India Post_Real-Estate_Supp_February-24-2017

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India Post

February 24, 2017

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India Post News Service

INDIA: The Real Estate sector perhaps has been the most affected by the Demonetization exercise undertaken by Prime Minister Narendra Modi on November 8, 2016. Experts are divided about the nature of this impact; however there are a few points of consensus.

The real estate sector has traditionally seen a very high involvement of black money and cash transactions. However, almost all such incidences have been in the secondary sales market, where cash components have traditionally been a veritable 'must'. Therefore, according to Money Control website, the resale properties segment will take a big hit.

According to JLL India, the primary market - or, more specifically, the market formed by projects undertaken by reputed and credible developers in the top 8 Indian cities - will remain more or less unaffected. This is because buyers into such projects take the home loans/finance route to buy their homes, and transactions are done through legal channels. Therefore, there will not be any major impact on sales in this segment.

However, there might be an impact on quite a few projects in tier 2 or 3 cities where cash has played a role even in primary residential sales. However, the tur-

moil in this segment will settle down in a short period of time.

In the past one year, there have been a few positive and potentially long-lasting changes in the Indian real estate. The passing of RERA (Real Estate Regulation and Development Act 2016), the Benami Transactions Act and now the demonetization

Impact of Budget

India Post Survey

The Union Budget 2017 has proposed several positive measures to strengthen the edifice of the Indian real estate sector. The tax period for capital gains has been reduced to two years from three years. This means that lesser capital gain tax will be in the offing for those intending to sell their prop-

India Post contacted a number of industry leaders to know their views on the impact of Demonetization on Real Estate, now over three months after its announcement.

Cont’d on page 38

Highs & Lows of Demonetization The primary market formed by projects undertaken by reputed and credible developers in the top 8 Indian cities will remain more or less unaffected. However, there might be an impact in tier 2 or 3 cities where cash has played a role Please find details of India Post interviews with industry leaders inside move will ensure that going forward, the sector will lose much of its historic taint and become more transparent.

Only players who conduct their business with integrity will survive. This bodes well for end-users, who will be aware of their rights, have the assurance of not being cheated and will no longer need to contend with constantly rising prices. They will be able to buy properties of their choice at affordable prices, in projects which will assuredly be delivered on time.

erty after a span of two years of purchase, as against three years (earlier).

The nominal tax on ready but unsold inventory is to be charged after one year. This means that the person holding the land in a given real estate project will have to pay 'tax on gains' once the entire project is completed and not before that.

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India Post February 24, 2017

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LIVE PARIS

IVE THE DREAM: Imagine living in Paris. The winding cobbled pathways, the beautiful lush green gardens, the charming alfresco cafés serving delectable maca roons. Kanakia Spaces, one of the top ten developers in India known for its themebased residences, makes this a reality with the stunning new real estate project, Kanakia Paris @ BKC, Mumbai. Located in the heart of Bandra-Kurla Complex in Mumbai, the property recreates the Parisian experience, through art, romance, architecture, monuments, fashion and food. Spread across approximately 2 acres, Kanakia Paris will have 7 wings with around 463 luxe apartments in 2- and 3-bedroom options.

Live the good life A

s a first in real estate history, football superstar Zinedine Zidane has been unveiled as the face of Kanakia Paris @ BKC, Mumbai. It was Ashish Kanakia's passion for the sport and the Paris project that was instrumental in identifying the legend as the right person to associate with.

Zidane is all set to conceptualize and plan the iconic Z Wellness Holistic program, spread across approximately 51,000 sq.ft.

It will focus on the mind, body and soul

and aims to rejuvenate you, inside out.

"This is the first time that a footballer is going to be involved in the conceptualizing of a real estate project. This association therefore is different and stands us apart from the other brand endorsements that are being announced. His involvement is a lot deeper and positions the brand and project more sharply."

-Mr Ashish Kanakia, Director of Kanakia Spaces

Live the luxury C

hic style. Stunning location. And inimitable design. Olivier Vecchierini, a renowned architect from Paris, has been appointed to design the landscape and a few interior spaces of the project. Kanakia Paris takes the idea of luxury living a notch higher, offering residents the best experiences, the finest extravagances, lavishly pampering them with services and amenities that have been tailor made for their discerning taste.

From a designer clubhouse and 24/7 concierge to a luxe swimming pool, party hall, French café, spa and salon, a mini theatre and the iconic celebrity gym, Kanakia Paris promises to leave you utterly spoiled.

"The real estate sector has grown tremendously and is witnessing a positive change in the coming years. We at Kanakia have always focused on developing the landscape of Mumbai. Kanakia Spaces is a pioneer in developing theme-based projects

across Mumbai and the acceptance amongst the customers is the best testimony for us. 'Kanakia Paris' is our tribute

to man's quest for artistic impressions and we are confident of it being a man-made wonder in the city."

-Mr. Himanshu Kanakia, The Managing Director of Kanakia Spaces

D. R. Horton offers new built for better living® homes

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. R. Horton, America's Builder, is pleased to offer Built for Better Living® homes priced from the mid$300,000s to the upper-$1.7 millionsat a long list of Bay Area communities in some of the most sought after locations. These include Vacaville, Pleasanton, Oakland Hills,

Newark, Mountain View, Dublin, Milpitas, Sunnyvale, San Jose, Manteca and Patterson. A new community is coming soon to Hayward.

D. R. Horton's Built for Better Living® brands present homeowners with designs that are constructed to provide energy-efficient, comfortable and durable homes. Additionally, the new homes at D. R. Horton communities reflect the experience garnered from over three decades of building quality homes for hundreds of thousands of homeowners.

In fact, Builder Magazine has recognized D. R. Horton as America's #1 Homebuilder by volume since 2002 for fourteen consecutive years.

D. R. Horton, America's Builder, offers new homes including singleD. R. Horton, and family homes, townhomes and condominiums in many of the most sought after Bay Area locations Emerald Homes and Ex-

press Homes, both D. R. Horton Companies, feature a wide array of home styles including single-family homes, townhomes and condominiums in suburban and urban locations.

Emerald Homes offers luxury buyers a personalized approach to the luxury homebuying process. The commitment to luxury and detail makes each home extraordinary - it's the Emerald Homes' difference.

Express Homes is one of the nation's leading homebuilders of affordable homes targeting first-time homebuyers. Express Homes is sure to have a home that suits your lifestyle and budget.

For more information, visit www.DRHorton.com/BayArea or see the advertisement in this supplement.D. R. Horton is an Equal Opportunity Homebuilder.

Presented by Emerald Homes, a D. R. Horton Company, Bellevue in the Oakland Hills offers luxury homes from the upper-$1.7 million

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standard question gets asked whether I am at a social event or at the open house, hey Amit, how is the market? We hear about all kinds of talk going in the market place. Multiple offers, overbidding, buyers tired of writing offers after offers and confusing loan programs.

We have seen a long stretch of the housing market rise since 2010 and we are expecting further upside in the market place.

IF you listen to my weekly radio show "Power Hour with Amit Inamdar" every Friday at 4 pm on 1550 AM, you may understand the reasons behind this further increase in home prices.

As I indicated in my radio show on Friday January 6, this market has become very selective. Some areas are high in demand and in other areas homes are staying on the market longer. Something we did not see for quite a few years, are the expired listings, the listings that did not sell after being on the market, are showing up. So answer to the question, how is the market depends upon who do you talk to and the local real estate markets.

Before we go into specific markets, remember that the markets are driven by low inventory of homes. The high demand for homes is relative to the low inventory, however, driving force is the low inventory of homes.

