Small towns v/s big cities. Which is a better investment?

BrixResearch Moderator says: Real estate values in big cities stands at dizzying heights, making it difficult for most to buy property there. Sample this: plot rates for central Delhi are 80000-500000 Rs/sq yard presently. While property rates for plots in Chandigarh (central region) are 15000 Rs/sq yard.

Big cities are mostly chocked with development, with very little scope for expansion. Hence the focus has now shifted to smaller cities where ample space is available for expansion and the infrastructure resources cost low.

Given a choice, where would you like to invest:
- Any upcoming small/suburban town, where land and infrastructure resources are cheap
- Big city where real estate rates are high and rentals returns can fetch good profits

Share your responses in the comments section.

Can foreigners buy property in India?

BrixResearch Moderator says: We received an interesting response to a blog post. Actually, this is a user query regarding property regulations in India. Here it goes… 

“I am a Swedish citizen. My wife is an Afghan national. We want to buy a house in India. Please let me know about Indian laws that apply in case foreigners want to buy house here? What are the formalities required? 

Best Regards

Afghan Shahid”

Magicbricks launches The Earth Initiative

BrixResearch Moderator says: Magicbricks launches ‘The Earth Initiative’ as part of its commitment to the green cause. Earlier, we had organised a green walk for Gurgaon-based real estate developer Vatika Ltd. This walk - held on March 28 - was a huge success as more than 600 people vowed to save energy.

Continuing this tradition, Magicbricks presents this new segment where we would highlight green initiatives taken by individuals, real estate builders, real estate brokers and civic authorities.

Join this mission.

Tell us what would you do to save energy or promote green habits among people? Also, would you shut down energy for an hour- between 8.30 to 9.30 pm – tonight as part of Earth Day practice? Share your responses in the comments section.

Would you pay little extra for energy efficient house?

BrixResearch Moderator says: As the world grapples with energy issues, real estate developers are experimenting with techniques that help them save energy and maintenance costs of property. A lot is being done on this front in India too. Many energy efficient buildings or ‘green buildings’ (as they are popularly called) are operational in the country. Presently about 65 buildings have the green rating in India.

Energy efficient buildings may cost little extra than the conventional buildings but the long-term maintenance is comparatively low. Would you pay little extra to install energy efficient features in your house?

Share your feedback in the comments section.

Property prices poised to slide down further?

BrixBlog Moderator says: A property report by financial services provider Edelweiss expects real estate prices to decline by around 60% over the next five to six years from its peak in the first quarter of 2008. “Property prices in India increased sharply over the past 6-7 years, rising two and a half times over 2001 prices. We expect a price correction of 58% in real terms from the peak,” Edelweiss said in its report.

Market estimates show that property prices have stagnated, as compared to the values prevalent a year ago. And this too, has not stimulated much demand in the market. On the contrary the market has become stagnant. Buying and selling is happening only in desperate cases. Otherwise buyers are holding on to their cash and sellers are holding on to prices.

Does further correction in property prices mean good time for buyers? Or, does it indicate further stagnation in the market.

Please answer in the 'comments' section.

How much does 2-BHK flat cost in Pune?

BrixBlog Moderator says:- User queries are becoming increasingly popular with our surfers. This time we present Manish Jhaveri’s query. He wants to know the estimated budget to buy a 2 BHK flat in Pune. Any suggestions for Manish? Type your suggestions in the ‘comments’ section. Get going here…

Manish Jhaveri’s query: 

I am IT professional. I want to buy a 2 BHK flat in Bibwewadi, Pune. How much would it cost me? What should be my estimated budget? Can anybody guide me?

Vatika Earth Walk concludes successfully

BrixBlog Moderator says: Vatika Earth Walk – held on March 28 – turned out to be a huge success. This eco-walk was organised in Gurgaon, Haryana by property portal Magicbricks.com as a prelude to the Earth Day events.

More than five hundred citizens turned up to participate in the walk from Vatika Towers at Sector 57 to Sector 56 Main Chowk. The Municipal Commissioner of Gurgaon Rajiv Sharma formally inaugurated the event and led the walk. He exhorted the citizens in making Gurgaon a clean and green city.

Did you participate in this walk? Were you a part of any such green initiative on the Earth Day?

Share your experiences in the ‘comments’ section.

Click here for a detailed coverage of the Vatika Earth Walk

DLF to build home for ‘aam aadmi’. Is the market reviving?

BrixBlog Moderator says: Economic downturn has forced property builders to re-consider their plans. The country’s leading property builder – DLF Ltd. – has announced housing projects for ‘the common man’. This announcement comes at a time when property builders are shelving off expansion plans. DLF has always indulged in luxury projects. This is a new initiative for the builder. 

Will this revive demand for housing? Are you interested in new projects being launched at this time?

Should tenants be served legal notice?

BrixBlog Moderator says: Here’s an interesting query from our surfers. 

 

Hi, 

I own a house in Chennai. I had rented a portion of it for some time but now I need the entire accommodation for myself. Will I have to serve any legal notice to my tenant?

Please guide me.  

