Sangh Priya Gautam, the former Union minister said, farmer should be given the right to sell 100% of their land. In Greater Noida, the Formula 1 racetrack required only 1000 acres of land but 2500 acres were acquired and allotted to a private builder by the government.

Land should be taken on lease from farmers. A BJP leader said, “The ownership should remain with farmers”. Another major aspect of the centre’s draft is that the urgency clause can be imposed only at the time of natural calamity or can be imposed in case of national security.

Many people postpone buying a house during these months. This adds to the existing inventory of the real estate developer. The builder, on their part, wants to get relieved from it so he can start a new project in the upcoming festival season. Also, they would need some liquid cash in hand for the new projects.
While only a handful of developers advertise it as a ‘monsoon discount’, most are willing to offer lower rates to serious buyers. The significant of discount varies for different cities, depending on how badly it is affected by the monsoon. So, in Mumbai and Kolkata the quantum of discount is likely to be higher than that in Delhi and Chennai. In Mumbai, a buyer can expect discounts ranging from 10-20%,  a Mumbai-based real estate marketing company.

Besides the entice of discounted property prices, buyers can also avail of the monsoon special offers on home loans by banks.

Projects are not moving ahead because of lack of cash, and banks are not falling over themselves to lend money to the sector any longer – especially as the RBI has restricted such flows and had asked banks to be cautious of offering out too much money to real estate companies. What does all this mean and how are these indications going to affect the person who wants to invest in real estate?  Firstly, potential investors should be very, very careful of where they invest in. In the absence of a real estate regulatory body in place the old statement of requirement , or buyers beware is more relevant today than ever before. Developers are facing a double setback this year.

Even if their projects come up, the support of foundations and substructures promised by government agencies such as power, water , sewage, and above all, road and transport connectivity – is just not happening on time, so projects may be finished, painted and polished, but may not be livable . The high cost of borrowing money is also hitting developers and with banks becoming cautious of extending credit to the sector, many developers are now looking towards private equity and similar sources of finance, many of which are much more expensive than bank funds. Apart from expenses, many financiers are also more wary about the money they lend.

The increase in State Bank of India’s loan rates comes a week after the Reserve Bank of India raised its lending and borrowing rates by 50 basis points. SBI has also increased its standard prime lending rate by 75 bps which would mean that existing borrowers will also have to pay more for their loans. With this, BPLR goes up to 14 %.

State Bank of India has also elevated deposit rates by up to 225 bps on selected 04 maturities. Many banks have been on a rate increment spree since the RBI’s decision to raise short-term key rates in its annual credit policy on 03 May 2011. Over a dozen banks, including PNB, ICICI Bank, Oriental Bank of Commerce and Corporation Bank, have raised interest rates in past one week.

Managing Director, Keerthi Estates, K Anil Kumar Reddy, said, “Each villa, ranging from 3,400 sq ft over 300 square yards to 4,000 sq ft over 466 square yards, will be built as triplex and will have a huge multipurpose hall, which could be converted into a mini theatre or bar or gym based on the buyer’s choice”. Each villa would cost between Rupees 1.25 crore and Rupees 1.85 crore.

The project is well connected to all the reachable amenities within 10-15 minutes like hospitals, educational institutions and shopping, the IT hub, financial district, Hi-tech city, international schools. The company has to complete the project by the end of 2013, so it has already taken all the approvals for the project and began construction. They have already completed two model villas and work on 15 villas is now at a later stage. There has been good response to the project so far and more than 30 villas are booked.

With around 52 per cent open area in the gated villas project, the company is offering key facilities such as a smartly designed clubhouse along with sports facilities, a swimming pool and an air-conditioned gym among others. The project also offers a waste management system with sewerage treatment plant, supported by water harvesting system and solar fencing all around.

Keerthi Estates has so far built over 3-million sq ft of residential and commercial space and some 1 million sq ft is currently under development in Hyderabad and Bangalore.

