Real Estate and Women, no more a Chalk & Cheese combo

Nowadays more and more single women are buying homes and very conveniently outnumbering the males. This change is phenomenal and hence is inviting opinions from various analysts. A lot of reasons are being associated with houses being purchased by single women. Some of the reasons are like men are used to a cocooned life and so continue to stay with their families for long, divorce or the death of a spouse or other relative is also a reason for women being more active in purchasing a house

There are some other financial reasons as well like women get a lot of tax benefits when they invest, a number of tax deductions at the time of assessing property tax and many other.

But apart from the above reasons there are a few more reasons for this sea change in the prospective Real Estate customers

1. Owning a home has also become a keystone of a long-term financial planning, particularly for women. Over the last few years particularly, as the stock market has been shaky and uncertain, real estate has continued to appreciate. It has also been less volatile and with a good growth rate. That's a big deal, particularly to women who worry more about finances than men do.

2. Single women are not only the fastest growing segment of homebuyers, they account for one-third of all condominium purchases and they're buying a greater percentage of second homes than ever before.

3. Owning a home is also an emotional booster. Researches show that homeowners are more likely to participate in community service and political activities. Also, children of homeowners are likely to perform higher on academic achievement tests, more likely to finish high school and have fewer behavior problems in school.

4. Also, women now earn handsome salaries, doing big deals and proving there business acumen. With this attitude they value their independence and privacy which makes them purchase a separate house for themselves.

5. The women of today does not prefer depending on anyone and no longer think in the way that their husband’s house is theirs in a way and also they now vote for nuclear families and thus go ahead for purchasing a house or a second house.




Contributed By : Lalsa Verma

Tidal affects on Commercial Real Estate across the country

Mushrooming IT companies have given a big push to the rates of commercial property in the country. In past few years, the IT sector in India has grown manifolds and has reached to new heights which mean more work and more of human resource and which in turn makes multinationals look out for bigger spaces for their enlarged operations into a single large building. Such a growing trend among various national and international IT companies in India has lead to the growth of commercial real estate to such a great extent.

Commercial real estate is soaring and the statistics are incredible. According to the property data exhibited by DTZ, in 2006, 10.6 million sq ft commercial space came up in the NCR and out of which, 4.6 million sq ft was pre-committed. Trends in the commercial market are changing fast, earlier the companies used to own a building but now they prefer to lease it. Initially the developers were indulged in only those commercial constructions with pre-commitments but now they blindly invest in a commercial project as the market suggests that they will get business with time.

In the country’s capital the rates of commercial capital and rental properties are surging like anything which is slowly making the properties in of ‘A’ grade less available. Since these ‘A’ grade properties will be soon unavailable people in Delhi have turned towards the secondary market like Saket, Bikaji Cama, Dwarka etc for commercial properties.

Commercial real estate prices are not only escalating in the capital but in almost all major metros and other important cities. Silicon Valley, Bangalore according to a real estate consultant Cushman and Wakefield, occupies 33.75% of the total commercial land being consumed in India.

Chennai takes second position as it absorbs 6.4 million sq.ft commercial land; Mumbai occupies commercial space of 5 million sq. ft., followed by Hyderabad at 3 million sq. ft., Pune at 2.6 million sq. ft. and Kolkata at 1.5million sq.ft.




Contributed By : Manish Bhasin

The new Realty Action – The Apartment Action

The trends are changing and the preferences as well in the capital and the regions around it. Delhi has been always known for its business environment, shopping bazaars and stand alone houses where the Delhites have satisfied themselves with either duplex or stand alone houses. However, the living trend is somewhat different in cities like Mumbai and other Metros where living in expensive apartments has always been a matter of pride.

But nowadays such trends can been seen emerging in the capital and the NCRs rather not just emerging but frenzying people. For example, a complete block in Noida that was dedicated to the residential apartments got booked in a matter of few days despite of the high cost of Rs 4 crore.

Well these apartments are worthy of such huge amounts and people going crazy for them as they from offering the ultimate comfort and security, has also become a status symbol for many. These apartments are ultra modern and are associated with various advantages of in-house clubs, gyms, spas etc.

Delhi and NCR are not alone in this race of luxury living but places like Chandigarh, regions around Mohali and Zirakpur are also entailed in full pace. For instance the upcoming township in Mohali called “Ansal API golf Links” by the well-known Ansal Group houses a multi usage mall, a multiplex cinema, and a hotel of international standards and a lot more. Another example that can be considered is the West End Estate of Chadha Group coming up in Mohali. This Estate is to be developed as a sports village where various world class sports facilities will be available to residents of the township only.

It seems like that these trends will soon change the lifestyle of people not only in the Delhi NCR but across India and will leave the so-called contemporary living way behind.

Contributed By : Rahul Gandhi

DDA strives hard to find a buyer

Figure 38 has all of a sudden become a target that seems to be unattainable for Delhi Development Authority (DDA). The Authority out of 38 plots set aside for the purpose of sale has been able to attract buyers only for 13 plots.

These plots are to be used for the development of five stars and other star hotels as a part of preparation for the happening of mega event of Commonwealth Games in Delhi. Construction of these hotels is likely to make up for around 5,000 rooms.

DDA finds it all the more difficult to sell out its plots as the major hoteliers have already decided on the plots where they plan to develop hotels to meet the accommodation requirement at the time of Commonwealth Games. The major UK and US based hoteliers like M/s Crimson Hotels Limited, Hampshire Hotels and Resorts LLC have already queued up in various sectors of Noida.

The reason that is expected to be responsible for the poor response to DDA’s offer is the location of most of these plots. These plots are situated at areas like Dwarka, Rohini and other secondary locations whereas South Delhi is known to be the prime choice of hoteliers.
Albeit the DDA is working on strategies to attract the attention of potential buyers the present scenario does not favour the authority at all. It had received an excellent response in 2006 when the authority put 16 sites for auction and 11 were sold but this time achieving such a remarkable result seems next to impossible.




Contributed By : Vivek Hundal

Orange City Nagpur – New destination for NRI Investment

Maharashtra’s second capital, Nagpur off late has been in the news for the tremors being created by booming Real Estate.

The orange city as it is popularly known as for its oranges, has gone through a series of reforms and now has all that a modern city can offer in terms of roads, infrastructure, education, health facilities and is all set to lure NRIs and foreign investors to invest. With the announcement of the prestigious Rs 3,150-crore Multimodal International Hub Airport at Nagpur (MIHAN) in 2002-03, Real Estate prices have seen a steep upward curve. A number of locations around the proposed MIHAN project have seen high escalation in land and residential rates and one can also witness a multi-product Special Economic Zone (SEZ) adjacent, to be operational less than two years from now.

Many MNCs, big IT and Telecom companies are investing in Nagpur, which is easier due to quite some initiatives by the Govt, which gives the city one more advantage of giving people employment and itself becoming a major business hub next to Mumbai in Maharashtra.

This is a small report compiled by me to give investors an insight of teh booming Real Estate Mraket in the Tier II cities, specially Nagpur, which according to a recently published Knight Frank Report, is the second on the list of booming Real Estate Investment markets in India.

Click here to download the report

In case you guys find this useful, please connect to me on my profile or leave your comments.






Contributed By : Prabal Dhingra

Kolkata - Real Estate Market Analysis

Kolkata is the next propective Real Estate market which has been ranked above Delhi and Chennai on the future business attractiveness index (FBAI), says a business perception survey conducted last year by the Confederation of Indian Industry (eastern region).

