Welcome to know & Share information about Real Estate Market & Opportunity to invest.

This blog is an effort to bring more comprehensive, precise information about the current happening of Global & specially India's Real estate market and can have also professional advise and assistance to invest in "PUNE" city which is a India's Premiere IT Hub, Education Hub added with fantastic weather all the year & Surrounded with scenic beauty of hills. "Navi Mumbai" is also known emerging investment destination.

There will be frash review and open discussion about the specific topic which may interest to you.

EXPERT/PROFESSIONAL ADVISE TO NRI's (NON RESIDENT INDIANS) TO INVEST IN REAL ESTATE/ PROPERTIES IN PUNE, MAHARASHTRA, INDIA

*we are Real Estate Consulting / Brokering & property management company, based in pune and we work in PUNE, MUMBAI & GOA’s premium high ticket price properties and also assist buyers to book or buy/purchase suitable property as per their requirements and budget and can also offer any underconstruction propery from all recognized developers in pune. It\'s like saving time and getting our expertise & knowledge to search property for interested buyer\'s.

Resale/leasing, property management will involve service / brokering Fees. (We Believe in Quality)

RERA REGISTRATION NO. A52100002438

(reach directly on my cell No. 91-7498829332, +91-9822052388, Email: deepaksundrani@thegururealty.com

PLEASE ALSO VISIT OUR NEW WEBSITE ON SPECIFICALLY DEDICATED FOR PROPERTY MANAGEMENT SERVICES website http://punepropertymanagementservices.com/


It's always good time to invest in properties in rapidly developing INDIA

Dear freinds, it has quite sometime that i am again writing as has been very busy in my core business of consulting property buyers to purchase properties in Pune, India. here, just thought to write topic of right or good time for investing properties in India as from last few years or months, lot of ups & downs are happening in the world economy and indian economy so many people are asking this question continuously.. first i strongly believe that investing in Indian real estate will reap great appreciation for next 10 years, if investors can hold their investment till this period or till right time.
Now, here are reasons to back or support my point that indian real estate has great potential to give handsome returns are
1) One Of the fastest Developing Country
2) Real Demand
3) Inflation
4) Income Growth

1) India is one of the fastest growing country in world currently which makes it more attractive as when country is developing, it will never get fall in longer run as everything will be required ie. infrastructure, industries, residences, education etc. it's country of 1.30 billion + population in which 400 millions strong middle class having equivalent to entire europe makes it's one of the largest consumer market in the world. it will attract every corporate company established & emerging to come india and expand their businesses for such vast and great consumer market.

2) Real Demand refers to huge requirement of Residential and commercial spaces in millions required in india's cities as already it's predicted that millions of units will be required for endusing in urban areas which gives great optimism that india's real estate market is based upon real demand and as we can now check and know with our past experiences of international market of dubai, europe and USA that if there is no real enduser demand then real estate growth will not sustain in long term so we can surely say that india with huge population and demand can surely will give great appreciation.

3) Inflation is one of the most talked phrase in india currently as it's affecting every aspect of life in india. i wish to highlight impact of inflation upon real estate investment because if even we say that there is no appreciation for next 3-5 years, still inflation will make it impossible for developers to offer any real estate property on same price what one can purchase it today..It is very valid point as whatever you can buy now for Rs. 1 will get you half in next 3-5 years so forget about appreciation, still whatever purchased today will get double in next few years due to inflation...another example is that money value is getting devalue everyday so keeping money in bank will not be good idea in current scenario.

4) Recently thanks to IT and corporate world where salaries are increased handsomely given lot of ready cash to young working professionals who are highly educated and understand very well that investing in properties will give them maximum returns in future and great financial support in future.

All above points and many more positive aspect of India and indian economy indicates one thing that it's time to invest in indian properties to get great appreciation in coming years..

However it's very important to understand that nowadays, real estate market is not such that buy any property anywhere and expect good returns for it and may end up no return dead investment therefore it requires proper research and after surveying on the ground, one should decide for it as an opportunities always change with the time. for that, an expert needs to be consulted & hired which will not only benefit in finding right opportunity for buying property but also to manage it professionally at the later stage as it will involve many aspect of managing, leasing / renting and selling the property at the later stage to make earning & profit out of it.