Earlier,  the RBI had asked banks to stop giving teaser loan rates,  since it believed such loans would blow the asset quality of the bank’s home  loan portfolio. Puzzled loans offer advances at a comparatively lower rate of  interest for the first few years, after which rates were re-set at higher  rates. SBI is the last one to discontinue such special loans. Under its SBI  Easy Home Loan and SBI Advantage Home Loan products, one could get loans for  8-8.75 per cent in the first three years. After the third year, the rates would  get reset at the current floating rate structure. At 8.75 per cent, a  20-year-old loan on Rs 30 lakh would come to Rs 884 a lakh. At 9.5 per cent,  you would now be paying Rs 932 a lakh.

Those who already have SBI’s puzzled home loans  and are still in the initial three years, the old rates remain applicable. The  new rates will only apply to new applicants. Among the housing finance  companies, LIC Housing Finance is still offering a fixed interest rate of 9.9-10 per  cent for the first five years and, thenafter, the existing rates will apply. A quick calculation on apnaloan.com showed that the average  rate for a 20-year period still works out in SBI’s favor. The average rate for  SBI was 9.5 per cent, while that for LIC Housing was 10.5 per cent for the same period.

SBI  has also said there would be no penalty on foreclosure on home loans. The bank  used to charge customers a 02 per cent penalty on fore – payment of the home  loan. It will also introduce a graded processing fee, which will increase   according to the loan amount.

Here’s a checklist of the things you need to keep in mind:

• The Location: While buying a home, location is the most important factor. It is essential to take several factors into account. If you are to reside in a house, it becomes important to see the other factors such as propinquity to the work place, school, family and friends. No one would mind spending a few lakhs of rupees if the house were close to ones child’s school or ones office.
• Th Condition of the Home: If you are buying an old house, scrutinize it carefully. No one don’t want to waste a lot of money in repairs later on.
• Nearness to leisure time areas: You may want to live in a neighborhood with parks, libraries and walking trails, local markets, shopping malls, etc. as these are the points where you can relax or have fun on daily basis and also fulfils your basic needs of life.
• Future Prospects: You can have an idea about the property by the area is going to develop by looking at the current local real estate trends. Upcoming malls and hotels are a key of the kind of development that the region is expected to undertake. The more developed an area, the more valuable your property becomes. High property values are especially useful when you want to go in for rent out or selling, so that it gives you good profit.
• Your Neighbors: Try to meet the people living in the neighborhood of the choice of your area. If they are unfriendly to the idea of having you as their neighbor, it’s likely to show in their behavior.
• Finance: You need to work out the financial implications of buying a home. You will have to decide whether which home loan, which bank at pertaining interest percentage you want to opt for to finance your property. If you already have the money, you need to work out whether investing your money in a property will affect your other expenditures in any way as you may need some for unforeseen emergencies.

The weekend home trend has picked up to a great extent. People are now looking onto second homes as a new investment option as the property is bound to appreciate in future and that serves the dual purpose of investment as well as leisure. Money invested in real estate never goes down, there has always been an upward movement in this sector and the same will be in the future. The demand for second homes has been increasing steadily. With improving incomes, people have begun spending towards second. There are a number of people who prefer investing in real estate as an option for creating diversification of their overall investment portfolio. Therefore, surplus income is invested into second or multiple residencies. In order to attract buyers, the developers also agree to customize the properties as per the buyer and take responsibility for its maintenance.
The state is free from negative elements such as communal violence and the alike, making this place a comfortable and stress free place to retire in, shares an investor. Coupled up with the best of reselling, renting as well as leisure options, weekend homes are worth investing in. The scenic atmosphere and tranquility of a weekend home can be your best getaway from the chaos around.

Most of these colonies are gated domains; the trend is gradually shifting from individual plots to gated colonies, add experts, who add that more such residential high rises will come up in new sectors under the Master Plan 2025 which is still to be notified. Individual homes have issues concerning security, maintenance and cost of construction on plots, which are many times higher compared to owning an apartment. This is because the land prices are at an all time high and affordability is prime concern, especially when it comes to the middle-income groups.

The new draft development plan-2025 of Gurgaon-Manesar Urban Complex will cater to the needs of a projected population of 39.7 lakh, compared to the earlier notified plan of 2021, which was planned for a population of 37 lakh.