Here is a complete Market Analysis on Kolkata Real Estate under the following heads

- About Kolkata as Real Estate Destination

> Kolkata Fact Sheet
> The City Spread Out
> Advantage Kolkata
> Kolkata Contributes to GDP
> SEZ’s in Kolkata
> Construction Investment in Kolkata
> Average Real Estate investment in Kolkata
> Cost of Living and Market Potential Value

- Past, Present and Future of Real Estate Developments

> Transformation in the last five years
> Development for the next five years
> Up Coming new townships
> Mega Projects

- Kolkata’s emerging IT destinations

> Salt Lake and New Town
> Salt lake and Rajarhat would provide
> Major Developments - IT / ITeS Sector

- Residential Overview

> Residential Values – East, South West and South Central
> Residential Values – Central, North, South and South Eastern
> Key Players in Residential Developments

- Retail Overview

> Retail Overview
> Kolkata Retail RE – Zonal Segmentation
> Major developments – Mall
> Current and Future Major Retail Mall Development
> Key Players in Retail Developments

- Office Market Overview

> Overview
> Rentals in High Street Location
> Key Office Space Occupiers
> Key Players in Retail Developments

- Conclusion

Click here to download the report

Hope you enjoy reading this article and it gives you an insight to Kolkata offering good investment opportunities.

Contributed By : Hemant Sikaria

20 tips on how to sell your home faster

Contributed by: Pinnacle Realty (http://www.mumbaiproperties.com/)

Suite # 24, Royal Tower, I.C.Colony, Borivli West, Mumbai 400 103

Board Nos: 2893 3333, 2892 5252, Cell : 9820 1515 00

Email : ram@pinnaclerealty.in

SET THE STAGE FOR A SUCCESSFUL SALE

Selling your home is just like selling anything else. You need to highlight its strengths. Focus on its features. Bring out its best. Here’s a list of places to start.

Ø Make a lasting first impression
The front door should be clean and presentable. If the doorbell is not working repair it.

Ø Don’t hesitate to decorate
Faded walls and worn woodwork won’t sell your home. A small investment in paint or wallpaper will.

Ø Let the sun shine in
Open the drapes and curtains. Clean the window and panes. Turn on the lights. House buyers are drawn to bright, cheerful interior.

Ø Call the plumber and the electrician
Dripping water taps suggest worn out plumbing or careless maintenance. Clean those rust stained sinks. And make sure the drains are running free and clear. Loose electrical wires, broken sockets and fused out bulbs, flickering tube-lights are a no-no.

Ø The devil’s in the details
Loose door knobs and handles. Creaky doors. Door latches not closing smoothly. Sticking drawers. Wobbly hinges. Jammed windows. They can all cost you a potential customer. Fix the defects and they make a sale.

Ø Safety sells
Keep staircases and corridors clean and free of clutter. Cluttered areas are not only unattractive; they are dangerous as well.

Ø Sell the whole home
Let prospects see the big picture. Make sure your attic is presentable, your garage is neat and your basement is organized. Give storeroom space a clean coat of paint.

Ø Buyers love big closets and wall cupboards
And they look even bigger when they are clean, neat and well organized. Get rid of piles of clothes, old cartons and other clutter.

Ø Bathrooms are big sellers.
Make bathrooms sparkle. Clean sinks and bowls. Recaulk where needed. Make sure towels and bathroom mats are freshly washed.

Ø Wake up your bedrooms
Remove excess furniture. Use attractive and colourful bed linens and spreads. Open the drapes and curtains and let the light in. Remember, this is where your buyers spend one third of their lives.

SHOW AND SELL
It is now showtime! Here are ten suggestions to help you make the most of it.

Ø Lighten up
Home buyers love the light. By day, let the sun shine in. By night, turn on all your lights, inside and outside. Don’t forget the accent and picture lights.

Ø Avoid crowds
House hunters hate crowds. When your brokers shows your home, send the children away to the neighbours and take a long walk.

Ø Silence is golden
When your home is being shown, turn off the radio, television, stereo or any other noise-producing source. It will make your agent’s job easier.

Ø Keep pets out of sight
Make your pets disappear when your house is being shown. Your prospect may have different tastes in animal than you.

Ø Stay in the background
Do not try to engage your prospects in conversation. Let your broker do his or her job and let your buyers inspect without interruption.

Ø Be prepared
You never know when your consultant (agent) may need to show your home on a moment’s notice. So, make your beds and tidy up each morning, just in case.

Ø No apologies necessary
Nobody’s perfect. There’s no need to apologies for the appearance of your house. Let your agent field any negative comment.

Ø Sell the home period
Don’t try to sell your prospect your old furniture, appliances, lamps or anything besides your house. Save it for after the sale.

Ø Leave it to professionals
Let your broker discuss selling price, terms, possession dates or other such details. They have been carefully trained and will negotiate on your behalf.

Ø Show by appointment only
Your agents can schedule all showings including those from other real estate offices. All you need to do is to make sure your home is ready to show.






Contributed By : Ramprasad Padhi

10 steps to locate that perfect home

Contributed by: Pinnacle Realty (http://www.mumbaiproperties.com/)

Suite # 24, Royal Tower, I.C.Colony, Borivli West, Mumbai 400 103

Board Nos: 2893 3333, 2892 5252, Cell : 9820 1515 00

Email : ram@pinnaclerealty.in

Buying your home is one of the most important purchases you will make and possibly the biggest investment we make in our lifetime. This guide is to help your property buying experience anywhere in India and it is for use whether or not you are working with a real estate professional and designed to save you time, money, and stress.

ABSOLUTELY CRITICAL to all purchases is your due diligence, your duty to yourself to thoroughly assess your investment to be. INSPECT AND VERIFY all possible aspects and representations of the property that you will be buying.

1. Examine your motivation to buy : Home buying requires a thorough analysis of your financial situation coupled with your list of needs and wants for a new home. Determine what are the main factors that you want to buy a new home. Is it the joy of owning an asset, moving from a rental home to a owned property, availing of a home loan to get those attractive tax breaks or as an source of revenue generation by renting it out. Honest answers to this introspection should be the first step for buying the new home.

2. Fixing your Budget : Clearly the most important homework to do before you actually venture out on the home hunt exercise. Ascertain the down payment you can make towards the purchase of your home and the quantum of money that will be financed by way of a home loan. Always work with a margin error of 5 – 6% to avoid getting sqeezed financially at the finale of the deal closing. Also work out the overheads like stamp dyty, registration, society charges etc which can variate between 7 – 12% of the basic cost. The best way would be to make a affordability analysis and get a realistic picture of your budget. This way there will be no room for nasty surprises during the home buying process.

3. Obtain Pre Sanction : Typcially more than 90% of today’s home buying is done by availing of home loans and if your are one amongst them, it would make sense to get pre sanction. Few buyers understand the fact that it is possible to get a pre sanction of your home loan based on your income statements, without selecting the property. And it makes sense to have a sanction letter from your housing finance company when you are house hunting. If you come across the dream home you were looking for, you would save a lot of time closing the deal since you already have your finance in place.

4. Sort out your wants and needs : The home buying process can be fun but it requires you to pay attention to small details, ask lots of questions, take notes and stay updated with the realty market. You will clearly need to define your wants and needs and put it down on paper. One sure proven idea is to put on paper the following three things : (a) List of Must-Have Features ( the ones you feel you cant live without), (b) List Features You Would Like to have and (c) Features You Do NOT Want. This list will evolve as you go around looking for homes and remember buyers with unlimited budget also rarely find that “Dream Home”. So be realistic with you wish list and balance it with your financial abilities


5. Home Hunting : Now that the basics are in place, you can actually began to look for your dream home. You can use any or all of these sources : builders / developers, friends, realtors, newspaper advertisements, real estate websites. Seek counsel from qualified real estate professionals; evaluate advice carefully. Take any opinion with a grain of salt; everyone has his or her own agenda. We all (people and professionals - ideally of the same species) make mistakes and can miss details; it is crucial that you ask all and any questions that you have no matter how small or stupid you may think the question may be. This step is very vital as you may miss out on that dream home if you are not working hard on the home hunt exercise.

