Are You NRI & Looking For Real Estate Investments In India ? Please Read This Once

Real estate market is a lucrative option for NRIs to invest back in their country. The depreciation of the rupee has also boosted the NRI investment mood for the real estate sector in India. Various builders also have NRI specific projects to increase their overall sales.

However, there are some basic rules all NRIs must keep in mind before investing in any real estate project in India. Let’s have a quick look:

Understand the Nature of Property: Before buying any property in India, it is imperative to understand the kind of properties any Non-Resident Indian or Person of Indian Origin can buy. According to the rules laid down by the Foreign Exchange Management Act (FEMA), NRIs can only purchase residential or commercial property in India. Agricultural land, farmland or any kind of plantation property cannot be purchased by an NRI.

If a person owned a farmland or an agricultural land before becoming an NRI, in that case he or she can continue to be the owner of the land. Even if a residential or commercial building is built on a designated agricultural land, the purchase is deemed illegal. There is however no cap on the number of residential or commercial properties NRIs can purchase.

Ensure Clean Purchase: The onus of a clean purchase is the sole imperative of the buyer and it is here that all NRIs need to be absolutely sure of the seller and a clean title. If a seller for example is not able to produce an original title deed and shares a copy, chances are that there is something fishy about the property in question. If you are unsure, it is advisable to hire the services of a lawyer to ensure clean transactions. In case you are purchasing a property from a builder, make sure to ask for all documents to ensure the property is clean.

Understand Stamp Duty and Taxation Details: Before finalizing any real estate deal in India, it is essential to take into account stamp duty and taxation related issues. For any built up property a minimum stamp duty as designated by the respective state government needs to be paid. While a registration fee of 1% is applicable for all property related transactions, the buyer also needs to pay service tax on the transaction.

If you are buying a property from any builder or real estate developer you would have to pay a service tax of 12.36% on quarter or 25% of the total price. For apartments greater than 2000 square feet, the service tax is calculated by taking into account 30% of the total price of the property.

Ensure Adequate Exit Options: Before buying any property in India, NRIs must be aware of the possible exit options in case they want to sell the property in the long run. There are certain caps on possible exit routes for NRIs while selling property in India. While NRIs can sell residential and commercial properties to resident Indians, Indian citizens as well as Persons of Indian Origin, he or she can repatriate a maximum of $1 million per year in case the initial payment was made from a NRO account. There is however no limit if the NRI purchased the property through NRE or FCNR accounts. Depending on the quantum of ownership, property tax must be paid for each sale.  

Make Money From Garbage In Your Apartments !!

Proper solid waste management in apartments can be a source for making money.

Proper disposal of domestic waste has been a talking point for a long time. Projects on solid waste management have been initiated at various corporation levels but poor waste collection practices have halted its significant progress. As the governmental intervention in waste collection is poor, some companies have joined hands with residential societies for waste management and helping them to make money from garbage.

Poor waste management in India

Waste management is serious challenge in India. India has a large number of Rag pickers in each city and town owing to immense poverty and large scale population. Even with such a large quantum of Rag pickers, India dumps majority of its domestic waste without segregating it into types of waste.

All types of waste including paper, metals, plastics and other wet contaminants all have their own waste management yardsticks. The Indian paper industry alone imports more than 4.6 million tons of waste paper from Europe each year costing more than Rs 3750 crores. Considering the fact that over 7 million tons of waste paper in India is wasted due to poor waste disposal techniques underlines the importance of having a solid waste management program that can segregate the waste and send the same for recycling.

How to make money from garbage?

If you are an apartment owner, there is good news for you as you can make some money by selling your domestic waste while doing your bit for the environment. Various non governmental organizations (NGOs) and private sector companies like ITC Ltd have initiated various projects where apartment owners are who enroll for the project gets an opportunity to make money from apartment garbage.

They are given dedicated waste bags for different waste products. All paper waste goes into one bag while all metal and plastic waste into their dedicated bags. At the end of each month, the wet contamination bag with non recyclable waste is given to the municipal authorities while the companies purchase the recyclable waste like paper waste and metallic waste at various pre fixed prices.

Housewives are more than happy to sell the waste just by taking some effort to segregate the waste at their end. ITC backed wealth out of waste project (WOW) for example collects the recyclable waste after paying Rs 4 per kg of paper and Rs 2 per kg for plastics and metals.