Under the new plan, the area covered has increased from 37,069 hectares to 37,314 hectares, of which 15,009 hectares has been reserved for residential purposes, which was 14,930 hectares earlier. Out of 12 projects announced in the new sectors, nine are residential highrise apartments while only three are individual plots and villas.
Individual villas in these projects are 3/4/7 BHK and of price range between Rs 1.75-3.05 crores for areas ranging from 2,500-5,889 square feet, depending on the location of the project. On the other hand, residential apartments of 2/3/4 BHK projects with average areas between 1,600-2,200 square feet are priced in the range of Rs 50-70 lakh.
The only plotted colony which was recently announced was in Sector 73, by a private developer. It seems some time away before Gurgaon sees more plots floated by HUDA with the growing land rates and security still a major concern.

The end user should look for a reliable name, location and book a unit in a project while it is being launched. This way one manages to save money while there is clarity in the property documentation process.

Real estate is the new sinkhole for a large portion of unaccounted money,being put into the market. And this is one reason why there will be no recession here, India can rest easy!

Land factor plays such a vital role when affordable housing projects are concerned, it only underlines the importance of planning and provision of substantial portions of land on which such housing projects may be developed. With land prices within Chennai ever on the rise, the Chennai Metropolitan Development Authority (CMDA) had to make a few adjustments to help establish affordable housing in the city.

“While preparing the 2^nd Master Plan, we have taken into consideration the high land value and construction cost. The review of space standards were made and the plot size for residential construction has been brought down from 90 square metres to 80 square metres. For EWS (Economically Weaker Sections) it is retained as 20 square metres in Chennai city and 40 square metres in the rest of the Chennai Metropolitan Area (CMA) “, says Susan Mathew, vice chairman of CMDA.

Cross-subsidization is another strategy adopted by the CMDA to combat land prices and rising costs, which stipulates a minimum of 20-25% of developed lands in housing projects for Economically Weaker Sections and Lower Income Groups. This strategy has takers, as cross-subsidization is being looked upon as an effective method of making land and building material affordable to those belonging to LIG.

While measures like reduction of plot size and cross-subsidization may be encouraging, there are those who believe that land availability is not the only decisive factor of affordable housing, it is infrastructure, at the end of the day that plays the biggest role in affordable housing. Facilities onsite, transport connectivity, sewage and basic amenities can determine whether the land in question is viable enough for the establishment of a housing project.  Investment in infrastructure is a basic and non-negotiable requirement for affordable housing, new sources of power generation, recycling waste water, investing in roads, public transport and social infrastructure like colleges, schools, hospitals and markets facilitates affordable housing.
Chennai is the 4th largest metropolitan city in India and the total population of Chennai Metropolitan Area (CMA) as per 2001 census is 70.41 lakhs and the total number of households as per 2001 census in CMA is 16.19 lakhs and the total number of housing units in CMA is 15.83 lakhs.

The National Urban Housing and Habitat Policy, 2007 stipulates 10-20% of land in every housing project or 20-25% of FAR reserved for EWS/LIG housing. The Jawaharlal Nehru National Urban Renewal Mission (JNNURM) launched by the government of India stipulates a minimum 20-25% of developed lands in housing projects for EWS/LIG housing with a system of cross-subsidization.
It is mandatory on the part of the developers to reserve at least 10% of the site area and provide houses for Lower Income Group with dwelling units not exceeding 45 sq m in cases of large-scale developments exceeding 1 hectare. This rule was brought in the SMP to encourage EWS and LIG housing developments.

“Bellevue is a rare example in India to have obtained quality certificates from Grant Thornton, Jones Lang LaSalle-India, KCB Associates, Dema Consulting and Manu Jain leading auditors and consultants. These certificates carry seal of approval from the consultants on specifications relating to the construction quality and the structural integrity of Bellevue. Certificates are going to be handed over to each apartment owner at the time of possession” says Vineet Nanda, vice-president of business development at Central Park.

