new home, and get ready to find the house of your dreams.

The first step that will help the mortgage process go off without a hitch is to review your credit history and your financial condition. Handling this homework up front will prevent any unpleasant surprises as you get further into the process.

You can even take the process a step further and get prequalified for your mortgage loan. Not only does this tip for buying a new home speed up the lending process; but pre-approval will offer you clout when you are negotiating on the price of a home.

Once you know how much house you can afford, the next step is to find that perfect home for your family. Begin by selecting a real estate agent to assist you in your search. It is also a good idea to create a wish list of features you are looking for in a home.

Write down your preference in number of bed and bathrooms, square footage, location and lot size. By giving this list to your agent, he can narrow down your prospects to homes that would truly fit your needs.

Home buying is a complex and sometimes confusing process, but a little preparation will make the task a bit easier. By following these tips for buying a new home, you can be on your way to finding your dream house in no time.

Source:http://ezinearticles.com/?Tips-For-Buying-a-New-Home&id=1746463

Buy our unsold flats at current rates: squeezed realtors to ask Govt

2008-12-17T15:52:00.002+05:30

In the first of its kind bailout demand, real-estate companies are planning to ask the Government to buy out their unsold flats at current market prices and sell these at a later date. The proposal floated by one of the big Delhi-headquartered and listed real-estate companies is one of the many ideas to be hard sold at the Planning Commission tomorrow.

A real estate company’s chairman and managing director who did not wish to be quoted told The

Indian Express, “We will discuss this tomorrow with Planning Commission Deputy Chairman Montek Singh Ahluwalia.” He, however, did not disclose the inventory position of the large firms in India.

According to Jaskirat Singh, owner of Delhi-based real estate broking firm Grand Real Estates, about 30-45 per cent of properties worth Rs 50 lakh and above launched over the last six months remain unsold for DLF and Unitech. In the case of Omaxe, it is 25-30 per cent, he said. These companies do not disclose their ready but unsold assets.

When contacted, a promoter of another leading Delhi-based and listed developer said this was not the only proposal on the table to bail out the sector. “We want states to enter into joint ventures with big real-estate players by offering land as equity. State-owned banks must also be directed to start disbursing home loans now that they do not have a problem of funds,” he said.

To boost consumer demand and give a fresh stimulus to the sector, the companies are also seeking a further cut in interest rates on home loans. “It should be slashed to 6 per cent for loans up to Rs 5 lakh and to 7-7.5 per cent for loans up to Rs 30 lakh. What the public sector banks have done is grossly inadequate,” a developer said. Tax incentives to home buyers must be enhanced and rental income be made tax-free to incentivise purchases, he added.

Stung by the liquidity crisis, real estate companies also want the Reserve Bank of India to refinance the cash gap in existing projects. Most companies are borrowing at rates over 20-22 per cent to complete ongoing projects. “But, now, loans from banks have virtually dried up,” a promoter said.

Source:http://www.indianexpress.com/news/real-estate-prices/399424/

Gurgaon the new big thing in the world of real estate

2008-12-15T15:38:00.002+05:30

Gurgaon is one of the fastest developing sub cities in India and no one actually ever imagined that the real estate in Gurgaon would achieve such sky-scraping heights. It is the hottest commercial as well as residential choice in the whole NCR and also has becomes the greatest emerging hub of BPO and IT. The boom in the real estate in Gurgaon has touched the unprecedented heights, which is quite clear from the amount of projects that are being planned to satisfy the escalating demand for buy, sell, rent, flats, apartment, plots, floor, land, banglows, kothis, commercial and residential property. In addition, Gurgaon is also well linked with the capital city of India Delhi through the Delhi Jaipur national highway as well as an 8 lane expressway is to link Gurgaon directly with Delhi. Likewise, the Delhi metro would also be extended on the way to Gurgaon. Both these aspects along with software industry add a lot to the worth of the properties in Gurgaon.

The most important highlight of real estate in Gurgaon is that, that Gurgaon has got the best location providing commercial and residential complexes close to each other. Another main feature of properties of Gurgaon is that properties are constructed or builded with earthquake resistance as well as stringent fire safety guidelines. This guarantees a total peace of mind for everyone who is considering investing in Gurgaon property.

With such vast choices and excellent features, searching a property in Gurgaon can be a bit difficult or say confusing. If you are determined to purchase real estate in Gurgaon or spend in the real estate market of Gurgaon real, then the most excellent best place to locate your ideal property is through taking the help of the real estate investors or property dealers. The real state agents takes keen interest in selling and arranging real estate properties that are situated near to the highway and at the same time well linked with the main city in order to satisfy you and make some profit for themselves as well.

Source:http://www.bignews.biz/?id=790928&keys=buy-sell-rent-plots

Gurgaon Metro Project will boost real estate sector

2008-12-11T15:13:00.000+05:30

HUDA has offered 250 square metres of floor area in each of the six stations which the concessionaire can rent out to kiosks and retail outlets. The concession period is for 99 years. The land, however, would be owned by the Haryana government which would give it on lease to the concessionaire.

The Rs 1,000-crore project envisages the development of a metro link for providing last-mile connectivity from Delhi Metro’s Sikanderpur station on MG Road to NH-8 over a 60-metre-wide sector road (Vishwakarma Marg), where DLF Cybercity is located. The project provides further scope of extending the metro link to sector 55-56 in south Gurgaon and Udyog Vihar and Sector 21 Dwarka in the north.This is the second project in the country in which a metro rail project is being undertaken through a PPP model after the 71-kilometre Hyderabad metro project was won by Maytas Infrastructure.

Under the request for proposal (RFP), the contract was to be awarded to a company which would offer HUDA the highest revenue share of advertising and real estate rental which it earns from the project. However, it does not have to share revenue of the fare it collects.According to industry sources, infrastructure major Larsen & Toubro (L&T) had also initially shown interest for the project, but backed out finally.The two players are planning to set up a special purpose vehicle in which IERS will have 74 per cent equity holding, while the rest will be with real estate major DLF. The entire debt component of the project will be raised by IERS.

A consortium of ITNL ENSO Rail Systems Ltd (IERS), a group company of IL&FS and real estate major DLF, has emerged the sole bidder for the 3.2-kilometre Gurgaon Metro rail project being implemented through public-private partnership (PPP) by the Haryana Urban Development Authority (HUDA).

The company will be required to finance, design and construct all the civil works. The concessionaire is also required to procure and install all systems including the rolling stocks, overhead electrification, track, signalling and telecommunication, ventilation, air-conditioning, automatic fare collection, depot and other systems and facilities required for a successful metro link.

Malls under construction, developers pray Delhi-like culture sweeps region too

2008-12-05T17:15:00.000+05:30

Even as two recently-opened multiplexes fell considerably short of footfalls, as many as 16 new malls and such complexes will hit the tricity in a year’s time.

Against much anticipation among the residents and the developers at the time of the launch, Uppal’s Centra Mall in the Industrial Area and DT Mall at IT Park Chandigarh, are still looking for takers. Maximum number of visitors here comprise of cine-goers.

“The recession in the real estate industry is definitely going to impact the future developments of malls in the region. At the same time, we are hopeful that a lot of potential is there in the tricity to generate demand for malls,” said Pradeep Rai, brand manager, Paras Build-Call Pvt Ltd, Gurgaon. The company is constructing one of the largest malls in Punjab with a built-up area of 3.5 lakh square feet — Paras Downtown Square at Zirakpur.

While developers claim most shops have been sold and leased out both in the existing as well as under construction sites, experts are keen to know how this huge inventory of commercial space waiting to be launched in the tricity will generate demand. The malls, where space is usually available with a mix of lease, rent and sale, the rate varies from Rs 16,000 to Rs 25,000 per square feet, depending upon the floor and the location.

“At present, 14 brands are located in the mall with a total built-up area of 1.10 lakh square feet. Around seven will start operations next month,” said B S Arora, sales head, Uppal’s Centra Mall.

Sixteen malls are, meanwhile, under construction in cities like Chandigarh, Mohali, Panchkula and Zirakpur. These include the Shalimar Mall in Panchkula and the Paras Downtown Square Mall in Zirakpur, which are on the verge of completion and awaiting inauguration.

Developers, meanwhile, are banking on the “potential in Chandigarh as residents are exposed to shopping in malls in areas like Gurgaon and Delhi”. They have crossed fingers for the tricity, hoping the mall culture will sweep the region too sometime in the near future.

Source:http://www.indianexpress.com/news/

No slowdown in demand for industrial land in Gurgaon

2008-12-02T16:56:00.000+05:30

The slump in the economy seems to have had no effect on demand for industrial property in Gurgaon. If officials at the Haryana State Industrial and Infrastructure Development Corporation Ltd (HSIIDC) are to be believed, there is a demand of 5,000 acres of industrial land in Gurgaon district.

“Industrial land rates around Gurgaon range from Rs 9,000 per square metre to Rs 20,000 per square metre. We do not have enough land to fulfill the growing demands and these rates are at present simply speculation,” said a senior HSIIDC official, adding they were in the process of acquiring another 160 acre of land for the upcoming Industrial Modern Township (IMT) in Manesar. The president of Haryana Industrial Association, Krishan Kapoor, said: “Initially the Haryana Urban Development Authority (HUDA) used to procure land from villagers and hand it over to HSIIDC for development before selling to end-users. Recently the authority to acquire industrial land was passed to HSIIDC, which now has the responsibility of acquiring land, developing and selling it to end-users,” said Kapoor. “Investors usually purchase industrial plots from HSIIDC and sell them to end-users at higher rates,” he added.

Source:http://www.indianexpress.com/

DLF defers projects, reduces manpower

2008-11-26T10:34:00.002+05:30

The ongoing world economic crisis has widely impacted the real estate sector. The largest real estate company in India, DLF has announced various measures to cut costs and reduce unnecessary expenses. DLF would terminate services of some of company's employees and stop working on some of its projects.

Unitech and Parsvnath Developers also retrenched their staff last month in line with cost cutting drive due to global meltdown.

DLF Chairman, KP Singh said that companies are facing shortage of funds and it is available at high interest rates. It is a difficult time for real estate sector due to liquidity problem and slow demand. The company would stop some proposed projects in hotels, residential and commercial segments. He cautioned that situation may force companies to terminate jobs and demanded more measures from the government to improve the market. KP Singh said that residential sector is under pressure due to high interest rates for home loans. He was speaking in the sidelines of Indian Economic Summit organized by the World Economic Forum.

The company had laid-off its 300 employees last month. It has also dropped the idea of proposed largest mall, the Mall of India project, to save cash amid ongoing credit crunch.

Source:http://www.topnews.in/dlf-defers-projects-reduces-manpower-291086

Making money: The pros and cons of rental property management

2008-11-19T17:44:00.000+05:30

These tough economic times have caused many to lose their homes, but there are some that are making money managing rental real estate. Smart Money expert Bruce Williams answers questions from two readers and offers an easy formula to help you figure out if a particular rental property is a good deal for you to own.

DEAR BRUCE:

You have said that when your rental properties are paid for, you should sell them. You have also said that single-family rentals are generally poor investments. Why? -- Reader, via e-mail

DEAR READER:

I think that you have paraphrased me with a slight error. What I have said is that, if you are a professional real-estate investor, you shouldn't "own the property." You should have as large a mortgage as possible, reinvesting this capital in yet more rental properties.

When your actual ownership exceeds 30 percent or 35 percent, in my opinion, it is unwise to continue with this much equity. You are far better off to refinance it and leverage the same amount of money into controlling much more real estate. The professional investor usually follows this plan.

As to the single-family homes, more often than not, they will bring more on the marketplace in terms of price than a rental can justify. Often, a house that sells for $100,000 can be rented for $700 to $800 a month. Clearly, this is not enough.