Tips to start and make money from garbage

• A team of like minded: Discuss your idea with like minded neighbors and make a team of like minded people. Let your apartment owners associations informed or involved in it.
• Awareness: Create awareness about the waste segregation at source and the concept of ‘Reduce-Reuse-Recycle’. Train all the maids and cooks and do Door-to-Door campaigning.
• Case study of Successful apartments: Visit nearby apartments and study the working of their waste management and how they make money from garbage.
• Categorize waste: Categorize the waste into two -wet and dry waste and run the pilot project for a month.
• Start earning: While there are various NGOs and private firms to buy recycle or dry wastes, similarly there are many nurseries and farmers who are ready to pay for the compost manure generated from the wet waste compost. Once the project is successfully implemented and your apartment started making money from garbage, introduce incentive schemes for the housekeepers and residents.
• Blogged about it: Share your apartment success story of making money from garbage in blogs and even a dedicated page in facebook to generate the public interest.

RWA’s Initiate Self Segregation

Considering the successful model of private companies in the waste management business, various residential societies and RWA’s have joined hands to make a foray into the same thereby earning money as well as cleaning up the environment. The housing societies are now collecting waste from each resident and segregating the wasteat their end and selling it directly to recycling agencies.

The wet non recyclable contaminants are sent to the municipal corporation waste disposal plants. On the other hand all recyclable waste like medical waste is collected and then sold to a company dealing in recycling of such medical waste. The RWA’s have made sure that they are earning good profits by smartly segregating the waste at their end as well as doing their bit for a cleaner world.

Along with the money they earn by selling the waste, RWA’s are spreading awareness for a greener world. Considering that each ton of recycled paper prevents 17 trees from being felled along with over 7,000 gallons of water, selling waste is not able a good for finances but the environment too.

With the influx of numerous IT/ITes companies to Pune, experts believe that the city would turn into an affluent real estate market like Bangalore, since the latter has witnessed a similar trend in the past. The dynamics of Pune real estate market is more broadly based and meets the growing aspiration of the buyers.

Presence of small and medium enterprises, renowned educational centres, manufacturing units and influence of the financial capital of the nation-Mumbai has what set apart Pune from other Indian cities.

Growth of the realty sector

Properties, which are adjacent to the IT/ITes hubs have witnessed a decent capital appreciation, since a big portion of the investors and homebuyers are from the IT sector. The city has emerged as a magnet for IT firms, thereby contributing significantly to speedy growth of IT parks and Special Economic Zones in the city.

Areas such as Aundh, Hinjewadi, Hadapur and Wakad are renowned for ITes, Sezs and IT firms. The city bore witness to a huge inflow of IT professionals in such areas. Employment triggers the demand in realty sector, and Pune’s urban growth has been quite rapid in comparison to other metropolitan cities. In addition to it, increasing migration to Pune has contributed significantly in strengthening it’s real estate market.

Key drivers

At present, Pune’s real estate growth is being driven by three sectors, other than IT. The education, manufacturing and auto sector in the city makes sure that Pune hovers on as a magnet for working professional across the nation. With the inflow of professionals around the country, the demand for residential projects has hit the roof. Increased affordability, inflow of immigrants, a huge working professionals and rising income levels have all contributed to the growth of Pune’s real estate.

According to property analysts, pleasant climate and proximity to the Mumbai city have acted in favor of Pune, making it one of the preferred choices of buyers. In addition to it, Pune real estate is much more affordable in comparison to other cities. This stands out as one of the foremost reasons why Pune’s real estate market has not witnessed a major slowdown like other markets in the nation.

Feng Shui Tips For Christmas

Christmas decoration and Feng shui element will invite good energy and attract harmony in your home.

A good holiday season is all about spending some time with the family to rejuvenate one’s mind, body and soul. Christmas celebrations that are full of fun and festivity can also be made more Feng Shui compliant to attract peace, bliss and good luck. Here are top ten tips to celebrate Christmas which is in perfect communion with Feng Shui principles.

Use Garlands: Garlands are considered to bring in a sense of positivity and luck. Garlands can be natural using flowers or can be artificially done using creative tools and smiley's. Decorating the Christmas tree with garlands is also a way to show your welcoming appreciation to all the guests. Feng Shui recommends to always hang garland at a “smiling” angle.

Keep it Simple and Subtle: Too much colour and sound can look too brash and energies can conflict with each other resulting in a rugged feeling. Simple and subtle decorations including lighting effects and other festive celebrations bring in a sense of positive energy enhancing the overall energy quotient of one’s home.

When decorating with Overhead Lights: A lot of people use strong overhead lights to highlight their decorations and the Christmas tree. According to Feng Shui principles over head light is a prime source of negativity and can create anxious situations leading to health troubles like strain and headaches. You can balance them with upward lighting by using the natural candles of various flavors and scents to offer a perfect holiday decor which is bright as well as rejuvenating the body, mind and soul.

Christmas decor and greenery: Too much of red can cause high levels of stress as red represents anger and war. The best way to compensate for all the red is to use green color abundantly. Decorate with pine or evergreen branches on the Christmas tree. Green garlands can be decorated at the home entrance to bring in a sense of calm and serene energy quotient to balance the vibrant energy of the red.

