Indian Real Estate – The Beginning of New Era

With three revolutionary reforms, GST (Goods and Services Tax), Real Estate (Regulations and Development) Act and Pradhan MantriAwasYojana, favoring the interests of the common man, the sun seems to have finally risen on the Indian real estate. All these reforms, acts, and policies launched by the government in the past 2 years point in the direction of a new era that would mark the transformation of real estate from a developers’ market to a buyer-driven marketplace.

Let’s have a glimpse at them to understand how they would change the face of Indian real estate.

Goods And Services Tax
Goods and Services Tax aka GST is a ground-breaking tax reform that has been enforced in India on 1st July 2017. It would subsume around half a dozen indirect taxation levied by the Center and the State like VAT, Service Tax, Stamp Duty etc., which used to lead to cascading or doubling of tax. The government has put the under-construction projects under the 12% GST slab that would be a sigh of relief for all the prospective homebuyers. The anti-profiteering clause in GST law would ensure that the benefit of the tax reduction because of GST is passed on to the buyers at all costs. The elimination of ‘tax on tax’ or tax cascading would be one of the biggest benefits of GST on Indian real estate that would gradually lead to lowering of property price in India.

Excluding stamp duty, a homebuyer, before GST implementation, had to pay a total of 11% tax; the actual tax might have increased by less than 1% but the homebuyers are rejoicing because of the clarity and transparency brought in by this tax reform.

Real Estate (Regulations and Development) Act
Real Estate (Regulations and Development) Act aka RERA has been implemented in the Indian real estate on 1st May 2017. As per this new regulatory law, all the builders and developers would have to register themselves with the State Regulatory Authority and those who fail to do so would face cancellation of their real estate license. The Real Estate Act is to empower the property seekers and homebuyers to raise a voice against the unscrupulous builders or developers.

This Act would bring transparency in the real estate in India and enable the aggrieved buyers to seek redressal from the builders. Builders who delay the project, use one project’s money into another project or even drop the project would have to pay interest to the buyers owing to this revolutionary act. Timely completion of projects, ease of inquiring, complaint registration and the transparency brought in by the RERA.

Pradhan MantriAwasYojana
The Pradhan MantriAwasYojana aka PMAY is the torch-bearer of PM Narendra Modi’s dream of “Affordable Housing For All By 2022”. This mission came into force on 25th June 2015 and seeks to provide affordable housing to all the citizens of India by the end of 2022. To fulfill this mission, the Indian government is coming up with new and affordable housing schemes so the people of India, especially the low and middle income group of the society, would be able to have a roof over their heads.

The government has decreased the home loan interest to 6% for those who want to take a loan for up to INR 9 lakhs and for those desiring a loan of up to INR 12 lakhs, can now get it at a 3% interest rebate. If the homebuyer complies with all the conditions put forward by the government, he/she can avail these attractively affordable offers and have a roof over their head in no time. A trigger in the home buying process would be seen gradually and people would now be investing their money on cheaper EMIs instead of paying house rents.

Advantages of Rent To Own Property

Many property owners these days are more than ever ready to offer their properties with Rent-To Own option. The primary reason being there are more properties in comparison to potential buyers. Before moving into the house the potential buyer has to sign a document. According to the document, the property buyer usually has to pay an increased/specific amount of rent to the property owner till the time he/she finally buys the property. There are many Advantages of Rent-To-Own Property which are following:

Advantages for Property Buyer

  • Experience the Home & Neighborhood: The Rent-To Own option gives opportunity to the buyer to stay in the property for a considerable time on rent. This way the buyer can judge whether his/her stay in the property would be pleasant or bad. The buyer can also experience the neighborhood overwhelmingly before finally deciding to purchase the property.
  • Enough Time to Arrange Finance: Buying property means making a life time investment! Getting the loans sanctioned from the banks is also at times very time-consuming. By signing the Rent-To Own option contract, the property buyer gets enough time to arrange the money. The property buyer can also meanwhile sell the old house at the desired price and buy the new property when the full amount for buying the new property (in which he/she is living on rent) has been arranged.