As I have always indicated, for a buyer, monthly payments are more important than the price of the home. The monthly payments depend on the loan amount and the mortgage interest rates. In low rate environment we have for past many years, slight increase in the rate increase the interest

payment proportionately. E.g. as the rates have climbed from 3.5% on 30 year fixed to 4.25% range, that is over 20% jump in the

interest rates and reflects proportionate 20% rise in the interest payment on your loan. Also, that does not mean the home prices may drop by 20% to balance off the rise. So buy today. You can always refi-

nance if the rates drop.

This article focuses on the tri-cities and tri-valley markets. Tri-Cities market includes cities of Fremont, Union City and Newark.

I like to call them FUN cities. Tri-valley markets include Pleasanton, Dublin and Livermore. Following graphs show the

India Post February 24, 2017

Review of Tri-Cities & Tri-Valley areas AMIT INAMDAR

As I have always indicated, for a buyer, monthly payments are more important than the price of the home.

The monthly payments depend on the loan amount and the mortgage interest rates median sales price for detached homes and ever, if you have a loan with affordable payinventory of homes that are available for ments, there is not much to worry about. sale (active), in contract (pending) and sold As the Fremont and Union City continue is also shown in the adjoining graphs. to climb, you now see the Newark market (Courtesy of Bay East Aspicking up. Even the home sociation of Realtors) builders have started buildOne may think the Freing in Newark and the mont market has gone prices are upwards of down based on the graph $800K for the single family above. However, certain homes. The FUN cities do areas of Fremont are comrepresent a central location manding multiple offers for commute to the job cenand market is rising. Curters around the bay area rently the hot area is the whether you are driving or 94538 zip code, that has taking a BART. climbed from mid $600K to Now let's go across the over $900K in past few 680 corridor. The Tri-Valley years. Median price means area. Here we have cities Amit Inamdar half the homes above and of Pleasanton, Dublin and half the homes below the median price. Livermore.

More sales are I like happening in the Pleasanton. This is lower price range a steady market. and that is why Even in the downyou see lower me- turn of 2008, the dian price.

Pleasanton market In addition to stood strong comthe comments I pared to other made for Fremont, neighborhood citin Tri-cities, you see the inventory driving ies. All schools are good. They have been the sales. Low inventory mean low num- decent all along and no one really comber of active homes, low number of pend- plained about the Pleasanton schools. ing homes and sold Clients always properties. With ask me in the initial seasonal inventory meeting, Amit, how growth, we should much should one see more inventory overbid? And I come in the market, show them the real however, so will be time data. If you the number of buy- run numbers for ers. What I have the list price vs seen over past 4-5 years is that the market sale price, they are all over. Some homes peaks around May-June time frame and sell well above asking while others little buyers go on the sidelines. Buyers who above asking and some even below askhave lost in the market place, bid after bid ing. All depends on where the seller prices and have seen market jump up 50-100K in 6 the home based on the advice sellers remonth period, de- ceive. However, cide not to buy. buyers in open Market slows until market will bid to October time frame provide the market and starts to pick value for the home. up again. Those Only close to real who get in early, ex- time analysis of the perience the home market inventory price rise give a can determine the good feel about buying a home. It's al- right price in light of the *resent competiways better to buy in the rising market, tion. It requires being in the market and meaning the seller's market to see immedi- taking advice of a real estate consultant, ate rise. Conversely, if you buy in the like me, to get into the home of your dreams. buyer's market, meaning buyers are negoVisit OwnSweetHome.Net for higher tiating prices down, you may see values level of services offered for the bay area drop after you purchase the home. How- real estate buyers, and sellers. We also

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provide mortgages that fit your down payment and affordability needs. First Time Home Buyer Webinar and Secrets to Getting Top Dollars for Your Home for the Home Sellers are great resources.

Remember, those who short sold their homes in the aftermath of 2008? Well, that was a wrong thing to do in retrospect. I personally advised against such moves at that time. Those who did so anyway, even though they had means to pay the monthly mortgage comfortably, got hurt. They were barred from getting loans anywhere from 4-7 years and the prices were same as what they had bought the home for originally, when they became eligible to buy. Some even had to pay higher interest rates due to lowered credit scores. With limited work life to age 65, it's hard to play the game of short sale. Would you not rather have a free and clear paid off property by the time you retire?

Who does not like newer construction?

Dublin real estate has climbed due to the newer construction that took place since 2000. Many moved to Dublin as the homes were affordable and newer. Initial fears of the prison in the neighborhood waned as the shine of the homes took over. Now there is enough critical mass for this market to sustain going forward. However, remember, that the new communities are typically build in undesirable locations (near freeway, rail roads, or near industrial parks) and are the most affected in a downturn.

Think - Location. Location. Location.

This area is still affordable to many. I have had clients buy home in Livermore

when prices were in low 500's and have gained substantially percentagewise. However, if you want to see the hot markets,

surprise! Surprise!! Take a look at the FUN cities!!

Amit Inamdar, Realtor - is a Real Estate and Mortgage Broker and is serving the communities of the Bay Area

since 2000. He runs a popular radio show "Power Hour with Amit Inamdar" that airs on 1550 AM every Friday at 4 pm.

Visit his website: OwnSweetHome.Net or call him at (510) 364-6686 CA BRE 01355522, NMLS 236574

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India Post February 24, 2017

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Right step facilitating greater transparency India Post News Service

NEW DELHI: DLF Limited (Delhi Land & Finance) is the largest commercial real estate developer in India. It has nearly 70 years of track record of sustained growth, customer satisfaction, and innovation. The company has 269 msf of development potential with 27 msf of projects under construction.

In an e-mailed interview, DR. ANANTA SINGH RAGHUVANSHI - Executive Director sales and marketing of DLF home developers Ltd, talks about the impact of

ing greater transparency in monetary transactions. It has attached a greater number of masses with banking system and hence, will indirectly promote loans and other financial instruments for prospective home buyers.

A greater engagement of digital payment systems by customers as well as developers is welcome. Owing to quicker receipt of payments, existing processes would be speeded up, hence adding to saving of time.

Time lost in anomalies such as cheque bounce etc. would be curtailed.

After initial speculation, property prices

A greater engagement of digital payment systems by customers as well as developers is welcome.

Owing to quicker receipt of payments, existing processes would be speeded up, hence adding to saving of time. demonetization and other issues connected with real estate. The following are edited excerpts:

Demonetization It is a step in the right direction facilitat-

are likely to remain stable. The actual value of property hasn't really undergone a change. The prospective buyers may have become little cautious, however aspiration for a new home for ever expanding families will only drive the markets northwards.

With banks in India having greater liquidity than ever, it is expected that home loans for aspiring buyers as well as funding for projects for developers would be made available with greater ease. This will prove beneficial for the entire market.

Scope for NRI investments An important factor the NRIs should keep in mind prior to investing is the credibility and commitment of the developer. Indian developers have been delivering projects at par with the best in the world. It is a safe investment given the fact that the government as well as the developer community are working together to make this industry a success. India has witnessed unprecedented levels of startups coming to the forefront. The commercial market scenario is likely to ride on this startup wave and hence a worthwhile investment driven by rental income. Our projects are approved by various nationalized banks as well as financial houses and each of them provides specialized services

Dr. Ananta Singh Raghuvanshi

to NRIs at their individual level. NRI customers are engaged by our sales as well as customer service team proactively, which includes direct interaction during our participation in International events.