Plants for cash and luck: Placement of green plants in corners of the room help cut out the static negative energy prevalent in the corners. Plants like Poinsettia, a semi-tropical plant and mistletoe a plant often associated with the Christmas holiday are used to create a positive atmosphere. Using the plant mistletoe is also recommended as it attracts luck and money in the house.

Embrace Positivity: Keeping a positive frame of mind is one of the intrinsic factors that trigger all other positive Feng Shui tips. Embrace positivity this festive season by cutting out all thoughts and worries and feel the light of peace and bliss shine on your being.

Wood Feng Shui: Use wooden frames to post pictures of guests in the guest room. These may help relive the festive moments but such memorabilia along with a wooden frame tagged in a guest room increases the overall quotient of the guest room exponentially as per Feng Shui principles.

Use natural Herbs: Feasting on good food is part of all festive celebrations. To make your Christmas celebrations more Feng Shui friendly use natural herbs like olives, cloves and cinnamon in your Christmas recopies to have a serene and calming effect on your guests and friends.

Decorate Collectively: One of the best Feng Shui tips to attract bliss and happiness is to invite guests to decorate the Christmas festivities together. There is nothing better than sharing and decorating along with the guests help increase the unconscious bond between the two resulting in enhanced peace and domestic bliss. All residents of the family can also add up the Christmas decorations collectively for best results.

Indulge: Indulge in festive celebrations including a glass of wine to bring out the communion between your body, mind and soul. A famous Feng Shui recipe is to add ginger, cinnamon and nutmeg to mulled wine restores your spirit and enhances the positive energy flow.

Easy Ways To Decorate Your Home This Christmas

Christmas decorations are typically put up in early December. Christmas decoration is a combination of creativity and tradition. Buying Christmas decorations every year will turn out to be very expensive, so it is sensible to preserve the decorations of this year to be used in the next year. You can buy inexpensive decorations, from the stores where they sell it on discount.

Christmas Decoration Ideas

When it comes to Christmas decorating items, there are plenty of them. There are many traditionally used decoration items, but you can always come up with something new. Get your family together and let them help you, with whatever decorating ideas you have in mind. Here are a few easy Christmas decorations to bring in the festive cheer and delight everyone.

	Christmas Wreath Decoration: One of the most common Christmas traditions is hanging a Christmas wreath on the front door. Christmas Wreath is hung on doors to welcome visitors during the season. Therefore an attractive wreath is just the touch you’ll need to impress your guests. You may add some vibrancy to a plain artificial wreath made of Garland. All you will need to do is add a few ornaments that you have made or bought. You can also spray lightly a bit of white spray paint on the edges of the wreath to give it a snow effect. You can make the base of conifer leaves or green garlands and then add the decorations of your choice. You can also make a wreath from candy. To do this you will need a bit of wire to make the circular base, ribbons to attach your candy to the base and of course candy. You may use a variety of sweets to do this however, sticking with those that are red striped like the candy cane will give it more of Christmas flair.
	Christmas Home Decoration: While there are lot of interesting Christmas decorative readily available in the market. You may utilize your own creativity and present an innovative look to your home. Make attempts to impress your visitors just with the look of your house. Place flowers-natural or artificial and display teddies, dolls all around your house. This will make your home more vibrant and lively. While decorating a full house for Christmas, start with the indoor decorations first and then go for the outdoor decorations. As you start decorating the halls, do not forget to decor windows. The best thing about the decorated windows is that they add Christmas ambiance both inside and outside the house.
	Christmas tree decoration: Christmas tree is one of the most important decorative for the Christmas. First of all decide whether your tree is going to be live or artificial. Artificial trees are said to be more practical and convenient and can last for several seasons. Christmas tree decorations are readily available in the market. If you wish to give your tree a unique and different look, look for decorative at unusual places. Illuminate your tree using light and glow stars. A good idea would be to scale your decorations to the size of your tree. Mix special and more expensive ornaments with cheaper ones to make a greater impact.
	Christmas Crib decoration: Christmas Crib or nativity scene is a depiction of the birth of Jesus. Figures like Joseph, Maria, Infant Jesus resting in a manger, the three kings or wise men (Caspar, Melchior and Balthazar), sheep, camels, and an angel are necessary in a Christmas crib. Distinctive Christmas Crib is created around the world and they are displayed during the Christmas season in churches, homes, shopping malls and in public buildings. You can make a hanging crib decoration but most people prefer to put one before or next to the Christmas tree.
	Christmas Star: Christmas Star is not just an ornament for decoration, but also a symbol for hope, happiness and joy. You can never think of a Christmas celebration without Christmas Trees, Jingle Bells and Stars. The multi-colored stars give a nice dazzling look to your decorations. The star is a very popular symbol, with Christians all over the world. Whether you need Christmas decorations to embellish your home or a party location, create your own star embellishments as a festive touch for the holidays. Enlist kids to help you make colorful and creative star crafts to distribute as inexpensive winter gifts for friends and family members.