6. The emotional exercise : Home buying shall always be an emotional and subjective decision for all of us and all the advice and List of Top 10 Tips can never make it objective Trust your own opinions and feelings about the buying process, the property, and the people you are working with. Think of the long term, short term, big and little "picture." Talk with your family members, take your time, work with people around whom you're comfortable with. Remember you are in no race or competition to buy that home. You and your family members will spending a large part of their life staying in that new home, so why not involve everyone in the process and ensure that all of you would find the new home a better place to live.

7. Found that dream Home : Once you zero in on that dream home, began a due diligence process. Don’t let the emotions overcome your judgment ability. Ask your Realtor to give you a SWOT Analysis or Comparative Market Analysis for the home. Examine all documents very carefully before you start negotiating. Stay away from properties with unclear titles. Be prepared and Expect the unexpected. That way you wont encounter disappointment. Listen, listen, LISTEN.... Pay close attention to all of what you hear... Actually, pay close attention to all of your sensory input from property, people, papers and professionals.

8. Negotitation : Obviously a fine art, negotiation can ensure that you don’t pay a bomb for that dream home just because you have liked it. If you are working with a Realtor®, ask him for details of past sales data of similar properties sold. Arrive at a factual sale price before you actually sit to negotiate with the seller incase of resale homes. Most builder properties have today a fixed pricing and it makes sense for you to shop around for the prices to ensure that the builder is asking for the realistic market prices. At the same time be prepared to take risks. Stay on the ball; remember your goals. Be prepared to walk away from any transaction and move on to the next (and probably better) opportunity if things don’t work out the way you have anticipated.

9. Closing Time : Now that you and the seller have got a fix on the price and the payment terms, put everything on paper. Do what you agree to do; act according to the terms of your contract. Similarly, pay very close attention to what people say and even closer attention to the written word; fortunately or unfortunately in India, spoken words do not hold water when it comes to real estate transactions. Its prudent to engage a property lawyer to safeguard your interest. Visualize failure (not getting the property you want or getting it and then finding out that it's just not going to work) for worst-case-scenario exploration, then create your success. Ensure that the payment terms and the other compliance of the contract are followed. Remember: you are only in control of yourself - or not - and there are many conditions and circumstances in the buying process completely out of your control; accept these and sleep better.

10. Celebrate your successes : Its time to celebrate after that closing has been successful and you have got all the paperwork done and taken possession of the home. But don’t neglect the following : (a) Purchase Home Insurance, even if it is not mandatary (b) Change all locks and keypads in the home to ensure no breach of security (c) get an intensive pest control done (d) splash the walls with your choicest shades so that you feel homely (e) and lastly, invite all your close friends and family members for a get togther to celebrate. After all would’nt you like to show them around your new home.





Contributed By : Ramprasad Padhi

So what does your Realtor do for you ? - By Ramprasad Padhi – Realtor ®

Contributed by: Pinnacle Realty (http://www.mumbaiproperties.com/)

Suite # 24, Royal Tower, I.C.Colony, Borivli West, Mumbai 400 103

Board Nos: 2893 3333, 2892 5252, Cell : 9820 1515 00

Email : ram@pinnaclerealty.in

Traditionally the role of a broker or as the modern day avtaar known as realtor, was more an exercise of showing properties and making buyer and sellers to meet. Just about anyone cud become a broker as there are no entry barriers to the trade and all kinds of people enter the trade. The fly by nite operators gave bad name to the business and caused problems to the few genuine brokers in the business.

But the modern day broker is evolving and keeping in tune with the times

1. Role is evolving from that of just finger pointing to being a true consultant in all sense
2. Need to have all round knowledge of not just real estate but all peripherial areas like housing finance, property laws, insurances related to real estate, property management services etc
3. Represent both the buyer and seller as their consultant and ensure that both their interests are protected at all times and the entire process of the deal is not only transparent but also hassle free
4. The broker should have excellent networking skills with affiliated professionals like advocates, architects, builders and all related professionals
5. Today brokers also have to effectively network with brokers in other locations so as to do bussn in other areas and represent their clients in areas outside their jurisdiction


Even in this new age era of direct marketing by Builders, Realtors hold a very important role in ensuring that your once-in-a-life dream home accquistion doesn’t run into rough weather. And again here, how smooth is the process, depends on what does your Realtor do for you ?

Is he ready to walk that extra mile to make you transition smooth, hassle free and memorable in more sense than one ? That all depends on you choosing your Realtor wisely.

What Should buyer or seller look for in a Realtor

1. Is the Realtor is full time in bussn – part timers in brokerage are not serious about their work and cant represent the clients faithfully and do justice to their deals.
2. Qualifications – A well educated and qualified Realtor will certainly be more professional than his counterparts
3. Operates from a office – that way he / she will be accessible when u need them and also look for people who have assistants and fully equipped offices so u can be attended to when they are not around and usually avoid brokers who are one man shows and don’t have time for all the clients
4. Knowledge – all around knowledge of current market scenes, rates, developments, latest in legalities
5. Reputation – get references from past clients, ask about broker’s service levels, his scope of services etc
6. Broker’s networking with lawyers, builders, architects, other real estate
7. Membership of associations – Shows him to be a part of the organised fraternity


How important is a Realtor

1. Typically home buying/selling is the single most important and expensive decision in the Indian middle class life, so it makes sense to get an expert to guide u in the process
2. The Realtor’s experience will guide you thru the complex maze of buying/selling a property and also advice you on the reputation of various builders and projects, current market scenario of realty, and the various pitfalls, so the client can stay away from problems
3. Realtor can be a one point contact for all the various components that go in a deal like housing finance, legal, interiors etc (more like a Single Stop Boutique in Realty Shopping)

So before you commit to use the services of a Realtor next time, ask yourself What does your Realtor do for you ? And make sure that you get your money’s worth for the commission that you will pay.





Contributed By : Ramprasad Padhi

Procedure of conversion of agricultural land to non-agricultural purposes in the state of Andhra Pradesh

6-3-352/1, 4th Floor, Osman Plaza, Near Nagarjuna Hills Circle,Road No.1, Banjara Hills, Hyderabad- 500 034. Phone Nos: Board : 040-4014 4996 Direct cum Fax No. 040- 6646 6037 Mobile No.0-9866446467 E- Mail : raju@jurisprime.com vvsnraju3@yahoo.co.in

http://www.jurisprime.com/

If you want to purchase a plot on the outskirts of the Hyderabad city? First, seek a land conversion certificate from developers/Owners as it is mandatory to get permission for construction of a house or a commercial space in the state of Andhra Pradesh. As per reports, as many as 341 layouts in Hyderabad have sprung up on agricultural land. Developers/Owners had illegally converted farm land for non-agricultural purposes, particularly housing plots, without informing revenue authorities.

With skyrocketing land prices, especially on the outskirts of the city, farm land was being converted into layouts and sold to people by dividing them into plots with out obtaining permission from the Government.

As per the Andhra Pradesh Agriculture Land (Conversion for Non-agriculture Purpose) Act, 2006, any Owner converting agricultural land for non-agricultural purposes should pay 10 per cent of the basic value towards conversion fee. If the land has already been converted for non-agricultural purposes illegally before January, 2006, they would have to pay fifty per cent fee penal amount apart from the conversion fee. The fee can be paid to the revenue divisional officer of the concerned revenue division.