About Pune City, Maharashtra State, India.

Pune hardly a distance from mumbai commercial hub of india, also known as the Oxford of east has shown impressive economic growth in the past few decades. Pune boasts of some excellent educational institutes along with key defence institutions. In the last decade a large number of companies have also made their presence felt in the city and several manufacturing and software companies have set up their development centres in this city. The rapid real estate growth in the city is reflected through the several residential as well as commercial properties that are mushrooming within the city. Along with excellent employment and educational opportunities, good weather and cosmopolitan population are some of the factors that have cause this phenomenal growth in the real estate sector. Industry experts indicate that residential space of around 1.76 million square feet is needed with the real estate sector recording compound annual growth of 51 percent. Residential spaces in prime areas like Camp, Koregaon Park, Aundh and Baner continue to be in demand. However lack of space in these areas has prompted many property developers to shift their focus to the fringe areas of the city which include Mundhwa, wagholi, Wanowrie, Nagar Road and Hinjewadi areas. The Maharashtra government has granted approval to private property developers to establish townships in Pune as a part of the Public Private Participation model and this has resulted in development of several integrated townships. The Pune real estate market encompasses low cost properties comprising of one or two bedroom dwellings as well as sophisticated opulent villas and duplex apartments. The properties are designed to reflect the contemporary lifestyles of people with many of them having excellent modern amenities like club house, swimming pool, gym and gardens. There are a large number of projects underway in upcoming areas like Wakad, Balewadi, Hinjewadi, Pimple Nilakh etc. The residential spaces in these projects are also quite affordable. The eastern belt of Pune has developed at a very fast pace and is much in demand because of its close proximity to the airport as well as IT parks. With the development of infrastructure particularly roads, areas like Magarpatta, Kalyani nagar, Viman nagar, Kharadi & wagholi have been well connected with the city and this has resulted in a great deal of demand for properties in these areas. one more location in South pune named NIBM is also a very good investment destination as having best schools name in this area. With the rapid infrastructural development and economic growth buying a property in Pune has become an excellent investment option. The real estate prices in Pune have consistently recorded an appreciation of around 25 to 30 percent each year. There is a greater demand for intelligent living spaces that provide upscale amenities. Over the past two years high rise towers have been permitted to be developed in some areas in Pune and many real estate developers have capitalised on this thereby transforming the Pune skyline. Investing in residential property in Pune can be fruitful. However some of the variables or factors that should be taken before buying the property include the location or area, the facilities offered in the project, infrastructural development in the location and quality of construction among others.

Pune: Hub of commercial properties for Lease & Rent and Sale Preleased on ROI basis.

Greetings, Pune is rightnow one of the best city of INDIA to attract commercial real estate investment and best suitable to start the business because of presence of many national & international companies having their setup's already.

we are currently having properties, offices for corporates, co-working offices, shops, showrooms, shopping mall spaces, schools, Restaurant, hotels & hospitals for sale and lease/rent in entire pune city starting sale price range of 2 Crores to 200 Crores and preleased properties giving rental returns of more between 5-10% annually.

we are also having office spaces for lease rent near and inside all IT parks of pune full floors, entire building to be offered to reputed brands for long leasing.

for more detail, please contact Deepak Sundrani #9822052388, deepaksundrani@thegururealty.com

Property / Real Estate Investment Opportunity for NRI's (Non Resident Indians)

Pune: from last few months, NRI community will have great chance and more opportunities to invest in india because of sudden appreciation of Dollar against Indian Rupee which is almost 15% therefore if any NRI or PIO from countries of US or any other middle eastern country, have pegged currency with US dollar then they can avail straight 15% discount indirectly because of exchange rate in investing properties in India which is no doubt will give really handsome retruns or profit in near future........Ideal situation NRI's those have spare money to avail this benefit.......another suggestion that NRI's can look for investment in PUNE, Maharashtra in India as it's very fast growing city and having immense potential to give maximum profit/returns in coming years.

Saturday, June 28, 2008

Discuss: No automatic residency for property buyers in Dubai

Source: AME INFO
United Arab Emirates: Tuesday, June 24 - 2008 at 08:00
Marwan Bin Galita, chief executive of Dubai Real Estate Regulatory Agency (Rera), said there is no direct link between property ownership and residence visas in the emirate, reported Gulf News. Noting that it is 'not a must' that those who buy a property can get a residence visa, he said that even if an investment company applies for a residence visa for a buyer, the residency department could reject it.