USP of DLF projects One of our project Capital Greens, in Delhi is close to 100 acres of green area. In the same line, DLF Kings Court is a luxury condominium in the vicinity of Jahanpanah forest giving the residents access to nature and cleaner air. Both the projects have set benchmarks in giving buyers advantages in terms of location and good environment to live in at the same time.

It will boost economy, safety, transparency India Post News Service

GURGAON: The M3M Group is a conglomerate of businesses having a wide portfolio of real estate projects straddling

ultra-luxury and premium residential complexes, commercial, hospitality, IT SEZ and education. M3M has scripted its market success and built formidable brand equity within a short time-span owing to a firm commitment to innovation, technology, quality, customer satisfaction and ethical behavior of the highest standards. M3M is today ranked amongst the foremost real estate brands in Delhi/ NCR. In an e-mailed interview, MR. BASANT BANSAL, Founder Chairman, M3M Group, comments on the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Demonetization

Mr. Basant Bansal

Demonetization may be a short-term itch but it will generate long term gains. It will ensure a boost in economy in the long run and will lead to improved transparency. The surgical strike on black money would crash inflation which would benefit the genuine buyers. This decision is positive for the end users looking to buy their dream homes. Also with the implementation of Real Estate Regulatory Act (RERA) the sector is soon going to cleanse, boosting India's image globally.

Prices have either corrected or remained stagnant for the last few years, which actually means that the prices have substantially corrected once adjusted against in-

flation. Since prices have reached their lowest in most of the markets and demand may pick up soon, this may lead to an increase in prices.

Many prospective home buyers have been deferring their buying decisions in anticipation of a price correction. Demonetization has added to the perception that the prices will correct further. This has led to a large pent-up demand component being created in the housing market.

With inflation under control, India is en-

With banks flush with funds and interest rates at their lowest in a few years, the opportunity is there for many to fulfill their aspirations of buying a dream home.

Scope for NRI investments The investment in real estate by NRIs can be looked at in two contexts: one as pure investment and the second as end user driven. So, if the person is looking at the first perspective it makes sense to invest in under construction projects where the ob-

With inflation under control, India is entering into a low interest regime as home loan interest rates have expectedly come down and are expected to decrease further. It will result in lowering of EMIs for home buyers along with more people meeting the eligibility criteria tering into a low interest regime as home loan interest rates have expectedly come down and are expected to decrease further. It will result in lowering of EMIs for home buyers along with more people meeting the eligibility criteria. This coupled with rapid urbanization, robust economic growth and higher salaries would create a very large segment of new home buyers resulting in enhanced demand for housing, especially in the urban areas.

jective is to attain capital appreciation or ready to move in apartment where the objective is to attain rental income. In addition to this, amenities offered play a key parameter that influences the decision.

Quality of the product, distance from the city centers and transport hubs, surrounding environment are other factors to be looked at.

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NEWARK, CA: First phase homeowners have moved in and strong sales continue to soar at William Lyon Homes' spectacular Bayshores master-planned community in Newark. Potential homebuyers eager to tour this popular new residential destination will soon have their chance with exciting model home debuts slated for late spring of 2017.

Set adjacent to the Don Edwards San Francisco Bay National Wildlife Refuge, Bayshores' five distinctive home opportunities are surpassing all expectations with timeless architecture and innovative designs that range from low maintenance attached homes to innovative two- and threestory single-family detached residences.

Comfortable lifestyles are elevated by recreational amenities, such as a clubhouse, parks and a dog park, and are enhanced by the community's nature-rich location. While the setting is quietly away from freeways, commuters will find convenient transportation networks are just minutes from home, including I-880, Highway 84 and I-101, as well as the ACE Train, BART and CAL Train.

Those interested in owning at Bayshores are encouraged to visit the sales gallery to take advantage of pre-model pricing, or to learn more about the upcoming model openings this spring, register interest at www.LyonBayshores.com today.

"Sales at Bayshores have been outstanding and it's wonderful to see our Phase One residents settled into their new homes, energizing the community and bringing it to life," said Kathy Floyd, Director of Sales for William Lyon Homes. "There's so much excitement around this master-plan and the springtime debut of the professionally decorated models will be a milestone potential buyers won't want to miss."

Bayshores features an impressive selection of neighborhood offerings, including

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Bayshores in Newark set to debut model homes late spring Strong sales continue with phase one move-ins complete

The Cove condominiums, The Strand townhomes, The Banks three-story detached homes and the exquisite single-family detached designs at both The Tides and The Isles. Floorplans span from approximately 1,306 to 2,802 square feet with two to five bedrooms and up to four and onehalf baths with prices from the mid $600,000s to the low $1 millions.

Premier amenities include a 2,300-square foot clubhouse, an expansive community park brimming with amenities and access to scenic walking and biking trails. The

beautiful 30,000-acre Don Edwards San Francisco Bay National Wildlife Refuge is also within close proximity.

The commuter-friendly location puts the region's major employment and business destinations within reach, including San Francisco, Fremont, Silicon Valley and TriValley. The nearby Dumbarton Bridge connects to Menlo Park, Palo Alto and the peninsula, while I-880 guides commuters to Oakland and San Jose.

To visit Bayshores from Interstate 880, take Exit 21 to merge onto CA-84 W towards

Trumark hosts over 500 at Explore & Experience Event

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India Post February 24, 2017

rumark Communities hosted an "Explore & Experience" event at Wallis Ranch in Dublin, CA on Saturday, February 11 where they activated the community clubhouse and amenity spaces and introduced the new concierge team.

The event drew more than 500 people for a fun-filled day with catered bites and refreshing beverages, farm-to-table cooking demonstrations, poolside massages, professional mini-photoshoots and much more for the family to enjoy. Attendees enjoyed all of these activities, toured new model homes and also met the builders of Wallis Ranch.

Dumbarton Bridge. Exit 36 onto Thornton Ave/Paseo Padre Pkwy. Turn left onto Paseo Padre Pkwy towards Thornton Ave. Turn Right onto Willow Street. The sales gallery is ½ mile up on the right at 37555 Willow Street and is open Monday: 1pm to 5 pm and Tuesday through Sunday: 10 am to 5 pm.

Call 628-222-7690 or visit www.LyonBayshores.com.

It matters who your builder is and William Lyon Homes is a company built upon a legacy of pride and integrity. A team of visionaries who are passionate about homebuilding and committed to providing a high quality homebuying and homeownership experience, William Lyon Homes has earned a solid track record for outstanding construction and customer service since 1956.

The company expands its well-respected brand beyond California, Arizona and Nevada and into other market areas across the Western region with the acquisition of Polygon Northwest Homes, its division in Washington and Oregon, and its Village Homes division in Colorado.

William Lyon Homes' shares are publicly traded on NYSE under the symbol WLH. For updated information and to learn more, visit www.lyonhomes.com.

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India Post February 24, 2017

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India Post February 24, 2017

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India Post News Service

NEW DELHI: Raheja Group, one of India's oldest and reputed real estate business houses, directly employs over 1200 employees. Raheja group of companies was created in the year 1990 by Mr. Navin Raheja, the self-made entrepreneur. The group has grown exponentially, not only in real estate development but the company now covers a range of business ventures which include construction, manufacturing, financial services, retail and wholesale, software and movie production. Operating throughout NCR, the company has created a well-established presence in every vertical.

In an e-mailed interview, MR NAVEEN RAHEJA, CMD, Raheja Developers, Pvt, Ltd., speaks about the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Attractive, smart schemes for NRI buyers

Demonetization: Demonetization will boost the image of the real estate sector. It will help it discard the image of a prejudiced segment, inducing more genuine people to buy homes and properties of their choice. Affordable and mid segment will remain unaffected. It will benefit developers who believe in practicing fair dealings and do not deal in cash/ black money transactions.

