Here are a few trends that will dominate the real estate market for the rest of this year:

      1. Work from home culture

The work from home trend will prevail and the people will continue to need an extra study room/home office, spacious houses, bigger balconies as more time is being spent at home. Also demand can go up in Tier 2/3 cities as some people might stay in or around their cities/hometowns and work from home.

      2. Low Home loan rates

Low interest rates, attractive schemes and payment plans from developers – this is going to be the trend for this year. The home loan rates are currently at a 15 year low. Such rates are a push for fence sitters.

      3. Demand for plots in upcoming areas

There is and will be a shift in the lifestyle where people are now looking at independent houses in gated colonies as a promising option as these complexes offer all facilities like power backup, security, modern clubhouse etc. Most of these developments have both high rise and plots in their compound.

      4. Ownership

People living in rented accommodation are now looking to purchase their own house. This has been one of the key trends post pandemic.

      5. Delay in delivery of projects

In wake of the Covid19 outbreak and owing to the current restrictions/lockdown being imposed in many areas, the migrant workers and supply of material will face set back. Therefore project delays are on cards as the impact of this situation will be more eminent on premium-luxury housing projects that heavily rely on supplies of fixtures and furnishings, etc.

      6. Absorption of office spaces likely to go down

The pandemic has proven to the world that a physical office is dispensable, and people can work effectively from a remote space/location. Therefore, the demand for office space has been obstructed. Though a physical office is still required, however many would opt for relatively smaller spaces.

Raunaq Singh Arora

Ace Consulting

You may connect with me at
raunaq@aceconsulting.co.in

The post Emerging Trends in Real Estate appeared first on ACE Consulting.

Let’s understand the logical reasons behind the same: 

       1) Shift in Lifestyle

Demand for plots had anyways risen in the last one year.  Now even the upcoming areas have seen that rise. People are now looking at independent houses in gated colonies as a good option as these complexes provide all facilities like power backup, security, modern club house etc. and one can still enjoy the benefits on independent living.  Most of these developments have both high rise and plots in their compound.  

      2) Low/No maintenance cost

When compared to any other form of real estate, maintenance cost of land/plot is the lowest. One the maintenance cost charged by developer is lowest in plots and secondly one doesn’t need to spend on the upkeep of land.

      3) Incurs lower property tax

Property tax is one such expenditure that occurs frequently, irrespective of the fact that one owns a house or land. However, when one owns the land, the property tax is relatively quite lower than the house tax. This concludes that one can save money when making the initial purchase for a plot of land, yet also in the long run while paying taxes.

      4) It gets better with age in terms of value & has fewer complications

If you are seeking a medium to long term investment avenue then stay rest assured that a land’s value always appreciates and definitely has lesser complications associated with legal procedures and paperwork.

      5) It is a finite asset

Considering it as a finite resource where a limited land portion is now available for occupancy these days, it leads the plot price to continually rise and it never gets old. Hence, it is highly recommended.

      6) You can build your house as per your specific needs 

One of the most remarkable benefits of investing in residential plots/land is that you don’t necessarily need to invest your money into building a house immediately. Rather you can utilize that money efficiently by distributing it at different time intervals. This way it proves to be easy on your pocket without causing you to suffer from any stress and burden.

      7) No or less gap between purchase and possession

Unlike a house purchase, where one needs to wait until the construction gets over and the complete possession process takes time. The contrary happens when one invests in a land where there is no delay at all. All one needs to do is to execute the transaction and immediately take over the land as there is no construction factor involved that could cause delay.

We hope that by now you must have gauged this type of investment as one of the most fruitful and stable forms. And if you are considering seeking investment avenues then you should definitely spot this option at the top of your list and enjoy good returns.

Raunaq Singh Arora

Ace Consulting

To know more, you may write to me at

raunaq@aceconsulting.co.in

The post Advantages of investing in a Plot appeared first on ACE Consulting.

We spend a lot of time analyzing the location, amenities, features, value, bedroom sizes, balconies, parking etc. Here are some.critical things that you must keep in mind while taking the all important decision of investing your hard earned money in Real Estate.

1. RERA of the Project and your Agent – Real Estate Regulatory Authority since its inception has become a great tool for buyers to protect their interest. The issues which had become major deterrents for a buyer are now gradually fading away. A developer needs to define the timelines of delivery, building plan and all necessary approvals to RERA which can also be accessed by a buyer. One must ask for RERA number of the project and verify the details. In accordance with the RERA guidelines a developer also has to declare the penalty amount in case of a delay in delivery of the project. One must also verify that the agent has a valid RERA license to act as an agent.
2. Past Projects of the Developer – Past deliveries and quality of projects are fair indicators and gives insights about the developer and his vision.
3. Verify Clear Title – The developer must have land ownership title or permission to sell if the land ownership is with a third party.
4. Project Brochure – The layout plans and all details mentioned in the brochures of a project are approved by RERA. You may also verify      the details mentioned on the brochure from RERAs website. This is very important if you are investing in an under construction project.
5. Builder Buyer Agreement – RERA has created guidelines for Builder Buyer Agreements. One must ensure those guidelines are met.  This holds more relevance in case of under construction property.
6. Review the Pricing – Understand the pricing in detail. A lot of developers follow the practice of quoting Basic Selling Price plus other charges. One must understand in detail these other charges and also ensure that there are no other hidden costs. Even in the case where developers talk about an all inclusive cost, one must ensure there are no overheads involved. However, there could be slight changes in super area at the time of possession.
7. GST – GST is only applicable in case of an under construction project. If the project is nearing completion, it is advisable to wait for the developer to announce the possession and then invest. This strategy may not work at all times and few other factors may also need to be considered.
8. Payment Plan – Developers may have multiple plans available with some difference in pricing. Calculate your opportunity cost and Mortgage Cost before committing to a payment plan. Once a payment plan is chosen, it is very difficult to get it changed as all the costs and documents are prepared accordingly.