Wednesday, June 25, 2008

Asia's realty market on a roll

Source: The Economic Times
Dominic Whiting
SINGAPORE
I N THE property world, the momentum appears to be with Asia. Funds designed to buy offices in Tokyo or build homes in China and India are sucking up money from Western investors eager to enter a region so far only grazed by the global credit crunch. But is the easy money to be made elsewhere?
Maybe in the ravaged London market in the United States in a few months if price declines slow, or even in undervalued Asian property stocks rather than in bricks and mortar? At this week's Reuters Global Real Estate Summit, fund managers ING Real Estate and LaSalle Investment Managers, the property arm of British insurer Prudential and Dubai's ETA Star Property Developers all said they were raising new funds this year to invest in Asia.
Hailing strong regional growth and a more mature investment landscape in Asia, where the advent of real estate investment trusts (REITs) has brought more transparency to the murky world of property development, the funds are aimed at pension funds and insurers. And many investors are buying it. Property investment in Asia reached a record $121 billion last year, up 27% from 2006. While the credit crunch took its toll in Europe and North America in the second half of the year, pushing down global transaction value by 8% from the same period of 2006, investment in Asia surged 22 % in the last six months.
Much of the flow from the West to Asia is about balancing portfolios. For example, German open-ended funds such as Union Investment Real Estate and grundbesitz global are starting to buy in Tokyo to diversify away from Europe. "Among institutional investors, there's incremental appetite for Asia," said Richard Price, Asia head of ING Real Estate, as he told Reuters about plans for a $750 million fund for China and another of up to $500 million for Japan. "But the question is, as their home markets reprice, will Asia be as compelling?"
Funds raised for Asia are excited about the prospect of Japanese landlords selling offices at discounts and of a potential shake-out among Chinese developers that could release cheap land and unfinished projects.
The credit crunch has made Japanese banks more conservative in their lending for property deals, threatening to soften prices of small and second-grade buildings. Yields on Grade B office blocks have risen by 50-100 basis points in the last year. In China, government attempts to cool the economy include cutting back loans to developers, who now are starting to struggle for finance because of a dismal market for public share offerings. Firms with little cash on hand and few other funding options will be under pressure to sell assets.
But many Asian office markets are slowly approaching cyclical peaks, and are then expected to hold steady. Meanwhile, in Britain, office values have slumped 18% from their peak last year, and investors believe they are free from the headaches of red-tape, corruption and dodgy land titles of some emerging markets. "I'd be a buyer of London offices now," said Asieh Man-sour, chief strategist at Deutsche Bank's property investment arm, RREEF. In Europe, fund managers and analysts are putting their faith in the continent's inflation-linked rental contracts to boost yields, which are already widening because of falling values. US commercial buildings are also starting to attract interest from around the world, with prices seen dropping a further 10 percent in the next year after a roughly 5% fall since mid-2007. The credit crunch has dried up the type of big private equity deals common in 2006 and the beginning of lastyear, helping suppress prices, but long-term fundamentals are considered healthy.
"Because the dollar is so low, the US is up for sale," said Mansour, adding that she had talked to several Japanese pension funds that were keen to snap up assets in the United States. "If you can see beyond the current weakness, this could be a good vintage year to buy." Even for those investing in Asian property, securities fund managers are questioning the rush to private equity funds that buy buildings, while shares of Japanese office REITs are trading at discounts of 40-50% to their net asset values.Reuters