Primary market is not affected at all by demonetization as developers are selling their properties through maximum banks loans. On the other hand, secondary market where cash transactions are involved, is hard hit to due to shortage of cash, resulting in price fall for categorized homes across India.

Prices in the secondary market will go down up to an extent as there will be fewer cash transactions. The people have to identify the difference between primary and secondary market. Primary market is not affected at all by demonetization as developers are selling their properties through maximum banks loans. On the other hand secondary market where cash transactions are involved is deficiently embellished due to shortage of cash resulting in a price fall for the categorized homes across India.

Scope for NRIs The market for NRIs has become more lucrative as the prices have gone down compared to the prices before demonetization.

Looking at the current scenario and policies made by the government, the market will be led by developers with an intention to deliver on time making the investments safer in the country.

There is a lot demand of commercial investments in the NCR region along with office spaces in the other cities like Bangalore, Ahmedabad, Pune etc along with tier2 and tier- 3 cities. Return on Investment is always on the higher side as we are expecting lot of foreign brands and companies to foray in the Indian market.

The current trend is of affordable housing. The developers are offering world class amenities nominal prices. As the Government has given infrastructure status to affordable housing which was long pending making the most preferred category amongst buyers. Raheja Maheshwara and Vanya are to great options located at Gurgaon, in affordable housing and are the greenest project with all amenities to attract buyers.

Mr Naveen Raheja

Attractive packages but no price drop India Post News Service

BENGALURU: Ozone Group has a proven track record of innovation and customer satisfaction as one of the premium property developers in Bangalore. From residential condos and serviced apartments to integrated townships, hotels, resorts and business parks, it has been success-

fully combining design and technology in all real estate projects. Their portfolio includes some of the most stylish and luxurious residential properties in Bangalore, Chennai and Goa. In an e-mailed interview, MR SRINIVASAN GOPALAN, Group CEO, Ozone Group, talks on the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Demonetization

Mr Srinivasan Gopalan

There will not be any impact on the lower and mid- segment product offerings in most cities. The prices will not drop, as there is little leeway for the developers to drop prices. The Luxury and Super Luxury product segment will see some drop. But developers will not reduce the price of such offerings. Instead, they will offer freebees, schemes, pro-

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USP of Rahejas projects Rahejas are known for their premium products. We in our projects use latest technology with association with world class companies like Arabtec, Larsen and Toubro. Other than this our projects' architecture as well as proximity makes it unique.

• We have an track record of on time delivery till date of all 11 delivered projects namely; Raheja Atharva, Vedaanta, Navodaya, Sampada, • We also have projects catering to affordable luxury housing; Raheja Maheshwara and Vanya located in Gurgaon give you best of amenities at affordable prices.

• We do international tie-ups with industry specialists like Arabtec, Versace to meet international standards. Raheja Revaanta gives you premium residences with luxurious tiled floor to engineered wooden floor.

Luxurious tiled floor gives you the possibility to imagine and build original and unique environments.

• Another USP is that all our projects are in the green area, taking care of environment. One such project Aranya City is fully integrated smart green township spread over 200 acres and is strategically located in Sohna, the south of Gurgaon, in Sec-11& 14, surrounded by the Aravallis.

This township is having a mix of grouphousing condominiums, penthouses, designer homes, plots and villas. It is designed to be the first Smart Green City in the private sector with features like solar power generation, rain water harvesting, solar street lighting, waste management systems, water recycling systems designed for zero discharge.

motions and other forms of enticements, to prospects, to make the deal sweeter.

What is referred as a jolt of Demonetization is actually a very positive step. The practice of using large amounts of cash in business activities was contributing to lack of transparency in all businesses. Demonetization has helped the business community in moving towards to a cleaner, nocash system. Therefore, from an investor's perspective, it has become much more safer and transparent.

Scope for NRIs So far there was very little opportunity for individual investors to invest in commercial property as the value of such projects is huge, running into hundreds of crores. Now, with REITs allowing individual investors to come in, interested people with small amounts can be a part of large commercial projects. Commercial projects offer far better returns compared to 2-3% rental returns on residential properties. Bangalore, NCR and Mumbai commercial property markets will offer even better returns in time to come, due the increased demand for office space.

We offer a popular Pre-EMI scheme to all NRIs who have bank loan eligibility.

Under this scheme, the customer pays just 10% down payment and books the apartment. The bank disburses 80% of the cost of the apartment to the builder, as per construction progress. The Pre-EMI interest towards the bank loan is borne by us.

Cont’d on page 37

India Post February 24, 2017

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India Post News Service

GURGAON: Central Park Gurgaon is a billion dollar plus conglomerate, with interests in real estate, hospitality, auto components, and infrastructure. Central Park has been awarded as Asia's best and fastest growing real estate brand. It has 5.5 million sq. ft. of superbly built luxury residential and 5-star hospitality projects. Central Park projects are not just luxury residences, but premium townships offering world-class

Mr. Amarjit Bakshi

amenities and ready-to-move-in spaces.

In an e-mailed interview, MR. AMARJIT BAKSHI, Managing Director, Central Park discusses the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Scope for NRIs Demonetization drive and implementation of the Real Estate Regulatory Act (RERA) will help improve confidence of non-resident Indians to invest in the Indian residential market, pushing the total investment from this segment to touch Rs 1,150 crore, according to sources. Luxury housing is the growing popularity among NRIs. The kind of lifestyle they are leading in foreign countries does incline them towards properties that are providing high standard of living in India. NRI customers are looking for those developers who are more transparent, financially stable and highly customer centric. Companies are now focusing more on product quality and customer centric approach to gain the confidence of the customer.

The qualities of product delivered by Indian developers are not at par with overseas developers. But few reputed developers are getting into providing high standard quality of life to their customers.

Investment in the sector is becoming safe and investor friendly. Transparency in accounting, increased inflow of cash into

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It boosts confidence of NRIs to invest bank accounts, and the ongoing demand for residential investments will influence home loan rates, making them friendlier to buyers. Moreover, though approvals for newer projects will be delayed, existing projects that have received approvals will be able to continue smoothly.

The basic reason for NRIs to choose Indian real estate market for investments is the price appreciation which will increase in luxury segment. Demonetization is hardly going to affect the NRI segment whether it is residential or commercial property as they hold minimal or zero cash in hand. Tier-I cities, which were already witnessing higher investments of NRIs compared to other cities, will witness even higher investments both in villas and big apartments and commercial segment. The government also approved a proposal to allow foreign investment in rent-yielding office and retail space in India. This allows NRIs to invest in Indian retail space, without considering it domestic. If the government removes the minimum requirements on capital and built-up area, NRI investments in office space would rise. This sector is vibrant, and India has seen some of the largest office space deals in the recent past.

For NRIs, we offer a transparent work environment with dedicated relationship managers who work round the clock to offer best of services.

Long term outlook The market will crash further but long term outlook of the Indian Real Estate sector is positive with only transparent and honest developers surviving in the industry. Further, the law of demand does not work in the real estate market. In a normal market, when prices go up, people buy less of that thing. In the real estate market, as prices go up, more and more people enter the market. The trouble is that this is also likely to lead to default of bank loans from real estate companies. As of August 2016, the total lending carried out by banks to real estate companies stood at Rs 1,81,700 crore. If home loan borrowers also start to default, then there will be a bigger problem.

2016 has not been the best of years for the Gurgaon residential real estate market.

