Firstly, Congratulations! you are finally on your way to buy that dream abode. As any new homeowner will tell you, the experience of buying a home is an overwhelming one. Making an investment in buying a property is considered as a major financial move, so before you invest a huge chunk of your hard earned money make sure you are aware of the benefits it will bring to you in the future. We at Realty Redefined, help you out with the Do’s and Don’ts while buying a property.
Do’s and Don’ts while buying a property:
Do hire a real estate agent
Well, hiring a real estate agent is not always necessary while buying a property but, it is highly recommended if you are first-timers. Having someone who has a fair knowledge of the real estate market leading you throughout the process could take a huge weight off your shoulders.
Do check the Location
Location plays a crucial role when it comes to buying a property. The farther you are from your workplace, the more you will end up spending on your commute. Buying a property which is just a walk away from your workplace will make your daily commute short, less expensive and will also save a lot of time.
Do consider your potential tenants
If you are someone who is making an investment to lease it out then you should consider locations that most people find appealing. The point to be kept in mind is that it’s not your home, but potential tenants. Find a home in an area which is close to public transport, corporate offices, schools and colleges, as it is preferred by a lot of people.
Don’t get overwhelmed
It’s totally normal to feel excited especially when you are a first time home buyer. However, it is best to stay calm and measured during the process of negotiation to avoid paying too much of amount or missing out on an opportunity to negotiate more favorable purchase conditions. Be it your first time or second property investment, the most important thing to be kept in mind is whether or not it will offer you a good ROI, if not, just leave.
Innovation and Change have always been at the forefront, particularly in creating and utilizing new measures to better serve the needs of the company and its customers. Technology continues to be a catalyst for change in all business sectors and industry, and real estate market is no exception. Gone are the days when you had to search amidst thousands of properties, for buying your dream home. Using cutting-edge technology and digital marketing, the process of buying a home has changed monumentally over the past few years. Although the argument still remains that word-to-mouth advertising is the best way to sell anything, it is proved by the studies that in the year 2010 alone the number of real estate transactions carried out online was a whopping 85% of the total market. Unbelievable but true!
Digital Marketing has played a vital role in branding and advertising of an organization, over the past few years. Going digital not only helps in uplifting the brand image but also helps in reaching the targeted audience which, in turn, aids in promoting sales and generating leads. Real Estate is one such industry that has tried, tested and achieved significant business growth with Digital Marketing and there is definitely more to come in 2018. A lot of real estate activity in the online space has been witnessed in the last decade. Property buyers and sellers do a vigorous research online before making the purchase or selling their property offline. Hence, it is of utmost importance to have a strong online presence to make your brand name stand out in the Realty Sector.
According to research by National Association of Realtors (2016), 44 percent of Home Buyers do a thorough online research before looking in person. The statistics clearly depict if you are not using technology for your real estate business, then you are behind the curve.
The advent of technology and digital marketing has had an immense impact on the Real Estate Industry. It is a situation to which you either adapt or simply be left behind. Here are a few ways in which technology has shaped the Real Estate Industry.
- Transparency – With various websites providing information to anyone surfing the internet for free, the greatest impact seen is the proliferation of the public aggregation of information. We are all well past the point where the information and data could be hidden behind the subscription models/paywalls. Numerous websites are now curating the data, pricing, availability and much more for the entire sector to search.
- Online Marketing – Broadcasting your company marketing message, getting property visibility or even marketing yourself has never been easier and more cost-effective. So many sites help developers and broker to get their property and messages out to the marketplace in seconds. With Pinpoint marketing and targeting using big data coming into existence simply means that the days of “spraying and praying” are over in a marketing sense.
- Artificial Intelligence – Technology today performs tasks that require higher forms of intelligence. Artificial Intelligence tools allow machines and computers to function more intelligently. The increased use of machine learning techniques and deep learning in the Realty Sector will boost the quantity of information available, as well as the efficient processing of this information.The digitizing of data assets is becoming pocket-friendly and labor intensive with the help of Artificial Intelligence technologies.
- Drones to enhance Human Experience –Various advancements in the artificial intelligence have contributed the most to the increasing use of drones. These drones are helpful in capturing 3D images and videos of buildings and commercial spaces which helps the buyer to narrow down on property options. Drones can be used efficiently for highlighting property amenities like backyards, pool, landscaping and a lot more to generate a sense of awe which cannot be achieved through normal photography.