SK 

Need flat and furnishings on rent in Mumbai

BrixResearch Moderator: A user, working with an IT company, is being transferred to Mumbai. He wants to take a flat on rent. To save costs, he wants to rent furniture and other furnishing articles as well. His query runs as follows:

User Query: I want to rent a flat and furnish it in Mumbai? Where do I go? How do I get started? Renting is not so much a problem, but furnishing has become a headache. I don't want to BUY a fridge, TV, sofa, bed, cupboard, wardrobe etc. as I may have to move back home soon.
Is there any place where I can get an apartment and the necessities on rent?

Will you shift your home loan to a bank that offers lower rate?

BrixResearch Moderator says: The State Bank of India (SBI) is offering a special home loan scheme to customers where users are charged only 8% for the first year. However, this special interest rate is applicable for the first year only. Thereafter, the customers will need to pay the earlier contracted rates. This announcement is likely to increase SBI’s customer base. However, other banks may follow such suits to retain their consumers. 

- Will you shift your existing home loan to another bank offering lower rate?

Share your feedback in the ‘comments’ section.

Carpet area v/s built-up area. Do you know these terms?

BrixResearch Moderator says: Property-related terms can confuse many. Often users are confused between terms like carpet area, plinth area, built-up area and super built-up area. These terms are used widely by developers to define the area space being offered in their property.

Do you understand the terms carpet area and built-up area?
- Yes
- No
Participate in the detailed survey here

Do we need better property laws in India?

BrixResearch Moderator says: Does India need a regulatory authority for real estate on the lines of Telecommunications Regulatory Authority of India (TRAI) and Securities and Exchange Board of India (SEBI)?
- Yes
- No

Share your feedback in the 'comments' section

Haryana announces flexible schemes for builders

BrixResearch Moderator says: Haryana government recently announced flexible schemes for payment of licence fee for builders. It has extended the licence validity period from two to four years. This relief measure comes after private developers approached the state government for a bailout package. Many projects in Gurgaon, Faridabad, Sonipat and Rohtak had come to a standstill.

- Will this change spark some activity in the market?
- Is the government doing enough to help property builders tide over the present crisis?

Tell us in the ‘comment’ section.

SBI slashes home loan rates. Are you considering taking a loan?

BrixResearch Moderator says: India's largest commercial bank, the State Bank of India (SBI), has lowered its home loan rates to 8 per cent for new customers over the coming year. The new rate will be offered between Feb 2 and April 30, 2009. SBI will only levy 8 per cent in the first year, irrespective of the loan amount and tenure. Thereafter the customers will need to pay the earlier contracted rates, as applicable. This move will prompt other banks to follow the suit. 

- Will this news encourage home buyers in a slow market? 

- Are you considering taking a home loan? 

- Does this news excite you?

Would you pay little extra for energy efficient house?

BrixResearch Moderator says: As the world grapples with energy issues, real estate developers are experimenting with techniques that help them save energy and maintenance costs of property. A lot is being done on this front in India too. Many energy efficient buildings or ‘green buildings’ (as they are popularly called) are operational in the country. Presently about 65 buildings have the green rating in India. 

Energy efficient buildings may cost little extra than the conventional buildings but the long-tern maintenance is comparatively low. Would you pay little extra to install energy efficient features in your house? 

Share your feedback in the comments section. 

Detailed information on green buildings is available here

Which factors impact property price?

BrixResearch Moderator says: Of the following, which factors affect the price of a property:

- Location of property

- Quality of construction

- Façade of building

- Internal services/Maintenance Services

- Adequate Water and Power

- Parking facilities offered

- Social Infrastructure of the property

Share your opinion with us. Send your responses in the 'comments' section.

Is this the right time to buy property abroad?

BrixResearch Moderator says: Property markets across the world have shown signs of recessions. Property prices have mellowed down all over as there are very few buyers for real estate at this point of time. Financial crisis have added further pressure on the real estate sales.

It is estimated that property prices in the US have plunged by as much as 50-60%. Is it a good idea to buy/lease property abroad when property prices there are so low?

Share your views in the ‘comments’ section.

Will affordable housing boost property sales?

BrixResearch Moderator says: In a time when the property segment is witnessing retarded growth, property developers and home seekers are focusing on affordable housing. Property builders are hoping that affordable, no-fringe houses will sell in this economic scenario. Developers like Matheran Realty, Indu Projects, Shriram Properties, Jain Heights and Structures, Ansal Properties and Shapoorji Pallonji have already announced projects in this category. Will this move spell success for property developers?

Will property sales improve in this category? 

Tell us here. Share your views in 'comments' section.

Global slowdown: Will property prices take a dip?

BrixResearch Moderator says: Market analysts are certain that property prices in India will come down owing to the current slowdown in the global markets. Cash crunch in the US markets has set a tizzy in the global markets. Indian property developers are anticipating some ripple effect of the same. This has brought in a halt to the property prices as developers are desperate to sell their projects.

Will this market correction bring down the prices of property? Will price correction help boost sales of property projects? What’s your take on this?

Type your response in the ‘comments’ section.