Monday 27 May 2013

Pre Launch Projects !!!

PRE LAUNCH

Delhi NCR investors and end users must be quite familiar with this word. But what does this word actually means in context of Real Estate?

It simply means, from the builders side, that "we are going to develop this land into a group housing but we are still in the phase of getting all the approvals and clearances from the concerned authorities."
   
It refers to builder raising funds for his upcoming project without the necessary approvals.
It is a tool which builder uses to check the demand for the project which it is going to develop.
Is it fair ..?
Now this question has a complex answer. For an end user, it is really difficult to decide without the total details of the group housing which will come up. Maximum end users keep themselves aloof from such phase.
Now ,if we talk about an investor, this is the golden period for him. He knows the importance and benefit of pre launch.The simple benefit he gets, is of the price and the short term return on his investment.
Is it wise to invest in a pre launch.....?
People who have made huge money out of real estate are either, one who had huge land bank or the one who invested in a pre launch. The Pre launch is not that risky if one is investing with a reputed builder.

Benefit of a pre launch revolves around only one Parameter :- THE PRICE.

So if you are new to Real estate Investment and you hear the word PRE LAUNCH ,just give it a try .
It might give you handsome returns. The only thing you need to check is the background of the developer.

ITS BETTER TO INVEST AND WAIT..... THAN WAIT AND INVEST !!!
Share if you understand the meaning.

Happy investing !!!!!!






Sunday 12 May 2013

Gurgaon Real Estate - Investors paradise !!!


As earlier quoted "the city with 3rd highest per capita income",Gurgaon has been an investors paradise for the early birds who invested in this city 8-10 years back. The rates were mouth watering when compared to today's scenario with very limited investors in the market .

Lets take a look at the Gurgaon real estate history and try to predict the next most sought destination in Gurgaon.

The first and the fore most real estate development in GGN took place on the today's prestigious Golf Course Road (G.C Road). This area today, is mostly inhabited with Gurgaon's most prestigious residential societies. The development here started 8-10 years back and the prices now have increased by 3-4 times.
It had the advantage of being very close to Delhi apart from the Today's Golf Course.One can easily find the costliest property in GGN on the G.C Road.
Very few were able to own a property on G. C Road. Some due to lack of foresightedness ,some due to financial constraints.

But those who missed Golf course road were happy to see a new development in the form of Sohna Road.
The 2nd development in GGN was seen on the Sohna Road. Eye witnesses say that once upon a time Sohna  
Road was a jungle. People dared not to go on that road after dusk. And today its one of the most sought destination in Gurgaon. Projects on the Sohna Road were launched at a mouth watering rates of around Rs.2400 psft. Its really tough to believe such rates today. The basic reason for this colossus development in the prices is the simple factor of Demand and Supply.
The demand for Group housing in Gurgaon has increased by leaps and bounds. Investors and the local residents of Sohna Road made huge money with the development of Sohna Road.

The 3rd Development came in the form of Golf Course Extension Road. This location is still in the development phase,as most of the projects are under construction. In today's time this road has left Sohna Road behind in terms of prices and G.C road in terms of infrastructure.The average pricing on this road is around Rs.8500-9500 psft with maximum pricing around Rs.14000 psft. Due to its pricing this road is frequently called as "God's Own Road"

The next development is in the form of SPR (Southern Periphery Road),an extension of the G.C. Extension till the NH8 and the New Gurgaon (Sectors 80's and 90's). The New Gurgaon is considered to be the most planned sectors of Gurgaon with better connectivity,better drainage system ,Underground electricity transmission etc.Developers like DLF ,Vatika have come up with world class townships in these sectors.
The development here started 3-4 years back and  investors here too, made good money.
The average pricing here is around Rs.5500-6500 psft which started from as low as Rs.2000 psft.

Last but not the least,came the most talked of destination in GGN - The Northern Periphery Road commonly known as the Dwarka Expressway.
It is an 18 km long,150 meter wide expressway connecting west Delhi ,IGI Airport to Gurgaon. It is one of the most preferred location in Gurgaon as it is still under construction,which means it has great potential for growth in the coming years. Various developers are planning their projects on both sides of this Expressway.
This location has again the benefit of being close to Delhi and IGI Airport apart from being very close to Diplomatic enclave. Dwarka Expressway has high fluctuations in terms of pricing. It has projects with pricing of Rs.4000 psft as well as projects with price tag of Rs.10000 psft.

As per me, Investment on this Expressway will give huge returns in a span of 2 years. The most valid reasons  to be :-
1. Widest expressway of Asia
2. Connectivity to IGI Airport and Delhi.
3. Connectivity to NH8
4. Metro route proposed.
5. Diplomatic Enclave
6. Price Band

The Expressway and the New Gurgaon is always compared when one talks of investment in Gurgaon.
Which one is better is always a question to be answered as both have their own significance in terms of Location,Connectivity,Pricing and delivery.


The above mentioned is completely my POV. Any discrepancy or dissatisfaction are welcomed in the comments box below.

Thanks
Happy Investing !!!!!

Friday 10 May 2013

Basics of real estate investment !!


