Good Infrastructure boosts India Property Rates

A good Infrastructure is crucial to increase in demand of realty market. It is witnessed that places where there are good infrastructural facilities in the country, properties prices have shot up. Property in Gurgaon is a good example. The presence of international airport near Gurgaon has led to the growth and development of the city. Residential and Commercial property prices have shot up.

Airports are very important part of the infrastructural projects. Presence of an airport in the city definitely gives stimuli for development of micro markets. Existence of airport or scrapping of it has far reaching impact on the real estate of that place.

India Property is giving two classics examples are the properties of Greater Noida and Navi Mumbai. Announcement of the proposed airport has lead to price rise in these two cities. The entire infrastructure of Navi Mumbai is expected to witness a paradigm shift.  For the greater Nodia property prices where the proposal of an airport was cancelled shifted, land values will slow down.

Properties in Mumbai, especially the Navi Mumbai has significant improvement. The announcement of airport has raised the realty prices of this new developing region. Along with the airport, there is also a proposed metro rail project in this region. These infrastructural developments have attracted real estate companies, property developers and investors. Many well-known developers are planning and initiating commercial and residential projects in this area. New projects are coming up near proposed airport location.

The development of area in the Greater Noida area would take place have the proposed airport plans were effective. But the cancellation of the airport in this region will in the future reduce the interest of developers and investors. The greater Noida region would have a parallel economy and would be the hub of many industries, like Gurgaon. The real estate picture of India Property, Gurgaon is amongst the top. The nearness of international airport from Gurgaon makes it the center of business and commercial activities in the Delhi-NCR region. 

India Property

Real Estate of India is witnessing a demand in commercial and institutional properties in all the major cities of India. India Property market for the rental segment is also recording an increase with residential and commercial growth. Residential rental markets in cities like Mumbai, Bangalore and Delhi-NCR is showing an upward graph. And the commercial rental market in stable in the Indian Property scenario.

The city of Pune witnessed a growth in the realty market as other sectors developed. There was a rise in demand in residential market in this city as migrated population in the city kept on rising, mostly because of work reasons. Even the commercial space rented by offices and retail units are doing a good business in Pune.  

In a recent property report in Pune, the retail realty market in Pune has recorded a stable retail segment. The mall space supply in Pune stood at 2.27 million square feet.  The city is expected to have about one million square feet by the second half of 2012 or early 2013. In the report, the overall India Property retail place was about 20%, which is marginally higher than last quarter.

For other cities of India, the high streets shops have recorded are high increase in rental value as against the malls there. The result reflected the retailer’s interest in high street properties in India. The property in Pune and Gurgaon saw a rise in rent in the high streets shops, about 7 to 8 %.

The rental Property in Pune for the malls were stable as there was sizeable vacancies. For the same, the high streets of MG Road and JM Road in Pune witness an increase in about 8% rentals. This was because of lack of space options. The report also mentioned that the overall vacancy rates of mall are likely to fall as the rentals will remain stable.

Demand of NRIs for ready to move Chennai Properties

Properties in Chennai are getting attention of the NRI buyers. The volatile condition of rupee against US dollar is taken advantage by the Indians residing in the US. Chennai real estate market is pulling the NRI investors and they are investing the market like never before. The realty market of the city is becoming 20% more affordable for the NRIs due to fall in rupee price. Leading property developers of the city is saying that they have witnessed a jump in enquiries.

According to many sources from the real estate market, the NRIs are looking for residential units in the city. Many prefer to buy ready to move residential apartments in Chennai. The NRIs buy these flats for their relatives or parents. These residential purchases will help them get periodical return on investment.  To buy ready to move residential properties in Chennai they are willing to buy at extra premium. Mostly prefer projects located in and around the city. Price range of residential units mostly in demand is from Rs 30 lakh to Rs 1 crore. This price bracket is for apartments in Chennai. Some NRIs also prefer to buy villas and plots in and around the city.

Many realty experts feel that the preferred locations for investment in the city are ECR, OMR and some parts of Velachery. Besides the falling rupee, other factors that contribute to the rising demand of properties in Chennai are competitive lending rates of overseas financial companies and favorable exchange rates. Majority of demands are from NRIs settled in USA. These NRIs have good credit history and sometimes get loans at zero percent interest rates.

Home Loans for your Dream House

Buying your dream house just got easier. With easy availability of finance schemes, purchasing property in India got a lot more relaxed and hassle free. Earlier, arranging finance for buying residential properties in India was not easy. Government employees did get benefits from their organization. However, for people engaged in private organization, buying a house was not that easy.

Now, home loans are easily available for private employees as well as businesspersons or self-employed. As matter of fact, there are so many types of home loans available in the India Property market that it becomes confusing to select the one that match according to requirement.

Most of the home loans available are for long-term period. Usually, borrowers take home loans for 10-20 years term. Since many take home loans for long-term period, it is very important to select the right finance option. The real estate market of India offers home loans from government banks as well as private finance institutions.