Advantages for Property Seller

  • Savings on Maintenance Cost: When a property owner gives a property to a buyer on Rent-To Own option, it becomes sole responsibility of the buyer to take care of the property. The buyer also feels conscientious to maintain the property properly as it would be his/her future property.
  • Fixed Selling Price: The selling price is mentioned in the contract signed between the buyer and seller. In case in future, the property price falls; the property buyer would be bound to give the decided price as written on the contract. The tenant wishing to purchase the property is usually allowed to stay in the property for a period for 2-3 years and rent has to be paid every month. The tenant may also be required as per the contract to make a non-refundable deposit to the property owner. In an event the tenant is unable to buy the property; the property owner has the liberty to sell the property to any other buyer. Rental Property in India

Best Investment in Real Estate – Residential Property

Many real estate laws and regulations have come to the fore in the past one year, making Indian real estate a lot more transparent and lucrative market. Whether we talk about the Real Estate (Regulations and Development) Act or the Pradhan MantriAwasYojana, the government has taken various initiatives to make the residential property more favorable for the buyers. These government policies and rules have made real estate a more profitable sector, not just the homebuyers, but also for the people who are looking forward to investing in real estate. Be it the residential plots, apartments, flats, or lands, the investors are putting high bets in the residential sector of Indian real estate to get promising returns.

The Indian housing sale has also increased by 70% in the Q1 of 2017 with 23,000 units sold as compared to the Q4 of 2016 where only 14,000 of them were sold. Both the primary and secondary markets for residential property in Indian real estate have seen a positive shift in the first half of the year.

There are many government initiatives that have made people more interested in investing their hard earned money in the residential sector as compared to the commercial sector. Some of these are:

  • Real Estate (Regulations and Development) Act: The Real Estate (Regulations and Development) Act aka RERA has been enforced in India on May 2017 and is one of the main reasons why people are showing more interest in investing their money in the residential real estate. Buyers are getting empowered and can now file a complaint, know the status of projects, and compare the builders easily on the state regulatory authority website through this act.
  • Goods and Services Tax: Another reason that has made investi8ng in residential real estate more lucrative is the Goods and Services Tax that has been enforced in India on July 2017. GST would bring more transparency in the taxation system and has even lowered the tax rate on various types of residential projects. The benefit would this lowered and transparent taxation would be passed on to the homebuyers as well.
  • Pradhan MantriAwasYojana: The Pradhan MantriAwasYojana is an initiative by the PM Narendra Modi-led government to provide affordable housing facilities and even provide housing to all by the end of 2022. As a part of this scheme, the interest rate has been reduced and subsidies have been offered on the purchase of residential real estate which is attracting people towards this sector.
  • Demonetization: The revolutionary demonetization move by PM Narendra Modi that startled the public in November 2016 is also a major reason why more white and transparent investment in the residential real estate would be seen. As a long term effect of the demonetization move, the prices of real estate have seen a decrease and would bring higher returns in the future.

Moreover, the rental income that comes with residential property is an add-on bonus. You can pay the EMI on the property with the rental income that you are getting. All in all, investing in residential property is sure to get you higher returns because of the increasing demand in this sector.

Factors That Influence the Market Value Of Your Home

A house is made of walls and beams; a home is made of love and dreams. In fact, we spend our lifetime savings to buy the best house for our family. A home is, indeed, a lifetime investment and if by any chance, we have to put it out in the listings for sale, we leave no stone unturned to ensure that it fetches the best possible price. To get this, before analyzing the property trends and rushing to property agents the first thing you should do is to identify the major factors that affect the market value of your home.

There are many factors that can affect the price of your home. From the location and connectivity to the basic amenities and the upgrades made, anything can affect the market value of your home. That said; here are the 5 major factors that can appreciate or depreciate your home value.