- 3D Virtual Tools – Real Estate Industry is going beyond photos. Virtual Realty has enabled users to get a real-time experience of living in their yet to be house. Using the 3D glasses, customers can experience a 3D view of the property/apartment they are interested in. This technology helps buyers to shortlist properties before making their final choice. This is one of the most expensive technologies used for marketing and is currently used only for hi-end projects targeting the NRI audience. However, a drop in price is expected in this technology for faster adoption and mass production.
Considering the changes in policy introduced in 2016 like RERA, Demonetization and REITs, it appears that 2018 will be a great year for the real estate market of India. After the execution of RERA Act and the Benami Transaction (Prohibition) Amendment Act 2016, the country has turned into a preferred destination for real estate investment.
RERA and GST are driving global cash flows and boosting endorsement which has made India rank fourth for FDIs among the Asian countries. In the years to come, buyers and investors will see numerous opportunities in the residential housing through incentives for the affordable housing and modification of the office sector through REITs. 2018 is set to encounter more REITable listings in India combined with more investments in REITs with around 1.73 billion square feet of commercial real estate across warehouse segment, retail and office with a steady return of 9-12 percent and more, annually.
Things are going to get better over time and the reforms will help to shape up the industry to a more consumer-friendly market. To accomplish this, builders will rebuild business process to streamline project delivery and allied services, without stretching themselves too much in terms of scope of work or debt. Builder trying to rebuild business, clear up the backlog will lead them to tie up with more channel partners making it a win-win situation for the broker-builder relationship.
Drawing from the policy, one can say that developers stand to gain in terms of incentives from the government which will equally benefit the customer. Both, the seller and the buyer will benefit as options widen for the former and inventories are cleared for the latter. Such measures of the Centre have additionally brought about the accessibility of more funding options for developers. Foreign Direct Investment (FDI), External Commercial Borrowing (ECB) and debt financing from national financial institutions at highly competitive rates.
The year 2018 will be the year of the affordable segment, with the governments push for housing for all by 2022. With the impacts of all policy initiatives taken in 2016-2017, 2018 is expected to be a year of consolidation of products and services in the realty sector.
More joint developments and joint ventures will be noticed with large realty players taking over financially distressed developers and presenting the realty industry with a fresh line up of competitors.
It is believed by the experts that 2018 is unlikely to see any price rise, however, the recent reforms in the realty sector will boost the confidence of the investors and buyers and sales are likely to pick up. Also, the completion of existing projects will be prioritized over the new ones to be launched, therefore, 2018 looks promising for a good supply of houses across major Indian markets.
After getting the status of infrastructure in the Budget 2017, affordable housing in India will at last pick up the attention of developers and builders. According to the plans, 1 crore affordable houses must be built in rural areas of India by 2019 and to support this cheaper sources of finances have been provided. External business borrowings and refinancing of house loans by NHBs will help in the growth of the realty sector. The qualifying criteria for affordable housing have now been changed from 30 sq meter to 60 sq meter on carpet area from the saleable area, which will provide home seekers more space at the same price. Also, the limited availability of high-value currency due to demonetization will further bring down the property prices in the years to come. All these aspects together will make it easy for the government to achieve its goal of ‘Housing for All’ by 2022. Also, increasing the carpet area of houses to include more projects within its ambit, will continue to attract more prominent developers to realign their products to compete in this category.
Although the main challenge remains in the Tier 1 cities, where the land availability and costs within established locations are difficult, affordable housing is turning into a promising sector and possibly a game changer for the realty industry. It will definitely become an important segment in every builder’s profile in 2018.
In 2018, developers could be concentrating more on their niche expertise, specializing in various segments of real estate. For example, residential projects, plotted developments, township, retails and commercial spaces.With the help of general drive for entrepreneurship, today, India has some 350 co-working space operators running over 800 co-working spaces. This drive allows budding entrepreneurs start a business economically by providing them a platform for networking, flexible working hours and varied desk options. By 2025, 42 percent of India’s population will be working and living in urban centres – research predicts.Rise in co-working culture with more of India Inc. moving to hybrid living spaces- There can be seen an enormous rise in the co-working spaces in the metro cities as well as Tier II cities. It is functioning well for the startups, providing them flexible working options at an affordable price. In spite of the fact that there is a limited supply of co-working spaces in India, the segment is moving gradually into growth mode across India. Organizations with limited space requirements will rent out parts of their office spaces which will, in turn, give rise to ‘hybrid’ space.
Hopefully, in the coming years, more spends will be made towards digitization of property/land records, which is in tune with Digital India Mission. Digitization will in-turn reduce litigation, free up more land in Tier 1 cities to make living there more affordable and also reduce project deadlines, which will directly translate to lower down the costs for the end consumer (buyers & investors).
