Among the many taxes that home buyers have to pay on property purchase is the Goods and Services Tax or GST on flats. Many changes have already been made in this tax regime, in a short span of time since it came into force in July, 2017. In this article, we examine the implications of the GST for real estate in general and home buyers, in particular.
Municipal and IT Minister KT Rama Rao said that the state government would expand IT to Tier II cities. He said the foundation stone will be laid at the IT hub at Kompally in Medchal-Malkajgiri district soon apart from the inauguration of IT tower in Khammam on December 7. Continue reading
Though there was overwhelming response to regularisation of plots in unauthorized layouts with over 25 lakh applications across the state, many plot owners in the surrounding municipalities and municipal corporations, where illegal layouts have mushroomed, did not come forward to regularise their properties under Layout Regularisation Scheme (LRS). Continue reading
In a major move for protection of Waqf properties, the Telangana government has prohibited their registration to leave no scope for unauthorised transfers.
Waqf properties have been included in the list which will be put under “auto lock” on the vardenafil 10mg for sale in australia how erection soon-to-be-launched Dharani Portal for online registration of properties across the state. Continue reading
You are a proud owner of your brand new home, which you have taken via home loan from a reputed bank. You are diligently paying your home loan, when suddenly you find that another bank is offering home loans at a better rate, wouldn’t you like to change your loan to that bank, of course.. You will want to. But, that you have to consider a few factors before switching your home loan lender, because you should not regret later, right. Continue reading
CREDAI (Confederation of Real Estate Developers’ Associations of India), the realtors’ apex body today said that Indian housing sector is showing sign of improvement and by the next fiscal year it will completely improve. As per them, lot of sales activities have started in Hyderabad and in other cities and the sales are expected to go up during the festive season. There is a huge demand for homes, but the home buyers are still waiting and giving the real estate Continue reading
With fast paced development, West Hyderabad is gaining momentum and seems like a good option for investment.
Property owners in the west zone of Hyderabad should be pleased to know that real estate prices have risen by 1.9 percent as per Magicbricks research. West Hyderabad has been favoured by potential consumers in the past and this quarter (Apr-Jun 2016) was no different. The localities which stand out in the west zone are Manikonda, Gachibowli and Kondapur.
One of the main reasons behind consumer preference is the establishment of office clusters in this region. The advent of IT/ITeS offices have led to a string of developments in the retail, hospitality and residential sectors. Hence, it will be right to mention that Hyderabad has grown primarily in the western direction. Magicbricks estimation states that 50 percent of consumer preference is concentrated on West Hyderabad.
Price change in the western precinct
West Hyderabad accounts for most of the realty transactions in the market. And why not? With an impressive background of developments, it is not surprising that the quantum of movement is greater than any other zones of Hyderabad.
Every buyer or an investor has their budgets for a property investment. A comprehensive list detailing the price change in different budget segments has been mentioned below:
Overall, the entire region witnessed a price rise. Properties in the budget segment of Rs 3,000-4,000 per sq ft were spread across localities such as Nallagandla, Manikonda and others. These two specific localities saw a 4 and 3.9 percent increase in property prices, respectively. Similarly, Gachibowli and Kondapur had a spread of properties in the price bracket of Rs 4,000-5,000 per sq ft and saw a price rise of 2.5 and 3.3 percent, respectively.
Top localities by consumer preference
Localities in the western zone which seem to have garnered the most attention from consumers for specific budget segments have been mentioned below: Consumer investment preference says a lot about a locality. Everyone researches about a project, a property and a locality before putting in their money. The preference list can be seen as an indicator towards these localities. Obviously, one needs to conduct their due diligence as the requirements of a family and from a property will be different.
Price variations in under construction and ready to-move-in units
After having selected a locality, one might be in a dilemma about the construction status of a property. In both categories (under-construction and ready-to-move-in), there mostly seems to be a price increment.
The difference between the two categories does not seem wide. Therefore, whether an under-construction or a ready-to-move-in unit, an investment in either type of property is lucrative. With the growth in property prices, West Hyderabad does seem like a good option for investment now.