Sales volumes fell drastically and prices remained stable. Investors have held their investment decision in real estate sector and are looking for other options. End users are looking for those buyers who are more transparent, financially stable and highly customer centric. Companies are now focusing more on product quality and customer centric approach to gain the con-

fidence of the buyer.

USP of Central Park projects Central Park is not just a real estate brand but Boutique Concepts of Luxury that fuse warm hospitality and hotel like homes thereby offering luxury and personalized touch to its residents and owners. Currently, we have two ongoing projects in Gurgaon: Central Park Resorts & Central Park Flower Valley.

Central Park Resorts is our flagship asset class that has been attracting the crème de la crème and expats for its unique ready to move in homes in a Resort ambience.

Some of the highlights of Central Park Resorts are: 1. ZERO vehicles on ground surface.

central greens and much more including a clubhouse spread across 50000 sq ft 5. Wide variety of F&B delights: Juice bar, Multi cuisine restaurant, specialty Italian, vegetarian gazebos.

6. Superior level 3 tier security. On call hospitality services - launderette, concierge, housekeeping. You think of it and it will be there.

7. 5 Quality certifications at the time of possession by leading 3rd party firms like JLL &Dema Central Park Flower Valley is a Premium Global Township with many firsts. Some of the key features of Flower Valley are: 1. 10 World Class Academies - Boxing, Badminton, Lawn Tennis, Cricket, Day & night Golf Academy, Fitness, Swimming,

The basic reason for NRIs to choose Indian real estate market for investments is the price appreciation which will increase in luxury segment.

Demonetization is hardly going to affect the NRI segment whether it is residential or commercial property as they hold minimal or zero cash in hand International Tunnel driveway experience in 5 star drop offs at this fully delivered project that has a fine mix of nationals and expats.

2. Master Planned by HOK (Hellmuth, Obata and Kassabaum) International Ltd., Landscape Designed by Green Architects of Thailand, winner of many an award including Asia's best brand, experience Resort living for the first time in India.

3. Spread over approx. 47.5 acres with over 85% dedicated to greens with more than 15000 trees beautiful views, water bodies, grand fountain, open chess and also amphitheatre, pet hotel and even a mess and gym for your staff 4. 360 degree recreational facilities physical, social and more! Walking, jogging track, cycling, skating, racquet sports, golf putting, zumba, yoga, laughter club etc. amphitheatre, grand fountain, 20 acre of

Yoga, Acting & Dance 2. Fitness Farm-Aquatic Gym, Jogging Tracks, Cycling & more 3. Social Networking hub- Experience Café, Gazebos, Fine dining Restaurants, Clubhouse, Juice Centre, Reading Room, Banquet hall 4. Wellness Sanctuary-Meditation, Yoga , Gym, Steam, Sauna, Jacuzzi, Aroma Baths, Sun baths, herbal parks, organic farming, nature walk 5. Green Sanctuary - 9000 trees & flower lanes, Flora fountain 6. A world of all Conveniences - Grocery shop, medical facilities, Shuttle service, 24X7 security, 24 hours power & water backup 7. Kid's World - Children's amusement park and Nursery school 8. Proposed Helipad

India Post February 24, 2017

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Commercial spaces a viable option for NRIs India Post News Service

MUMBAI: Proud bearers of a 47-yearold legacy, The Wadhwa Group is acknowledged for creating state-of-the-art buildings in premium locations. The group is one of Mumbai's leading real estate companies and is currently developing residential and commercial projects spread across approximately 1.4 million square meters (15 million square feet). Over the years, The Wadhwa Group has received many awards for both its commercial as well as residential properties.

In an e-mailed interview, MR GIRISH SHAH, Director, the Wadhwa Group, talks of the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Scope for NRIs Following Demonetization, residential home buyers can be rest assured that their hard earned money will not go waste. Errant operators face a crisis now as they will have to be transparent and accountable in

provide the buyers with market insights and assist them in making informed decisions.

Additionally, if the NRI is looking to sell the property in future for ease of repatriations/he should make all payments from the NRE account only.

We source the best talent and design architects from across the world to construct state of the art properties and match international quality.

The rental yield on commercial properties in India is great and stands at about 810% as compared to residential units. There is a huge scope for NRIs who are looking purely to invest. Considering these factors, small pre-leased retail/commercial spaces in prime locations are a viable option for the NRIs. Our commercial offices, Platina, Capital, and Trade Centre at BandraKurla Complex are classic examples of locations that are well supported by infrastructure development and are attracting companies Indian and International, to take up office spaces in these areas.

As for safety, with measures being taken to bring more transparency, there has never

the near future.

Indian banks have been quite helpful in easing the home buying procedure for NRIs. Majority of the banks and NBFC have their offices overseas catering to NRI clientele requirements including housing loans. Moreover, with offices being present overseas, it not only helps in client servicing but also helps in joint promotion.

We offer investor schemes to NRIs look-

USP of Wadhwa Group projects

We provide the buyers with market insights and assist them in making informed decisions.

Additionally, if the NRI is looking to sell the property in future for ease of repatriations/he should make all payments from the NRE account only their dealings thus providing customers with a sense of safety and security and reinforcing their trust in the sector.

For an NRI, checking the track record of the developer should be of utmost importance, particularly, while investing in under construction properties. Another important factor before making any financial commitment is documentation. This will help prevent any legal or financial troubles and ensure a safe buying experience. We

been a better time to invest. The jolt of Demonetization may have caused a temporary disruption; but for the long run, it is a blessing in disguise and a win-win situation for both, buyers and developers, paving the way for long lasting and trusting relationship.

Looking at the current market scenario, increased governance and stronger economic signs will have an impact on the sector. It will allow developers to focus on quality delivery to command a premium in

of land and available infrastructure present in the suburbs is incentivizing developers to make this change. Many global companies are also moving their offices to these areas owing to low rental costs. This is gradually boosting the residential segment as well especially in central suburbs such as Panvel, Ulwe, Dronagiri located in Navi Mumbai. We have already capitalized on at Panvel by venturing into the low-cost housing residential project in the area.

Additionally, with increased environmental concerns, developers are incorporating green practices in the construction of their projects.

Mr Girish Shah

ing to engage with us and invest in our residential properties.

Current trends There has been a shift in the location preference for developers. A dearth of space in the city has led to many developers exploring other avenues to set up premium projects. Additionally, the low cost

At The Wadhwa Group, our designs adopt the philosophy of 'Ventilit,' based on the elements of height, light, and air. All our homes are designed to perfection and comprise high ceilings and huge windows that allow enough natural light and air to come in.

This philosophy provides a holistic living experience and is adopted across all our properties ranging from ultra luxury to affordable housing. Customer satisfaction is paramount to us, and we aim to provide the best of the best to all our customers.

With the recent developments in the real estate sector such as RERA and Demonetization, the future looks promising for the real estate sector in the country. These moves are expected to bring transparency, efficiency, and credibility to the industry.

Govt changes in policy make it a safe bet India Post News Service

MUMBAI: The name Omkar has become synonymous with luxury. It has delivered

projects that span over 4 million square feet and its current and forthcoming projects in India will develop over 40 million square feet. Its vision is unrivalled mix of exceptional design, state-of-the-art technology and implementation of world-class facilities and amenities. With Omkar projects featuring in the New York Times and Forbes India, you know you are part of the best premium property developer.