There are those exceptions to the rule when that same $100,000 house might rent for $1,300 a month, but they are rare indeed. Generally speaking, multiple dwellings are far better investments for rental purposes.

source:http://www.abc15.com/

Indian markets dip by nearly 4 per cent on recession concerns

2008-11-18T17:04:00.000+05:30

India's key equity indices fell by nearly 4 per cent Tuesday on selling by foreign institutional investors amid growing cncerns of a global recession. The Bombay Stock Exchange's benchmark 30-share Sensex dipped below the 9,000-points level to close at 8,937.20 points, about 3.81 below Monday's close.

The broader 50-share S&P CNX Nifty of the National Stock Exchange closed at 2683.15 points, about 4.16 per cent lower than its previous close.Indian equities have lost about 56 per cent of their value since January.

Stock analysts said recession-related events in the United States, including the Citigroup's cutting of jobs, and weak trends in Asian markets had triggered a sell-off by foreign funds.

India's real estate leader DLF announced it had put several of hotel and housing projects on hold and would be cutting some jobs, NDTV television channel reported.

source:http://www.earthtimes.org/articles/show/242153

Unitech puts Gurgaon hotel up for sale

2008-11-18T16:43:00.002+05:30

Unitech Ltd, the country’s second largest real estate firm, has decided to sell its 200-room budget hotel Courtyard by Marriott in Gurgaon ahead of its inauguration in January 2009.Industry sources said the transaction is valued between Rs 250 crore and Rs 300 crore and the realty firm is talking to leading hotel chains and some high net worth individuals.

Confirming the development, Unitech Managing Director Sanjay Chandra said the sale was part of the original plan. “Our intention is to build, develop and sell these properties at the right time,” he said, adding, “We will stay focused on real estate, which is our core area of operation.”The sale of the Gurgaon hotel comes at a time when the hotel business has slowed considerably, with October being one of the worst months in the recent past. Unitech invested Rs 100 crore on this project including Rs 10 crore for the real estate.The company is also selling a 225,000-square foot office building in south Delhi for around Rs 500 crore. Some north India-based government banks and a Mumbai corporate house are possible buyers.

The company, however, is discussing a lease deal with a multinational. “If the company manages to rent the entire building, then it is easier to find buyers at a much higher valuation,” said a senior company official.Unitech planned to set up 28 hotels under various categories. It had signed alliances with Marriott, Carlson, Ritz Carlton and Country Inn and tied up the management of 10 hotels.Apart from Courtyard by Marriott, Unitech has tied up with Marriott for another hotel in Gurgaon and one each in Kolkata and Noida in the four- or five-star categories.

source:http://www.business-standard.com/india/storypage.php?autono=340556

Developers make a beeline for Bathinda

2008-11-15T14:17:00.000+05:30

Land prices at prime locations of Bathinda district are sky-rocketing. Recently, the Bathinda Development Authority (BDA) auctioned a 4.5-acre commercial site in Bathinda for a whopping Rs 184 crore, which was bagged by Delhi-based Best City Developers Pvt Ltd. The per square yard price works out to Rs 84,400 per square yard. The BDA had fixed the reserve price for this site, which has been positioned for multiplex-cum-mall at Rs 135 crore.

Moreover, recently, LIC secured 16, 973 square yard of land in Bathinda in auction by offering Rs 45,100 per square yard as against the reserve price of Rs 30,000 per square yard. The state exchequer managed to get Rs 76.54 crore through the auction process.

Local property dealers are of the view that the recent initiative taken by Chief Minister Parkash Singh Badal is fuelling the real estate growth in Bathinda. They said that the chief minister, along with his son, MP Sukhbir Singh Badal, has laid the foundation stones for as many as 85 projects with a total projected cost of about Rs 300 crore, ever since he came into power.

The projects includes strengthening water supply and sewerage, widening and strengthening of roads, irrigation, 66-KV grid sub-stations and works of Bathinda Municipal Corporation and BDA. According to local government functionaries, some of the projects have been completed and some are in progress, work is yet to start on a number of others.

“There is hardly any space left at prime locations of the city. Further, the land hovers between 10,000 and Rs 35, 000 per square yard depending upon the location,” said a local property dealer.

An official with a private developer echoed similar sentiments. “We are offering land in the range of Rs 5,000 to Rs 7,000 per square yard. As the land prices in the heart of the city is sky-rocketing, we decided to set up our project about 6 km away from the main city.”

Residents are of the opinion that since the city is in the tier-III category, it is very difficult to own a house in the city.

While work on the Rs 18,000-crore Bathinda refinery is underway, the fourth phase of Guru Hargobind Thermal Plant at Lehra Mohabbat is expected to be completed by next year. Further, the state government is in the process of adding 1,980 Mw to its capacity, as it is setting up a thermal plant at Talwandi Sabo, also in Bathinda.

With so many development projects on the anvil, expectation are there that Bathinda would emerge as one of Punjab and North India's major growth centres.

Source:http://www.business-standard.com/india/storypage.php?autono=340209

Correction in real estate prices largely done: DLF

2008-11-14T16:32:00.000+05:30

DLF Vice President, Rajiv Singh said Monday that correction in real estate prices and volume in realty sector is largely done and he expects stability to return in prices and volume in next eight months.

DLF scrip gained near about 10 percent early Monday. At 11:15 am, the share was trading at Rs 244, up 10.78 per cent from Friday’s close.

Rajiv Singh said he expects cash flows to remain positive in the sector but added that the tight monetary policy and the rise in home loan rates has severely affected the sector. Real estate developers are working on very thin margins, he added.

According to Singh, mid income housing continues to grow. However, he added that government polices should support the first time home buyer.

The Delhi-headquartered developer - which sells a large portion of its commercial assets to DLF Assets Ltd, a company promoted by DLF Chairman K P Singh, said DAL will raise Rs 5,000 crore from the market in next two quarter.

DAL's portfolio as of now includes IT parks in New Delhi, Hyderabad and Chennai and two large office complexes in Gurgaon. DLF posted a 4 per cent drop in net profit for July-September quarter at Rs 1,935.35 crore, as change in product mix towards the mid-income housing compressed margins.

Source:http://economictimes.indiatimes.com/Markets/Real_Estate/Correction_in_real_estate_prices_largely_done_DLF/articleshow/3667660.cms

Real estate sector in dire straits

2008-11-14T16:25:00.000+05:30

The real estate sector is in dire straits — the tight liquidity condition and the rise in interest rates have affected realty sector hard. Because of the RBI’s policy of discouraging banks in lending to real estate developers , the fund flow to the sector has dwindled.

This might even force a number of units to close down. The construction sector, which is the second largest employment provider in the country, is facing tough time because of the government policies , says CMD of Parsvnath Developers , Pradip Jain. He says that government must change its policy and allow the flow of funds at low interest rates so that people may buy houses. He said that banks should be allowed to lend directly to developers to meet their construction schedule.

This, he emphasized, will enable the sector to tide over the current crisis and help save the jobs of lakhs of poor construction labourers. Builders and developers feel that interest rates on home loans should be brought down to less than 10% from the present 13% to enable end users to buy houses. Since the global financial crisis came to a head, the banks have been discouraging home loan customers . The floating home loan rates of most of the banks have gone up to 13%. This has affected the affordability of end users.

The EMI of the same amount of loan for 20 years has gone up by almost 50% in the last four years as the interest rates have gone up from 7% to 13%. In fact, a senior developer says the problem arose after the government and the RBI started treating the real estate sector as a den of speculators. He says that instead of finding a remedy for the market crisis, they decided to kill the sector itself by discouraging banks from giving loans to developers.

CMD of Assotech, Sanjiv Srivastava , says that the sector played an important role in the high growth of new economies like IT, BPO and retail by providing them state-of-the-art buildings with all amenities, matching their new requirements. The crux of the matter is that the new economies grew only in those cities where world-class realty development first started.

In the NCR also, after the realty development first kicked off in Gurgaon, it came up as a hub of IT and BPO centres. Later, because of the availability of quality retail space, organized retail in the form of malls also came up, with Gurgaon showing the way, once again. Only after similar quality constructions started in Noida, did all these new economic activities start moving to that suburb.

Therefore, Srivastava argues that real estate development played an important role in driving the economic activities. The promoter of Gaur Sons, Manoj Gaur - an NCR-based developer - contested the theory that real estate sector made money by jacking up the prices and burdening the end users. He said that developers had always priced their product at a reasonable level, between Rs 1,500 per square feet and Rs 2000 per sq ft in 2003, in the suburbs of NCR, depending on the quality of construction .

Source:http://economictimes.indiatimes.com/Markets/Real_Estate/News_/Real_estate_sector_in_dire_straits/articleshow/3662104.cms

Realty blues hit foreign hotel majors’ India plans

2008-11-11T14:14:00.001+05:30

International hotel chains like Hilton, Accor, Carlson and Starwood are concerned about the viability of their India plans.

Many of these hotel chains have tied up with real estate developers like DLF, Emaar MGF, Unitech and Parsvanath to set up five-star hotels. However, fund-starved developers, who are trying to raise money for their core activities like residential and commercial property projects, are understood to have put the hotel ventures on the back burner. A drop in occupancy and room rates, inflow of business travellers and tourists to India have also raised concerns on the viability of these projects, industry sources say.

“Out of a total of 1.14 lakh proposed room supply, only 58% or about 66,000 rooms, will actually be developed over the next few years. So, we feel many announced projects may not take off as planned,” said Manav Thadani, MD, HVS International, a hospitality consulting firm. “Now, debt raising is a difficult process,” says Homi Aibara of Aibara Consultants. Lemon Tree Hotels CMD Petu Keswani said: “Only developer-led hotel projects will face a problem as their priorities are different.” However, when contacted by ET, real estate developers insisted that projects were on track.

According to the latest HVS report, cities like Bangalore, Chennai, Delhi-NCR, Hyderabad, Mumbai and Pune, where massive new room capacities are planned with real estate operators, are seeing trouble. In Bangalore not more than 60% of the new capacity is likely to come up. The same goes with Chennai, Delhi, Hyderabad, Mumbai and Pune.However, cities like Agra, Hyderabad, Jaipur and Mumbai saw a negative growth in room supply in 2007-08 as compared to 2006-07.

The last few months have seen a demand-supply mismatch in tier II cities like Bangalore, Pune, Hyderabad and Chennai. Room rates too have fallen steeply in these markets, making it unviable for real estate developers to go ahead with the planned hotel projects. This is happening at a time when there is a severe shortage of branded hotel rooms.

Unitech MD Sanjay Chandra said: “We have management tie-up with the Marriott Group for three projects, and one of them will be commissioned in January. Other two projects are very much on.” Recent media reports had suggested that DLF’s hotel JV with Hilton had hit a rough patch. However, DLF clarified to the stock exchanges that “DLF’s JV with Hilton is on a firm footing and all plans for the development of hotels stand as originally envisaged”. However, industry sources said DLF has put the hotel project on the back burner for at least a year.

An Emaar-MGF spokesperson said there were no change in the hotel plans of the real estate firm and its tie-up with Accor. Says Uttam Dave, president and CEO, Interglobe Hotels and head of development, Accor Hotels India (Accor has tied up with Emaar MGF to launch Formule 1, a budget hotel): “Most of our projects are on track, and so far at least none of our projects have been either cancelled or put on hold, and this includes both managed and investment projects. There have been some delays in the actual development and commissioning of projects, and this has been on account of obtaining development approvals from municipal authorities and not due to real estate values.”

Source:http://economictimes.indiatimes.com/

2-BHK flats in south Delhi, kothis in Faridabad

2008-10-31T17:05:00.000+05:30

A rental budget Rs 50,000 is big enough to get you an apartment in up-market areas like south Delhi and Gurgaon. In south Delhi, 2-BHK apartments are available in Gulmohar Park. Defence Colony also has similar options. In Greater Kailash II you can get 3-BHK apartments with such a monthly rental budget.