#1 House Age And Renovation
The age of your house is also instrumental in affecting the price of your house. We’re not talking about the historic-type old houses here, they undoubtedly fetch a big sum; what we’re talking about are the houses that are three to five decades old. Such houses can be a hard sell. However, if the timely renovation have been done and the house is decked up with all the latest amenities and interiors like a modular kitchen, well-tiled modern bathroom, and other necessary upgrades, it will definitely appreciate the value of your home a notch higher

#2 Location
The top factor that can be decisive in determining the value of your house is the location. Where your house is located, whether it is nearby schools and higher education institutes or not, what are the nearby medical facilities and how connected the area is in terms of transportation; all these play an important role in raising or dropping the market value of your house. Proximity to local markets, shopping complexes and, recreational centers also plays an important role in determining the value of your home.

#3 Distance From Commercial Hubs And Industries
A house located near a commercial hub attracts more buyers than one that is at a located far away. Buyers seek a house in a location that is easy to commute from their offices, and if your house is near a commercial hub, more buyers would be interested in the property. So, if your house is near an IT hub or any other business and commercial hub, your house value would certainly increase. Contrary to that, if your house is located near an industry, chances are, it may have a negative effect on the property price. Industries give away toxic pollutants in the surrounding and even make a lot of noise; therefore, buyers tend to stay away from houses near an industry which depreciates the value.

#4 Parking Space
Lack of parking spaces is increasingly becoming an important issue in metropolitans as well as in cities and towns. According to a recent study, having a single parking space added to the house can increase the property value by up to 5%. The reason being that 90% of the populace today has a vehicle of their own and would certainly show more interest in a property where they can park their vehicles safely than the ones that do not offer this facility. No wonder that parking space availability act as a major decisive factor for the price rise or drop for residential & commercial properties for sale.

#5 History Of The Place
If your home has had some history like getting flooded, pest attack or fire incident, it may attract fewer buyers as they may doubt the strength of the foundation. Other negative events like a suicide, criminal activity or sudden death may also be a reason for buyers to put a low price for your property. Any negative event in the history of the house can make your home a hard sell and depreciate its value.

Ahmedabad Real Estate Still Has The Charm

Ahmedabad is a beautiful city slumping in the state of Gujarat. Giving haven to a considerable population and also providing them profuse opportunity to earn a living and have a quality lifestyle, Ahmedabad induces many real estate investors to come and invest here. From past few years, investors both Indian and NRIs are getting attracted to the city like bees get attracted to the honey. People looking for homes in and around city are opting to buy residential properties in Ahmedabad, since the homes are very affordable here.

Overview of Residential Properties in Ahmedabad

The homes in Ahmedabad are contrived to have all basic and modern amenities like electricity, water supply, swimming pools, good security system, etc. The homes are also near to parks, playgrounds, and health clubs.

The potential buyers yenning to purchase properties here can choose according to their budget. Whether one needs an affordable accommodation or the most luxurious one, there is a perfect property for everyone here.

Budget friendly properties include 2 and 3 BHK flats and apartments. And if one is looking for an elite and stupendous sort of a residence, then one can choose from the astoundingly impressive villas and condos.

Buying a residential property here does not involve any intricacies and hassles. Most of the sellers accept payment by installments.

Ahmedabad is the hybrid of clean and fresh environment and pompousness of an urban life. Many dream to have a home in a place like this which has nature coexisting peacefully with the concrete. In the past few years the prices of the residential properties straggling on the peripheries of Ahmedabad has skyrocketed. The real estate investors looking for a worthwhile deal can think about investing in the properties here for good returns. Whether one is coveting to invest in 3 BHK property or a 4 BHK property, one can find a suitable property without much effort. Start searching for your favorite property through local registered Ahmedabad real estate agents or other sources like web portals, magazines etc.

5 Factors That Affect The Market Value Of Your Home

A house is made of walls and beams; a home is made of love and dreams. In fact, we spend our lifetime savings to buy the best house for our family. A home is, indeed, a lifetime investment and if by any chance, we have to put it out in the listings for sale, we leave no stone unturned to ensure that it fetches the best possible price. There are many factors that can affect the price of your home. From the location and connectivity to the basic amenities and the upgrades made, anything can affect the market value of your home. That said; here are the 5 major factors that can appreciate or depreciate your home value.