Namrata Ekka, Times buy levitra 40mg earn problems with erection being Property, Magicbricks Bureau/Hyderabad
A competent property manager can add significant value to your investment, which is why many seasoned real estate investors will tell you that a good management company is worth their weight in gold. Here are a few ways that a good property manager earns their keep:
Higher Quality Tenants
Think of tenant screening as the moat and draw bridge around your castle. It is certainly possible to get a bad tenant out of your home once they are in, but it’s a real hassle and you are so much better off never accepting them in the first place. A thorough screening process results in reliable tenants that:
- Pay on time
- Rent longer
- Put less wear and tear on the unit
- Generally cause less problems
An experienced property management company has seen thousands of applications and knows how to quickly dig for the real facts about candidates and analyze that information for warning signs. By allowing a management company to handle the screening, you will also be shielding yourself from rental scams directed at owners, and discrimination lawsuits resulting from an inconsistent screening process. This kind of experience takes time, and insomuch as it means avoiding bad tenants, scams and lawsuits it is arguably one of the most significant benefits a property management company will provide.
Fewer costly and time consuming legal problems
Veteran landlords know it only takes one troublesome tenant to cause significant legal and financial headaches. A good property manager is armed with the knowledge of the latest landlord-tenant laws and will ensure that you are not leaving yourself vulnerable to a potential law suit. Each state and municipality have their own laws, these plus federal law cover a number of areas including but not limited to:
- Tenant screening
- Safety and property conditions of the property
- Lease addendums
- Terminating leases
- Handling security deposits
- Rent collection
Avoiding a single law suit can more than pay for the property management fees, and spare you time and anguish.
Shorter vacancy cycles
A property manager will help you perform three critical tasks that affect how long it takes to fill your vacancies:
- Improve and prepare the property for rent – A property manager will suggest and oversee cosmetic improvements that maximize revenue.
- Determine the best rent rate – Too high and you are stuck waiting, to low and you’re losing money every month the tenant is in the unit. Determining the optimal price requires knowledge of the local market, data on recently sold comparables, and access to rental rate tools.
- Effectively market your property – An experienced property management company has written hundreds of ads and understands what to say and where advertise in order to get a larger pool of candidates in a shorter period of time. Additionally because of their volume they can usually negotiate cheaper advertising rates both online and offline. Lastly, they are familiar with sales and know how to close when they field calls from prospects and take them on showings.
Better tenant retention
While its easy to see the effects of lost rent, there are other equally serious problems with a high tenant turnover rate. The turnover process involves a thorough cleaning, changing the locks, painting the walls and possibly new carpet or small repairs, not to mention all the effort associated with marketing, showing , screening and settling in a new tenant. This is a time-consuming and expensive process that can often be averted by keeping tenants happy and well cared for.
A good property management company will have a time-tested tenant retention policy that ensures happy tenants with lengthy stays in your properties. These kinds of programs require a consistent, systematic approach, which is where a good property management company will shine.
Tighter rent collection process
The way you handle rent collection and late payments can be the difference between success and failure as a landlord. Collecting rent on time every month is the only way to maintain consistent cash-flow, and your tenants need to understand this is not negotiable. By hiring a property manager, you put a buffer between yourself and the tenant, and allow them to be the bad guy who has to listen to excuses, chase down rent, and when necessary, evict the person living in your property.
If you let them, your tenants will walk all over you. They have to be trained to follow every part of the lease or deal with the consequences. Property managers have an advantage because tenants realize that they, unlike the owner, are only doing their job and are obligated to enforce the lease terms. Many property managers will tell you that it is considerably easier to manage other people’s units rather than their own for this reason.
Regarding evictions, there are strict laws concerning the eviction process, and doing it wrong, or trying to evict a “professional tenant” can be a MAJOR fiasco. A good property management firm knows the law and has a good process for obtaining the best possible outcome given the circumstances. Never having to handle another eviction can be a compelling reason to consider hiring a property management company.
Assistance with taxes
A property management company can help you understand which deductions you can claim, as well as organize the necessary forms and documentation to make those claims. Additionally, the property management fees themselves are also tax deductible.
Lower maintenance and repair costs
Good maintenance and repairs keep tenants happy and preserve the value of your investment which make them a very important part of land-lording. By hiring a management firm you gain access to both their in-house maintenance staff, as well as their network of licensed, bonded and insured contractors who have already been vetted for good pricing and quality work. This can translate into significant savings compared to going through the yellow pages and hiring a handyman yourself. Not only is the firm able to get volume discounts on the work, they also know the contractors and understand maintenance issues such that they are capable of intelligently supervising the work.
Increase the value of the investment
Preventative maintenance is achieved through putting systems in place that catch and deal with maintenance and repair issues early on, before they grow into larger more costly problems. This requires a written maintenance check program, detailed maintenance documentation and regular maintenance visits. The management firm can also offer you suggestions and feedback on upgrades and modifications, both how they will affect the rent you can charge, as well as their impact on maintenance and insurance.
Personal benefits for owners
- Less stress – Avoid having to deal with middle of the night emergencies, chasing down rent, evicting people from your property, tenants who wreck your property, rental scams, lousy vendors, piles of paperwork.