West Delhi areas like Punjabi Bagh and Kirti Nagar have limited options when it comes to 3-BHK furnished apartments. One can also try east Delhi areas like Patparganj. There are some housing societies where you can get spacious 4-BHK and 5-BHK apartments on rent. The amount would be slightly lesser than Rs 50,000.

Up-market suburbs like Gurgaon have some options available in this range. DLF City Phase IV offers 3-BHK apartments. Wellington Estate in DLF Phase IV has slightly bigger 4-BHK flats. One can also try for 3-BHK apartments in Ridgewood Estate in DLF Phase IV for below Rs 50,000 as rental. Similar accommodation is available in DLF Phase V. But the area would have to be compromised on. In Uniworld City you can get furnished 3-BHK apartments at this budget.

Jaskirat Bansal of Grand Real Estates says, “Five-bedroom apartments are available in Eldeco Mansionz for this monthly rental. These have attached bathrooms, dining room, lobby area and modular kitchen.”

Luxurious apartments are also available in Sector 50 of Noida at a slightly lesser price. These are 3-BHK apartments in Mahagun Morpheus. In Omaxe Residency at Sector 44, you can get 4-BHK flats. Spacious 4-BHK flats are also available in ATS Greens at Sector 93. You can also get independent kothis in the peripheral areas like Faridabad, Greater Noida and Noida.

source:http://www.expressestates.in/full_story.php?content_id=93588

REITs offer better opportunities to investors

2008-10-24T17:24:00.000+05:30

The Indian real estate market has undergone palpable transformation in the last few years. This change has been led by rapidly rising demand for residential, office, retail , hotels and now warehousing space. Also, India offers higher average rental yields - 8.5 - 10.5% as compared to 3.5% in Japan, 5.2% in Singapore and 5.7% in Hong Kong. Higher yields and a relatively better spread between ten-year government bonds along with strong economic growth, increasing income levels, growing middle class and widespread urbanisation has helped the Indian real estate market attract large investments.

However , despite the growing attractiveness , the Indian markets have been constrained by certain limiting conditions like absence of transparency and lack of institutionalization and liquidity. The issue of transparency is being taken care by way of reforms being undertaken by the state governments . The most effective way to tackle the other two is by allowing Real Estate Investment Trusts (REITs) to be active in the Indian markets.

REITs are investment vehicles that allow institutional as well as retail investors to partake in real estate ownership, management and development. REITs are already present in a number of mature real estate markets across the world like US, UK, Japan, Australia, Singapore, etc. and are now making inroads in emerging markets like India.

In India, REITs will help fill the financing gap as they would provide access to capital , both debt and equity capital from public and private sources at reduced costs. They will also offer an exit route for the developers to revolve funds and improve their margins . Success of REITs in other markets like USA, Australia, Singapore, etc. is a major case in point for their introduction in India.

For example, in Australia REITs play a major part in the commercial property market , with over 50% of the value of institutional quality commercial properties being held by REITs, supported by an active unsecured debt and commercial and mortgage backed securities market. According to CRISIL, REITs in India have the potential to hold atleast a 5% share (more than US$ 70 billion ) of the total realty market by 2010.

This coupled with higher realty returns that the country offers (average development yields in India vary between 20-25 % while it is lower in the US and the UK) spells a great opportunity for the success of REITs in India. Draft guidelines for REITs in India were issued by the Securities and Exchange Board of India (SEBI) in December 2007 and are likely to be approved and enacted in the near future. However, much ground needs to covered and several issues need to be addressed before REITs can find a footing in the country.

source:http://economictimes.indiatimes.com/articleshow/3635527.cms

Gurgaon plot property/residential property in Dlf phase Gurgaon

2008-10-23T16:05:00.000+05:30

Having property in Gurgaon is beneficial in respect to prices, rental income and security. The prices of residential as well as commercial real estate has been increased at a fast pace. It's been over 60 years, since the DLF Group has been providing us its exceptional real estate services. DLF has over 224 million sq. ft. of existing development and 748 million sq. ft. of planned projects. The company is thoroughly committed to quality, trust and customer sensitivity, and delivers on promises with agility, financial prudence and in tune with the highest global standards. Not only this, the real estate major has also entered into various strategic alliances with global industry leaders.

Nowadays, the trend of having elite dwelling has increased the demand of real estate in Gurgaon. For accomplishing the increasing demand of Gurgaon properties, a number of real estate developers have come with some new high end projects for middle and upper class people at Dlf Phase Gurgaon.

Real Estate/Plots Gurgaon is best opportunity for property, It is located close to Delhi and is emerging one of the hottest destination as far as for real estate is concerned. Gurgaon can be the best choice for buy residential property, commercial property, plots property. There are many ongoing projects. DLF has launched a new residential/plots project in DLF Phase 1 to phase 5.Besides modern offices and expensive houses, Gurgaon is also very popular for its residential properties for middle class people. Nowadays, a lot of constructions are ongoing keeping in mind requirements of middle class segment. Due to easy accessibly from South Delhi, the city has become world's finest real state destination either for Indian or investors from abroad. With the connectivity from international airport gives Gurgaon special attention over other cities in the NCR.

Gurgaon Real Estate has become first choice among investors as the quality construction and innovative additions. The real estates in Gurgaon offer lucrative profit for investors who are investing money either for commercial or residential properties. The city is renowned as a one of the finest choices for investment in India.

Source:http://www.pr-inside.com/at-present-the-real-estate-market-r866630.htm

India's Real Estate Goes into Meltdown

2008-10-21T11:01:00.000+05:30

Considered the barometer of economic growth, the real estate sector in India has grown 30% to 35% during the last five years, reflecting the rapidly-increasing demand for office, commercial and industrial space, as well as bigger homes now considered within the range of India's prospering working classes. But the economic juggernaut has been slowing since earlier this year due to double-digit inflation, a severe liquidity crunch as a fallout of the U.S. sub-prime crisis, and now, the possibility of economic activity shrinking as part of a global slowdown. The country's growth estimates of 9% at the beginning of the year have been revised to well below 7%, and the effect is directly visible on the realty sector. "No one's buying any more," says Ashwani Shukla of New Delhi-based Triveni Associates, "Two years ago, 25-year-olds earning fat pay packets from [multinational corporations] were buying high-end apartments. Now, there are no takers for flats selling at 20% markdowns. Estate agents are finding it difficult to even meet daily overheads."

Shukla himself has branched out of real estate and started selling insurance six months back, "to pay the bills." According to various estimates, sales in cities like Mumbai and Chennai are down 30% to 40%. Hoping to induce buyers at Diwali, realtors are advertising cash discounts of 5% to 10% for down payments, and as much as 25% discounts if buyers are willing to wait two to three years before taking possession of the property. "But there is no liquidity with the end user," says Arvind Nandan, director of consultancy at real-estate consultants Cushman & Wakefield India, "Home-loan rates have hit the roof, and people's investments have lost value at the stock market. No one has the money to buy."

Shukla says if the situation does not improve, there could be distress sales within the next six months. The realty sector was heading for a cyclical slowdown even before the current economic slump. Over the last few years, increasing demand had pushed up prices, with speculators jumping in to further inflate the market. Eventually inventory piled up when buyers refused to pay unrealistically high prices. "So many transactions were taking place between speculators and investors that no one bothered to find out what the end-user, the family who would eventually live in the house, would be willing and able to pay," Shukla says. And those prospective home owners are the biggest target of India's real estate industry: almost 80% of real estate developed in the country is residential space.

This all comes at the worst possible time. Even as buyers refused to bite, inflation passed into double digits in June this year, raising prices of construction material. Realtors overran their budgets and projects stalled, leaving skeletal structures dotting the landscape across big and small cities all over the country. Then came the liquidity squeeze as the government sponged away cash from the system to control inflation. Home loan rates went from about 7% to over 12%. People who bought struggled to pay, and potential buyers kept away.

Realtors like Shukla and Gupta may have little reason to light firecrackers this Diwali, but their prayers to Lakshmi, the Goddess of Wealth, will definitely be more fervent, especially as experts predict things will get worse before they get any better. "This was a much-needed correction," says Nandan of Cushman & Wakefield India, "And it isn't complete yet. I expect the market to go down further, and it's hard to say when the recovery will begin."

Yet, no one is entirely pessimistic. Experts and industry insiders believe once the storm blows over, demand is bound to rise back up for the same reasons it did last time — a large, young workforce; gradual but consistent liberalization reforms; and a high rate of consumer and private sector savings. "The silver lining is that once this phase ends, land and property prices will be corrected to rational levels, speculators will be out, and the sector will have stronger fundamentals," says Shukla. If everyone's prayers go right, the goddess will eventually be propitiated and her blessings will issue forth once more.

Source:http://www.time.com/time/business/article/0,8599,1851969,00.html

Indian developers use Diwali as property discount season

2008-10-20T11:28:00.000+05:30

They are calling it Diwali madness but it is a sign of the times - property developers in India are offering massive discounts as the markets suffer from the global finance crisis.

Everywhere you look there are offers. Posters declare – discount bonanza - and the deeper you delve the better the bargain.

Offers include free covered parking spaces, exemptions from preferential location charges, discounts on the rate per square feet of the property, paid interest and holidays.

Some developers are also offering to pay stamp duty and registration fees which can account for between 4 and 10% of the cost of buying a property. Then there are offers to pay electric bills for a set period.

'These offers are being used as a marketing tool mostly by developers in Delhi, Mumbai and Chandigarh. The trend is likely to continue till the interest rates come down to a moderate level and capital values cool off,' said Sandeep Goel, managing director of MSX Developers Pvt Ltd.

It is interest rates that are causing property prices to fall as purchasers can't afford to buy. The rate has gone up from 7.5% to more than 12% and this has obviously shocked the homebuyers whose budgets have gone haywire. 'As a result, the buyers are going in for smaller tenements or waiting for interest rates to fall. This festive season, we are offering heavy discounts on down payments,' said Rakesh Yadav, managing director of Antriksh Housing Constructions.

However developers remain focused and they believe that prices will start rising again. 'For actual buyers it is the right time (festive season) to buy property because the coming time will be more costly. The industry senses that the long-term forecasts for the sector continue to be good,' said J B Kramchandani, senior vice president of Parsvnath Developers.

'Two and three tier cities are also driving the investment and growth phase of the country owing to the huge unexplored potential in these cities. Still, these offers are a good deal in terms of potential price appreciation,' he added.

However not all developers are making offers. Sanjeev Srivastava, managing director of Assotech Limited, said his company does not believe in offering sops to sell apartments. 'The kind of quality we have delivered to date and our past record of timely delivery of property has created a strong goodwill in the minds of our prospective buyers,' he pointed out.

'Buyers who are booking their properties with us during the current Diwali season, are pretty confident about the Assotech brand and its commitment to provide innovative and cost effective product in due time,' he added.

Source:http://www.propertywire.com/news/asia/indian-developers-diwali-property-discount-200810191871.html

Investing in a Volatile Real Estate Market: Local Financial Pro Gives Investors Seven Tips to Navigate the Real Estate Market

2008-10-16T15:29:00.000+05:30

Throughout our nation's history, investing in real estate has been one of the fastest ways to build wealth, but news headlines on the subprime lending crisis and lingering For Sale signs on neighborhood lawns indicates that this once tried-and-true investing method indicates a down real estate market.According to the Center for Responsible Lending, 2.2 million families with a subprime loan issued from 1998 through 2006 have lost or will lose their home to foreclosure in the next few years. That amounts to a projected maximum equity loss of $164 billion.