It is important that you do not overdo the decorations, just keep it simple and make spread the festive mood. The traditional colors of Christmas are pine green (evergreen), snow white, and heart red. Blue and white are often used to represent winter. Use room fresheners, aroma candles and flowers for fragrance. Christmas centerpieces can be made using floating candles, jars containing green and red (the colors of Christmas) glass balls or yarn balls placed in a basket, sprayed with glitter.

Illuminate your Christmas tree using light and glow stars. On your houseplants you may hang small Christmas ornaments to make them appear more interesting. You can simply hang Christmas cards from the Christmas tree or you can make a collage of these cards. Homemade Christmas decorations will help you get truly involved in the festival. Add to that the immense joy of creating your own decorations and personalizing them.

10 Tips For Best Use Of Small Balcony

In this day and age of compact homes, it is not always possible to have wide open spaces adjoining the house. The case is even more so for people living in high-rise apartments. With a large number of India’s population moving away from the independent housing schemes to community living, lack of open spaces have been increasingly being compensated by having intelligently done balcony designs.

Balcony offers the incentive to moving away from the monotonous indoors into the open air overlooking the apartment. With apartments getting smaller and compact, the lack of a bigger size balcony should not affect crating a wonderful cozy space in the balcony design. Here are top 10 balcony design and beautification ideas that can be embedded into apartments or houses with small sized balconies.

Cozy Reading Chair: If you are an avid reader, there is nothing better than placing a small cozy set of reading chairs in the balcony to make up for the perfect evening along with a hot cup of your favourite tea or coffee. Reading chair can be reclining and comforting adding to the leisure quotient of the balcony.

Aesthetic Green Belt: There is no better sight than a soothing green belt in the balcony that can be easily viewed from the room. A good idea to add a dash of green in your balcony is to compliment the balcony with flower pots and creepers sliding down from the roof. You can complement the green look by having wooden flooring in the balcony to give it the perfect earthen look.

Balcony Bed: Having a small balcony bed is one of the most popular add-ons. Balcony bed unlike bedroom beds are come in various shapes and sizes and can be customized according to the design and width of your balcony.

Floor Accommodation Design: A floor accommodation design in balcony can complement the modern lifestyle of an apartment with its subtle and traditional look. A warm colourful rug can be used with soft cushions offering the perfect backdrop of a floor accommodation design.

Balcony Garden: If you always wanted a garden but are cramped for space, you can always create a lovely small garden in the balcony. Garden can be complimented with wooden panels or wood based tiles to make it equally chick and élan.

Glass Panels: There is nothing more beautiful than having a long glass panel fixed on all sides of the balcony. A glass panel allows the sunlight to seep through while offering the balcony the privacy it deserves. A glass panel also highlights the subtle interior décors of any balcony design.

Privacy: Lining balconies with fabric or bamboo blind enhances a sense of privacy in closely knitted apartment communities. You can keep it open whenever required.

AstroTurf: If you are worried about having a real garden in the balcony but still want a dash of green, you can use AstroTurf on the balcony floor. AstroTurf offers a modern surreal look and can complement the balcony furniture giving it an exotic flavour.

Balcony Living Space: If you cannot bring open space to your living room, one can always bring the living room out in the balcony. Having customized furniture like sofa cum beds and a set of reclining chairs can make the balcony give a perfect look of a leisured living room ambiance.

Lamp Designed Balcony: Having lamps in the corners in the balcony is a simple and subtle way to enhance the beauty quotient of your balcony. Irrespective of the size of the balcony, a set of lamp shades along the corners bring a sense of zeal and positively enhancing the overall beauty quotient of the balcony immensely.

5 Tips To Buy Luxury Furniture On Budget

Most of us are tempted to own a piece of luxury furniture but not many are able to afford the exorbitant prices.

One doesn’t need to spend a fortune of possessing a piece of luxury furniture as there are far more cost effective ways to get your hands on the exotic furniture you always desired. Here are five basic steps that one must take into account before embarking on a journey to buy luxury furniture on a budget.

Clearance Sales: Rather than spending more than your budget for a piece of luxury furniture, it is recommended that one waits for the seasonal clearance sales. Most furniture companies phase out the older stock not because it has lost its sheen or value but just to keep adding in new products that can be sold at greater margins. Keep yourself updated on the clearance sales for all luxury furniture stores to get the best deal before others. Some luxury stores can offer heavy discounts of luxury furniture than can go as far as 70 to 80% of the regular price.