Considered among the blooming markets, Real Estate Sector has seen a lot of investment in the previous years. Almost everyone is seen investing in this sector. Real estate in Mumbai offers great opportunity to everyone who is looking to diversify their profits. Real Estate in Mumbai is also considered as an expensive affair, but it is sure to make your investment count! Some of the reasons why one should invest in Real Estate in Mumbai are:
Benefits on Tax:
Purchasing a property is beneficial for long term Capital gains as the buyer receives tax exemptions from the government on buying a new property.
Financial Safety at times of Inflation:
Investing in Real Estate acts as protection against inflation, because it is among those investments where value increases along the increase in the currency value. Ever Increasing population and limited availability of land also plays a significant role in making this investment safe against inflation
Appreciates with time:
Another reason why one should invest in Real Estate is that it appreciates with time. For example the property valuations in Mumbai have increased by 47% over the last 3-4 years, the property rates have simply sky rocketed. All these factors contribute to turning your real estate development into an appreciating asset.
A great legacy to leave behind:
Real Estate is a permanent investment unless and until the owner decides to sell it. Even after the death of the owner, the property remains with the family. The future generation can likewise profit from this appreciating asset, making it a great legacy to leave behind.
Investing in Mumbai’s real estate guarantees additional income, this additional income is generated by renting the apartment. Renting is quite profitable, one can earn approx 20,000-25,000 by just renting their property. The rent price also depends on the location of the apartment, so location also plays an important role here. For example, if you are planning to buy a property just for renting then you should opt for projects that are nearby the commercial complexes or is well connected to the rest of the city and has a good public transport availability. Also, renting as a business venture is quite popular and extremely profitable.
Incurring a loss in real estate is very difficult, because the value of the property only increases with time. Consider yourself sitting on goldmine of an asset if you own a property in Mumbai, as Real Estate in Mumbai has seen rise since 2008 and the prices have always kept on increasing. A proper research is recommended before buying a property, prefer buying the property from a reputed builder to avoid being duped. The owner can also sell or rent a property to generate income.
Long back, People of Mumbai would prefer buying a home in Pune just to relax over the weekend. But now, this city has emerged as a residential and commercial hub itself. Pune has seen a surge of educational institutions, IT firms, and auto part companies in the past few years. All this has triggered development, the importance and prices of city’s real estate to go up! So, if you are planning to buy a property, you can surely make an investment in Pune’s residential properties and buy a property for sale in Pune or an apartment for sale in Pune.
Here are some reasons why Pune is a perfect destination for home buyers.
Small and Clean City
Pune used to be the second home destination for the Mumbaikars during weekends, long before the prices of property in Pune skyrocketed. Even as Pune has developed bounds and leaps in terms of income potential, this city still lives up to the title of “Cultural Capital Of Maharashtra”, as it offers a lot in terms of entertainment like old-world regional cinema and plays. This Queen of Deccan is also not over populated like other metropolitan cities and has retained the lush green nature it always had. All this makes the city you would want to live in with all the urban advantages.
Property Value Appreciation
Properties in Pune have seen the maximum amount of appreciation amongst the metropolitan cities of India, from 2011 to 2014. According to experts, the trend is likely to continue as Pune offers opportunities for the services and manufacturing industries. Pune, which is known to be an upper-middle class city has most appreciation in properties in the mid and high-end segments. Well, all the home buyers look for assurance of growth in property value. This Queen of Deccan is also showing signs of growth and emergence of peripheral areas like Pirangut, Punawale, and Alande. Pune offers a mix of affordable housing and also promise good value appreciation.
Quite a few infrastructure projects are lined up in Pune which is sure to help the Punekars in two ways making their life easier and also provide for the emerging new real estate areas and opportunities. The new underdevelopment airport at Rajgurunagar is among the largest infrastructural projects here. This long-delayed new airport will replace the old one as that does not surface the need of this growing city.
Late on 8th November, PM Narendra Modi took the country by surprise and scrapped Rs 500 and Rs 1000 notes. The scrapping of these currencies led to chaos outside the banks where people were looking either for currency exchange or depositing their old Rs 500 and Rs 1000 currency.
While the majority of the business industries have reacted to this decision in an overwhelming support, there is one industry which has majority of their transactions taking place in cash and is sure to face a hard time after demonetization is The Real Estate Industry! As a lot of transaction in Mumbai’s Real Estate take place on cash basis, a very high involvement of black money has been seen in this sector. Also, in the real estate sector, there is one specific market which is sure to be the one which will suffer the most and that is the secondary market or as we call it the resale market.