The Director of Town and Country Planning (DTCP) and Hyderabad Urban Development Authority (Huda) shall not to issue permissions for layout without the mandatory land conversion certificate. Now let us see the provisions of the Act.

The Government of Andhra Pradesh has passed The Andhra Pradesh Agricultural Land (conversion for non-agricultural purposes) Act,2006 (the Act) for regulating the conversion of agricultural land in the state of Andhra Pradesh to non-agricultural purposes and for matters connected therewith or incidental there to and to repeal the Andhra Pradesh Non-Agricultural Land Assessment Act,1963 and the same was received the assent of the Governor on December 30,2005 and the said assent was published in the Gazette of Andhra Pradesh Government on January 2,2006(effective date).

Definitions: -

(i) “Agriculture” means-

(a) the raising of any crop or garden produce ; or
(b) the raising of orchards ; or
(c) the raising of pasture ; or
(d) Hay- ricks ;

(ii) ‘Agriculture lands’ means lands used for agriculture ;
(iii) ‘Conversion’ means change to land use from agricultural to non-agricultural purposes ;
(iv) ‘Non-agricultural land’ means land other than Agricultural land;
(v) ‘Government’ means the State Government of Andhra Pradesh ;
(vi) ‘Collector’ means the District Collector in whose jurisdiction the agricultural land for which conversion is applied for is situated and also includes Joint Collector or any other not below the rank of the Joint Collector authorized by the Government to exercise the powers and perform the functions of the District Collector under this Act;
(vii) ‘Revenue Divisional Officer’ means, the Revenue Divisional Officer including Sub-Collector or Asst. Collector in whose jurisdiction the agricultural land or part thereof is situated and includes any officer not below the rank of a Revenue Divisional Officer empowered by the Government to exercise the powers and perform the functions of the Revenue Divisional Officer under this Act ;
(viii) ‘Mandal Revenue Officer’ means the Mandal Revenue Officer, in whose jurisdiction the agricultural land or a part thereof is situated, and includes any Officer not below the rank of a MRO empowered by the Mandal Revenue Officer under this Act ;
(ix) ‘Mandal Revenue Inspector’ means the Mandal Revenue Inspector in whose jurisdiction the agricultural land or a part thereof is situated and includes any officer empowered by the Revenue Divisional Officer to exercise the powers and perform the functions of a Mandal Revenue Inspector under this Act ;
(x) ‘Prescribed’ means prescribed by Rules made by the Government under this Act ;
(xi) ‘Notification’ means a notification published in the Andhra Pradesh Gazetta; and the word ‘Notified’ shall be construed accordingly ;
(xii) ‘Occupier’ includes:

(i) Any person for the time being paying or liable to pay to the owner rent, or any portion of the rent, for the land or, for the structure constructed ;

(ii) A rent- free occupant ;


(xiii) ‘Owner’ includes any person for the time being receiving or entitled to receive, whether on his awn account, or as agent, trustee, guardian, manager or receiver, for another person, or for any religious, educational or charitable purpose, rent or profits for the agricultural land or for the structure constructed on such land and includes in respect of the lands that have been leased out by the State Government or the Central Government ;

(i) a lessee, if the land has been leased out by the Government for any non-agricultural purpose ; and

(ii) a local authority, if land is vested in the local authority and used for any non-agricultural purpose deriving income there from.

Sections 3 to 8 of the Act provides for procedure to be followed for conversion of agricultural land for non-agricultural purpose, penalties and appeal provisions.

3. Land use Conversion: -

(1) No agricultural land the State shall be put to non-agricultural purposes, without the prior permission of the competent authority.

(2) An application for such conversion of the agricultural land for non-agricultural purposes shall be made before the competent authority in the form prescribed along with conversion fee as specified under Section 4.

(3) If the conversion fee so paid as per sub-section (2) is found to be less than the fee prescribed under Section 4, a notice shall be issued by the competent authority to the applicant within 30 days of the receipt of application intimating him the deficit amount.

(4) The applicant shall pay the deficit amount indicated in the notice issued under sub-section (3) within fifteen days of the receipt of such notice.

(5) In case no intimation is received by the applicant within 30 days about the deficit payment of conversion fees, it shall be deemed that the amount paid is sufficient for the purpose.

(6) In conversion permission request for shall either be issued, rejected in full or part by the competent authority within sixty days after such request is received on the officer of the competent authority or within thirty days after the receipt of the deficit amount as the case may be, provided that such request are rejected, the reasons for such rejection shall be recorded in writing and communicated to the applicant:

Provided that, if no order is passed on such request, within the time prescribed in sub-section (6), the required permission shall be deemed to have been given.

4. Power to levy and collect conversion fee:-

(1) With effect on and from the date of commencement of this Act, every owner or occupier of agricultural land shall have to pay a conversion fee for non-agricultural purposes, of the rate of 10% of the basic value of the land in areas as may be notified by the Government from time to time.

(2) For the purpose of this section, the basic value of the land shall be fixed in such manner as may be prescribed.

5. Authority competent to convert agricultural land for non-agricultural purpose:- The Revenue Divisional Officer or any officer to be notified by the Government in this behalf shall be competent to order, in respect of the lands situated within his territorial jurisdiction, conversion of land use from agricultural purpose to non-agricultural purpose.

6. Penalty:-

(1) If any agricultural land has been put to non-agricultural purpose without obtaining the permission as required under Section 3, the land shall be deemed to have been converted into non-agricultural purpose.

(2) Upon such deemed conversion, the competent authority shall impose a fine of 50% over and above the conversion fee for the said land specified under Section 4 in such manner as may be prescribed.

(3) The owner or occupier of the land shall pay the fine so imposed under Sub-Section (2) in such manner as may be prescribed.

(4) Any fee or penalty which remains unpaid after the date specified under sub-section (2) for payment, shell be recoverable as per the provisions of the Andhra Pradesh Revenue Recovery Act, 1864.

7. Act not to apply to certain lands:- Nothing in this Act shall apply to-

(a) Lands owned by the State Government ;

(b) Lands owned by a local authority and used for any communal purposes so long as the land is not used for commercial purposes ;

(c) Lands used for religious or charitable purposes ;

(d) Lands used by owner for household industries involving traditional occupation, not exceeding one acre ;

(e) Lands used for such other purposes as may be notified by the Government from time to time;

8. Appeal: - Any person aggrieved by an order of the Revenue Divisional Officer may file an appeal before the Collector within sixty days of receipt of such order by the applicant.

Other provisions are as follows :

9. Act to Override other Laws:- The provisions of this Act shall have effect notwithstanding anything in consistent therewith contained in any other law for the time being in force, or any custom or usage having the force of law or contract or judgment decree or order of a court or any other authority

10. Power to give directions: - For the purpose of giving effect to the provisions of this Act it shall be competent for the Government to issue such directions as they may deem fit to any officer, authority or persons subordinate to the Government.

11. Bar of Jurisdiction: - Save as otherwise expressly provided in the Act, no Court shall entertain any suit, or other proceeding to set-aside or modify, or question the validity of deficit fee under Section 3 or fine imposed under Section 6, or order or decision made or passed by any officer or authority under the Act or any rules made thereunder, or in respect of any other matter falling within its scope.

12. Protection of action taken in good faith: - No suit, prosecution or other legal proceedings shall be instituted against any person for anything which is in good faith done or intended to be done under this Act or under the rules made thereunder.

13. Power to remove difficulties: - If any difficulty arises in giving effect to the provisions of this Act, the Government may by order in the Andhra Pradesh Gazette make such provisions not inconsistent with the purposes or provisions of this Act as appear to them to be necessary or expedient for removing the difficulty.