Scratched and Dented Furniture: If you want to have luxury furniture on a budget a good idea is to consider all furniture which has a slight deformity. Small scratches and dents can be a no-no for the ultra rich but for people on a conservative budget, the scratches and dents can be intelligently hidden using various furniture draping and upholstery. What’s more these second furniture’s that have some small deformity are usually available at far cheaper prices. Do not forget to bargain with the vendor while buying a deformed product as you are doing a small favor by considering the damaged furniture. Effective bargaining can make you bag a steal at times so it is definitely worth a try.

Research the brands: Before embarking on any luxury furniture sales, it is imperative to do a complete research on the various luxury brands and their product base. Once you have shortlisted your requirement, then do a small research on the average prices of the same furniture from rival brands. The research can help you get the best deal for your money and not over spend of a piece of furniture that could have been so much cheaper when compared to a different furniture brand.

Have a fixed budget: Once you have decided to buy luxury furniture on a budget, it is important to have a fixed budget. Once you start going overboard with your budget, it may soon turn spiral and you may end up buying things you never really wanted. In the luxury furniture segment going overboard with your budget is very common. Controlling your impulsive shopping decisions is a key when buying any kind of luxury furniture set.

Avoid discount stores: Discount stores offering luxury furniture have been coming up like mushrooms in the recent past. Most of these so called discount stores’ are better avoided since they lack any credibility. They may sell you a cheap replica of exotic furniture in the name of its original luxury piece. If you ever find yourself tempted to buy from these discount stores, focus on getting a guarantee card. Of course always make sure that you read all the fine print to avoid being conned by such discount stores.

Creative Stickers For Your Walls !!

One of the best ways to infuse your home with warmth and style is by adding creative wall art. Wall art is an increasingly popular home decor trend that has grown in demand recently. A few years back, the most one could do with their walls was hang a few paintings or framed family photograph. But today there are a host of options available in the market

Wall Stickers or Decals

Wall art stickers or decals as they are popularly known are a fun way to transform a wall and brighten your room without a lot of work. They are also easy to install and remove. You can even use steam and water resistant decals in your kitchens and bathrooms. From classy sophisticated design to eclectic prints and even kids themed decals, there are a variety of colours

and designs to choose from.

Designer Wallpapers

Using Wallpaper is a great way to add style to your room. Today the markets are flooded with a variety of options from funky designs, subtle elegant textures or bright statement patters. The most popular way to use wallpaper is to highlight one accent wall and paint the remaining walls in a coordinating color. It is also important that only a professional install the wall paper. This is ensure that it is properly installed and has a long life.

Wall Tapestries

If you want a add a cool bohemian look to your room, you can consider adding hanging rugs and tapestries on your walls. This is a great way to add a focal point to your room or a back piece to a furniture – like your bed or dining table. There are many places that sell wall tapestries these days or you can simply buy a regular rug and hang it on the wall instead of the floor.

Wall Lettering

You can let your walls talk with wall lettering. Options available vary from , inspirational sayings, famous quotes, custom phrases, decorative quotations, personalized messages. You can choose from vinyl letters or wooden letters. These are perfect for a kids rooms as you can put up their names, inspirations poems etc.

Wall Panelling

Decorative 3D wall panels are another great way to bring a bland and boring wall to life. These carved pieces of artwork add a contemporary flair to modern interior design and are available in a variety of materials such as wood, ceramic, plastic and even leather.

So this festive season bid adieu to the bland and boring walls and bring your walls to life with trendy wall arts.

Newly Wed ? Read This , May Be This Will Help You !!

Vastu tips for a newly wedded couples.

Vastu Purusha (also known as the ‘God of the land’) is believed to have a great influence on the prosperity and happiness in the family. Since time immemorial, people follow vastu sastra (vastu norms) to get-rid of negativity and unhappiness in families – whether it’s during the construction of the house or during the placement of furniture in the house or during setting up the room for the newly-wed.

The institution of marriage brings two people together and binds them with love and life-long companionship. Several rituals are conducted at the time of wedding and also when the bride comes to her in-laws place seeking blessings for a successful married life for the couple. Also, vastu shastra is strictly followed in houses for the newly-wed starting from deciding the direction of the bedroom to choosing the curtain colour and wall painting to make their married life peaceful and enjoyable.

