Posted by Jack Macferson | 1:40 AM | | 0 comments »

Bangalore Realty Market

The ongoing realty boom in Bangalore seems finally to have ended now. The growth in prices in the commercial property market, which has experienced boom since between 2003 and 2006, has dropped precipitously. Data showcased by various property surveys show that the average price rise in the apartment costs is no more than 5% to 10% whereas it was 40% to 50% before. Bangalore had faced short-term drop that were followed by quick recoveries but not an across-the-board drop.

As for downturns, the most dramatic slide occurred in some known locations like Whitefield that had experienced fair hike in prices of the commercial property whereas those in other locations are climbing at a constant clip. However, the North Bangalore is able to maintain its price run ups that are believed to be propelled by the end users buying and investors’ sentiments.
Far more common is a decline in the South Bangalore’s property prices where buyers’ response is now less than enthusiastic and the plunge is crystal clear by low absorption and flattening growth rate of capital values.

People are more interested in buying the property with the intention to sell it within a few months to make good profits. This is what causing the phenomenon of speculative buying to loose its impetus, with investors supposing Bangalore market going high. Earlier, such speculative buying was able to drive the gains when prices were peaking at over Rs 50/sq ft a month. But, the procedure is loosing its pace now.

Commercial sector of Bangalore, which once was the hottest selling projects, has its own inconsistencies. Here, demand continues to be good, supply has kept moderate pace, and in some locations has surpassed demand. However, industry experts predict Bangalore area commercial property prices will soften but not sink.

Posted by Jack Macferson | 10:57 PM | | 0 comments »

Best Time For the Investors of Real Estate

NEW DELHI: Boom in the real estate sector is reflecting in share prices of realty companies, which have gone up by three to 40 times in the last one year. Earnings per share (EPS) of these companies have also improved, but not to the extent that is reflected in share prices.

According to merchant bankers, this growth has happened after the market re-rated share prices of these companies, taking into account future cash flow, on the basis of huge amount of land they have acquired.

Merchant bankers feel it looks like the glory days of 1999-2000 are back for the real estate stocks. A senior merchant banker, who is managing a public offering of a realty company said investors should desist from putting money in these stocks, which are quoting at huge multiple of underlying earnings.

They should better invest through mutual funds in these stocks.Unitech has seen maximum jump in share price — a growth of over 40 times, from Rs 10 in November, 2005 (after adjusting for bonus and share split) — to Rs 405 on Friday.

So real estate at the moment is on a go......
And that is good for the investors..........

Source: Times of india

Posted by Jack Macferson | 7:46 PM | | 0 comments »

Hunt the best house in the Town
House hunt or property search is one of the most worrysome part of a persons life. A house is one of the most important asset of a persons life. So before getting into a decision to buy a house one should get all the picture right of the house. There are some important things to remember before getting into a deal that a person should always remember:

1. Analyzing the Dreams, Lifestyle and Aspirations
This is a major step before going for the deal, a person should first analyze his or her way or family's way of living. For example one should plan according to the needs or according to lifestyle which sort of house he wants
i.e. apartments, villas, executive floor, independent homes, etc.
2. Calculation of the pocket size
You should check out from the bank how much loan you can be entitled to. Just calculate that much amount and now you are ready to search according to your pocket size.
3. Market Research
This is the most important aspect of a home buyer. One should do this work on his own. Generally people act on the advice of others and in the rest of the life curse that fellow for the home. Dont go that way. Go through the trademagzines, visit websites and search according to your needs, it will give you good understanding of the market.
4. Location is the king
A home buyer should always remember this thing that Location is the most important thing of the house. It should be in such that facilities like schools, hospitals, office should be near.
5. Design of the house
Layout of a house is an important thing. Before considering a house one should see weather there are enough rooms for the family. Also all the electrical provisions( AC, TV, etc) are there or not.
6. Finishing
Now look at the finishing of the apartment or house and also look at the amenites like security systems, power backups, etc.
7. Background checkup of the source through you are going to buy the house. Search that the source is reliable or not. Check out the past of the builder, his constructions, etc. Go to that places and ask the people about the builder. If going through a realtor, checkout his background also. Because many metropolitans have witnessed frod real estate agents in the past.
8. Also go to the planning board of that particular area where you are buying the house. Ask about the future plans. It will help more.

All this steps can be of help for you.