14. Power to make rules: -

(1) The Government may by notification make rules for carrying out all or any of the purposes of this Act.

(2) Every Rules made under this Act shall immediately after it is made, be laid before the Legislative Assembly of the State, if it is in the session and if it is not in session, in the session immediately following, for a total period of fourteen days which may be comprised in one session, or in two successive sessions, and if before the expiration of the session in which it is so laid or the session immediately following the Legislative Assembly agrees in making any modification in the rule or in the annulment of the rule, the rule shall from the date on which the modification or annulment is notified have effect only in such modified form or shall stand annulled as the case may be, so however, that any such modification or annulment shall be without prejudice to the validity of any thing previously done under that rule.

15. Repeal of Act 14 of 1963:-

(1) The Andhra Pradesh Non-Agricultural Lands Assessment Act, 1963 is hereby repealed.

(2) Upon such repeal,--¬¬¬¬

(a) The provisions of Section 8 of the Andhra Pradesh General Clauses Act, 1891 shall apply;

(b) All the outstanding arrears from individuals/institutions under the Andhra Pradesh Non-Agricultural Lands Assessment Act, 1963 as on the date of commencement of this Act shall be recovered under the provisions of the Andhra Pradesh Revenue Recovery Act, 1864.

Contributed By : V V S N Raju

China and India Country Overview, July 01, 2007

China and India are the two most progessive nations in Asia and also the world really, where high returns and booming economies are attracting more and more investors from accross the globe to earn high profits and also establish long terms businesses.

When from an Investor's point of view, the two countries are compared for the socio-economic factors, there are a few pointers that I have compiled that could be helpful.

Look through this report and I would love your comments on the same

Click here to download the report

Keep watching this space as I will be covering the risks that investors face in each of these two nations next, followed by similar analysis for many other countries

Contributed By : Kunal Kapoor

“Vastu” from a technical point of view

Extracted from the textbook of BUILDING CONSTRUCTION by S.P.Arora & S.P.Bindra

ASPECTS AND SUN DIAGRAM

Purely technical, ancient Indian Vaastu was confined to architects (Sthapathis) and handed over by word of mouth or through hand-written monographs. It was treated as the science for the construction of temples and royal palaces. The principles of construction, architecture and sculpture have been incorporated in the science.

According to the science behind this, the basic objective of planning of buildings is to arrange all the units of a building on all floors and at level according to their functional requirements making best use of the space available for a building. The shape of such a plan is governed by several factors such as climatic conditions, site location, accommodation requirements, local bye-laws, surrounding environment, etc.

In spite of the certain principles or factors, which govern the theory of planning, are common to all buildings of all classes intended to be used for residential purposes. These principles, enunciated below, are not rigid but just factors to be considered in planning:

1. Aspect
2. Prospect
3. Privacy
4. Grouping
5. Roominess
6. Furniture Requirement
7. Sanitation
8. Flexibility
9. Circulation
10. Elegance
11. Economy
12. Practical Considerations


1. Aspect: ‘Aspect’ means peculiarity of the arrangement of doors and windows in the external walls of a building which allows the occupants to enjoy the natural gifts such as sunshine, breeze, scenery etc. aspect is a very important consideration in planning as it provides not only comfort and good environment to live in but from hygienic point of view also.
A room which receives light and air from a particular side is said to have aspect of that direction and all such rooms making a dwelling need particular aspect. From this angle, the following aspects for different rooms are preferred (Fig. 3.4):

a) For kitchen – E – aspect.
b) For dining room¬¬¬- S-aspect.
c) For drawing and living room – S-aspect or S-E- aspect
d) For bed rooms- S-W -aspect or W-aspect.
e) For verandahs – S-W-aspect or W-aspect
f) For reading rooms, stores, class rooms, studios, stairs, etc – N-aspect.

From the above sun diagram it is clear that the kitchen should be on E – aspect, so that the morning sun would refresh and purify the air and keep the kitchen cool during the remaining period of the day. The dining, drawing and living room should have a S- aspect or S-E – aspect. The sun is towards the south during winter and more deviated towards the north during summer. Similarly, the bedrooms should have W-aspect or S-W- aspect, since the breeze required in the summers will be available from west side only. But a verandah, a gallery or some such sun-shading device, must be provided on one side (i.e., W or S-W side) so as to protect the structure the structure from the hot afternoon sun. as there will be no direct sun from the north and only diffused light will be available, hence reading room, stores, stairs, studios, classrooms, etc. are placed towards the north.


2. Prospect: ‘Prospect’ in its proper sense, is the impression that house is likely to make on person who looks at it from outside. Therefore, it includes the attainment of pleasing appearance by the use of natural beauties, disposition of doors and windows, and concealment of some undesirable views in a given outlook.

‘Prospect’ and ‘Aspect’ both demand disposition of doors and windows. For sake of either seeing or hiding certain views, window sites play a vital role.

3. Privacy: Privacy is one of the most important principles in the planning of buildings of all types in general and residential buildings in particulars.

Privacy requires consideration in two ways:

i) Privacy of one room from another.
ii) Privacy of all parts of a building from the neighboring buildings, public streets and by-ways.

Privacy of the former type is attained by careful planning the building with respect to grouping, disposition of doors, mode of hanging doors, provision of small corridor or lobby etc. this can be also be achieved by planning screens and curtains.

Privacy of the latter type is easily secured by carefully planning the entrance and steering it with tree or creepers trained on a trellis.

However, the extent of privacy depends mainly upon the function. Sometimes, privacy of a part only is desired from exteriors, but the building as a whole is required to attract the attention of all.

Privacy is of supreme importance in bedrooms, water closets, urinals, bathrooms, etc. the kitchen apartment should be kept out of view of the passersby.

4. Grouping: grouping means the disposition of various in the layout in a typical fashion so that all the rooms are placed in proper correlation of there function and in proximity with each other. Every apartment of a building has a definite function or functions and there is also some sort of sequence in between them. The objective of grouping of apartments is to maintain the sequence of their functions with least interference. For example, in a residential building, dining room must be close to the kitchen, at the same time the kitchen should be away from the drawing room or main living room otherwise kitchen smells and smoke would be distracting. Services must be nearer to and independently accessible from every bedroom. The water closets, urinals, etc must be far away from the kitchen, dining room and so on.

In case hospitals, office buildings, etc. the administrative department should best be placed centrally for convenience of economy of service. In case of factories while manufacturing certain articles which are composed of some parts, the departments processing or fabricating such parts, should be arranged in proper correlation with each other so that the finished article is ready in last department for packing and dispatching.

It should be noted while grouping, a residential building provides efficiency, comfort and health to the occupants whereas the buildings other than residential type provide facility of economical service, efficiency and proper correlation

5. Roominess: ‘Roominess’ refers to the effect produced by deriving the maximum benefit from the minimum dimensions of a room. In other words, it is the accomplishment of economy of space at the same time avoiding cramping of the plan. It is essential particularly in case of residential buildings where large storage spaces is required, to make maximum use of every nook and corner of the built-up area of the building before making an addition to the plinth area.

It looks so simple task at first sight, but is really so difficult an art that it usually taxes the brains of the planners. For giving better impression of roominess, the following points should be kept in view:

i) A great skill should be exercised in making suitable arrangements of the rooms, doors and passages for accommodation in such away that the utility, liability, privacy and extension appearance are not adversely affected.
ii) A square room appears relatively smaller in size and utility than the rectangular room of the same area. For a rectangular room the better proportion is to adopt length as 1.2 to 1.5 times of breadth.
iii) A small room within ordinately high walls appear relatively smaller than its actual size.
iv) The disposition of doors, windows and cupboards, such that they don’t cross-cut this room area and obstruct the placing of furniture and adds to roominess.
v) The design of elements such as floor, walls, ceilings, lifts etc. should be such as to create the sense of space beyond its actual dimensions.