But according to John Checki, a Richardson-based independent financial professional, successful real estate investing is still a reality if an investor pays careful attention, conducts detailed research and has patience.Checki provides these seven tips to successful real estate investing in a down market.Focus on home sweet home. Many homeowners consider making renovations to their homes in a down market. And while home improvements can add value to your real estate, Checki warns that any major renovations should be evaluated from a pure return on investment perspective. According to the recent "Cost vs. Value" report from Remodeling magazine, this year homeowners won't recover as much of the costs for remodeling as renovators did in the past.Play by the new rules for buying or selling. The bidding wars of recent years where homes sold for more than the asking price are history and in many markets house flipping has turned into house flopping. "There are winners in this new environment," says Checki. "First-time homebuyers who have nothing to sell have plenty to gain as sellers stress over the glut of homes on the market. Although signing the purchase and sale agreement may leave you feeling flush at having cajoled a boatload of extras out of your builder or negotiated a steal of a price with a desperate seller, keep in mind that the home you purchase today may not increase in value and may even decrease in value in the years ahead."

When selling a home, it has become increasingly important for sellers to work hard to impress buyers. "In addition to the traditional sprucing up the yard with a few potted plants, sellers may also need to do more to increase interest in a home," says Checki. "In a slow market buyers are especially unforgiving and won't overlook pealing paint or leaky roofs, so make these major repairs before putting your home on the market."

Take advantage of the current 15% capital gains rate. If thinking about selling a home and are concerned that it has lost some of its value, all may not be lost. Any gains realized from the sale of a property will be taxed at the current capital gains rate of 15%. However, it's worth calculating potential tax savings against what you may lose in a sale price, especially if you qualify for maximum exclusion which can be up to $250,000 of the gain or up to $500,000 if you are married and file a joint return.Scoop bargains with care. Foreclosures abound, but keep in mind that many require major renovations. "Without doing your homework, you could end up making some costly mistakes and that bargain foreclosure could turn into a money pit," says Checki. He advises that rather than chasing subprime fallout, consider researching local developers who might be feeling the market's pinch and would be tempted to dump new property at a discounted price.

Consider becoming a landlord. "As you watch property values fall, you may consider buying that second home and renting for the weeks your family isn't vacationing in it," says Checki. "Although you initially may prefer a small house, look for one with adequate land to accommodate future expansion." Checki adds that while in vacation mode it may be a good idea to think about the property's proximity to recreational activities and a good school district. "Before you put on the landlord hat, you should also think carefully about your own skill set and the amount of time you can dedicate to managing your investments," Checki says.

Use the right REITs for the right reason. Real Estate Investment Trusts (REITs) invest in commercial properties such as office buildings, shopping centers, apartment complexes and hotels and are bought and sold on the major exchanges just like stocks. Because REITs must pay out 90% of taxable profits in the form of dividends to avoid paying corporate income tax, they are an ideal choice for investors who want regular income. Additionally, REITs broaden your portfolio and can zig when equities zag. Those benefits aside, however, REITs' last seven years of market beating performance--before last year's plummet--has investors overly-focused on return.

Source:http://www.prweb.com/releases/2008/10/prweb1456824.htm

Land prices to grow 15-20% even as property prices drop

2008-10-16T09:56:00.001+05:30

The Indian real estate market is seeing a slowdown.High inflation and rising interest rates have resulted in a 30-40% drop in sales, and consequently, a 15-20% drop in prices.But land prices, which shot up by over 100% two years ago, are now holding stable. Experts, though, warn that the next six to 12 months could prove to be difficult. They point out that land prices were mainly speculator-driven, and with speculators almost out of the market now, such high growth rates will be difficult to sustain. Some say land prices may even begin to fall soon.

Anshuman Magazine, Managing Director – South Asia, CB Richard Ellis, said, “In areas where supply is limited, infrastructure is good, land is close to the cities and which are seeing some economic activities, it would be a smaller drop of 5-10%. In areas which are far away, from where there is economic activity going to take place, the drop could be even 20% plus."
But even a 20% fall in prices is not a cause of concern. Experts say that at least over the next five years, land will continue to give 15-20% returns. That's higher than the current 10% returns from investment in housing. The location of the land will also determine the rate of returns.

It's better to invest in places where there is a lot of economic activity, and where infrastructure is in place. For instance, townships like Gurgaon and Faridabad in the National Capital Region (NCR) may prove to be good investment destinations as there is ample land available in these places. However, it is important to note that investing in land is not a short-term game. One must stay invested for at least three to five years to get maximum returns.The bottom line is investing in land may work out better in terms of returns than investing in residential property even if the global slowdown takes it toll on land prices.

source:http://www.moneycontrol.com/india/news/features/land-prices-to-grow-15-20-even-as-property-prices-drop/361243

Reality check as property market slumps in Gurgaon

2008-10-15T09:07:00.002+05:30

With the global credit crisis leading to the worst slowdown in the Gurgaon real estate market in recent times, agents and developers are hoping the festive season surrounding Diwali, the Hindu festival of lights, will drive away the gloom.
Coming at the end of October, Diwali will prove a crucial period for developers as many Indians consider it to be the start of the Hindu business year and an auspicious time to start new ventures, buy property and expensive consumer goods.
Realty consultants said the property market will be affected for at least a year. Amid rising mortgage rates, a drop in demand and cautious consumers awaiting a further slump; developers are concerned about credit access drying up and bank liquidity.
This is a tough time for developers. While sales have declined owing to rising home loans, developers are also facing a credit squeeze that is holding up projects.

Source:http://www.hotgurgaon.com/news/news.aspx?id=24607

Novel facelift: A house that jacks built

2008-10-06T14:01:00.001+05:30

A car or a truck being jacked up to carry out repairs may be a common thing, but a rare jack-up job on a house in Gurgaon has left people dumbfounded.The owner of the two storeyed house, Giridhari Lal Daima was worried that the 12-year-old structure was not coping well, given the elevation in the road level around the house.Due to repeated overlaying of land surrounding the house, accumulated water from the surroundings would flood the insides of the house.“Due to repeated relaying, the road level had started rising and the water would come inside the house,” said builder Rajesh Chauhan who did the innovative house-lift.

So 35 men worked for 40 days and lifted the house a good 11 feet off the previous ground level. They were assisted by 275 truck-jacks which held the structure propped up while additional foundation was constructed underneath the older one.First, the earth around the house was dug up. Then the floor was chipped off from the sides and jacks were inserted underneath the older foundation, to lift the structure as a whole.A completely new and additional foundation was laid underneath and then the jacks were removed.

Chauhan, whose company has "lifted" several buildings since 1991, claims to have patented this technique.“We calculate the weight and then lay the foundation. It is a very accurate procedure,” said Chauhan.The procedure costs 25 per cent of the total construction cost of the house and the Daimas feel it was money well spent.“Earlier we were skeptical. But the technique is very safe and there is not even a crack in the house,” said a delighted Giridhari Lal Daima.

Source:http://www.ibnlive.com/news/novel-facelift-a-house-that-jacks-built/75132-3.html

Real estate demand to cross 1,000 million sq. ft by 2012

2008-09-26T17:49:00.000+05:30

Real estate demand in various segments in the country would cross the 1,000-million sq ft mark by 2012, a real estate investment report said.

“Indian demand for real estate across office, retail, residential and hospitality sectors is expected to cross 1,000 million sq ft by 2012,” said Cushman and Wakefield (C&W) and GRI in ‘The Metamorphosis’, a report on India Real Estate Investment for 2008.

The residential segment continues to drive real estate demand with 687 million sq. ft, contributing 63% throughout the term under consideration, the report said.

“Despite the expected slowdown in the office market, the demand for commercial office space is projected to be 243 million sq. ft, which is around 22% of the total demand projections for the next five years,” it said.
The retail and hospitality segments were expected to constitute 95 million sq. ft (9%) and 73 million sq. ft (6%) of this total demand, respectively, C&W said.

“In the long-term, strong demand for real estate in India will remain intact and will probably see us through another real estate cycle once the market finds its own level by responding to these short-to-mid term global and domestic factors,” C&W joint managing directors, Anurag Mathur and Sanjay Dutt, said in the report.

A dynamic workforce, liberalized economy, robust demand for real estate across sectors were few factors which would make Indian market in the times to come more reliable for investment in the real estate sector, they said.
The National Capital Region (NCR) has emerged as a clear preference for sectors such as retail, residential and hospitality while coming a close second in the office sector, Cushman and Wakefield said.

“The growing importance of the city can be gauged by the quantum of demand which it is likely to see,” the report said.

While the commercial office sector would see a demand of 48-million sq. ft, residential demand would be at 114-million sq. ft by 2012, it said.

The growth of the retail and the hospitality sectors would follow with 19-million sq. ft and 17-million sq. ft of demand over the next 5 years, the report said.

“The importance of NCR as an economic destination along with the upcoming preparations for the Commonwealth Games has ensured that NCR surpasses demands for these sectors over any other city,” the report said.

Source:http://www.livemint.com/2008/09/25145644/Real-estate-demand-to-cross-1.html?h=B

India's real estate sector is affected by US financial crisis a detailed report

2008-09-19T11:13:00.002+05:30

The crisis in the US financial market will hit the Indian real estate sector hard. The sector was already reeling under tremendous pressure as RBI increased the interest rates to contain inflation, besides restricting the fund flow in it. Consultants said that in the present circumstances the real estate prices will go for a sharp correction in the short to medium term.

The financial crisis in the global market will affect the availability of fund for the domestic realty sector. As RBI has already put restriction on Indian banks to finance real estate companies in the country, they are depended on foreign funds through FDI route for their fund requirements. But, a senior consultant said following the development in US, many of the private equity funds are returning back to their mother countries.

The source said that many of these private equity funds were launched by investment banks. But, now as the fate of these investment banks is uncertain, their capability to raise funds in their country is doubtful. This will put severe constraint on availability of funds in India.

A large player in the sector said that as the availability of funds from banking sector is restricted for the realty sector, they are forced to borrow from the high net worth individuals at high interest rates at around 20%.

At the same time, the crisis in the global market has affected the demand for the real estate space in India. The development in US has affected the global economy, which has forced many of the global majors to either postpone or cut the expansion plan. According to a source in the industry, Google has cut its expansion plan substantially in the NCR region. Earlier, the global major has expressed intention to take lease of 5 lakh sq feet of the office space. But now, it is learnt, it has cut its requirement to only 3 lakh sq feet.

Similarly, German major SAP, which had shown interest to open its operation in Gurgaon in the NCR region, has now postponed the plan. A number of small and medium size companies, the source said, has followed the wait and watch policy as the global economy has facing the turmoil.

This has affected the demand of the real estate space. Global consultancy firm now predict with the cancellation and postponement of the expansion plan of companies, many of the regions like NCR, Bangalore and Pune will face the situation of oversupply in the office space. The rentals in these areas are projected to fall by 25 to 30% in the next 12 months.

The worsening condition in the demand for office space indicates the slowing down in the economic activities in the country. This will affect the demand for the residential space also.

Further dip in the demand for real estate will affect the sector very badly. This will starve them of fund. The fund flows from all the possible ways are getting constrained. Funds from banks are already not available. Private equity source has also dried up. And the demand from end users is also getting affected.

Source:http://timesofindia.indiatimes.com/Business/

No power connections, Gurgaon apartments depend on gensets

2008-09-12T16:19:00.000+05:30

Gurgaon, September 8 When it was first conceived, Gurgaon was to be a perfectly planned city offering an enticing lifestyle. Massive real estate development soon followed in the form of upmarket condominiums and numerous high-end commercial complexes.
Years later, however, many such complexes are still waiting for a regular Electricity connection, depending in the meanwhile, on diesel generator sets for power.

Residents say in most cases private builders do not disclose the fact that an electricity connection has not been procured or applied for. “This is not what we were promised. Two years ago, I paid over a crore to buy this flat and the builders, Unitech, at the time did not tell us that there was no power connection,” Varun Ahuja, a resident of Nirvana County, says. The society now gets its power supply from 12 huge generators that were actually installed as backup during power cuts. “These generators now run throughout the day, causing immense noise and air pollution,” Ahuja says.