Here are few vastu tips for the newly-wed for a successful marriage:

1. The most important thing is to select the right direction for the bedroom of the newly married. The north of the North West direction is believed to be the most auspicious according to vastu shastra. The direction generates positive energy which strengthens the relationship between husband and wife.
2. Colour of the room’s wall, bed-sheet is also another important factor. If the bedroom of the newly married is situated on the east, then white coloured bed-sheet and wall paint should be avoided, and pink and red colours should be avoided if the bedroom is situated on the north direction. Use of light pastel shades such as cream, light green and light blue in walls and curtains helps in fueling the spark between the newly-wed.
3. Wife should sleep on the left side of her husband. It is considered to be auspicious and helps in keeping better understanding between the couple.
4. Keep your room well-lit and well ventilated throughout the day; allow free-flow of fresh air to the house and to the bedroom.
5. Avoid negativity, stress, dark and sad environment. Keep flowers in the house and inspiring quote wall hangings or few motivational books in the room.
6. Avoid paintings or wall hangings that symbolize negativity such as death, depression or violence.
7. It is believed that the reflection of the mirror should not fall onto the bed. Avoid keeping large mirrors in the bedroom. If the dressing table mirror is there, you can keep next to the bed where the mirror should not face the bed.
8. Similarly, avoid keeping TV or computer in the bedroom as their screen reflects like mirror.
9. To bring spark in your marital life, you can keep a pair of sculptor of love birds or white horses in the room. Or, you can keep your wedding photograph in the room to enhance companionship and trust between the couple. It also helps in highest level of intimacy.
10. The use of wooden bed instead of metal bed should be encouraged for the newly-wed.

Upcoming Real Estate Hubs In Pune : Hadapsar - Handewadi Corridor

The residential real estate market in Pune has seen tremendous growth in the last five to six years, with many pockets of the city standing out. This spurt in growth can be attributed to the rising demand experienced across various sectors like IT, manufacturing  and automotive industries in the city.

Price appreciation linked to infra development:

The Hadapsar-Handewadi corridor holds a lot of promise in terms of price appreciation. But for this to happen, a lot more needs to be done regarding infrastructure development in the area. One such pocket along this corridor is the IT belt along  Kharadi and Magarpatta, which holds immense potential. Besides, there are a number of engineering factories that have come up along Ranjangaon, Solhapur and Saswad road. These developmental activities across sectors has the potential to contribute greatly to the economic growth of the area.

Proximity to CBD is USP of area:

The prime USP of the area is its proximity to the old Central Business Districts (CBDs) of the city, with MG road being just about 6-7 km away. Besides, it is also well-connected to Nagar Road and the Solapur Road. What is unique about the area is that it is an end-user driven market, with an end-user to investor ratio of 80:20.

Lack of infra development hampers realty growth, prices:

The real estate development along the area is greatly hampered due to the lack of proper infrastructural developments along the Hadapsar-Handewadi corridor. Many of the infrastructure development activities that were done in the recent past has also not been of good quality. This has had an adverse impact on the price potential that the area holds. Hence it is imperative that the city administration takes the onus of improving the infrastructure along this corridor on a priority basis. This could result in considerable appreciation in realty prices in the area.

IT sector prime contributor to Realty growth:

The IT sector is the main contributor towards pushing up the demand for real estate in Pune. However, other sectors like services, insurance and automobile industries have also contributed well in recent times. There has been a  spurt of many small IT companies in the city in recent times. Besides, many larger IT companies have embarked on expansion drives due to which there have been many opportunities. As a result, many professionals from outside the city as well as a large number of NRIs have made their way to the city seeking lucrative professional engagements. This section of the population contributes to about 20% of the property demand in Pune.

Realty scenario along the corridor:

Currently there is a slump in the realty market along this corridor. This can be attributed to the lack of any major infrastructural facilities as well as to the poor quality of the existing infrastructure. The average sale price for residential apartments in Hadapsar is Rs. 5,150 per sq ft, with a depreciation of 7% in value compared to the last quarter. The average rental is Rs. 14 per sq ft.  The average sale price for residential apartments in Handewadi is Rs. 4,300 per sq ft, with an average rental of Rs.11 per sq ft. Considering that these values are considerably low compared to many other areas of the city, it is imperative that infrastructure development along this corridor is given top priority.

Balance in demand and supply with preference for luxury homes:

Considering that the realty sector in most cities across the country has been adversely affected due to the economic slowdown, there have been significant declines in capital values. However, Pune has seen considerably lower decline in capital values compared to most other major cities in the country. With revival in the realty sector expected in most cities, it is expected that capital values in Pune would grow by about 8%, annually. Moreover, it is appreciable to note that there has been an ideal balance of demand and supply in Pune. It is also notable that a major part of the supply in the residential sector is in the high-end segment, which indicates a clear preference towards luxury homes in the city.

Real estate investment: The safest option for banks

Over the years,real estatehas ranked itself in the list of ideal investment destinations for banks. As projects in various sectors have dropped the ball, banks have given a nod to funding commercial real estate developments, irrespective of the fact that demand is moving at a slow pace and inventory is piling up incessantly.

India, for instance, has witnessed more than 50 real estate projects out of 173 that felt the need for bank funding in the first half of 2013-14. Furthermore, in comparison to funds lent to other sectors, banks have been more lenient towards the realty sector.