Real estate FDI inflow up nearly five-fold

Source: The Hindu Business Line
New Delhi, June 24 The Indian real estate and housing space emerged as the darling of foreign investors in 2007-08, clinching FDI equity inflows of about Rs 8,749 crore, a near five-fold increase over FY07.
"The investors have seen that the real estate potential in India is huge. The returns are quite attractive. In fact, we see the trend picking up even further this year as the prices are getting more attractive for investors," Mr Ra-mesh Sanka, Chief Financial Officer at DLF said.
Late last year, DLF Ltd had sold 49 per cent stake in eight residential project SPVs to private equity investors for a total consideration of Rs 1,675 crore.
A Merrill Lynch & Co entity had bought 49 per cent equity in seven residential projects in Chennai, Bangalore, Kochi and Indore for Rs 1,481 crore. The company headed by Mr K.P. Singh - has also diluted 49 per cent stake, in another middle-income housing project in Panchkula, Haryana, to Brahma Investments for Rs 194 crore.
According to data released by the Government on Tuesday, the real estate sector, thrown open in 2004-05, saw the FDI picking up significantly between FY05 and FY08; it was Rs 171 crore in 2005-06 surging to Rs 2,121 crore in 2006-07.
"Over the last three years, there has been a build-up in investor interest. We saw the impact of that interest and euphoria for FY07 and FY08 as new townships and projects were announced. Depending on the asset class within real estate sector, the average rate of return stood at 25-35 per cent for India, against a global average of single digit return," Mr Sanjay Verma, Executive Managing Director, South Asia, of Cushman & Wake-field said.
"However, at the beginning of the current year we have seen some asset bubble deflation. With prices moving southwards, choppiness in the stock markets, pressure on interest rates and global issues, while deals will still happen, pricing will be the question," Mr Verma added.

Demand for Housing set to grow: NIBM

Source: The Financial Express
At least 68 million Indians will require independent housing by 2015 and add to the housing demand of nation due to age-demographic effect. Inthecase of urbanpopu-lation, the additional need for housing would be 31 million, a report on the 'Study of Residential Housing Demand in India prepared by the Nation-al Institute of Bank Management (NIBM) for National Housing Bank (NHB) said.
NIBM has forecasted additional demandforhousingfor 2012-13 at around 6.79 million, a figure that has been projected by the 11th Planning Commission. Studying the linkages between housing demand and other sectors like steel and cement production, NIBM has estimated a 10 % increase in realised demand for houses (proxied by number of loans disbursed by HFCs and banks) resulting in a 4.59 % increase in steel produc-tionand 4.67% in cement production.
A typical borrower, according to the study, would most likely to be a male in the age group of 40-50, a significant 25% were below 35 years of age. There is a falling trend in the average age profile of those purchasing houses. . Urban citizens have a greater demand for bigger houses in comparison to their suburban counterparts and the demand for houses in terms of size in the rural area is lesser than the population in suburban areas, the study said.
Studying the risk analysis in housing, the sti dy found that when the ;i;:e of the house increased, the risk of default was lower, the monthly income was higher which thereby lowered the chance of defaulting in payments. The security value as proportional to the original loan amount was an important determinant or risk of defaults in housing loans. The study also maintained thathigherthe security margin available to the bank, lower was the chance of defaults in home loans. The likelihood of defaults in housing loans decreased significantly with the presence of additional collateral and the presence of more number of co-borrowers reduced the risk of defaults, the study concluded.