Other societies like Sushant Lok and Mayfield Garden, where each flat costs upward of a crore, have also been facing a similar situation for years now. “I was planning to buy a house in Mayfields but a friend told me about this problem. The apparent reason is that the society was allotted connections for about 600 houses. The actual number of houses constructed, however, is close to 2,000 now,” Shilpi Singh, a business executive, says.
Commercial complexes like Infinity Tower, Destination Buildcon and DLF Cyber City are among many that have been functioning without a regular electricity connection for over two years now. Galleria, another such complex built by leading real estate developer DLF reportedly remained without electricity connection for four years after occupancy started. “We were totally dependent on generators for power. We got a regular state electricity connection only about a year ago,” a Galleria board member says.

Residents say builders charge a huge sum for the maintenance of these generators and also send an electricity bill to each house, at rates similar to those charged by the state electricity board. “Repeated appeals to the builders for the procurement of a regular connection have not made any difference,” Shalini Kapoor, another resident, says.

Officials from the Power Utilities department confirm they have received complaints from many residents of colonies developed by private builders, alleging that private builders have not provided them with electricity connections. They say many private builders like Unitech, DLF,...

Source:http://www.indianexpress.com/news/No-power-connections,-Gurgaon-apartments-depend-on-gensets/358900/

Gujarat real estate showcased at World Gujarati Conference

2008-09-08T14:44:00.001+05:30

Putting forth Gujarat as a global real estate investment hub, the first and biggest ever property show exclusively showcasing properties in Gujarat, was held in conjunction with the World Gujarati Conference, Aug 29-31, at the Raritan Center, New Jersey.

This Property Show on Gujarat organized by The Gujarat Institute of Housing & Estate Developers (GIHED) delved into every aspect of realty and infrastructure of the state, putting forth for the benefit of industry players the immense business possibilities on an international platform. More than 30 developers showcased their 150 premium projects, with an aim to providing an interface for non-resident Indians in general and non-resident Gujarati investors in particular, to persuade them to not only invest in the state but also consider Gujarat as a serious option for future living giving them a perfect picture on the property prospects.

The list of participants at the property expo included: Avirat Infrastructure Pvt. Ltd., AVS Developers Pvt. Ltd., Devnandan Builders Pvt. Ltd., Dharmadev Infrastructure Pvt., Ganesh Housing Corporation Ltd., Gayatri Creatives, J P Infrastructure Pvt. Ltd., JBR Nirman Pvt. Ltd., Kunj Infrastructure Pvt. Ltd., Laxmi Developers, Manav Infrastructure Pvt. Ltd., Manpasand Builders Pvt. Ltd., Niva Infra. Pvt. Ltd., Parshwanath Realty Pvt. Ltd., Pushpak Construction Pvt. Ltd., Radhe Developers (India) Ltd., Richland Developers Pvt. Ltd., Rituraj Nirman Pvt. Ltd., Safal Reality Pvt. Ltd., Satyam Gokul Corporation, Saumiya Construction Ltd., Savy Infrastructures ltd., Shree Developers, Shri Siddhi Developers & Builders, Sumukh Infrastructure Pvt. Ltd., Surya Group, Swagat Infrastructure Ltd., Takshashila Realities Ltd., and Venus Infrastructure Ltd.

Strong economic growth, rising income levels, urbanization and improving transparency has made for a robust Gujarat Real Estate market. A comprehensive growth is how the realty industry has shaped up in Gujarat. So, while the mega-city of Ahmedabad has projects like Bus Rapid Transit System (BRTS), Gujarat International Finance Tech-City (GIFT), Sabarmati River Front Development Project and Kankaria Lake Front Project providing the impetus to the real estate, cities like Baroda, Surat and Jamnagar, too, have global players competing for space.

The real estate sector has evolved into a 'service sector', wherein, with favorable government initiatives, the end-user has been assured of quality realty at propitious prices. The government's current focus is on infrastructure by privatizing ports and building integrated townships and encouraging in a big way, technology parks, townships, SEZs and anything related to the Infrastructure industry. Retail and information technology are the upcoming sectors in Gujarat. IT SEZs and parks are being set up.

The Gujarat government is proactively promoting the real estate sector by simplifying the revenue laws and introducing sector friendly policies on township planning, IT, urban development, to name a few, giving special FSI and height for an overall development. All of these points augur well for real estate investing and selling, buying and leasing in Ahmedabad.

Besides, a number of projects in the hospitality industry, sewerage system, educational institutes and others will give the city a facelift. Ahmedabad's real estate scene also lends itself to new models including mixed-use developments and service apartments. In the years to come, there will be a profusion of choices in real estate in the categories of residential, rental, office space and retail.

Gujarat Institute of Housing and Estate Developers' (GIHED) efforts at collectively working towards Gujarat's growth and development have changed the way the world looked at Gujarat. An apex body, established in 1980 by the developers community, the organization represents the predominant interest of those engaged in construction and its allied industries.

Source:http://indiapost.com/article/usnews/3777/

Dubai-based Nakheel real estate wants to carve it’s niche in global retail segment

2008-09-08T14:03:00.001+05:30

A leading real estate firm in Dubai, Nakheel, wants to cement their place in retail segment by becoming largest shopping mall developers in the world by 2018, company spokesman said. Nakheel Properties will shortly take up the development of new retail space across five major projects ie Palm Mall on Palm Jumeirah, Palm Mall on Palm Deira, Ibn Battuta Mall phase II, India Mart and Great Mall Dubai.

"By 2012, Nakheel Retail Shopping Malls division will be the largest shopping mall developer, owner and manager in the Middle East. By 2018, it will be one of the largest in the world," a Nakheel spokesperson said.

Topping its retail dreams, Dubai-based realty firm also foresees good prospects for supply and demand issue with regard to properties. A Nakheel spokesman said demand for properties in Dubai has risen across residential and commercial sectors with no signs of any slowdown.

Source:http://www.gowealthy.com/gowealthy/wcms/en/home/news/economy/Nakheel-real-estate-1220854851014.html

Three-bedroom apartments in suburbs

2008-09-06T14:18:00.000+05:30

Delhi

A rental of Rs 20,000 is big enough to get you a two to three bedroom apartment in the up-market localities. South Delhi has limited options for a two-bedroom apartment. Areas like Kalkaji and Malviya Nagar promise an area of 1,500-1,600 sq ft. Three-bedroom flat is available in Vasant kunj with an area of 1,400 sq ft. North Delhi areas have plenty to offer. Areas like Gujerawal has a floor built on an area of 250 sq yd. The floor has three bedrooms. Suresh Sharma of Banwari Lal Properties says, “Kohat Enclave at Pitampura offers three-bedroom builder floor, but the cost is slightly higher. The area is about 3,600 sq ft.” Pitampura has new builder floors whose area is 1,800 sq ft. The rental ranges from Rs 1,8000-20,000 per month. Shalimar Bagh offers bigger space in the range of 2,250-2,700 sq ft. But you will have to shell out some more money on the rent. At a lesser price, new builder floors are available in Gujerawal. The area ranges from 1,440-1,800 sq ft. If you wish to live at a place, which has better connectivity, then Rohini is a good option. Also, rentals are low in the area. A fully furnished super HIG flat of 1,350 sq ft comes for Rs 16,000.

East Delhi has also got some options. Mayur Vihar, Phase I offers three bedroom apartments of area 1,650 sq ft. Preet Vihar has also got three-bedroom apartments. The area normally ranges from 1,450-2,160 sq ft. Moving towards the suburbs, Gurgaon has options of three-bedroom flats in Sushant Lok. The area is 1,300 sq ft. Mapple Height has also offers three-bedroom flats. The area is 1,250 sq ft. In this amount DLF City offers bigger space of 1,700-2,00 sq ft.

Noida’s sector 50 has flats having three bedrooms. The area is 1,800 sq ft. The sector is well connected. Sectors 39 and 28 also offer two and three bedroom apartments, respectively. The area for two bedrooms is 900 sq ft and for three rooms is 1,700 sq ft. Sector 44 offers four-bedroom apartment. It has a super area of 2,200 sq ft.

Mumbai

The amount can get you 1 BHK flat in most middle class areas of southern Mumbai and up to 3 BHK flat in the suburbs. Since the recent boom in real estate market of Mumbai, the space has decreased keeping the rental constant. Even in the so called slow down, the rentals have remained quite strong. In fact, due to astronomical rates of properties the rentals are now on the rise. So if one has a fix budget for monthly rental, he has to compromise mainly on the space for the same.
“One can get 1 BHK flat in an old building in the localities such as Kalbadevi, Thakurdwar, CP Tank etc. The new constructions hardly offer self contained two rooms unit at this rental’’ says Gayatri Verma, a local Broker who runs Verma Estate Agency. “Areas such as Opera House, Pedder Road, Walkeshwar etc are out of reach at this amount. One has to look at central Mumbai for the lager space at the same rental.” adds Verma. Locations like Mazgaon, Byculla, Parel etc may offer 1 BHK flat of the larger space.

Source:http://www.expressestates.in/full_story.php?content_id=93515

One of the Suitable Places for Real Estate Investment: Faridabad

2008-09-03T16:34:00.000+05:30

Do you want to have your own property in a prime location of India and which must be away from the hassles of metropolitan cities? If yes, then you are most welcome to purchase properties in Faridabad that is a NCR city. Faridabad is one of the emerging cities of India that is why properties are selling at a quick speed. Due to affordable rate and easy availability, the real estate of the region is booming. Proximity to Delhi and Gurgaon has also raised the value of properties in Faridabad among working professionals, and the corporate world has also shown interest in Faridabad real estate.

As the research reveals, Faridabad is going to be a most happening city in NCR region so, the asset’s prices and rents of property are gradually on the rise. It is a suitable time to invest in properties of Faridabad because; the prices are constantly rising. Residential properties, rental properties; real estate or commercial properties in Faridabad is the perfect place to invest. Asides these, the construction quality of real estates in Faridabad are also very good.

If you are keen to invest in properties in Faridabad, then you can search through Internet for finding world class builders, constructors, promoters, real estate agents and brokers for availing you the ultimate real estate solution and best property deals at affordable rate.

Owing to incredible growth in Indian economy; economic development, infrastructure, foreign investments and related business opportunities concerning real estate in India is experiencing the roar. This boom in real estate is further built up by the relaxation of FDI in various sectors that include real estate, construction sector and also retail which has unlocked the doors for the commercial real estate sector.

Some of the renowned developers from Delhi and its neighboring cities, such as Eldeco Group, Ansals, Omaxe, Parsvnath Developers and so on are reaching Faridabad to start new high end projects that include integrated townships, shopping malls cum multiplexes, residential dwellings, group housing projects, IT parks and modern office spaces.

Luxury homes continue to dazzle on robust demand

2008-09-01T11:56:00.000+05:30

Even in the midst of low sentiments haunting the real estate sector, there is one segment that is totally unfazed by it all. Luxury homes continue to dazzle in the face of robust demand and keen investor interest in the segment.

Royal offerings doled out one after the other by real estate developers show that at least one buyer category has remained as loyal as before, the luxe home buyer.

SundayET commissioned a survey to global real estate consultancy Cushman and Wakefield (C&W ) to find out some top-of-the-line luxury offerings coming up in the five major cities of Delhi, Mumbai, Bangalore, Hyderabad and Chennai. And here’s what we found.

While the new luxury apartments in Delhi-NCR were valued at over Rs 10 crore, in Mumbai it easily crossed the 20 crore mark for a 4 BHK. It also found that among the new constructions around the National Capital Region (NCR), properties in Gurgaon commanded a premium, while sea-facing locations in the financial hub attracted the richie rich.

Lavelle Road in Central Bangalore was much sought after as a luxury buy. And while Spanish villas in Hyderabad made an opulent statement, it were the spacious independent houses in Chennai that were the new luxury abode. In the survey, we included both projects which have been announced recently or the ones which though announced earlier, were only getting ready now.