To get this, before analyzing the property trends and rushing to property agents the first thing you should do is to identify the major factors that affect the market value of your home.

#1 House Age And Renovation

The age of your house is also instrumental in affecting the price of your house. We’re not talking about the historic-type old houses here, they undoubtedly fetch a big sum; what we’re talking about are the houses that are three to five decades old. Such houses can be a hard sell. However, if the timely renovation have been done and the house is decked up with all the latest amenities and interiors like a modular kitchen, well-tiled modern bathroom, and other necessary upgrades, it will definitely appreciate the value of your home a notch higher.

#2 Location

The top factor that can be decisive in determining the value of your house is the location. Where your house is located, whether it is nearby schools and higher education institutes or not, what are the nearby medical facilities and how connected the area is in terms of transportation; all these play an important role in raising or dropping the market value of your house. Proximity to local markets, shopping complexes and, recreational centers also plays an important role in determining the value of your home.

#3 History Of The Place

If your home has had some history like getting flooded, pest attack or fire incident, it may attract fewer buyers as they may doubt the strength of the foundation. Other negative events like a suicide, criminal activity or sudden death may also be a reason for buyers to put a low price for your property. Any negative event in the history of the house can make your home a hard sell and depreciate its value.

#4 Parking Space

Lack of parking spaces is increasingly becoming an important issue in metropolitans as well as in cities and towns. According to a recent study, having a single parking space added to the house can increase the property value by up to 5%. The reason being that 90% of the populace today has a vehicle of their own and would certainly show more interest in a property where they can park their vehicles safely than the ones that do not offer this facility. No wonder that parking space availability act as a major decisive factor for the price rise or drop for residential & commercial properties for sale.

#5 Distance From Commercial Hubs And Industries

A house located near a commercial hub attracts more buyers than one that is at a located far away. Buyers seek a house in a location that is easy to commute from their offices, and if your house is near a commercial hub, more buyers would be interested in the property. So, if your house is near an IT hub or any other business and commercial hub, your house value would certainly increase. Contrary to that, if your house is located near an industry, chances are, it may have a negative effect on the property price. Industries give away toxic pollutants in the surrounding and even make a lot of noise; therefore, buyers tend to stay away from houses near an industry which depreciates the value.

How Home Automation Makes for an Easy Way of Life

Home automation happens to be one of the multitude of tasks that are becoming easy thanks to the internet. This process to explain simply would be to automate the inner workings of a house using technology. All the gadgets that we use inside our homes to ensure that our day to day lives go on without a hitch contribute to this process. The coming together of various technologies and gadgets to help us finish tasks which were previously time consuming is just one facet of home automation.

Home automation has made science fiction of the yesteryears the reality of today. What one thought was just an idea on the pages of a book or a movie a few decades have become something that we can’t do without today. A fine example of that would be the touch screen technology. No one would have thought this was possible about a decade or so ago. But this technology has really changed the way we live our lives today.

Touch screens aren’t the only things to come out of the human imagination. Many other technologies have become an integral part of our lives and have invaded our house. One such thing is the internet. It is very hard to imagine life without the internet. We watch movies, communicate with one another and carry out a multitude of tasks thanks to this technology.

The Internet of Things is making a whole bunch of things possible within the house. This technological advancement can mean a lot of things for the home owner. It allows all the gadgets inside a home to communicate with each other to ensure that you have a smooth living situation. This means that a wide variety of gadgets can come together and be programmed to ensure your comfort. It could be as simple as turning on the lights and air conditioning before you enter your apartment after a long day at work so that you get greeted with the right indoor temperature to ensuring that your property and belongings are being constantly monitored and protected from robbers.