- More freedom – Live and invest wherever you want with the constraint of needing to be near your properties. Additionally you can live and travel without the requirement of always being available in the event that your tenants have a need you have to tend to. Once you have found a good management company, it doesn’t matter if you live in the same state. Some landlords live in other countries and simply collect their check every month without ever seeing the property.
- Free up more of your time – Time is money, and for many investors, their time can be more profitably spent in areas other than servicing their properties. When you focus on asset management you’re working ON your business, when you manage your own properties you work IN it. Additionally you have more time to spend with family or friends doing things you enjoy.
Lifestyle is a serious choice. The most actively transacted properties in Hyderabad are the ones that command anywhere between Rs 3,000-4,000 per sq ft. However, with conveniences comes a higher price tag. The more you ask for, the more you pay.
Hyderabad, a very price sensitive market, is often termed as the most affordable market in the country. The city makes sure that there is a home for every budget segment. The good part is, even the localities in the fringes are set for a new high.
Not long back, Uppal featured for the first time in the list of top localities. With increasing number of investments in the area and with functional offices of some global firms, Uppal gained a foot among young buyers willing to invest. Improving infrastructure such as the metro, would add to the location value of this developing locality.
Today, if you are considering Uppal, you would have to spend anywhere between 2,000-3,000 per sq ft. This means a house in the below Rs 30 lakh budget is a possibility here.
The 2BHK configuration is most common and is available in sizes varying from 850-1100 sq ft. Residential houses are mostly preferred. One can find a unit as small as 1000 sq ft to as large as 4000 sq ft within a range of Rs 25-60 lakh. Options are also available for those looking at long term investment. Plots are available for Rs 7-15 lakh in various sizes ranging from 150-350 sq yard.
Kompally, still early in the development cycle with respect to infrastructure, still finds favour among the budget conscious buyers.
“The average prices in the city are nominal and because of political turmoil in the recent past, prices haven’t moved up a lot. However, wirkt kamagra bei frauen anatomie und wirkt places like Kompally garner interest because of the availability of good projects within a very reasonable range,” says Kanchan Kanthikumar of House4U. As per Magicbricks, the projected appreciation is reasonable but maintains an upward trend which is a good sign. Moreover, the green lung spaces is a value add. Most households depend on bore-wells for water.
The broad range of property prices is 2,200-3,600 per sq ft., depending upon the configuration, amenities, location and maintenance of the house or the brand of the developer. A gated community villa will cost close to 4,500 per sq ft.
Open plots too are available and cost anywhere between 15,000-30,000 per sq yard, depending on the proximity to the main road.
Appa Junction gives you the option of fishing for luxury and affordable properties. However, a common concern among residents here is the absence of civic facilities.
Karuna Dhar, a resident says, “Absence of street lights makes it very difficult for commuters. Accidents are very common but the authorities seem to be lax about it.” A local developer informs that the radial road between Langar Houz and Appa Junction needs a facelift with almost half of the stretch, under the gram panchayat, still asking for repairs. This pace of development has led to difficulty in pitching projects to consumers.
Nevertheless, buyers are still looking at the locality for a purchase thanks to rational prices within 3,500 per sq ft. A 1, 2 or 3BHK unit or a spacious villa, take your pick, the mix of properties is interesting. Depending on your budget, the area offers homes starting from Rs 25 lakh to over Rs 2 crore.
The buoyancy in real estate in Hitec City and Madhapur is because of the IT/ITeS employed professionals. Prabhu Ganesan of Prime Realty says, “In Hyderabad, west is always considered the best. This is especially because of the evolved infrastructure, proximity to work places, resulting in an enhanced commercial experience because entertainment zones, hangouts, various eateries, office spaces and housing have come up here as well.”
Local realtors tell us that a major proportion of the migrant populace prefers West Hyderabad over other areas.
Vipin Ravindran, property consultant at Lekshmilok Properties says, “Young buyers prefer the job centres Gachibowli, Miyapur, Kondapur and Madhapur. Even though the metro is coming up in areas such as Nagole, Uppal, Habsiguda, Tarnaka and Mettuguda, you would see buyers preferring the central location for the feel of it.”
As per projected values in the graph, values may not fall. Hence, an investment at this time would not be a decision you would regret. As of now, prices are in the range of 4,000-5,000 per sq ft depending upon the exact location and amenities.
Do go in for a thorough research before investing. Speculations often turn out to be disappointing.
Sneha Sharon Mammen, Times Property, Magicbricks Bureau/ Hyderabad