In an e-mailed interview, MR DEVANG VARMA- Director, Omkar Realtors and Developers Pvt Ltd. Talks about the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

World class qualities

Mr Devang Varma

The biggest challenge in the real estate market for any brand is to build trust and credibility. Customers today are globe trotters, exposed to global standards of archi-

tecture, design, construction, luxury and services and expect the same from Indian developers. Omkar's product vision in the luxury housing segment has brought to-

Indian real estate this year has taken bigger strides in policy (to be implemented) front be it GST, RERA to make real estate system more transparent, post implemen-

Omkar's product vision in the luxury housing segment has brought together some of the most admired names in design, architecture, construction, amenities, landscaping, lighting and state-of-art services at par with international standards gether some of the most admired names in design, architecture, construction, amenities, landscaping, lighting and state-of-art services at par with international standards.

Omkar 1973 Worli, Mumbai is a world class product in terms of its location, architecture, design etc.

tation. The approval of "Real Estate Regulatory Bill" by the present government protecting both investors and developers are some of steps to make the sector a safe bet when it comes to investment.

Cont’d on page 37

India Post February 24, 2017

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NVT Group offers professionalism & quality India Post News Service

BENGALURU: NVT Group offers services in quality certifications, consulting, training and infrastructure development.

The Group is spearheaded by alumni from IIT, Carnegie Mellon University, Purdue University and Wharton Business School.

NVT Quality Certification with business partnerships in the Netherlands and USA, offers services across India, South East Asia and Middle East. NVT Quality Certification has certified more than 500 companies for ISO 9000, ISO 14001, ISO/TS 16949, AS 9100, TL 9000, ISO 20000, ISO 27001 and Third Party Inspection Services.

In an e-mailed interview, MR. VIVEK, DIRECTOR - NVT Quality Lifestyle , discusses the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Demonetization With Demonetization, primary markets will benefit from lowering of interest rates.

stronger monitoring and restriction of cash transaction will bring more and more of the informal economy to the formal. The effects of this would only be felt in the medium term.

One of the suggestions is to reduce the registration and stamp duty significantly.

These are certainly happy times for homebuyers not because prices of homes would reduce but because of reduction in the interest rates. This would bring the cost down towards acquisition by 5-10%.

We frequently engage architects from abroad to ensure that the international trends and best practices are part of our projects too.

As for safety, an intelligently taken investment decision with mandated precautions normally has a very high probability of safety, security and returns.

Commercial Property is not a segment that we at NVT have explored seriously so far in India.

The banks have supported us with dedicated resources under single windows for

being taken towards addressing each of these concerns by the present government, foreign Investments are expected to rise significantly in future. Also relaxations in FDI norms, plans to build 100 smart cities, ease in housing finances, establishment of REIT and land acquisition bills have been a positive step to attract foreign investors

Bangalore will not be impacted as it is already a predominant end-user market with low dependency on cash. It will witness significant PE and FDI flow which would help maintain the prices/ increase prices in the future Secondary market impact will be limited as supply side will witness reduced inventory.

Agriculture land costs will remain stable due to reduced availability of land. Reduction in costs of project financing will increase holding capacity of builders. Bangalore will not be impacted as it is already a predominant end-user market with low dependency on cash. It will witness significant PE and FDI flow which would help maintain the prices/ increase prices in the future The introduction of the GST and with a

NRIs enabling complete assistance, quicker response times and ease of documentation that can be perfectly managed without the need for undertaking any special travel to India for this purpose

Foreign investment The biggest deterrent for any foreign company to invest in India is lack of transparency, uncompetitive tax regimes, and insensitive political will to support businesses, a bad infrastructure and unfavorable or obsolete labor laws. With bold steps

Govt changes in policy...

Cont’d from page 36

USP of Omkar projects Omkar Realtors offers a wide range of residential and commercial realty products ranging from Rs 1.25 crore to Rs 70 crore in the Mumbai market. From a region perspective, our brand has been in the forefront of construction and design innovation. Our key projects are located in prime micro-markets of Mumbai and offer payment flexibility options, delivery and project progress as per defined timelines and some milestone collaborations with globally renowned brands in areas of construction, structural design, interiors, architectural design including landscaping, lighting and innovative amenities.

Future of Real Estate In 2017, the focus of Indian real estate will largely be on affordable housing to give

momentum to the ongoing sales in the market. A recent amendment in the Real Estate Investment Trusts (REITs) has resulted in growth due to easier access to capital for faster project completion.

Largely, those staying in rental accommodation will benefit with affordable housing getting a push from the government with policy changes.

This rationalization of the tax regime for REITs in Budget 2016-17 will help make it a reality. Developers will come up with RIETs to benefit from easier access to capital to fund their projects.

The country's real estate markets are definitely poised for growth in the mediumto-long term on the back of higher transparency and further consolidation. Indian real estate 2017 will be focused around "Housing for all Schemes" and "Pradhan Mantri Awas Yojana", with a clear mission to house every Indian.

Mr. Vivek

. We have some of the leading banks as our partners in our project offering some of the best interest rates available in the home loans market for NRIs.

USP of NVT Group projects What truly sets us apart is that NVT is a company of professionals by professionals. The management team with professionals from IIT, Purdue & Wharton having sensibilities of professional lifestyle. When we moved to India and started the operations, we felt the professionalism and quality as some of the pain points of this industry. That was the time we decided to have our offerings reflecting our sensibilities and hence, we do not build villas that we ourselves are not comfortable in staying. Also our deep passion and engagement helps us to deliver results that somewhere meet ours and the client expectations.

We take Quality very seriously and this is an extension of ours as we have been into Quality Certifications for the past three decades, which reflects in every aspect of our business. Most of the specifications including flooring, fittings etc are from companies having global presence. The material and the processes involved in the construction are at extremely high quality and from some of the leaders in the category.

We also take pride in offering master plans and floor plans that are created for the professionals. All our villas come with 2 car parks and large living and family spaces. 65-70% spaces in our gated villa townships are open spaces.

The affordability of homes remains a challenge for most of the Indian households and I think there has been a tremendous push by our government to minimize this gap to create affordable housing for all. Demand for residential properties has surged due to increased urbanization and rising household incomes.

Attractive packages but no price drop Cont’d from page 34

Therefore, the customer pays nothing other that 10% until the apartment is handed over to him. At which point, he pays the balance 10% to the builder. This scheme makes it possible for investors to book an apartment with Ozone group, for as little as Rs 7.5 lakhs!

We also have Ozone Property Management Services division, that helps all investors with payment of property taxes, preventive maintenance, finding tenants, collection of rents, resale of the apartment, among other services. This is big plus and is a hit with all our outstation customers and investors.

USP of Ozone projects We only launch projects which are distinct and offer a set of benefits that are relevant to a particular target segment. All our projects offer lifestyle enhancing amenities and infrastructure, offering unmatched

value. Be it our 185 acres integrated township project - Ozone Urbana in Bangalore Or our 40 acre luxury residential project The Metrozone in Anna Nagar or our Plug & Play boutique residential project in Santa Cruz in Mumbai, all of these have a clear set of benefits and a distinct positioning.

Just in the last two years, over 1200 new NRI customers have invested in Ozone group projects. This is a clear indication of the consumer confidence in our company and products.

As for the future of Real Estate, I think.

India is one of the fastest growing countries, offering immense growth possibilities.

Land is in scarcity and will keep getting more and more expensive. Therefore, any investment in real estate will only appreciate in the medium and long term. With government implementing GST & RERA, real estate dealings will become clean, transparent and the developer will be accountable for timely deliver and quality. This will make investment in real estate even more attractive.

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India Post February 24, 2017

38

Big rise in scope for NRI investments India Post News Service

MUMBAI: Rajesh LifeSpaces celebrates its legacy and ability to create budget homes and future-ready apartments in Mumbai. Its legacy arises from decades of experience, crafted by timeless principles, driven by future, led by integrity, accentuated by the way it honors commitments and complemented by adherence to business ethics. It has crafted diverse affordable housing and luxury apartments over 8 mil-

The cost of raw materials will stay the same.