Security and constant vigilance are an integral part of home automation. There are home security systems which can constantly monitor your living space to ensure that you don’t fall prey to those who are bound by greed and covet what is not theirs. A wide range of gadgets from CCTV cameras to digital safes and locks can make your home a safe haven for your family. These full blown security systems can alert the police if there is a break in among other things. It has become a necessity to install these systems rather than a luxury. You need not blow up a lot of money on these and go for budget friendly options if money is a problem.

Home automation is all about making your home smart so that you can uncomplicated your life. If you make smart choices you can rest assured that your time and energy can be saved and focused on things that matter.

Interior Design Ideas to Make a Room Looks Smarter

It’s always been a difficult task to keep small living space organized. But, there are several smart interior decor ways to make a tiny room look bigger. Here are some of the best residential interior design ideas and tips that can transform your living room.

Finding a spacious home to either rent or buy within city limits would be more expensive. Thus, many home seekers with limited budget prefer small homes or studio apartments. With increasing real estate prices in cities and reduced homes sizes, it has become even more critical to follow smart interior design ideas to make your home look nice and chic.

Avoid Luxury Window Treatments

For small sized rooms don’t use window treatments that are too heavy and ornate. These luxury widow treatments add beauty to the room, but these drapes and curtains that are made of heavy materials will restrict the room from getting natural light. So it’s better to make use of the window in a small room to bring in light to every corner. Especially, light-coloured walls along with the sunlight would make your tiny living space look larger. Sheer lace curtains, slatted window blinds, or bamboo shades are ideal for uplifting your interior décor of the room.

Prefer Light Colours

Always say a big ‘No’ to darker colours in interior spaces for walls and other dominant room features like curtains, sofas etc., if the size of your room is small. According to interior design experts, lighter colours would bring in the illusion of a larger area. Though dark colour themes are more trendy and design-friendly, it best suits the spacious rooms. If you use a dark colour in a space-challenged room, it will make it look even smaller.

Wall with Stripes

When it comes to wall decoration in small indoor spaces, adding either vertical or horizontal stripes to the interior design can generate the illusion of larger space. To make your living room look wider, it’s best to use horizontal stripes. And, vertical stripes help to make your look larger in an upward direction. Also, ensure the colour that you use matches the rest of the furniture and fabrics in your room.

Choose Furniture with Legs

While buying indoor furniture for your home, always prefer the ones which have legs, as it opens up a small space. When it comes to large furniture without legs that rests directly on the floor, it will consume more space and would make the room interior look even smaller. On the other hand, furniture with legs showing will make your small room look brighter with more light. Alternately the room is easy to clean and also small things can be pushed under the furniture like foot wear when you are sitting in the room, low tables and stools.

Use Multifunctional Furniture

When you live in a small living space, it’s always ideal to use multifunctional furniture to utilize space in a tiny room. You can prefer sofa with storage facility or a fainting couch that opens for storage. To create more space in a small living room, it’s better to downsize the furniture in your room.

Ahmedabad: Top Corporate Realty Market of India

Ahmedabad has emerged as the biggest commercial real estate market in India. According to the latest CB Richard Ellis (CBRE) report, this city has been a leader for the past five years in terms of office space stock and office space absorption trends.

“Ahmedabad’s investment grade office stock grew exponentially from less than 20 million square feet in the early 2000s to 127 million square feet in 2015-at a compound annual growth rate (CAGR) of 13 per cent over the last 15 years. This has placed the city well ahead of other leading Indian office hubs”, CBRE said in a statement.

Top Corporate Realty Market of India

A combination of factors are responsible for making Ahmedabad the most sought after corporate realty destination. Some of the most critical factors have been discussed below:

IT/ITES sector:

Known as the Silicon Valley of India, Ahmedabad has witnessed phenomenal growth in the IT/ITES sector since the early Y2K controversies. Home to more than 40% of the total IT companies in India, the city still continues to attract foreign investment because of supportive government policies, conducive to growth culture and exceptional talent pool. This trend has created a huge demand for commercial real estate spaces in the city for constructing retail spaces, commercial office spaces, IT city centres and IT parks.