Bellevue, comprising over 400 exclusively-designed apartments of 2,350 square feet to 4,650 square feet, offers modern range of amenities. These apartments overlook the swimming pool and the sprawling greenery on one side and the Aravali skyline on the other. The amenities offered by Bellevue include an amphitheatre, a basketball court, tennis and badminton courts, power backup, double-level basement parking, solar water-heating, fire safety systems, highspeed communication networks and beautifully designed park and play areas for children.

State-of-the-art construction technology, known as Mivan shuttering has been used in the project, to impart solid structural integrity and a high-degree of seismic resistivity. The project has been designed by one of the world’s largest and well-regarded architectural firms HOK (formerly Hellmuth, Obata + Kassabaum).
Bellevue is very close to the heart of the Gurgaon city centre, IFFCO Chowk, the Metro station and the international airport.
Central Park is jointly promoted by Amarjit Bakshi and K S Bakshi. It also has Ashmore PLC, a leading international PE fund based out of UK as a third partner with an equity participation in the company. Currently, Central Park has over 2 million sq ft of existing development and another 6 million sq ft are in an advanced stage of planning and execution across verticals like upscale residential development, hospitality and Special Economic Zones. The company has the distinction of being a ‘Zero Debt’ company and its market cap is valued at over Rs 5,750 crore by the PE fund.

However, since the principal burden is higher during the initial years the overall cost of borrowing was lower to that extent. With the interest rates moving up on the back of periodic RBI moves to increase repo rates and reverse repo rates, the mortgage rates have already moved up by an average of 150 bps over the last 12 months caused the axing of the teaser home loans.  Also, recently the Loan-To-Value in home mortgages being capped at 80% by RBI, home buyers will have to fork out 20% of the capital cost. Hence, the total cash burden in the initial years would substantially go up for the buyers. Secondly, the axing will bring about greater transparency in the system of dispersing loans.

The developers, however, maintain that such moves, even though beneficial for home buyers, will not have any significant impact on the realty market. Manoj John, Vice-President, Corporate Planning and Strategy, RNA Corp, says, “The move will have somewhat negative impact in the form of higher EMIs.

The teaser home loan scheme was very beneficial to a home buyer as it was introduced during a time when the economy was recovering.

Uday Dharmadhikari, CEO, , also quoted that “Teaser home loans initially are very enticing since they offer loans at low interest rates for the first two years of the tenure. Though there will be a little change in the consumer confidence, though the discontinuation of such loans will seldom affect home buyers. When the rates rise in the third year, the home owner will have to restructure finances since a rise in interest rates will mean increase in the EMIs.”

These schemes were good for those with mid-size budgets or lower income bands providing some relief on their cash flows for the first few years, allowing customer to buy their dream home.

According to realty experts, doing away with the teaser rates is a prudent move for the current situation, keeping in mind the overall asset price inflation and increasing interest rate. “Though the discontinuation of teaser loans may lower home buyer confidence but will bring in more clarity and there could be possibility that floating rates may benefit buyers in the long run”, says Shailesh Sanghvi – Director, Sanghvi Group.

If developers and realty experts are to be believed then the home loans market in India will continue to grow “selectively” though it may witness some dip. Also, the consumer in recent times has become more conscious of recent instance of malpractice in lending to a few real estate companies. The mortgage penetration in India is still far lower than most developed economies and the home loan markets remain robust.

Most of the people are seeking rental accommodation close to metro stations, which is making life comfortable and better for them. It is has also boosted the demand for rental accommodation as well as commercial properties close to metro stations. As the metro network expands beyond the capital, it is has improved infrastructure and real estate demands. Ghaziabad is one such example, with metro touching Anand Vihar and slated to move into Vaishali and Vasundhara in Ghaziabad soon, the realty scene of the entire area has suddenly witnessed a major change.

The Delhi metro network has served to be a huge relief to large number of daily and occasional commuters, who had to struggle to reach their destinations due to a poor public transport system and chaotic traffic.

Metro’s ingress into NCR cities would prove to be a game changer for realty players, and the metro factor has led to the increase in demand for flats of almost all the realty firms, said Anil Sharma, CMD of Amrapali group.    While the Metro is on the move, there is still a great scope to improvise its service.