6. Furniture Requirements: The functional requirement of a room or an apartment governs the furniture requirement of a room. This is an important consideration in planning of buildings other than residential in particular and residential in general. In case of buildings other than residential, they are generally planned, with due thought to the furniture, equipment and other fixtures, to meet the needs of particular function required to be performed. This can be done by assuming the sixes of furniture pieces and then studying the circulation and space requirements round them.

In case of residential buildings, a room whether intended for a bedroom or drawing room or kitchen, the architect should take into account the furniture positions of all types likely to be accommodated, so that the doors, windows and circulation space do not prevent from placing of sufficient number of pieces.

7. Sanitation: Sanitation consists of providing ample light, ventilation, facilities for cleaning and sanitary conveniences in the following manner:
i) Light: Light has two fold significance, firstly its illuminates and secondly from hygienic point of view. Light in interior buildings may be provided by natural or artificial lighting. Glare in lights distracts the vision and hence the source of glare may be avoided.
Uniform distribution of light is necessary particularly in schools, workplaces etc. a room should get sunlight as long as and as much as possible. Vertical windows are, therefore better than horizontal ones.
Generally, the minimum window area for proper lighting should not be less than 1/10th of floor area; however this may be increased to 1/5th for buildings like schools, workshops, factories, chawls, dormitories, etc.
Good lighting is necessary for all buildings. This has three primary aims. The first is to promote the work or other activities carried on within the building; the second is to promote the safety of people in the building; and the third is to create, in conjunction with the structure and decoration, a pleasing environment conducive to interest and a sense of well being.

ii) Ventilation: it is the supply of the outside air either positive ventilation or by infiltration into the building. Good ventilation is an important factor conducive to comfort in building. Poor ventilation or lack of fresh air in the building, always produces headaches, sleepiness, inability to fix attention, etc. ventilation may be natural or mechanical. In natural ventilation, the air is supplied to the building through windows, ventilators, or other openings due to wind outside and convection effect arising from temperature or vapour outside the building. In mechanical ventilation the outside air is supplies either by mechanical device such as fan or by infiltration by reduction of pressure inside due to exhaust of air, or by a combination of positive ventilation and exhaust of air. Good ventilation is generally achieves by placing the windows, doors and ventilators such that they may catch as much breeze as possible.

iii) Cleanliness and sanitary conveniences: though the general cleaning and up keeping of the building is the responsibility of the occupants but even then the some provision to facilitate cleaning and prevention of dust are necessary in planning. The floors as far as possible, should be of non absorbent surface, smooth and proper slope should be given to facilitate washing with suitable outlets in the walls. Prevention of dust accumulation is essential. Dust helps the growth of bacteria and spread of disease.


Sanitary conveniences include the provision of bathrooms, water closets, lavatories, latrines, urinals, etc. in a building. Provision of such conveniences is not an optional matter but is an absolute requirement.

8. Flexibility: Flexibility means planning room or rooms in such away which, though originally designed for a specific purpose, may be used to serve other overlapping purposes also, as and when desired. This is particularly important for designing the houses for the middle class families or other buildings where economy is a major consideration. A house planned on the scientific principles, within a small space, must provide other similar activities such as listening to radio, child homework, entertaining guest and festive occasions such as holiday dinners, birthday parties, and wedding banquets and so on. These are two ways to meet the demands of festive occasions and religious social gatherings \( or congregations) one is to combine the drawing room and dining room by a removable partition or a screen between them, and the other way is to dine in open air. For the latter, a convenient access should be provided from the kitchen to the yard or garden and the space should be screened from public gaze.

9. Circulation: Circulation means ‘internal thoroughfares’ or the movement space provided on the same floor either between the rooms or within the rooms called ‘horizontal circulation’ and between the different floors through stairs or lifts called ‘vertical circulation’. Passages, corridors, halls and lobbies serve the purpose of horizontal circulation whereas for vertical circulation normally stair or stair-case, electric lifts, ramps, etc. are the means of access to different floors. In fact, for better circulation, the following points should be considered in the planning of a building:

i) The links between entrances, passages and stair-cases should be planned in a proper relation.
ii) All passages in a building should be straight, short, sufficiently lighted and well ventilated to achieve efficiency, comfort and convenience.
iii) All the sanitary\y services and stair-case must have an independent access from every room through a lobby, to increase the usefulness of the building.
iv) All stairs or stair-cases should the minimum requirements regarding tread, rise, width, landings, light and ventilation.
v) Stairs should have strong balustrades or parapets and hand, rail on both sides and should also be accessible from entrance as well rooms on floors being linked.

10. Elegance: ‘Elegance’ is the effect produced by the elevation and general layout of the plan. The elevation, therefore, should speak out the internal g\facts and be indicative of characters.
Elevation should be impressive and should be developed together with the plan simultaneously. With the economy limitations, elevation should be aesthetically good and attractive.

11. Economy: The economy may not be a principle of planning but a factor that certainly affects planning. The economy may restrict the liberties of the architect and may also require certain alterations and omissions in the original plan. The economy should not have any had affect on grouping or aspect, however the prospect at the most to some extent can be sacrificed if need be. Economy should not have nay adverse effect on the utilities and safety of structure.
A structure designed for a good strength and solid character may be costly in its initial cost but may prove cheaper in main run as it saves maintenance costs. No general rules however be frames to attain economy, as the ways and the means to achieve it in different situations are different.

12. Practical Considerations: The following practical points should be given due consideration in the planning of building:

i) Strength and stability of structure, coupled with convenience and comfort, should occupy the first place of importance in planning.
ii) Simplicity and effect of strength lend a lasting beauty and mobility to a building.
iii) It should be remembered that a building or a house is immovable property and is built to last for several generations. One has, therefore, no right to practice false economy by erecting a weak structure.
iv) While planning, it is necessary to keep provisions for either adding a wing or extending some part of some house without dismantling.

Contributed By : S P Arora

Correction, Stagnation and Boom

A) Current Status

Over the last one year the residential property in National Capital Region (NCR) has seen it all. While prices in Gurgaon-Manesar area saw a 8-10% fall, in Rohini and Kundli there was a 30-35% jump. Prices in major upcoming locations in and around Delhi, such as Dwarka, Faidabad and Noida continue to grow at a steady pace of about 10-15%.

Gurgaon
Between the years 2002 and 2005, prices in this area had seen a 10 fold jump. But in 2006 has seen residential prices coming down from INR 3,500 – 3,600 per sq ft to INR 3,200-3,300 .

Dwarka
Zoomed on the realty radar towards middle 2005, due to completion of the flyover project and metro connectivity. The prices saw a sudden 40-50% jump. The current prices are close to INR 3,500 per sq ft.

Noida
Prices in Noida sectors bordering Delhi are about INR 4,100 per sq ft. against INR 3,700 almost an year back.

Faridabad
In Delhi bordering areas, such as Surajkund, prices has gone upto about INR 2,500 per sq ft from INR 1,800-1,900 in the last one year.

Kundli
Kundli area, on the northern borders of Delhi, which was just about INR 1,200-1300 per square ft in Jan 2006, has grown by 40-50% and now varies between INR 1,900-2,100 per sq ft.

B) Economic indicators

IMF latest report on India With gross domestic product (GDP) continuing to grow above trend, increase in international oil prices not yet fully passed through, credit and asset prices buoyant, and monetary conditions accommodative, the risk of over heating cannot be ruled out.