Friday, June 6, 2008

INVEST, SELL AND THEN BUY

Source: The Economic Times
Properties in the metros are literally going out of the reach of common people, the latest is to invest in affordable houses on the periphery, and later on encash these assets to purchase another house in the city. ET Realty explores the idea of buying property in the peripherals.
M eet the new home buyer, who is actually a medium-term investor with a long-term end-user perspective first, an investor on the outskirts of the city, and later, a buyer in the city.
Take a look at the case of Sanjit Baijal, a guy in his late twenties who works with a retail company. He wanted to own a house in Delhi itself. Anything which can be called a decent accommodation comes for nothing less than Rs 50 lakhs, whereas, he had only Rs 15 lakhs to spare. The result- he explored options in this range and combed the projects across Delhi NCR.
The projects in affordable range were all on the periphery of Delhi, further away from the suburbs. He finally invested at the Ansal Town project at Karnal where he bought a plot of land measuring a little over 200 sq yards for Rs 16 lakhs. "I think I got a good deal -I am happy with the corner location of this plot. I hope to sell it off for good returns, in the next five years, and then buy a decent three bedroom flat within Delhi," he says.
As affordable housing becomes the key to sales in a slowing market, key Delhi real estate developers are developing affordable residential property along the National Highway No 1, 2, 8, 10, 24, 58, 65 - left, right and centre! So whether it is Kundli, Sonepat, Panipat, Karnal, Ambala, Chandigarh or Faridabad, Mathura, Agra on National Highway No 2; or, Manesar, Dharuhera, Bhiwadi on NH-8, they all abound in projects in a price range of Rs 15-30 lakhs. What's more, they come with add-ons of lifestyle living.
Says Radha, "Delhi is now beyond end users. It is only when one gets lucky with a lottery or a windfall of ancestral property that one can afford to buy a decent accommodation here. The rising interest rates are also not helping anybody." She adds that there is hardly anything available for the middle and the lower middle classes. Most of the affordable properties being launched now are in the peripheral areas where infrastructure is yet to come.
Meet another investor-buyer Parikshit Satija, a banker with a private company. He invested with the Ashiana project at Bhiwadi. Parikshit expresses, "How much can a middle class person afford to shell out more than Rs 25 lakhs, today? When I saw Ashianas tag line middle class budget, world-class living, I said this is it." On an average, a 3BHK covering 1275 sq ft area costs Rs 23-25 lakhs and this includes lifestyle features of a landscaped large central lawn, internet enabled apartments, club house along games room, TV lounge and party hall, besides other regular features.
But on second thoughts, he was not very happy with the location of the project at Ghaziabad. And since it was only an investment, he surfed more options and the Ashiana Angan project appealed to him immensely. This one was at Bhiwadi, a better destination and at lesser price - a 2BHK of 1200 sq ft was going for Rs 20-22 lakhs. Developers have an interesting take on the new buyer. According to Ansal APIs Kunal Banerjee, President Marketing, "In all these peripheral real estate projects, the client-mix earlier comprised a ratio of 70% speculators or
short-term traders in real estate and only 30% long-term investors. The latter would hold on to the property for 2-3 years, just as they would treat their blue chip account or FTC shares. But this was the scenario two years back, when real estate investment reaped immediate returns. In the current situation there are zilch speculators and 50% long-term investor and 50% actual buyer. The affordable properties on the periphery are certainly driving and acting as revitalisers in a slowing down real estate market.

Emaar MGF plans $3bn expansion in India

Emaar MGF Land, a joint venture between Dubai's Emaar Properties and India's MGF, is to develop 31 million square feet of area in 10 locations in South India with a planned investment of $3bn. The first of these developments to be launched is Boulder Hills Golf & Country Club, a leisure and residential community in Hyderabad. The $1.4bn project features an 18-hole championship golf course, luxury residences, large format retail facility, luxury & boutique hotels and IT park.

Wednesday, June 4, 2008

Small flat owners may get property tax relief

Source: The Times of India
Mumbai: Small flat-owners across Mumbai could expect greater relief in their property tax assessments. All party MLAs on Tuesday proposed that no changes will be made in the tax structure for flats with an area up to 500 sq ft for an initial five-year period.
Put simply, lakhs of middle-class residents in chawls in the island city and those living in old buildings in suburban Mumbai could be spared any increase in the property tax which would shortly be levied on the basis of the market value of a property as against its rental value.
The proposal was discussed at the joint select committee meeting of the state legislature which met on Tuesday to seek an all-party consensus to shift to the capital value system of determining property tax while protecting the interests of the middle-class. At present, property tax is calculated on the basis of the rents determined in 1940.
Minister of state for urban development Rajesh Tope chaired the meet. While the MLAs unanimously agreed to the state government's proposal to determine property tax as per the ready reckoner rates, it was proposed that any increase should be restricted upto 1.5 times of the existing property tax in case of residential
premises and three times in case of commercial premises.
"In other words, if a resident of Dadar is presently paying Rs 100 as property tax, he will pay upto Rs 150 with the shift to capital value system. Similarly, in case of a commercial gala at Chembur, the owner who pays Rs 1,000 now will pay a maximum of Rs 3,000 after the rental value-based system is done away with. Though the property rates would be higher, we have proposed a cap on how much tax can be levied," a city MLA said.
For those renting their residential or commercial premises, the new capital value-based system of assessing property tax promises to be a boon. "Presently, the flat-owner has to pay 110% of the rent as property tax to the BMC. We have now proposed that property tax would now be levied on same formula which is 1.5 times of the existing tax in case of residential premises and three times of the existing tax in case of commercial premises," the MLA said.