Ravi Muthreja, spokesperson for the Anil Ambani-controlled Anil Dhirubhai Ambani Group (ADAG), confirmed that the plot on the Nargis Dutt road will house a residence for Anil Ambani and his family. The 1537 square meter plot where the Ambani house is being built came to their possession in early 2000, when Reliance gained control of BSES.

Members of the Pali Hill Residents Association (PHRA), who are opposing the project, revealed that the Ambanis have got permission to build a 66 m tall structure and applications have been moved to raise the height to 150 m.

Meanwhile, they are building their case to oppose any move to allow Anil’s house to rise to 150 m. According to them the building will affect the water reservoir which supplies water to the Bandra and Khar residents and would also be in flight path of the planes.

Anil Ambani currently stays with his wife, sons and mother at the 17-storeyed Sea Wind building at Cuffe Parade.

According to sources, Accenture has committed to take 8 lacs square feet in Pritech Park on the Outer Ring Road in Bangalore. HP and Wipro are said to have recently taken 2.5 lacs square feet and 1.2 lacs square feet respectively in Pritech.

The east and south of Bangalore has been the traditional IT belt, but now the north too is buzzing. IBM, Cognizant, Accenture and HP will be renting space in the second phase of Manyata Embassy Business Park near Hebbal. IBM has committed to 5 lacs square feet of office space in Manyata phase II. The Big Blue has already occupied 3 lacs square feet in the first phase of the park.

There is a lot of demand from IT sector as it continues to expand at the highest rate in Bangalore. Real estate consultancy CBRE estimates that Bangalore has seen absorption of 6.8 million square feet of office space this year. Experts predict that the pan-India office space demand over the next five years is estimated to be about 240 million square feet.  Tier I cities such as, Bangalore, NCR and Mumbai are expected to account for 46% of the total demand. Kolkata and Chennai are likely to see higher growth rates though, with suburban locations having attractive price points, according to a Cushman & Wakefield report.

“This project will be developed in a location next to our ongoing township with Sobha Developers at Gurgaon. We will invest about Rs 205 cr in construction work of this group housing project,” Chintels India Joint Managing Director Prashant Solomon told PTI.

Chintels Serenity, group’s housing project will house 555 flats of 1,720-3,200 square  ft., with prices between Rs 64 lacs and Rs 1.2 cr. Construction is likely to start from May next year. Currently, Chintels India, has a land bank of about 450 acres, and is developing one integrated township and four group housing projects in association with Sobha Developers in Gurgaon.

The company also has future plans for several cities, including NCR, Mumbai, Bangalore, Pune, Chennai and Chandigarh for development of residential projects in line to cash in on the growing demand for housing from urban sector.

“We are looking to develop a residential project in Mohali with a minimum land of 20-25 acres…we are in talks with certain land owners here for (entering into a) joint venture in this project,” stated the company’s MD Milind Korde.

GPL is already in the process of developing its first Rs 400 crore commercial project in Chandigarh, going to be completed by September next year. Company’s focus towards growing in the real estate sector of northern region can be realized from the fact that it has set up a 3,500 square feet office which will take care of its projects in northern region.

GPL, has presence in 11 cities across country, and plans to develop 83 million square feet of area in the span of next 8 to 10 years. It seems Godrej Properties is also keen on redevelopment of real estate projects particularly in Mumbai as they revealed their plans to go into redevelopment of areas like old buildings, cooperatives society houses and slum area in Mumbai. The company’s has other ongoing projects in Gujarat, Mangalore, Kochi, Chennai, Gurgaon, Pune, Bangalore, and Hyderabad.

The expo is organized bi-annually by, MCHI (Maharashtra Chamber of Housing Industry) a trusted name in the area of Indian Real Estate exhibitions and a member of CREDAI (Confederation of Real-estate Developers’ Associations of India). MCHI is one of the leading housing and developers’ associations in India with a membership of over 450 leading developers.

This event is India’s only OFFICIAL Property Exhibition in Dubai. Each of the participating developer in the expo is bound by a commitment of compensation for any delay in giving possession of the purchased property. This year’s exhibition will focus on ready under properties with clear titles from both affordable end properties.