However, IMF has revised its 2006-2007 growth target for India to 8.9% on 20 December.
“India Strategy” report by ABN AMRO Indian economic growth is being driven by a combination of structural changes and cyclical upswing. Cyclical risks may impinge on short term growth but the structural story remains intact. Cyclical risks are emerging and could affect short-term growth and profitability. Of these risks, the rise in interest rates seems to be the most critical. Rising inflation is the other key cyclical risk. While the current bout of inflation was initially driven by conventional supply-side factors, the contribution of demand factors has increased.

Other Risk Include -

a) the possibility of correction in US growth - Moderation in US growth will take a toll on Indian exports. The degree of association between Indian exports and US growth has increased over the years and is fairly significant. A slowdown in exports is bound to hurt overall growth.

b) Rupee appreciation – The Indian rupee should continue to receive support from Robust capital inflows in 2007. Subdued oil prices relative to 2006 should help bring down the current account deficit and reduce the downward pressure on the rupee.
While structural changes is improving fiscal situation, demographic change is manifesting in consumption growth and improvement in productivity. Infrastructure spending is the key growth driver.

c) Other relevant indicators
Hedge funds are aggressive investment vehicles of the wealthy international investors, known for their complex and high-risk trading strategies. They are buying financial instruments that Indian property developers have sold to raise money from overseas markets. And by doing this, they are indirectly controlling a slice of the country’s fiercely growing property market. No one knows how big the slice is, but bankers say close to 50 hedge funds are active in Indian realty papers in the overseas money market. These deals are happening outside the radar of Indian regulators, in offshore tax havens like Mauritius.

It’s not a one-to-one deal; Indian developers don’t sell securities to the hedge funds. They issue shares and hybrid instruments like optionally convertible debentures and preference shares to global real estate funds owned by big banks and Wall Street bond houses. The money that flows in to India is foreign direct investment (FDI), allowed under the automatic route. But in many cases, these foreign investors don’t hold on to the securities. They simply sell them to hedge funds, often within weeks after the FDI deal is done.

The demand for the securities is fuelled by the move by several hedge funds to diversify their portfolio. Stocks have gone up, crude is volatile and metals have hit them badly. Many hedge funds are looking for new assets, and real estate is one.

Realty transparency index for India
Real estate consultants Jones Lang LaSalle is working towards launching an India-specific transparency index by 2008. The index, first of its kind from JLL stable globally, will offer prospective investors and clients a scientific measure of the non-price factors influencing the country’s real estate market.
Both foreign and outstation players are keeping a hawk’s eye on India properties, primarily because of the labour cost, access to labour and real-estate cost.

Unabated rise in home loan rates
During the last two – and – a – half years alone, (floating) rates have increased from 7.5% to 11.75%, forcing the EMI for 20 year loan to go up by around 35%. With interest rates gradually crawling higher, players are worried that demand for property could be hit. Fears that property prices could be headed for a meaningful correction seem to be prompting investors in stocks of real estate companies to jump ship. Most realty stocks, which until a couple of months ago were being chased by enthusiastic investors, have shed 10-25% over the past one month.

Stocks of real estate majors like Mahindra Gesco, DS Kulkarni, Ansal Buildwell and Parsvanath Builders and Peninsula Land have been languishing over the past one month.

Shares of Mahindra Gesco, which closed at Rs 852.65 on January 8, have slid to Rs 645.35 on February 9, down 24%. DS Kulkarni Developers has come down from Rs 387.05 to Rs 304.10 during the considered period, down 20%. Parsvanath Developers slid from Rs 440.25 to Rs 339.20 during the period, down 23%. Peninsula Land, Ansal Buildwell and Sobha Developers have also fallen by around 23%, 22% and 17%, respectively over the past one month. Short-term investors should be careful about sudden dips in stock prices. At current levels, investors, with a long-term view, can start accumulating stocks of companies with good fundamentals. Those who are currently holding realty stocks need not panic; prices will start moving up steadily once the industry factors in raised interest rates and people start booking spaces all over again.

Over the past three years, the housing sector has witnessed a CAGR of 60% to 65% on factors like easy lending rates and accumulated land bank (land purchased at low prices prior to the real estate boom). Hike in lending rates and peaking real estate prices could force the sector towards a slowdown.

Being demand-driven, the realty sector still appears to hold promise with several housing and infrastructure projects coming up at various parts of the country. Interest rates on home loans may rise, but this will not change the fact that people need homes. It will only result in people buying homes in less-preferred locations. This will, in turn, force builders to move away from metros to two-tier and three-tier cities. This trend will automatically negate the concentration of price in a vantage spot.

The rising interest rate scenario coupled with the rising property prices will affect the off take; however, the impact is not likely to be significant. Merrill Lynch has forecasted that the Indian realty sector will grow 7.5 times from 2005 to 2015.

Contributed By : Pankaj Thukral

Online presence of real estate

Interesting article I came across in WSJ, to understand and realize why my business as property dealer is coming down and how I need to bring up the presence on internet.

A real estate 'consultant' with more than two decades of experience, K. Premsundar is a worried man. His business, a letting agency for low-end properties, has seen a big drop in the last two years. He says his clients have left him, choosing to place advertisements directly on the many real estate Internet portals and in neighbourhood dailies. Such advertising costs a fraction of the fee that, agents charge. Indiaproperties.com, an online real estate portal, allows owners to post their properties for Rs500 per listing, whereas if the deal is done through a broker, it would mean a month's rent as commission, from either the owner or the tenant. Others sites such as magicbricks.com and Sulekha.com also offer similar services. The portals allow for direct interaction between the property's owner or seller and a prospective tenant or buyer. "Online portals have impacted agents' business especially in the lower range. Their traditional clients have moved away," said J. Sohail Sarooshi, vice-president of the Chennai Real Estate Agents Association. The association, which has 60 members, was formed as an attempt to bring fair conduct norms into the industry, which is largely unregulated. For a sale, agents get a 3-4% commission on the value of the sale, and for a rental deal, they get 15 -30 days' rent as commission. "Real estate agents have so far thrived on information," said Naresh Malkani, chief executive officer of indiaproperties. com. "Now, the Internet provides the information." However, he said unlike booking travel tickets online, the "Internet is not going to replace agents, as the transaction has to be done physically". Agents now need to focus on services such as valuation, documentation, registration and field visits, he said. "We definitely have seen the advanced Internet user take advantage of the free online classifieds and other options. By interacting directly with other individuals, they have able to reduce lead time and costs", said Satya Prabhakar, chief executive officer of Sulekha.com, a portal that also lists properties. "It still may be a good idea to supplement this with the professional advice of local real estate agents". According to an estimate by Iindiaproperties.com, in cities covered by online portals, 40% of the total market, in terms of tproperty inventory, is listed on Internet sites. In the last six months alone, Malkani said, , there has been a 120% increase in listings. And, property for a monthly rent of between Rs5,000 and Rs20,000, the traditional bread and butter for letting agents, constitutes onethird of total listings on his website.

On Sulekha.com, Prabhakar said 80% of rentals are at Rs20,000 per month or below. Both individuals and real estate agents access the site. I Though the Internet is posing a challenge to agents, however, realized they can both co-exist. Agents, who pay an annual fee ~ of Rs10,000 to enrol as members, can list 100 properties every year, and provide onefourth of all listings on indiaproperties.com. Local real estate agents, especially smaller ones, Prabhakar said, are using online classifieds as a "platform to reach out to individuals who are looking for rental solutions in the niche areas that they operate in. The lower entry barriers and flexible advertising options have helped those who have been quick to adopt this." However, Premsundar, in his late fifties, has never used the computer nor browsed the Internet. He says he is too old to start now.