Well, the Myth is that the real estate market will go down and face loss, but the truth is, the only market to be affected is the resale market and plot buying market. In Mumbai, specifically Ghatkopar Real Estate, which is well known for resale properties will see a major impact from this demonetization as the payment module followed in buying the resale property is 40% cash and 60% on legal documents which clearly means that 40% of the cash payment is black money and only 60% of the payment is shown white. Well, if the ministry’s 2012 assessment is to be believed, then the realty sector accounts for more than 50% of the current black money market! Ghatkopar, a Gujarati and Marwadi driven area, will see a down slope when it comes to the secondary market in the coming 6 months as the cash transaction here comprises of 30-40 percent! Which is a huge number! At the same time, the primary market need not worry at all as they are to remain stable because most of the people buying an upcoming project tend to take loans and pay through legal channels. Mumbai’s Real Estate market expects an upside on rental transactions after the demonetization exercise as people who are desperately looking out for an apartment to settle down would now want to settle for a rental home due to lack of cash in hand.
If you are someone who is planning to buy a property which is least to be affected by demonetization, then you can opt for upcoming MICL, Dhamji Shamji, Neelkanth to name a few, are among those who are completely safe and are available on Mumbai Property Hub!
This Demonetization exercise is sure to bring stability and transparency to this unorganized real estate market and will also help the customer to know about their rights and will ensure zero cheating. Demonetization will also make customers buy their dream home at an affordable price as it is also believed that the luxury segment of realty industry will fall by 25-30%.
RSquare was introduced in 2015, after the huge popularity of its predecessor, Realty Redefined for Consultants. There were numerous updates and several new and exciting features introduced this year. Here are the main features that we shortlisted, though there are so many others that we could not fit into this article.
- RSquare launch with improved UI
Prior to 2015, it was Realty Redefined for Consultants. We undertook extensive rebuilding of the brand and the product itself, and introduced RSquare. Though there were hundreds of changes, the most important (and the most visible) was the importance given to User Interaction and User Experience.
RSquare is probably the first application for real estate agents to have its own mobile app. RSquare mobile was released in June 2015, and has quickly become one of the absolute favourites for real estate consultants, who can take care of all their business from just their smartphones!
This is the first initiative of its kind aimed at mapping the details of every real estate project in the country. This considerably simplifies the process for real estate consultants, who can choose from this database, saving time that it would have taken to enter the details manually.
RSquare offers search engine optimised websites that help consultants showcase their properties and also in branding. In 2015, the websites (which are responsive now) are integrated to RSquare, thus enabling the consultants to share data from their CRM directly to the website. This is one of the most popular updates, saving a lot of time and effort of the consultants.
Agentsearch is India’s exclusive search directory for real estate agents. It is a platform to enable customers to search for and contact a real estate agent of choice, based on their personal preferences.
6. Auto Email/ SMS functionality
Before RSquare introduced its cool way of working, CRM for real estate was actually an arduous process. There were lengthy steps for every process; even sending a mail or SMS had to be done manually. Well, not with RSquare, since it does all this automatically. By increasing the interaction between agents and customers, there is a greater chance of closing the deal.
Marketing for real estate is a lot different from conventional marketing. And who better than the experts to make it easy for you? RSquare makes it easier than ever for real estate consultants to post properties and projects on platforms such as Trovit, Locanto, HomeHippo, etc. It also helps share the data on Facebook and Twitter from CRM directly, so you can instantly reach all your personal and professional contacts too!
8. Email to Lead Integration
This is one of the best features that received a lot of positive feedback! RSquare integrates your email directly to the CRM, so that the leads that you receive from portals such as magicbricks, 99acres, Sulekha.com, etc are directly entered into the CRM. You also receive a notification for every email, with all the relevant information such as the contact information of the lead, requirements, and other details so your inbox is effectively managed.
9. Lead Management system
Leads from your websites are now automatically handled by RSquare. You receive notifications with automatic timestamps and other relevant information. The property/ enquiry is also automatically entered into the system (so you don’t have to manually enter it). Does this not make it easy for you to manage your leads effectively?
10. Auto Property Alerts to Enquiry
Whenever an enquiry is entered into the system, based on the specifications mentioned in the enquiry, RSquare searches for all matching properties/ projects in your database. The list of matching properties is sent to the prospective buyer without any effort on your part. Basically, this means that RSquare not only works for you, but for your customers too!
RSquare, powered by Realty Redefined proudly celebrates World Brokers day on 9th June, 2015 to felicitate and honor the role of an Indian Real Estate Broker.
To get complete information about the event, visit www.worldbrokersday.com