Real estate investment decision can be a tough job. An investor has to keep in mind a lot of parameters before investing into a real estate project. One also needs to compare it with other options available.
These comparison and consideration of various parameters actually increases the time period of the decision.
The decision making process becomes slow and sometimes may lead to a considerable loss.
In Investment advisory role, a good investment is taking the right path at the right time with right parameters into consideration.
Now, The basic question is :- What are the basics of real estate Investment ?

In my opinion following are important parameters which lead to good real estate transactions.

1. Location
2. Reputation of the Builder
3. First Price 

For any real estate project to be successful ,Location is the biggest factor. An investor should never compromise on the location of a project until and unless the project is from a very reputed builder who has the capacity to convert a dull location into a masterpiece in the coming time. A project near to a National Highway is always considered to be rightly located and past trends of price increase has proved it.

The reputation of the builder is also an important factor in deciding a good real estate transaction. As rightly said,the reputation of a builder can transform a dull location into a masterpiece.Reputation here refers to the background ,history,Quality of construction,timely delivery etc of the developer. In my opinion,an investor can compromise on the reputation of the builder only if the project has the best of the location.

Last but not the least,the price at which the property is being booked is the most important factor. Real estate history says,maximum profit is made only if the property is booked at the first price. Booking at the first price also has some risks attached to it. But an experienced investor can easily take these calculated risks.Booking at the first price gives an investor the EARLY MOVERS ADVANTAGE.
Compromising on the pricing parameter is feasible only if the above mentioned two parameters are being fulfilled.


Comments are welcome, both, supportive and argumentative !!!
Addition to the parameters will be accepted !!

Thanks !!!!



Tuesday 7 May 2013

Where to invest in Real Estate - Gurgaon or Bhiwadi ..?


70% of real estate deals in Delhi NCR is done for investment purpose. Now, that's a huge percentage !!
So one can easily make out that the real estate market is driven by INVESTORS. Investors today have this question, GURGAON OR BHIWADI ....?
The answer depends on the amount the investor wants to infuse in real estate. At present in Gurgaon the capital needed for investment is huge and the time frame is a minimum of 12 months after which you get returns on the investment.Its a simple rule,the more you invest the more returns you can expect. So if one has good capital lying idle ,Gurgaon is the place.
For small investors Bhiwadi is the place ,where one can invest around Rs. 10 lacs for a year and can easily earn a return of 30% on his investment.

Following are some of the key strengths of both the places in terms of real estate investments.

Strength (Gurgaon)
1. Proximity to IGI Airport
2. 3rd highest per capita income ,means a huge capital flow.
3.Proximity to Delhi
4.Freehold property
5. Maximum MNC's presence

Strength (Bhiwadi)
1. 3rd Largest Industrial hub
2. DMIC
3. Affordable housing options
4. Prices
5. Great potential for growth in coming years.



Saturday 4 May 2013

Avalon Rosewood,Bhiwadi

Avalon Group is coming up with a  new project in Bhiwadi by the name of Rosewood.
Details are as follows.

Tentative Details-
Type - High Rise Residential Apartments
Unit Sizes: 1250 & 1650 sq. ft.
Location:  Located on 4 lane Mega Highway (200 ft Alwar Bypass road)
Bedroom: 2 & 3 BHK
price - Rs.2725 psft

The project is on the 4 lane alwar by pass with many delivered group housing near by.
Malls are already operational near the property.
Great time to invest in Bhiwadi.



Recent update on Avalon Rosewood Site.
Gurgaon - the city with the 3rd highest per capita income has become a centre for attraction for many investors in the past decade. With real estate Developments pacing throughout the city, it is surely going to become one of the finest planned city in the country.
But the question remains , Is it the city for the common man ? 
With the prevailing prices handful of people can afford to live in the city with the 3rd highest per capita income. Gurgaon has its benefits,but the benefits come at a cost.
Due to this cost investors have started looking for options for smaller investment. Thats the reason cities like Bhiwadi,Neemrana,Bahadurgarh,Sohna etc are seeing real estate boom.

Bhiwadi is one of the city which will come up very fast in the span of 3 years. With companies like Honda siel,Hero Honda,Honda Scooters,Saint Gobain,Pepsi,Jaguar,Gillete,blue star,Orient Craft,Kajaria Tiles etc,Bhiwadi will be the next industrial hub of Delhi NCR. 
Government is also supporting with maximum infrastructural developments in the city.
DMIC is planning to develop a freight corridoor which would connect the political capital to the financial capital which would pass through Bhiwadi and Neemrana.

Its the time to maximize returns by investing in the Bhiwadi Real Estate, but one should research well before investing into Bhiwadi. Research regarding builder,Location of a project,prices.
One of the main factor for Good returns in real estate is the Price at which you are booking a property.
Or one can use the basic thumb rule for real estate investment.
1. Good Developer.
2. Optimum Location.
3. The first price.

In Bhiwadi Real Estate,location is not a big issue as real estate development is going along only the Alwar By pass road. So one can easily understand the location and invest accordingly.
Some major developer of Bhiwadi Includes.
Ashiana Housing
Avalon Group
Omaxe
Krissh
MVL
Kajaria