And now after the success of the online presence the other vacuum of an online networking site to discuss the issues and concerns of real estate in general and specific is being attempted by propertymixer.com.

Propertymixer is much needed online platform required by the Real Estate Industry to make it a bit more organized and transparent. I am glad to see the kind of simple and straightforward approach used by the site and connecting to a variety of people in the global property business. It couldn’t have been easier.

All the best to the promoters of this site to bring knowledge sharing at the top.

Contributed By : Kunal Kapoor

Online portals and property dealers to coexist for their mutual benefit and in the interest of investor

The days when the only realistic course of action for prospective homebuyers was to scan localities and properties personally are over. Though personal inspection of short-listed options is obviously still de rigueur before the final purchase, the actual process of short-listing has become increasingly 'virtual'.

Today, a significant section of Indian homebuyers launch their search by scanning available options listed on the Internet. It is only after this process has yielded enough prospects that they physically inspect properties. Certainly, there are a number of advantages to using the on-line approach in the initial stages of a home search. The Internet allows a prospective homebuyer to analyze the 'vital statistics' of an unlimited range of properties in the shortest possible time.

Online real estate listings often feature photographs, as well - this helps in the visual aspect of home selection. However, we are still a way off from more advanced Internet listing systems in the West, wherein buyers can inspect properties in 'surround-view' panoramic views. Indian property buyers are now highly attuned to the need of proximity to important features such as schools, places of religious worship, shopping centers, leisure facilities, public transport options and general connectivity to key areas within the city.
The Internet is a very useful tool when it comes to eliminating properties and localities on the basis of personal preferences. No longer is a homebuyer limited to choosing from a handful of available options because of budget constraints.

Of course, the Internet is not a complete substitute for a real estate professional when it comes to the transaction stage. Nor do any but the most foolhardy buy a property without actually visiting and inspecting it. The advantages that the Internet offers in terms of real estate buying are limited to rendering the initial weeding-out and short-listing process more efficient, organized and time-effective.

Understanding this many of the real estate dealers are increasing the presence through on line visibility. Investors are more informed and slowly agents are maturing to understand that there is a need to come forward in educating the investors on the available options and more transparent dealings. The right balance will be created when both the investor and the realtor understand the significance of the online and the offline medium and give the due importance and attention to each to leverage the benefits of each.

Contributed By : Tia Singh

Connect & Grow

The Indian Real Estate is thriving with every passing day and churning huge amounts for people associated with real estate where the major beneficiary turns to be an investor. This surge in real estate is the outcome of Government’s decision to allow 100% FDI under the automatic route, investment patterns and trends across the globe and more liberalized economic policies.

Seeing the trends in the real estate sector it is believed by the industry experts and specialists that there is enormous potential in various sectors like commercial, residential and retail still to be explored and exploited. Also, as per the World Wealth Report the asset allocation in real estate is anticipated to show a significant rise to 24% as compared to 16% in the last fiscal year.

With the rate with which the whole real estate industry is growing in India as an individual to compete with and to grow at the same pace one needs to work strategically. One needs to connect and grow. The very thought that you have no geographical boundaries, that you can reach out to any person associated to this industry be it a developer, an agent or an investor, can share point of views with people of one mind and most importantly can network to have lucrative business opportunities is thrilling.

Now, with propertymixer this all is very much possible. It is the only networking portal that is particularly tailored for the real estate people and is apt for professional networking.

The whole idea of networking on propertymixer works through ‘Mixers’. Mixers are a group of people with common interests. Mixers are broadly categorized into 3 types, viz a viz firstly “Trade Deals Related” which is specifically for people who desire to indulge into trading and do business through propertymixer whereas the secondly “Information Based” where people join for the sole purpose of sharing information, gaining knowledge and discussing the trends and patterns of the industry and the third type is “Auxiliary Services” which is devoted to people who are not directly related to real estate but are indirectly a part of this industry like architects, lawyers, interior designers, material suppliers etc.

Once you are a part of the networking platform you can take maximum advantage of this portal and grow at a much higher pace. Get connected to people with same work profile as yours, find well-known builders, investment consultants to guide you, analysts to help you understand the trends, genuine real estate agents and trusted advocates. You can meet anybody whom you desire and exploit the common grounds through this incredible networking platform.

Propertymixer serves a variety of people in the Real Estate fraternity and yet has something to offer to each one. For instance if a real estate agent can upload his properties and get best deals for them, a home owner can directly sell his property and thus can save huge amount which would else have gone to the agent in the name of commission. One can find investment consultants, network with them and can consult them before making an investment; you can find developers at propertymixer and can take your business interest a step ahead through networking. Similarly you can find advocates specializing in Real Estate sector with much ease. Apart from the people mentioned above propertymixer does has a room for those who are indirectly related to Real Estate, one can find architects, interior designers to network with and can work on common grounds to get benefited mutually.

Our aim is to make this platform the most heterogeneous platform for all connected to the Real Estate Industry. If you like it and you think it adds value to your business, please use the “invite friends” option and help us in carrying the word through.

Contributed By : Minal Arora

PropertyMixer and its need

PropertyMixer is the only real estate networking portal.

PropertyMixer offers a platform for estate agents, investors, investment consultants, bankers, insurance agents, developers, interior designers, architects and all those who ahve any interest in the Real Estate Industry to interact with each other and benefit from the relationships.

The portal is not restricted to any country or location but because India and Dubai are the two markets which are the focus of International Real Estate, we would encourage people belomging to these countries to definately take advantage of the platform.

Indian Real Estate is a very lucrative market, attracting a lot of Foreign Direct Investment, though this is also one of the most unorganised markets where for a foreign buyer to enter, they need help and advice a lot more for the channels to begin with are very unstructured. According to a research published by Deutsche Bank about the Indian Market,

• Above-average economic growth in India. Strong population growth, a large pool of highly-skilled workers, greater integration with the world economy and increasing domestic and foreign investment are expected to drive India’s real GDP by 6% p.a. over the next 10 to 15 years.
• Services outsourcing revving up office demand. India is the prime destination for IT services outsourcing. In the coming five years, at least 55 million m² of extra office space must be completed in the premium office segment alone.
• 600 new shopping centres by 2010. India’s burgeoning middle class will drive up nominal retail sales through 2010 by 10% p.a. At the same time, organised retail is becoming more important. At present organised retail accounts for a mere 3% of the total; by 2010 this share will already have reached 10%.
• By 2030 India will need up to 10 million new housing units per year. Rapid population growth, rising incomes, decreasing household sizes and a housing shortage of currently 20 million units will call for extensive residential construction. The financing of owner-occupied housing in particular holds out
  enormous market potential.
• Capital market still underdeveloped. The total stock of commercial property is estimated at over USD 300 bn. So far the invested market accounts for only USD 4 bn of this. Capital market products, such as commercial mortgage-backed securities or listed property vehicles are still almost entirely lacking.
• Heed risks. Property investments in India are not risk-free. Market transparency is far behind European or US standards. It is therefore vital for foreign investors to have a professional local partner. The lack of liquidity and upward pressure of pricing remain the main concern within the market.

Dubai is another very lucrative market which is attracting a number of foreign buyers. Dubai is strategically being developed as a tourism based economy and because of the exquisite infrastructure and interesting promotions, dubai is attracting people to buy real estate there.

The flattening world has given rise to a need within the Real Estate fraternity to conenct, to network, to know more people, to be resourceful, to be able to identify where lies a new opportunity and who will be able to help one capitalise that and this is where PropertyMixer has a big role to play.

Contributed By : Minal Arora