Delhi NCR, in itself has at least seven extremely high-end projects. Top corporate honchos, expatriates and high networth individuals (HNIs) dominate DLF’s Magnolias located in DLF Phase V, Gurgaon. The apartments, which will be ready in 1-2 years can go up to a whopping Rs 10 crore with the average size of an apartment at roughly 5,500-10 ,000 sq ft.

Attractive rental potential and substantial increase in capital values since 2005, the locational advantage of the golf course and improved connectivity via the operational Delhi–Jaipur 8-lane super expressway are some of the USPs of this project. Says Rajeev Talwar, executive group director, “Luxury apartments are taken up by actual users so demand will always remain.... Anyone who is buying such an apartment does so keeping a variety of factors in mind. Moreover, these are bought by those who have a surplus.”

Another project in Gurgaon, Ambience Group’s upscale Caitriona project, located in Ambi City NH-8 Gurgaon, will be coming up in 2-3 years and is priced at a royal 8 crore plus tag. Boasting of sevenstar living, it is located amidst the 150-acre Ambience Island premium integrated township.

Caitriona offers limited condominiums for a select few. A great golf course view, super premium international designing and complete furnishing for a ready-to-live-in condominium, Caitriona flaunts snob value all the way.

Vipin Agrawal, executive director of Omaxe, feels that the current market scenario will have little effect on this segment. “Luxury homes are always in demand. Top CEOs and businessmen are the main occupants here. Hence, whatever be the market dynamics, there will always be an active demand for such projects.” The realtor has a luxury project, The Forest, adjoining the Noida-Greater Noida Expressway, which sold for Rs 6,500/sq ft.

Sourec:http://economictimes.indiatimes.com/Luxury_homes_continue_to_dazzle_on_robust_demand/articleshow/3427121.cms

Gurgaon venture of Ramprastha

2008-08-14T13:58:00.000+05:30

Ramprastha is planning a 450 acre township in Sector 37-D, Gurgaon. The project would be near the Reliance SEZ. It will also be close to the Dwarka expressway and a Metro Rail station. The builder says that loans for buying these properties can be had from banks like HDFC and ICICI. The project plans to offer 2-BHK (1,285 sq ft), 3-BHK (1,650 sq ft and 1,975 sq ft), and 4-BHK (2,350 sq ft) apartments. The apartments are priced at Rs 2,350 per sq ft.

Sushant City-II at Bhatinda

Ansal API has launched Sushant City II at Bhatinda. The company has joined hands with Mittals to develop this township. Spread over an area of about 121 acres, the project is being developed under the banner of Ansal Mittal Township. Located on the Talwandi Sabo Highway, the township is a freehold property approved by the Government of Punjab. Sushant City-II will offer villas and bungalows. It will offer residential plots in the size range of approximately 200 sq yd and above, plots for commercial ones (for shop-cum-offices) that are approximately 216 sq yd in size.

Parsvnath Planet Plaza gets 4 Star approval

Parsvnath Hotels, a subsidiary of Parsvnath Developers has received 4 star category approval from the Ministry of Tourism for its hotel project at Parsvnath Planet Plaza, Vibhuti Khand, Gomti Nagar, Lucknow. Parsvnath Hotels would undertake the construction of the hotel while Fortune Park Hotel, a subsidiary of ITC, would manage it. The ground floor of the plaza would be utilised for commercial and hotel lobby whereas the first two floors shall be dedicated for commercial uses and the remaining floors would be completely for the hotel section. The project will offer 130 rooms and amenities. Parsvnath will make an initial investment of Rs 25 crore in the project.

SRS Group launches SRS Tower

SRS Group, a real estate developer with business interests in real estate and township development, multiplex cinemas, organised retail, and hospitality sectors has announced the launch of its project, SRS Tower. Being built on a 1.75 acres of land with an investment outlay of more than Rs 100 Crores, the project will offer office space specially suited to the needs of IT companies. With a built up space of more than 2 lakh sq ft, the tower is meant for both commercial and office activities.

Gayatri Projects forms subsidiary
Gayatri Infra Ventures (GIVL), a subsidiary of Gayatri Projects, has entered into a definitive agreement with AMP Capital Finance Mauritius to invest Rs 100 crore in the first tranche in equity shares of GIVL. These funds would be utilised to meet ongoing needs of existing infrastructure projects as well as future bids and concessions undertaken by GIVL.

Sourec:http://www.expressestates.in/full_story.php?content_id=93447

Capital values stabilize, demand for rental property increases

2008-08-14T13:52:00.000+05:30

The availability of new supply, shrinking demand from investors and increasing interest rates have led to the stabilization of capital values in both high-end and mid-range residential segments across Bangalore, Mumbai, Pune and NCR region in second calendar quarter 2008.

The Gurgaon high-end segment has been the only market that has witnessed substantial growth of 17 per cent in the last quarter due to consistent demand from senior management top executives, according to the survey by Cushman and Wakefield, a globally le ading commercial real estate service firm.

The second quarter saw demand being increasingly channelled towards micro-markets, with strong corporate activity or infrastructural initiatives in these four cities.

The quarter saw developers being less aggressive on fresh project launches, with more focus instead on individual projects and increased amenities to generate buyer interest.

The rental markets have received a boost in this current economic environment, which has increased demand for leasing residential properties.

Despite this, rentals across most areas have stabilised, barring a few projects in both high-end and mid range sectors since the first quarter due to ample supply in the market.

Source:http://www.thehindubusinessline.com/blnus/14121430.htm

British realtor to sell London homes in India

2008-08-08T13:54:00.001+05:30

British realty developer The Berkley Group is targeting Indian investors with its two exclusive London properties in the price range of Rs 2-8 crore per flat. It has tied up with global property consultant Jones Lang LaSalle Meghraj (JLLM), which sees investment by wealthy Indians in British residential properties rising to 15 billion pounds ($29 billion) by 2018.

In its report titled 'UK-India Cross-Border Investment', JLLM, which will market Berkley's units in India, said that Indians could snap up 20,000-30,000 residential properties in UK over the next 10 years.

The property consultant said this is the right time to invest in UK as house prices are expected to fall by 12% this year and by a further 6-8% in 2009. However, they are likely to rise by 8-9% per annum during 2010-13.

Raminder Grover, managing director, Homebay Residential (a JLLM subsidiary), said, "UK-based developers are increasingly interested in attracting investors from India. They are targeting not only the high-net individuals, but also the upper-middle segment. The UK represents a very amenable market for Indian investors—the British pound is far more stable than the rupee, there is far greater transparency in the UK real estate market." He said UK tenants sign long leases of up to 25 years and their long-term income generation capacities are extremely stable, not to forget the London Olympics in 2012.

The number of Indians with financial assets of more than $1 million is likely to grow to 400,000 from the current 123,000, with total wealth of $1.7 trillion, the broker forecast.

Source:http://sify.com/finance/fullstory.php?id=14736536

Residential Property Prices in Dubai May Slow Down in 2010

2008-07-25T17:43:00.000+05:30

According to industry analysts, house prices in Dubai are likely to moderate in 2010. Although the prices may begin to return to reasonable levels towards next year, a considerable difference may not be noticed.

Several analysts and reports have given out their predictions that the demand-supply situation in Dubai will attain a balance by 2010, with the bulk of units likely to hit the market by that time, coupled with the Dh.6billion escrow accounts.

With the on-going delay in supplies continuing to plague the industry, any demand-supply balance cannot be expected until 2010. As per the real estate price index in Dubai, an appreciation of 40.8 percent has been noticed in the residential sector year after year, while the prices in commercial sector have risen by 42.7 percent during the same period.

Average rent rate in Dubai during June 2007 was Dh.1291 per Square Foot, while it was Dh.1,818 in June 2008, marking a one year increase of 40.8 percent. Better quality housing is noticed in central locations, which are well-maintained with good infrastructure. Such housing has always demanded and is expected to demand higher rents in future.

The rate of increase in residential prices during the past five years has not been sustainable, with the price being of topmost concern. Locations such as the Jumeirah Lake Towers and Barsha with good quality accommodation and good links to public transport have seen maximum increase in prices.

Even places adjacent to Dubai Metro would turn out expensive, as people would prefer to live close to a station. As for commercial properties, an average rent of Dh.1444 per square foot in June 2007, while it was Dh.2060 in June 2008. This marks an increase of 42.7 percent.

The rents would continue to increase for the next one year, if not for two years, or unless more supplies arrive at the market. Due to increasing cost of materials, developers have been compelled to go slow on development plans, causing delays in the market.

Properties which were likely to arrive in the market in 2009-10, have now been extended to 2011-12, he pointed out. Analysts predict that prices in Dubai property market are likely to reach their peak during later half of 2008 before falling down, as against the predictions last year that property rates in Dubai would drop down in 2008.

Also expect an increase of 5 to 10 percent in 2008 in property prices. Towards the year 2009, property prices in Dubai will witness a downward journey, resulting in a dip of 15 to 20 percent by 2011.

Sourec:http://www.ezinearticles.com/?Residential-Property-Prices-in-Dubai-May-Slow-Down-in-2010&id=1340195

Present downturn in real estate a temporary blip

2008-07-21T11:45:00.000+05:30

The persistence of inflationary pressure in the market will further affect the recovery in the real estate sector. As the government measures to improve supplies of essential commodities , so far, have had limited impact on controlling prices, RBI is likely to further take harsh measures to push the interest rates up on July 29 when it review its credit policy.

Because of the central bank’s monetary measures taken so far to contain inflation, the interest rates on home loan have gone up by 2 percentage points - to over 12% in the last one year. Prior to this, the central bank, in order to contain the rise in the prices of real estate, had curtailed the flow of money to the sector. This has resulted in the rise in interest rates by over three percentage points between 2005 and 2007.

In fact, in the last three years, interest rates on home loan have increased by around 5 percentage points from around 7% in 2005 to over 12% at present. This has led to increase in the equated monthly installment (EMI) on a 20-year loan by a whopping 42%. That means, EMI on Rs one lakh loan for 20-year , increased by Rs 326 - from Rs 775 to Rs 1,101. And on a loan of Rs 50 lakh, EMI has increased by as much as Rs 16,290!

This has affected the demand across the board. Between 2003-05 , because of easy availability of loan at lower interest rates, the price of real estate rose by over 200%. This pushed the land prices in the area also. A senior builder said that at present, the average land cost for the construction of one sq feet comes out to be around Rs 2,000 to Rs 3,000 per sq ft in Noida and Gurgaon. In other areas like Greater Noida, Manesar and Ghaziabad, the land cost in the construction of housing project is in the range of Rs 1,500 to Rs 2,000 per sq ft.

Besides this, as the prices of apartments during 2003-05 went up, builders had also improved the specifications of construction. This led to increase in the cost of construction from Rs (600 - 1,000) per sq feet to Rs (1,200-2 ,000) per sq. ft. The rise in the cost of construction is also due to manifold jump in the prices of raw materials like steel, cement and bricks.

Source:http://economictimes.indiatimes.com/articleshow/3253166.cms

Central Delhi - Million Dollar Baby

2008-07-18T10:09:00.000+05:30

The slowdown in the real estate sector has not been able to stop the affluent from buying a house at sky-rocketing prices in central Delhi's swanky locality. Though the inflation is on an all time high but it has hardly made a difference to the well-heeled.

According to media reports, in the last two months, three high value transactions have been made worth Rs 300 crore in central Delhi's elite Golf Links locality, where infrastructure major GMR, a prominent auto-dealer, a former Prime Minister's son and a politician have bought a house. Limited availability of properties in the area and rising demand from rich-getting-richer customers has resulted in such price appreciation, articulate industry experts.

The central Delhi has always been a hub of real estate activities in the city. South Delhi comes the close second. Though west, north and eastern zones of the city have so far been bustling with real estate activities but it's the central Delhi which has remained the hot cake of the Delhi property market.