If a buyer defaults in payments, the developer can charge interest or in some cases even cancel the booking and forfeit your booking amount as penalty.

Raunaq Singh Arora

Ace Consulting

You may connect with me at

raunaq@aceconsulting.co.in

The post Points to Keep in Mind while investing in Real Estate appeared first on ACE Consulting.

The post Selling a Property appeared first on ACE Consulting.

The post Residential v/s Commercial – The Better Investment appeared first on ACE Consulting.

• August 31, 2020
• Posted by: webmaster
• Category: Residential Property

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Sell your property in a reliable way

The greatest myth amongst sellers is that the more agents they have working on their property, the higher their chance of selling the property quickly.

It really is more beneficial to the seller to have the buyers competing to offer the best market-related price, than it is to have agents competing to close the deal at any cost, often putting the seller’s price at risk. The concept of Exclusive Mandate works in favor of a seller.

Exclusive Mandate is a formal instruction to an estate agent to have the exclusive right to sell a client’s property for a defined period of time. Its less hassle for a property owner and ensures faster sale.

 Benefits of an Exclusive Mandate with Ace Consulting

The benefits of using one agent are numerous, however there is no doubt that a single partnership with the right agent, increases the peace of mind of the homeowner, and should come with the same level of commitment, risk and return on investment associated with any healthy business partnership.

1. More Ads & Process Oriented Campaign – We would know that we can invest safely in promoting your property. An effective marketing plan can be devised ensuring better results than just hunting in the dark.
2. More Agents working on the property – We know more agents than you do. We will activate our Network . We will be your SPOC and you will not have to deal with multiple agents.
3. Ensures the Right Price – Since we will exclusively be selling, we will give you the right advice. We will not lower the price to compete against other agents if there is exclusivity.
4. More Efforts by Mandate Holder – We will invest more time & effort in a property where we have no competition. Since the deal is exclusively with us for a certain period of committed time, we will not hesitate to make a more important marketing effort to conclude the sale of your home. So the exclusive mandate offers you as a seller the near certainty of selling quickly your property.
5. Our Focus – We will not take up any other apartment of the same size in that complex. Hence all the leads generated from marketing your property will be used for you.
6. Weekly Updates
   1. Total Queries Generated
   2. Number of Site Visits Done
   3. Profile of Potential Buyers who visited the Property
7. Property Management* (Basic Package) – Enhancing a property always leaves a good impression on the buyer and makes it look attractive when he compares with other options. We will take care of the cleaning and giving it a fresh look for each visit. We will take care of the basic repair work** that may be needed to conclude the deal.

An exclusive mandate does not incur any cost. The sales commission is the only remuneration of the real estate agent, which is only payable if the transaction is carried out.

 

Raunaq Singh Arora

Ace Consulting

To know more, you may write to me at

raunaq@aceconsulting.co.in

The post Sell your property in a reliable way appeared first on ACE Consulting.

Decoding the Carpet Area

• August 31, 2020
• Posted by: webmaster
• Category: Real Estate, Real Estate Investment

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Have you ever wondered why an apartment of 2000 sq ft. sometimes looks bigger than a 2500 sq ft?  It is because there is a lot of confusion regarding the terminologies of Carpet Area, Built up Area and Super Built up area. This article will give you clarity regarding these terminologies.

First we talk about the Carpet Area. It is the space in the property where you can spread carpet. It includes net usable spaces like kitchen, bathrooms, bedrooms, living room etc and internal partition walls (However, some architects may argue calculating of internal partition walls in Carpet Area). It excludes spaces like balconies, external walls, service shafts, open terrace area, lift, lift lobby, clubhouse etc.

Next term we hear in this context is the Built Up Area. This includes carpet area explained above, external walls, balconies and service shafts. It excludes open terrace areas lift, lift lobby, staircase, club house and similar structures.

Finally the Super Built up area. A builder constructs common areas like club house, lift lobby, staircase and other amenities which all the residents of the complex use. In Super Built up area he adds the area of these common amenities to all apartments on pro rata basis. It is the built up area plus proportionate share of common areas such as lobbies, staircases, lift shafts, club house, air ducts etc. It does not include open areas such as gardens, parks, play areas etc.

Loading is a commonly used term by real estate agents and builders. It is the difference between Super Built Up Area and Carpet Area.

In some states, builders sell units according to super built up area and in others according to carpet area. However, as per RERA it is now mandatory to mention the carpet area in all documents like brouchers, payment plans, price list, layout plans and in any other relevant communication with a prospective buyer.

 

 

 

 

 

Raunaq Singh Arora

Ace Consulting

You may connect with me at
raunaq@aceconsulting.co.in

 

 

The post Decoding the Carpet Area appeared first on ACE Consulting.