According to analysts

Coming as it does in a down-trend economy, analysts have made a cautionary statement on the crisis persisting among realty developers. Developers need to take a note as real estate exposure of banks shoots up that may arise due to the crunch in market demand. In this case, the market risk is expected to be more. Although there have been numerous downgrade ratings in the sector, most of the projects are covered via lease rentals that minimizes the risk.

With a note of concern, real estate consultants and bankers confirm that RBI has taken measures to safeguard the funds lent to developers against rentals. In addition to it, the real estate sector offers the banks the lucrative option to earn higher returns in comparison to pharma or telecom.

World scenario

World real estate scenario has another story to tell. Market experts suggest that the value of housing will be endured and increased by urban planning and good design. It will also ensure adequate storehouse of value for home owners and lenders and prevent the setting up of slums.

Investment vehicles to manage and fund projects are generally not handy in developing markets. This seems to be the major problem for different real estate markets of the world. The reason for this is lack of government investment in urban planning in growing markets, lack of long-term capital and unwillingness to utilize tax policy to encourage investment.

The solution to this is simple-REIT (real estate investment trusts). REITs can stand as a helping hand for promoters to complete their undertaken projects. In addition to this, few other options that can be an aid to the realty sector include:

 Yerwada   is a part of the fast growing residential neighbourhood of Band Garden . Areas like Mohanwadi,Yerwada ,Vimannagar , Kasturba Housing Society, Phule Nagar, Police Lines, Shanti Nagar, Tingre Nagar and Kalas, all lie within a radius of about 6 km from Dhanori.

Lohegaon, which lies about 4km from Dhanori, is home to Pune’s International Airport. The place is also well-known for its reputed educational institutions like Kendriya Vidyalaya, Sharad Pawar International School and other schools and colleges. Marathwada Mitra Mandal’s Institute of Technology, Symbiosis College and Dr. D. Y. Patil School of Engineering are some of the famous colleges located in and around Lohegaon.

Lying close to Lohegaon, home-buyers in Yerwada  are offered quality educational opportunities for their children, in addition to standard residential options.

Connectivity

Yerwada is well-connected to other parts of the city through road and rail. A number of PMPML buses operate to and fro, passing through Band Garden Road , which connect Yerwada to the nearby areas. Several roads run along the area and its neighbourhood. These include Dhanori-Lohegaon Road, Alandi Road and the Airport Road.

The Pune Railway station lies at a distance of less

than 6 km from Yerwada  and the Pune International Airport Area in Lohegaon, lies at a distance of about 4 km.

Residential projects

Yerwada  is witnessing a fast-paced development of the real estate sector, especially residential housing. The area has become a preferred residential choice for IT professionals who work in offices in and around Kalyani Nagar, Koregao Park and Viman Nagar, owing to factors like good connectivity and its proximity to the airport.

Though this is one of the most developed centralised location across Pune it's very hard to get a good home there because of land constraint , only one developer have their project there like Pushpganga Venture's is having Pooja Enclave featuring luxurious 2 BHK homes at Pratiknagar , Yerwada 

Size and price of apartments

The size of 2BHK apartments in Yerwada vary from 1000-1060 sq.ft, and the price ranges between 75  lacs to 1 cr onwards . 

Rental values of apartments vary from Rs.-10000 for a 1 BHK apartment and from Rs.12000-15000, for a 2BHK apartment, per month. 

Price Trends

At present, multi-storey apartments are sold at a rate of Rs. 7500/sq.ft., and the rental value of the same is about Rs. 15/sq.ft.

As per market reports, an appreciation of about 11% was witnessed in the sale price of multi-storey apartments in Yerwada , during the second quarter of 2013, when compared with the values of the same period in 2012.The sale price of multi-storey apartments was about Rs. 6800/sq.ft. in the second quarter of 2012,. the same rose to about Rs.7500/sq.ft. during the same period of 2013.

Property Investment Is All Time Hit Globally

Following the global financial crisis that struck the US market around five years ago, real estate has started flourishing slowly.

The real estate market is considered to be an investors’ haven owing to its relatively high returns, compared to other investment options. Since some investments like the equities are at record high while some offer too little returns, investors are showing increasing interest in property market.

Safe investment

Though on a long-term, realty market offers safe and potential returns, owing to which it has become a global hit. However, short-term investors have various other investment options like stock market, government bonds, mutual funds, etc. Investing in real estate and gold are being considered as safe investment options and are becoming quite popular among many developed as well as developing countries.

Promises high returns

While many equity markets demand huge investments, some investment options like government bonds, bank deposits, etc. offer limited returns. But real estate does not necessarily demand very high investments.

If you cannot find a real estate property or project within your investment limit in one particular micro-market, then you can look at other micro-markets where he/she could find an appropriate option. Moreover, the market promises good returns on your investments, which makes it much more attractive.