However, the market might witness a rise in land prices. If the operating costs and capital expenditure increases overtime, we don't see how the property prices will come down.

Demonetization has brought in happy times as is evident from the indicators in the Indian economy and the banking system. We are sure this momentum will drive growth into the sector. The government has already announced a few key policies for affordable housing. To add to this, the home loans have become cheaper.

Benefits for NRIs

Mr. Pratik Patel

lion sq.ft with an additional 13.5 million sq.ft of ongoing and 16.2 million sq.ft of upcoming projects in the western and the central suburbs of Mumbai.

In an e-mailed interview, MR. PRATIK PATEL, Director of Rajesh Lifespaces, comments on the impact of demonetization and other issues connected with real estate. The following are edited excerpts:

Impact on prices Property prices are not likely to go down.

Real Estate still remains the best instrument of investment in India. The benefits of investment like rental yield, appreciation of assets and usability make real estate a far more lucrative option than gold, stocks or currency. History tells us that the value of real estate seldom depreciates under normal circumstances.

The scope for NRIs to invest in commercial properties in India has increased tremendously. The demand of commercial spaces is growing at a healthy pace year on year. This gives a huge scope for NRIs to invest in commercial properties in India.

The expected rental yield in this segment is increasing at a rate of 10 - 15 % per annum depending on the project and its location.

At present we have an offer, which lets you pay 5% as an initial down payment and the remaining amount at the time of fit-outs.

This subvention offer is also open to NRIs. Apart from the currency exchange rates, an NRI must consider a few factors while investing in real estate back home, such as: • Location of the project • Stage of construction & possession date

• Rental yield in the local micro market • Reputation of the developer • Finance options available • Bank approvals for the project The real estate products in India and abroad are different. The design of each project is created keeping in mind the local climate and culture. Hence, it is difficult to draw parallels between real estate in India and abroad in terms of quality.

As for the speculation about the bubble being burst, it is merely an urban legend.

Even in the past, we have heard many 'experts' make such statements, only to be proven wrong.

Govt initiatives

to 1-2 years to further enhance investor interests.

Current trends Of late, we have observed mixed trends in the real estate market of Mumbai. There was a dip in demand due to demonetization, but we are noticing a gradual and steady ascent. There is a healthy increase in the number of conversations we are having with our prospects. The demand for 12 BHK homes is robust while commercial properties are also exhibiting a healthy demand.

USP of Rajesh LifeSpaces projects Raj Grandeur, Powai, has Lake View resi-

Raj Grandeur, Powai, has Lake View residences, looking out onto the Powai and Vihar lakes. Internally the homes are adorned with the best in class amenities such as Sundecks, Italian flooring and wooden flooring in the living rooms and bed rooms A few government initiatives to boost FDI in real estate are: • Quick implementation of the Real Estate Regulatory Bill (RERA) to enable the realty market to attract FDI • More clarity over the entry and exit norms and processes to be followed by investors.

• Both Centre and States must work together to ensure removal of bottlenecks for faster implementation of reform measures and construction related approvals for foreign investments in real estate.

• The Indian government could also consider a reduced lock-in-period applicable for FDI investments from 3 years currently

dences, looking out onto the Powai and Vihar lakes. Internally the homes are adorned with the best in class amenities such as Sundecks, Italian flooring and wooden flooring in the living rooms and bed rooms. Externally, there is an indoor cricket area, a squash and badminton court with a world class swimming pool and a mini ampi theatre, to name a few.

Some of our other projects are : • Raj Tattva, Thane -Prides in offering the largest living space in Thane with 3.92 acres of open space and 30,000 sqft of recreational space Cont’d on page 40

Highs & Lows of Demonetization Cont’d from page 27

Dr. Ananta Singh Raghuvanshi - Executive Director sales and marketing of DLF home developers Ltd, has welcomed Demonetization calling it a step in the right direction which will facilitate "greater transparency in monetary transactions. It has attached a greater number of masses with banking system and hence, will indirectly promote loans and other financial instruments for prospective home buyers."

Mr. Basant Bansal, Founder Chairman, M3M Group, felt that while Demonetization may be a short-term itch, it will generate long term gains. "No less than a structural coup, it will ensure a boost in economy in the long run and will lead to an improved transparency in all the sectors including real estate. The surgical strike on black money would crash inflation which would benefit the genuine buyers."

Mr Naveen Raheja, CMD, Raheja Developers, Pvt, Ltd. sees the effect of demonetization in the banks cutting down on interest rates of loans. "Since the banks now have huge deposit base with so much money flowing into the bank accounts of people, it can lend money to a large number

of people and at a lower interest rate. With liquidity of banks improving, banks will be compelled to lend aggressively."

Mr Srinivasan Gopalan, Group CEO, Ozone Group feels Demonetization will help cleanse the system of cash dealings and help give it a more clean and professional image. "It will have little impact on affordable and mid-segment residential products

strong, established developers. Prices have already stabilized in view of the situation prevailing prior to the demonetization.

High-end and luxury projects may see a correction."

Mr Girish Shah, Director, the Wadhwa Group, feels that Demonetization is set to change the modus operandi of the real estate sector by gradually wiping out illicit

DLF home developers Ltd, has welcomed Demonetization calling it a step in the right direction which will facilitate "greater transparency in monetary transactions in most cities. Even less impact in Bangalore, where there is no cash component, as majority of the buyers are working professionals a large percentage of whom avail home loans from banks."

Mr. Amarjit Bakshi, Managing Director, Central Park says the market was expecting a correction in the resale properties segment. "However, the primary sales market in the larger cities is not going to be affected, especially when it comes to

transactions resulting in increased transparency. The reduced cost of land will allow developers to transfer those benefits to end users. Demonetization is overall, demarcating the reputed Developers who are ethically strong from the lot."

Mr. Vivek, Director - NVT Quality Lifestyle, had already predicted that demonetization would not result in any drop in the prices. "However, with the additional incentives and the better rate of financing,

the cost of ownership of the property will reduce. Although the decision making cycle has increased, due to the negative sentiments and also the general impression (which is completely wrong) being spread in the market, we find that the serious buyers have now started to take the buying decision."

Mr Devang Varma- Director, Omkar Realtors and Developers Pvt Ltd, said there will be minimal impact on large institutionalized players with a solid brand and governance framework. Sales largely driven by the salaried class or investors with limited cash involvement would not suffer. Smaller developers depend on cash transactions.

We are very likely to see a clean-up of nonserious players due to this."

Mr. Pratik Patel, Director of Rajesh Lifespaces, felt that transactions and conversations with potential homeowners witnessed a slowdown initially. "However, markets improved gradually in due time.

The low lending rate by banks can be perceived as a positive development which is bound to encourage home buyers and instill positive sentiments in the market. In a nutshell, we expect a positive impact in the long term."

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India Post February 24, 2017

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India Post February 24, 2017

40

Bay Area market has settled into a simmer RAJEEV AWASTY

B

ay Area home sales sagged in December from a year earlier, but - con tinuing a nearly five-year trend - the median price of a single-family house continued to climb.

For the nine-county region, the median price was $680,000 in December, up 3 percent from December 2015, according to CoreLogic, the real estate information service. Discounting a single month - March 2016, when the price remained flat - it was the 57th consecutive month of year-overyear gains.

For 2016 as a whole, the median price paid for a single-family house rose 4.5 percent to $700,000 from $670,000 in 2015.