Also known as Lutyens' Delhi, it includes areas like Aurangzeb Road, Prithviraj Road, Mansingh Road, Shahjahan Road and the nearby posh localities of Chanakyapuri, Golf Links, Jor Bagh and Sunder Nagar. All these areas have always been the most preferred locales of Delhi, an ideal location for all Delhi Real Estate Builders and a place-to-be-in by all and sundry.

The main reason for the popularity of these areas is that being the central most part of Delhi, it is well connected to different parts of the city. Being home to the political and business bigwigs, it boasts of superb infrastructure than any part of the city.

Further, with Connaught Place revamping, it is going to be a value-add to the already high-profile property market of central Delhi. Moreover, as Delhi real estate developers look around for various business opportunities the redevelopment could be the next big thing for Delhi properties.

Source:http://www.ezinearticles.com/?Central-Delhi---Million-Dollar-Baby&id=1296584

Sabeer Bhatia forays into real estate with Parsvnath

2008-07-17T09:38:00.001+05:30

Sabeer Bhatia, the co-founder of Hotmail, has joined hands with realty major Parsvnath Developers to develop a 11,000 acres knowledge city near Chandigarh. In the promoting company, Nano city Haryana Ltd, while Sabeer Bhatia will own 52%, Parsvnath and Haryana government will own 38% and 10% repectively.

The state government has notified the 11,000 acres of land near Panchakula for the purpose. CEO and MD of Parsvnath Pradeep Jain said that the company has already tied up with the farmers to acquire around 1,500 acre of land. He said the possession of the tied up land will be taken in the next 6 months.

“The project is expected to attract world-class companies involved in the creation of intellectual property. It will be the future hub for software development, nano science, drug discovery, bio-technology, energy and semiconductor research,” Bhatia said. Bhatia said, in the initial phase it would tie up with universities and educational institutions to start their centers in the proposed city.

He said that the city would be modeled on the line of Silicon Valley, which will help new entrepreneurs to start new ventures. Parsvnath has acquired the 38% equity for Rs 41.5 crore. The company is planning to invest Rs 400 crore in the first phase of the project. It would be completed in two phases over the next 10 years, where the company would develop 5,000 acres in the first phase. The project was the brain child of Bhatia, who was looking for land for it last two years. Bhatia said that Haryana chief minister Bhupendra Singh Hooda also shown interest in it and notified the land near Panchakula in the name of Nano City.

Source:http://timesofindia.indiatimes.com/India_Business/Sabeer_Bhatia_forays_into_real_estate_with_Parsvnath/articleshow/3242279.cms

Satellier Launches Broad Design Management Services for Indian Real Estate Developers and Corporate Building Owners

2008-07-15T11:34:00.000+05:30

Satellier Inc., the global leader in workshare solutions and pioneer in Building Information Modeling services (BIM) for the architecture, engineering, construction and building owner (AECO) industry, today announced a broad set of Indian-based design management services (DMS). These first-of-kind services are available to domestic and international developers, contractors, and design consultants, and are designed to "fill-the-gap" between international design practices and onshore construction and practice realities for large-scale real estate developments in India.

Satellier's India DMS services are available in four areas critical to project success: design coordination, design localization, design documentation, and BIM management that will eliminate design and construction errors, reduce time-to-market, and increase quality of the building product.

The Indian real estate market is experiencing a remarkable boom characterized by over 30 percent annual growth and forecasted to reach $90B by 2015. Primary contributors include recent GDP growth of over 9%, the entry of multinational companies into the country, global expansion of major domestic companies, increased spending power among the middle class, progressive government initiatives, wide acceptance of BPO/outsourcing business models, and strong foreign investments. The world's top design firms are planning next-generation office campuses, shopping malls, complete new townships and housing complexes, medical centers, and hospitality sites for construction throughout the country.

"Satellier is in a unique position to offer design management services for these aspiring new developments," said Michael Jansen, CEO of Satellier. "On the one hand, we have completed production of over 5000 international projects. No one has more technical, production, or partnership experience on state-of-the-art developments worldwide; on the other hand, our team of over 450 architectural professionals hails from India, with onshore experience and connections in over 1000 domestic projects."

Source:http://www.marketwatch.com/news/story/satellier-launches-broad-design-management/story.aspx?guid=%7B9B516EC8-7DE0-4750-A785-AA42E3A47768%7D&dist=hppr

Hot Deals, Flat Offers

2008-07-14T13:52:00.001+05:30

When Nalini Gupta bought a house in Manesar from the biggest developer group in the country, she was attracted by the affordable prices quoted for an apartment there. The Rs 39 lakh for a three-bedroom apartment seemed extremely manageable on a construction-linked plan and new Gurgaon had the potential to grow, she was told.
There were many brokers marketing the same property so she went to a carefully chosen broker who secured the deal for her.That was her first mistake. While her choice of the builder was based on his past projects, she did not know that to counter slowing demand, developers were evolving new formulas to lure the buyers. When she was asked if she wants a preferential location for which she would have to pay extra charges, she turned down the offer saying she was happy with any flat that came to her in the allotment.

To her surprise the final bill she received was with Rs 5.5 lakh as preferential location charges (PLC). When she protested, she was told it must be at the instance of the broker and that the company would be pleased to take back her apartment and return the money. A thinly veiled threat that made her hastily back off as she was keen to purchase.Take the case of an upcoming developer in Gurgaon Sector 37. The apartments were sold at a throw-away price of Rs 1,250 per sq ft. Except that it is a semi-completed apartment and the users have to pay an additional Rs 500/ sq ft as completion charges.

It is the Wild West phenomenon operating in the property market today. India is in the unique situation where end users need to purchase apartments and are looking at buying the home at any cost. They are scouting for attractive deals and developers are not willing to come down on their profit margins.This means that the end users have to be lured with attractive price points. To make the price attractive without losing on profit margins, developers are now reducing basic selling price but loading a host of other charges on the property that the user will have to shell out when he buys.

Another leading Noida developer has resorted to an even more innovative means of keeping brokers happy while selling in the slowing market. The plots along the Taj Expressway were sold at a certain price and were declared sold out very soon. However, the entire stock was underwritten by its own selected brokers.The company now claims it has no plots for sale directly. The price of the apartments have been raised to Rs 1,15,000 per sq yd but the company facilitates purchase from its underwriters in the name of the buyer as a first purchase and even secures commissions on the same.

The lack of transparency in this market has both buyers and brokers gasping for breath. At a recent convention of accredited brokers, most complained that it was a risky market as they were often misled into selling the stock aggressively by the developers and buyers would then be slapped with many additional charges. This leaves the brokers in the frontline of firing.Banks too are making a killing out of this situation. Buyers are offered loans. The buyer pays 15-20% out of his own resources and the bank finances the retail unit by paying the down payment to the developer. However, they allow the buyer to start paying only after the possession is received. The banks are thus able to keep its money moving in a slowing market. The developer gets his full money upfront for development. However, the consumer who begins paying the EMIs only after the construction is complete, does not get the down payment discount.

All these clearly point to the need for a regulator. Brokers are all in favour of an Act that lays down the ground rules and provides a redressal mechanism. Explains one broker who does not want to be named, "We are slapped with a double whammy. The consumer shouts at us and the developer could not care less as there are any number of people offering broking services. Today you don't need to register to become a broker."The consumer is now floundering as he tries to negotiate a host of charges that constitute the fineprint of any property deal. Consider the following: nPreferential location charges range from Rs 300-500 in the NCR region
nFinishing charges range from Rs 300-500/sq ft in the NCR region

n Car parks are mandatory - the norm in the NCR region is Rs 3,300-4,000/sq ft per car park. A 2 BHK house of up to 2,500 sq ft has to purchase a car park at these rates. A 3,000-3,300 sq ft apartment buyer has to purchase two car parks while a 4,000-5,000 sq ft apartment owner has to purchase three car parks.Not that all developers are happy with the existing situation.Explains GP Savlani, resident director of Confederation of Real Estate Developer's Associations of India (CREDAI), the association believes that the developers should be transparent and tell the customer all about the charges at the time of sale. Any charges added subsequently are not according to the code of conduct drawn up by Credai. In many places, explains one member, where the local CREDAI branches are powerful, peer pressure is a powerful deterrent to malpractices. This is true of Maharashtra, Gujarat, Kerala etc. That is one form of self regulation that the developers have evolved.

However, the biggest deterrent to such malpractices would be increased supply, which is only possible if development authorities start releasing land not in small parcels but sufficiently to meet demand. That can only happen when development authorities themselves stop speculating on increased land value. Will the real regulator please stand up?

Source:http://www.indiainfoline.com/news/innernews.asp?storyId=73220&lmn=1

New idea for getting an affordable piece of Scotts Valley real estate

2008-07-10T17:45:00.000+05:30

At least one Scotts Valley leader wants to make it easier for moderate income wage earners -- couples making a combined maximum $78,000 a year or an individual topping out at $68,000 -- to own a piece of the American dream.

Councilwoman Stephany Aguilar has proposed spending some of the city's affordable housing fund -- $6 million -- to encourage developers to build an additional below-market home with each new project constructed in the city.

"We need more affordable for-sale units, not just rentals," Aguilar said. "We're short hundreds of them in our community."

State law requires 15 percent of a housing project be comprised of below-market units.

Often that 15 percent requirement ends up in a fraction with the developer obligated to construct, for example, 2.74 affordable homes. Instead of building three affordable units, developers frequently opt to pay a fee rather than construct another unit.

Aguilar's idea is to use the city Redevelopment Agency's affordable housing fund, generated by developer fees, to kick in the extra money to make the fraction a whole number, creating an additional below-market home.

The state can take away portions of a local government's affordable housing funds if not spent in a timely manner.

"We should spend this money before the state takes it away," Aguilar said.

In the past year, Scotts Valley has hit a slowdown in home

More Info:http://www.mercurynews.com/centralcoast/ci_9836673?nclick_check=1

Realty feels pinch of high rates

2008-07-09T13:42:00.001+05:30

The rise in the interest rates is likely to affect real estate sector growth in the country. In a report, global real estate consultancy firm CB Richard Ellis said with demand going down, both the capital as well as rental value of office space have come under pressure.

According to the report, the global economic conditions seemed to have affected plans of the companies, with some of them deferring their real estate decisions. Under such condition, the excess supply of office space is likely to affect the market values in the coming quarters.

In the Gurgaon market of National Capital region, the report said, rentals of office space have undergone 5-8% correction from their peak rates in January-March 2008 quarter due to increased supply and softening of demand. The rentals of grade B building in secondary market like Nehru Place is down from Rs 200 per sq ft per month to Rs 150 per sq ft per month. In Gurgaon, it has fallen from Rs 105 per sq ft per month to Rs 95 per sq ft per month.

The prevailing economic climate has also impacted the office space demand in Mumbai and a marked moderation was observed in the current quarter, said the report. It said space occupiers and tenants were observed to have become cautious with their expansion plan and space requirements. Many of them have even postponed their real estate decision.

Except for central business district and alternative business district of Bandra Kurla complex, rental values across all micro markets in Mumbai have remained stagnant in the quarter ending June, said the report. Going forward, with over a million sq ft of corporate office supply currently available in the market and more expected to be added in the next two quarters, the rental values are expected to remain stagnant. The large supply coupled with weakening ITeS sector demand is likely to result in rise in vacancy levels. However, the report said in the near future any softening of rents is unlikely.

Slowdown in the global markets has also an effect on the Bangalore real estate market with corporate deferring their long term plans. Not only this, even the commitments that have been made earlier are now being downsized which has directly affected the demand situation in some micro markets. However, in Bangalore, the rentals in June quarter has increased compared to that in the previous quarter. The slowdown in the demand is being felt in other markets also. If the current condition continued for some more time, experts in the sector feel that the sector will witness a steep fall in the range of 15% to 20% in both the capital as well as rental values.