The home loans plans available are classified based on repayment tenure and interest rates. The first important factor the borrower should decide is from which financial institution avail the loan. This is one of the important factors as it becomes difficult to change the lender later. Home loan is long term financial commitment, so it is always advisable to do research before applying for loan. Borrowers should ask previous customers and follow their feedback.   

While selecting home loan for house/flat/residential property, also make enquires about interest rates. Usually government financial institutions offer lower interest rates that private ones. The interest rates differ from bank to bank. Also, there are floating and fixed interest rates on home loans, so it is always advisable to compare before applying.

 Other important factors include processing charges as well as hidden charges. Experts advise that it is better to go for longest loan amount tenure available as it reduces the EMI burden initially and increase the home loan eligibility.

Southern Cities of India attracts Realty Investors

Delhi and NCR in the north, Mumbai and Pune in west and Calcutta in east are hot destinations to invest in the present times. Realty experts vouch for these cities for home buying and property investment purposes. Real Estate India in the present times is booming after a period of lull. Business activities across these cities are growing rapidly. Residential and Commercial properties are finding many takers.

But what about the southern cities, which are also part of real estate India. Off late, the cities in South India such as Chennai, Hyderabad and of course Bangalore have created a special place in the real estate market of India. Realty experts in the country are keen on investing in projects in these cities. Foreign investors are also tapping the southern market like never before.

South Indian Cities offers 45% of the total office space. This is expected to increase, particularly in cities like Hyderabad and Bangalore where IT MNCs are setting up branches. In the realty sector, these cities are expected of grow at about 20%.

The residential property market in India for southern markets was resilient in the past few years. Significant sales are recorded in Delhi-NCR and Mumbai region. But many new projects are coming up in these cities. Bangalore is coming with new residential projects, which feature excellent amenities. Other southern cities, which are featuring in the Real Estate India map, are Coimbatore, Vishakhapatnam, Kochi and Mysore. These are becoming the next hubs of real estate sector. Foreign investors have started investing in these locations. These cities have low realty prices, which is a good thing for investors. Nevertheless, with closeness to other big cities of South India, these cities are soon expected to boom in the realty market. 

Favorable Time to invest in the Indian Real Estate

The rupee is depreciating everyday against the dollar. The stock market is ranking. These two seems to daily news headlines for some days now. While the currency market swings and has its effects on the stock exchange, the residential Indian Real estate is on buoyant position. With fast urbanization in the cities, buyers are using the real estate as an investment option.

The present realty picture for the Indian real estate is rosy.  Take the example of cities like Bangalore, a rapidly developing city that has demand from buyers across various price points. The growing number of employment opportunities in the city and more entrepreneurs showing interest in Bangalore properties, the demand is surely rising.

To investors, this is the good time to invest in property. Investing in the Indian real estate sector is a better option that in uncertain equity-based investment options. There is no doubt that property is a long-term asset, similar to equity. In addition, property is a tax efficient tool and generates good rentals in the temporary period. In addition, another good reason to invest in property in that returns on property is more as capital appreciation in realty registers more in the long term. And the best part, investing in property is more risk-free than equity as real estate is not as liquid as compared to equity funds.

Considering these factors, the Reserve Bank of India (the central bank of the country) has cut the repo rate in its last credit policy. This move will lower the home loan interest rates and as such will be a good move for the India realty space. The property rentals have recorded a rise as commercial development in the cities is coming up.

Solar Energy to Benefit the Realty Industry of India

The India Property development picture presents less use of solar energy. Solar Energy resources are tapped by various other sectors, yet it’s in the nascent stages of use in realty sector of India. This is slowly getting importance and many new real estate projects including residential units are installing solar power plant. Houses with solar power plant on the roof are being constructed. There are many benefits of installing solar units in construction of commercial real estate projects.

Government Policies and Subsidies in installation of solar power generation units:

In India, realty projects will get a subsidy between 30-70 % on installation of solar power plant on rooftop. Government also provides about 80% tax benefit for rooftop solar plant to realty projects.

Property Developer and Builders Benefits from this technology:

The solar technology adds a green image to the realty ventures. Builders and property developers can cash on this visible green image. This technology will not only add environment friendly tag to their projects but also increase the value of their roofs.

Many Developers are installing Solar Projects:

With the constant rise of petrol and diesel prices leading to high cost of consumption, many developers install solar power plants. A new Gurgaon properties is coming up where the developers are installing solar power plants in rooftops. This way the developers will save on expenses and can provide free energy in few years. Also, the environment will be saved.

Less demand of solar energy technology from the India property sector, expected to grow in the coming years:

Manufacturing units, industrial enterprises and commercial units are adapting this green energy. They are tapping this form of energy and generating power. It is expected that in the coming years, residential societies will install this technology. Many educational institutions and office units are also using the unused space to install solar rooftops.