Real estate as an alternative

Many smart investors usually prefer to invest in more than one option invest in more than one option at a time. There are many investors who regularly deal with investments like stocks and bonds, but keep one portion of their investments in real estate. Such investors need not have to hurry to resell the property when the market is low. They also tend to avoid many risk factors that are generally associated with other investors and remain successful on a long run as it helps in protecting against inflation.

Alternative investment option is a good method to follow for start-up investors. They can be stable and at the same time, they can get a feel of different markets. Do not get carried away merely by a hot trend or friendly suggestions of traders, but carefully monitor the potential of the market.

In some emerging markets, the legal rules and property rights are so efficiently set that they make it a secure place to invest in brick and mortar business. A private equity (PE) investor said that the last two quarters have recorded a big hike in the volume of US capital and Asian sovereign wealth funds. The PE firm has been getting rising number of enquiries showing interest by investors. The firm hopes that it will double the investments in around four years or so.

Property prices rising high

Real estate prices are soaring in several places, which also include non-traditional markets like Germany. In London, the month of October alone witnessed a 10 percent hike in property prices. Property prices in China are increasing at a rate which is the fastest in the last three years. As per the German Central Bank, many apartments in large cities may be over-priced by about 20 percent. Market experts warn that if regulators will not cool the overheating markets, then it is likely that a property bubble may get burst.

Falling wages due to economic slowdown are also likely to reflect on the sector’s growth.

Bond backed by rents

PE giant Blackstone came up with a $300 million asset-backed security which is the first bond backed by home-rental cash flows. The bond has been given a triple-A credit rating, which means it is deemed as safe or safer an investment than bonds issued by the United States itself.

Chris Taylor, chief investment officer at Hermes Real Estate

, said that though the demand will rise with the increase in profit, a property’s long-run fundamentals actually depend upon how the economy affects occupiers.

Rising fund flows

A mounting number of investments is being sinked in global property funds despite knowing the risks associated with it. As per Lipper’s global data, the property funds have increased by $29.8 billion to $452.6 billion, during the Jan-Sept period of 2013, marking a 7 percent rise. While Japan has recorded the biggest rise with $6.53 billion (22 percent hike), Europe that got $5.15 billion stands in the second place, followed by the United States ($4.87 billion) and Britain ($3.41 billion).

Although London property market looks overheated, it has to be noted that residential properties in its prime markets have been attracting rising interest from investors in Asia, the Middle East and Europe. This trend is likely to continue for some more time in the near future, say experts. While foreign investors are interested in investing in Britain, UK-based investors are looking at other nations to invest craving for better yields. Many investors have set a long-term strategy of investing a significant portion of their funds overseas, mainly in developed markets such as Australia, Europe, the United States, etc.

Buying Properties in Pune To Become More Expensive

Buying houses in Pune will become a bit more expensive owing to the increase in stamp duty by the Maharashtra government. The state government has decided to increase the stamp duty by 1%. This means that the total stamp duty for buying a property will increase up to 7% in Pune.

The decision has naturally attracted dissent from the real estate developer community. Developers believe that this move by the government will further dampen the already dampened sentiments of buyers.

Property prices in Pune

Property prices in Pune have gone beyond the affordability levels in recent times and continue to grow every year. This is due to several reasons. One of the major reasons for increasing prices is Pune’s proximity to Mumbai, one of the most expensive cities in India. Excessive demand for properties in Pune by its neighbouring cities and areas has pushed the property prices up. Pune is situated just about 3 hours from Mumbai. The second reason is that Pune is a growing IT and manufacturing hub. The IT and manufacturing industries are offering huge employment opportunities, not only to locals but people from outside as well. The third main reason is the increase in construction costs.

Impact on property buying

Real estate developers in Pune have condemned the move by the government saying that increase in stamp duty prices will further impact the already dampened real estate market. While increasing stamp duty and other taxes is considered one of the simplest ways of increasing government revenue, developers believe that this move will directly impact the customer as they have to pay more for purchasing a property. This will further plummet property sales.

Developers were hopeful of sales picking up during the Diwali festival season, as the festival season is considered auspicious by customers to purchase a property. However, the decree from the government came during the festival season.

Many government policies have left a sour taste in the mouth of developers. India is currently ranked at 182 out of 185 in terms of ease of dealing with construction permits according to a World Bank report. The report states that it takes an average of close to 200 days to receive at least 34 permits for starting construction activity. Obtaining all approvals increases gestation period for a project by at least 2-3 years. By that time, land cost rises 20-30% due to hefty interest. This increases the overall property price. Even the Real Estate Regulatory Bill which is expected to be a game changer for the realty sector once implemented does not talk about construction-related approvals.

With the current government policies, the end customer may have to bear the brunt in terms of increased property costs for some more time.