Source:http://timesofindia.indiatimes.com/India_Business/Realty_feels_pinch_of_high_rates/articleshow/3212210.cms

Realty dreams of small, mid-sized cos crumble

2008-07-01T15:27:00.001+05:30

Grappling with a slowdown across segments, the Indian property market is heading towards the next phase of consolidation. Liquidity crunch in the real estate market is beginning to drive many mid-sized and small developers to scrounge for cover.
Many want to liquidate their land and incomplete projects by selling them to bigger developers or private equity players even at lower valuations. What’s forcing them to take this step is a stagnant market, with property rates undergoing major correction in some cities. Around 15 deals in real estate sector have fallen through in the past two months with investors developing a cold feet, said industry officials.

Consider a few cases. A mid-sized builder at Chembur in Mumbai has put its 14-floor commercial property in central Mumbai on the block. The developer wants to raise around Rs 150 crore which would help him complete his upcoming project.

A Hyderabad-based real estate group has started advertising to attract high networth investors to generate Rs 50 crore against bulk purchase of its housing project in the city. A small developer in Mumbai, pushed to a corner on account of mounting payables for construction material, is now offering its project at Juhu-Versova in Mumbai at about 35% discount to the current market price. In Delhi, some developers have approached property consultant to sell their income generating commercial properties to finance some of the unfinished projects.

source:http://economictimes.indiatimes.com/Markets/Real_Estate/Realty_dreams_of_small_mid-sized_cos_crumble/articleshow/3182516.cms

Real estate boom to continue in smaller cities

2008-06-30T13:27:00.000+05:30

World's two fastest growing economies China and India will continue to witness boom in the real estate segments in smaller cities as both countries are expected to record strong growth in residential demand in the coming years, says a report.

Further, investments volume in the two neighbouring nations is projected to go up in the next few years. According to a report prepared by the research group of Germany's Deutsche Bank, the long-term growth prospects for both countries "remain very good."

"All commercial real estate segments continue to boom Tier-II cities will gain particularly... Investment volumes are still very low. This will change rapidly in the next few years," the report titled 'Real Estate Investments in China and India: Big returns in big countries?' said.

Although, strong residential demand growth is expected, the bank noted that "dangerous exaggerations can occur." An important growth driver for the real estate market would be the increasing urban population in both countries.

India and China are projected to witness increased number of urban population especially by the end of 2050. From just about 30 per cent, India's urban population is anticipated to touch 55 per cent by 2050.

According to the report, another growth driver for both countries would be the rising population of working age. In the near term, that population is expected to touch a peak of over 70 per cent in China.

The working age population in India is projected to be on the upward curve in the coming years and would be above 65 per cent by 2050.

Source:http://economictimes.indiatimes.com/Real_estate_boom_to_continue_in_smaller_cities/articleshow/3177158.cms

Real estate firms want a regulator

2008-06-20T16:31:00.000+05:30

Builders and developers are not averse to the idea of a regulator in the real estate sector.

Confederation of Real Estate Developer Association of India (Credai) president Kumar Gera said that developers want a regulator to discourage the unscrupulous players from entering the sector.

He said that Credai has made a number of representations to the government in this regard. He said that the real estate development industry is fragmented and there is no pre-qualification, resulting into entry of fly by night operators in the sector.

He said, formation of a regulatory body should not end up creating another layer of controls and licensing, which would promote corruption.

President of National Real Estate Development Council (Naredco) Rohtas Goel concurring with the view said that government should first draft a regulatory act, with the consultation of real estate body. The regulatory act should be adopted by all states. Goel said that in the competitive era, developers while selling their project promises a number of things to its buyers. But some times, he might not be able to deliver those things on time because of changes in the law or delay in getting permission In that situation, there are cases when customer refuse to pay to ask for damages. If there is a regulator, he said, genuine builders can seek redressal in that situation.

Source:http://timesofindia.indiatimes.com/Business/India_Business/Real_estate_firms_want_a_regulator/articleshow/3146701.cms

Prudential forms JV to invest in Indian real estate

2008-06-19T10:44:00.000+05:30

Prudential Real Estate Investors on Tuesday announced that it has launched a joint venture with Beekman Helix India Partners LLC (BHI) to invest in real estate in India. Through its new private equity real estate platform, the venture plans to embark on a strategy to create real estate funds for institutional clients.

Prudential Real Estate Investors is the real estate investment management and advisory business of Prudential Financial Inc.

The joint venture, operating as Pramerica BHI India and headquartered in Gurgaon near New Delhi, will invest in middle-income residential development projects and office parks on behalf of institutional investors around the world. The strategy may also include other sectors.

Working with BHI through a relationship formed in 2006, Prudential Real Estate Investors was among the first US-based real estate investment companies to invest in real estate opportunities in India.

So far, BHI and Prudential Real Estate Investors have made 11 equity investments, totaling about US$220mn across seven markets in India, including Bangalore, Chennai, Mumbai, the National Capital Region (NCR) and Punjab.

Source:http://www.indiainfoline.com/news/innernews.asp?storyId=70821&lmn=1

BPTP pays Rs 1k cr for Noida project

2008-06-16T17:37:00.000+05:30

Real estate developer BPTP Group has paid Rs 1,000 crore to the Noida authorities as the first instalment for its ambitious 95-acre project.

The privately held developer said the rest of the payment, of Rs 250 crore, would be made “very soon.”

DNA Money had last week reported about BPTP making the payment early this week.

Asked for the funding details, Sudhanshu Tripathi, director, BPTP told DNA Money, “We have not hived off any stake in the Noida project as of now.”

According to him, BPTP has used its internal accruals and the investments received from private equity investors in the past for other projects to make the payment.

In April, Citi Property Investors had invested about $160 million (Rs 640 crore), in the group for a 40% stake in the latter’s special economic zone projects.

BPTP had outbid realty majors DLF and Omaxe to bag the Noida project in March, involving a total land acquisition cost of around Rs 5,000 crore.

BPTP was dangerously close to the extended deadline of June 13 for the first instalment.

Failure to honour the deadline could have led to the deal being cancelled, officials in the Noida authority said.

BPTP sought an extension to pay the first instalment after the foreign banks from which it had arranged loans didn’t honour their commitment, Credit Suisse analyst Anand Agarwal wrote in a note.

Many realtors are facing the challenge of raising funds for their projects, given the current downward spiral in the real estate market and the negative sentiment thereon.

Suman Memami, research analyst at Religare Securities, added that liquidity crunch is causing builders to postpone new launches and also private equity players are in a “wait & watch mode.”

The construction cost of the financial city planned will be around Rs 3,000 crore and the total cost of the project is expected to be around Rs 9,000 crore.

BPTP expects office rentals in Noida to be more than its rival city Gurgaon upon completion.

Source:http://www.dnaindia.com/report.asp?newsid=1170063

Real estate sector facing severe cash crunch

2008-06-16T16:27:00.001+05:30

The recent bloodbath in the real estate sector has started taking a toll. Almost all large developers are now facing a severe cash crunch and finding it difficult to complete their ongoing projects. In fact, the situation is so bad that most of them have reported a 50-70% cash shortfall. Industry sources told SundayET that the liquidity crunch has forced many developers to pick up cash from the unorganised market at interest rates as high as 35% to 50% annually. The lending rate of banks is between 18% and 20%.

The grade A developers which are facing crash crunch include DLF, MGF Emaar, Shobha Developers, Unitech, Omaxe, Parsvnath Developers, Hiranandani Group, Ansal API, BPTP Developers and TDI Group.

As a result of the crash crunch many developers have started going slow or even stopped construction of projects which are either in their initial stages of development or which would not affect their bottomline in the near future. While most developers that SundayET spoke to, agreed with the problem at hand, none of them were ready to be quoted on how it had affected them.

Source:http://economictimes.indiatimes.com/Real_estate_sector_facing_severe_cash_crunch/articleshow/3130151.cms

real estate investments: real estate investment tip- "Is Renting Out Your Property a Better Option?"

2008-06-11T11:22:00.000+05:30

How many times have you heard, and being advised, that renting out your property is the best option to receive considerable monthly cash flow? Only too many when you're a newbie real estate investor. Before you decide to rent out your property now, why don't you familiarize yourself with the things that are involved in renting out a property?

The first you need to check is the rental price of your property. Check if you can rent out your property for a price that will cover your mortgage payment, property tax, insurance, and not to mention repairs. These expenses are all charge to you as the property owner. Some tenants might even ask you to pay for some utility expense like the lawn mowing and tree branch trimming for example.

Now your next dilemma is on how to determine the right rent price for your property. Unfortunately, you have to determine this on your own. But here are some of the main considerations when it comes to determining the rent price of your property.

The number one consideration is the demand for rental properties. If there's a high rental property demand in the area, you can demand a higher price for your property too. This is true when your property is near business establishment or near downtown. Base your price on the overall soundness of your property too. Renters are willing to pay higher price in exchange for safety.

Renters nowadays are more conscious about the health and safety issues involved in rental properties. To give your potential renters confidence to rent your house, have your property inspected by health and safety inspectors. Don't forget to obtain a certificate or a signed report from the inspectors that your property is fit to live in health and safety wise. This might come in handy when your tenant files a law suit citing health hazards in your property.

Don't let yourself to remain ignorant about your rights and obligations as a landlord. Your tenants have all the rights to sue you for negligence if you're not doing your obligations as a landlord. And you can be sued from as little a cause as a shaky stairs or a basement infested by molds. Protect yourself against these possibilities by knowing your rights and obligations as a landlord beforehand.

When you rent out your property, you're opening it up to tenants that don't know how to care of a house. They know that you're obligated to shoulder the repairs so that they don't care about trashing your property. That is why it is important for you to screen your tenants and accept only those you can trust to take care of your property.

When you're going to rent out your property, you're allowing yourself to be on call 24 hours a day. Even if you're vacationing in Hawaii, you're still on call. Be ready to take care of the needs of your tenants from fixing a leaking pipe to a busted fire alarm system. These are your entire obligation. But, property-management companies are willing to help you on this, if you're willing to pay them at least 10% of your rent price a month.

Source:http://www.realestateinvestmentarticles.net/Article/real-estate-investments--real-estate-investment-tip---Is-Renting-Out-Your-Property-a-Better-Option--/5375

What to See in a Real Estate Agent?

2008-06-10T16:50:00.000+05:30

With umpteen numbers of houses available in the market, it is quite difficult to buy or sell a home on your own. Thus, it is feasible to always take help from professional real estate agent to make a lucrative deal. Without a nice real estate agent, you may never get an implausible deal. There are various ways to find the best real estate agent in your desired area. In addition, checking the local bulletin boards might also provide you with various real estate agents. With the aim to sort out the best from such a huge list, you should ask your family or friends regarding their experience with the real estate agents. Lots of your friends or family might have gone through the exact situation and could recommend a preferred real estate agent to you.

Always remember to short list several real estate agents before finalizing the one. Once you have short-listed few realtors, the next thing to do is to contact the real estate agents in person. Without getting the proper information and nice price about your house or the property you want to buy, you may have no illusion where exactly to look. Unfortunately, there are few real estate agents who will tell you the true price and might aim to fetch as much money as they can from you, thus look out for the real estate agent that offers you the best property at best price or best deal to sell your property. Nevertheless, this can only be achieved by meeting several agents and then comparing the deal offered by all. In addition, also look at the number of resources real estate agent has and a large market plan, in order to make the best deal with the best customer.

Always check whether the real estate agent is certified or not as a fake real estate agent may put in some kind of trouble such as fake documents, invalid property and many more, which you have never expected. At the time of selecting the real estate agent, it is also very essential for you to have a commission list.

Always choose the agent, which will charge the fees if she or he finalizes the deal or if not then do not get befooled by any real estate agent by remunerating high commission. In addition, another thing, which you need to do is to judge the attitude of the real state agent.

Source:http://ezinearticles.com/index.php?What-to-See-in-a-Real-Estate-Agent?&id=1229522