Connectivity:

Another reason why this city is considered as a preferred base for corporates is its excellent connectivity. Ahmedabad is home to the third largest airport in India, it is a major railway hub, and has convenient access to major economic centres of India – Mumbai-Pune region, Hyderabad, Chennai and the West Coast. In addition, the city’s local transportation network is superior to that of most other cities in India.

Growth of E-commerce and Global Captive Centres (GCCs):

Off late, major demand for commercial real estate in Ahmedabad is coming from e-commerce players and on-demand car-sharing players. Also, this city plays host to the largest number of GCCs in India, contributing to increasing demand of commercial real estate.

Breeding Ground for Start-Ups:

The booming technology sector, availability of a huge talent pool and stable government has made Ahmedabad a fertile base for starting and running successful businesses. This flourishing start-up culture is also responsible for boosting the demand for commercial realty in Ahmedabad.

Talent Pool:

Ahmedabad is home to many internationally renowned management, medical and engineering colleges. The availability of highly qualified skill pool has been one of the major reasons why corporates prefer to establish their operations in this city.

Therefore, it is evident that Ahmedabad has all the potential to sustain its position as a leader in corporate realty market in India.

Residential Apartments In Ahmedabad Good Investment Option

Ahmedabad, the town of dreams should be visited at least once in your life span. Ahmedabad is developing extremely fast as people constantly look to stay in Ahmedabad with the aim of follow a good career, and several people come just to visit it as a traveler’s place. Regularly, the population is quickly growing and residential properties in Ahmedabad are developing to give safe haven to the upcoming age group.

With the growing employment prospects people are rushing to purchase the apartment for sale in Ahmedabad so that they have their personal permanent safe house. The increasing population these days is evenly supported by the increased buying power that’s why the public are in a rush to purchase apartment for sale in India. As per this existing trend you can say that India is certainly experiencing an apartment boom.

The real estate companies of Ahmedabad are trying tougher to fulfill the ever augmenting demand of Real Estate Properties in Ahmedabad. Really with the growing industries and the development of different types of industry people are coming to live in these big cities for practiced purposes and this trend make them search a good living place for themselves through their family.

So it becomes necessary to have a decent flat or house where they can stay and live their life quietly. But at the same time they require to think regarding their budget too. That is why they search a support that could help them in getting the right home or flats in Ahmedabad without crossing their budget. Hence the major motto of the Ahmedabad real estate is not just to offer their customers a good home or flat, but to offer them a reasonable one which they can simply pay for.

Furnished flats in Ahmedabad differ a lot in the cost range because of the quality and advantage every suburb provides. While several suburbs offer transport benefits, some have a great comfortable lifestyle.

Here are several of the reasons why the city tops the list of sought-after asset destinations:

  • Ahmedabad offers a good confined market for absorbing resale actions.
  • An increasing number of builders are currently offering transparent exit options. As there is ease of exit, investors choose such markets.
  • The market provides good-looking discounts and schemes.
  • In 2017, the residential record piled up in Ahmedabad & this gave investors a possibility to get good bargains.

Another motive is the introduction of global companies to Ahmedabad that has impacted the assets values. Their arrival, of Multinationals, Information technology giant and further big companies in Ahmedabad has spurred the latent demand for high-end and luxury properties. The expert employed with these companies has high salaries and hence opt to buy 2 bhk flats in Ahmedabad instead of renting them out.

Residential property in Ahmedabad is although a grand investment and numerous people who love to invest in flats as numerous find it necessary to purchase several Luxurious flats in Ahmedabad due to the forever growing property rates. Also, with the large accessibility of flats in and around Ahmedabad, several of them either tend to purchase it or take it on rent if buying tends to be costly.

Even though the charge of flats and New Projects in Ahmedabad has been on the increase in the past 4 5 years, there has still been a rise of real estate in Ahmedabad as increasingly people still purchase the flats seeking potential investment.