An opportunity to meet reputed developers who are members of MCHI or their respective State Associations in India (CREDAI) , to find affordable luxury homes from Rs.15 lacs to Rs.80 lacs+, ready and under construction flats with attractive payment options, on the spot loan approvals and low interest rates, zero brokerage, luxurious 5-star ambience, ample parking space and free valet parking are among the few reasons MCHI suggests to attend this expo.

Buyers of residential properties, individuals and companies looking for commercial properties and corporate houses, pursuers of lifestyle and décor concepts , leading real estate developers, builders, contractors and real estate agents as well as government officials and policy makers, Architects, interior designers, consultants to mention a few, can attend the exhibition.

Residential properties real estate developers from the tier I and tier II cities of India, commercial property real estate developers from Mumbai and across India for spaces such as office blocks, infrastructure parks, shops, industrial galas, it parks, SEZs, corporate houses, entertainment parks, leisure properties, financial institutions , leading housing finance corporation, banks consists of the participants of the expo.

This event is organized by- MCHI, member of CREDAI, Co-Organizer is HSBC with Platinum Partner -HDFC & Media Partner- The International Indian. Other participants include – Hiranandani, Kalpa-taru, The man group, Rustomjee, Sanghvi group, Nahar group, Nirmal lifestyle, Runwal group, K raheja corp, Marvel realtors, G corp group, Hiranandani upscale, Jaycee homes, Acme housing, Db realty, Akshay group and Bajaj group are to name a few.

These awards would serve as the national recognition as the “The best real estate business” in the country and is the best chance to promote your real estate business and a platform for networking and validation for your business. An opportunity to benchmark your business against competitors, ongoing publicity and business lifetime of high-achiever credibility, extensive media coverage and PR with the partners are other added advantages.

The last date for nominations is 15th November 2010, open only to real estate companies, brokers, builders, developers registered and based in India. Ernst & Young will be the official tabulator for the awards.

The event is designed for all professionals with an interest in Indian and international real estate and can be interesting for : real estate service providers, contractors, developers, investors, fund/ asset managers, brokers /traders, builders, consultants, trade associates, lawyers, accountants.

According to a survey, 33% people believed that home values in their housing market are still above the bottom line while 38% believe that they have already reached a bottom.

28% homeowners expect a decrease in home values in the next six months. However, 30% of them are expecting an increase in their local market.

In totality, 27% of homeowners hope for an increase in their home values in the next 1 year, 12% expect a decrease in value, 35% say the value ill be same and 26% don’t have any opinion yet.

Mumbai will soon be gifted around 70 million sq ft of developed area by Raheja Universal out of which 26 million sq ft will be the commercial segment and 44 million sq ft will be residential segment.

The three stars received by the company from CRISIL reflect its strong position in the realty business in Mumbai. Due to its good execution track record and high quality construction, it has been able to maintain its image as a good brand. This brand name has been the major reason for the company being able to command premium prices over its competitors.

Also, other than this, the company owns an area of 1,202 acres across eight Indian cities.

There will be somewhere 2000 apartments in “Kasa Isles”. These flats fill you with delight and make your living worth. These luxurious flats are in the reach of common man and thus have the potential of attracting individuals. Studio apartment, Duplex Penthouses and 2/3/4 BHK apartments in sizes ranging from 550-3100 sqft will be offered in this project.

This project is highly influenced by the Mediterranean style architecture, especially its ambience and landscaping. The green parks guarantee hi-quality lifestyle for its residents with its large range of recreational facilities like central club and with low-height stone fountains. Some more facilities are Italian style swimming pool, sports facilities for Tennis, badminton court, jogging tracks, Card room, Mediterranean cuisine restaurant and many more.

The price list has a BSP of Rs 3390/- per sqft.

The most attractive feature of Kasa Isles is the club it is offering to the residents. In order to give its members a warm welcome, it has soothing interiors created with terra cotta walls blended with stacked stones in the club. A complete home is offered with wide & low windows, arched entrance opening to wide sitting areas, a stone fireplace, and beautiful hardwood floors.