As Bay Area home prices increase along, lately, with mortgage rates - families seeking to move up to larger homes can face steep financial challenges. But homeowners who move out of the region have the poten-

percent in San Mateo County, 8.9 percent in Santa Clara County and 9.1 percent in Alameda County.

Home sales in the year-earlier period may have been artificially inflated, LePage said, as new federal mortgage rules had delayed some deals into December 2015 that otherwise would have closed sooner.

Looking at 2016 in its entirety, sales were down 2.6 percent in the nine counties from the year before.

"There's nothing on the market," just 594 active listings in December for all of Santa Clara County. "That is incredibly low," The flip side of the situation is that most of what is available sells - and at a good price. After eight years in Sunnyvale, Swartz's clients Nancee Braddock, a retired registered nurse, and her husband Jim Gurney, a videographer, sold their 1,570-squarefoot home for $1,725,000, about $25,000 over

Home sales in the year-earlier period may have been artificially inflated, LePage said, as new federal mortgage rules had delayed some deals into December 2015 that otherwise would have closed sooner tial to pocket significant profits on their home sales, for now.

The upshot is that the Bay Area's once red-hot market has settled into a simmer. With buyers competing for a notoriously tight supply of homes, prices keep rising, though not at the same clip as in previous years: "The overall trend this past year has been toward a moderation of price growth and at least a modest decline in sales," said Andrew LePage, a research analyst with CoreLogic.

Despite national reports about a surge of buyers getting off the fence as mortgage rates began to rise after the presidential election in November, LePage wondered if the effect was less powerful here.

"It's possible," he said, "that in the Bay Area, where homebuyers face some of the highest prices and mortgage payments in the country, rising mortgage rates in November 2016 had a net negative impact on the number of home sales recorded in December 2016."

December sales were down on a yearover-year basis through most of the region: by 5.4 percent in Contra Costa County, 7.7

the asking price. There were four bids on the property, which was on the market for barely a week.

Why move?

"To get away from the traffic," said Braddock, who previously lived with Gurney in Los Altos Hills. "The traffic is just unbelievable, especially in the last four years - bumper to bumper down El Camino.

So we were looking for some place not so congested and not so rushed, where there's not always somebody behind you who's late for something."

The couple, whose children are grown, moved to Port Townsend, Washington: "You just feel like you can breathe here," Braddock said.

The cost of their 2,300-square-foot house in Washington: just under $500,000.

Compare that with the median prices for Bay Area homes in December: Contra Costa County was comparable at $498,500, up 8.4 percent from a year earlier. But the median price was $700,000 in Alameda County, up 3.2 percent; $865,000 in Santa Clara County, up 1.2 percent; and $1,155,000 in San Mateo

Big rise in scope...

Cont’d from page 38

• White City, Kandivali-1,2,3&4 BHK airconditioned homes spread over 11.5 acres with an unbeatable view of the Sanjay Gandhi National Park • Raj Infinia, Malad-Located near link road, this project connects you to business hubs, shopping malls, restaurants and sports club in a matter of minutes.

• Raj Altezza, Mulund-4-10 ft decks, accessibility to schools, highways, malls

&restaurants within 100meters to a km.

Serves 6 flats per floor with 4 elevators.

• Raj Torres, Thane -Conveniently located with schools, malls, business hubs, restaurants & hospitals within a 2km range; Spacious apartments with over 14,000 sqft area for functional amenities • Raj Spectrum, SionBandra Link Road (SBLR) - 2BHK residences here provide easy access to important landmarks making it a central & convenient locale

County, up 5 percent.

Those home prices were down from November.

(CoreLogic's aggregated December sales and price figures for the Bay Area as a whole were estimates because it said data for San Francisco County were not yet available).

Anecdotally, agents mentioned a softening of the high-end market: "Almost no transactions at all," said Alain Pinel's Mark Wong, who is based in Saratoga. "But at the entry level, it's very active, often with multiple offers and well over asking."

Wong mentioned a house in San Jose - about equidistant from the Municipal Rose Garden and Rajeev Santa Clara University that listed "at $499,000 and got 40 offers, and they ended up with $750,000. You're talking about a quarter million over asking," he said, sounding amazed, "and this is a total fixerupper and tear-down. You cannot live there."

In the East Bay, agent Kevin Kieffer, based in Walnut Creek with Keller Williams, noted too many buyers for too few properties: "Demand's super-high, inventory is super-low, and buyers are being more prudent and not as willing to overbid," he said.

"We're in a worse inventory situation than we were last January. Still, one listing comes up and we're getting multiple offers - kind of unusual for the rainy season."

His clients Simon Yee and Tamara

Corduck recently sold their Dublin house four bedrooms, two baths, about 1,350 square feet - for $722,000. The couple, who work in tech, bought it about eight years ago for $540,000, but were looking for something larger now that they have two children.

"Buying a home was pretty hard because the supply was so limited in the Tri-Valley area," Yee said.

"We looked for over a year, put it on hold for a bit and then started back up."

Eventually, they bid on a house that listed for $1,095,000 in Danville's Greenbrook neighborhood: four bedrooms, three baths and about 2,275 square feet. The schools are good.

The yard is decent. The house needs some upgradAwasty ing: "New colors, and the cabinets might need some change," Yee said.

They bought the house at a slight reduction: $1,072,000.

"We bided our time," he said. "You have to be patient. And we discovered it's best not to sweat the little things; you have to see the big picture. You're not going to get your perfect home, which is hard to accept when you're spending over $1 million. Once we got past that - that it could be 80 percent perfect - it was a little bit easier to pull the trigger."

Rajeev Awasty, Intero Real Estate Services - Broker Associate http://rajeevawasty.com/ (510) 703-7332

It will boost economy...

Cont’d from page 31

Cheaper access to funds is another factor. Home-loans are available to NRIs at very low interest rates, around 4-5 % which is another added incentive.

With increased globalization, Indian consumers are exposed to global standards and wish to live a luxurious life. World-class clubs, concierge services, landscaped parks, swimming pools and health clubs and many other features now form the basics of most of new residential development. Interior designers, architects, design firms and hospitality brands offer the best-in-class features to meet the growing aspirations of well-exposed affluent Indian clientele.

As for safety of investments, the passing of RERA (Real Estate Regulation and Development Act 2016), the Benami Transactions Act and now the demonetization move will ensure that the sector will lose much of its historic taint and become more transparent. Only players who conduct their business with integrity will survive.

Lot of Indian banks have branches offshore and at present evaluation of NRI mortgage funding is relatively easier if a person is from the same place where the bank has a branch. Indian banks need to have stronger relationship with foreign

banks where NRIs have transactions and based on their evaluation, home loan should be given in India. Asset based home loan approvals should be encouraged.

Also, the banks should have separate counter for NRI home loan approval; this will make the entire process seamless.

USP of M3M projects Gurgaon a few years back had small projects, the development that we see today was not there. The city had amenities, but they were few and far between. The families had no avenues of recreation in their residential complexes, they had to go out for family outings. This is where we conceptualized M3M Golf Estate. It had all the components of resort-living at one place, providing avenues of recreation while providing the best-in-class facilities.

Our flagship project was launched in October 2010, and is spread over approximately 75 acres of lush green space. It has a 9-hole executive Golf course designed by Golf Plan, USA. The architecture is a perfect synthesis of eco-friendly green landscape and cutting-edge designs. A combination of low-rise, mid-rise and high-rise towers, it has luxury golf residences and penthouses and is conveniently located on the Golf Course Road Extension.

56 India Post

www.indiapost.com

February 24, 2017