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Post-pandemic, there has been a significant increase in demand for housing, with homebuyers showing a renewed interest in real estate. Reports suggest that India's real estate market is expected to exceed Rs.13 lakh crore by 2023, including both residential and commercial properties. This growth is mainly driven by factors like rising population, increased wealth, and rapid urbanization. The commercial sector is also playing a big role in driving the growth of the real estate industry, with factors like the expansion of commercial operations, improvement of the labour market, and rising income levels contributing to the demand for commercial properties.  What will drive the growth of the real estate market in 2023?
Demand for bigger living spaces has increased The preferences of homebuyers have shifted immensely due to the COVID-19 pandemic, with people now looking for bigger living spaces. In 2023, we can expect this trend to continue. Real estate and residential assets have become very important since the outbreak of the pandemic. The luxury industry is experiencing a surge in demand, reflecting a consumer mindset that values experience over other aspects of life. Increased interest from NRIs and HNIs The rise of the dollar against the Indian rupee and attractive investment opportunities have caught the attention of Non-Resident Indians (NRIs) in Indian real estate. Wealthy Indian consumers are interested in investing in luxury properties across the country, especially in their hometowns, to maintain an emotional connection with their home country. In the future, NRI investments are expected to continue to flow into the market and make up a significant portion of the demand for luxury residential and prime commercial properties, with Bangalore, Hyderabad, and Mumbai being the most popular destinations for investment. Higher demand for homeownership due to consumer sentiment The release of pent-up demand, along with the growing interest of millennials in the Indian real estate market, is positively contributing to the sentiment towards homeownership. This trend is expected to strengthen in the coming year, thanks to increasing income levels and the recognition of real estate as a dependable asset class. High demand for leasing space The demand for leased spaces is expected to increase, especially from IT and retail companies. Several large tech companies have already made commitments to expensive office leases. The warehousing industry is expected to continue to grow rapidly as e-commerce and third-party logistics companies continue to provide financial support. Also, investments in data centres are expected to increase, contributing to the already surging demand and making commercial properties a strong asset class. The rise of Prop-tech in real estate The year 2023 is expected to see an increase in the use of technology in the real estate industry. Proptech will continue to provide customers with a seamless experience when searching for, shortlisting, and finalising their homes. Proptech tools such as 3D tours, project and locality review videos, and comparative tools are becoming popular in the initial stages of the property search process. They are helping customers make informed decisions about shortlisting properties. Growing demand for smart homes The demand for IoT-enabled homes is increasing rapidly due to technological advancements and modern lifestyles. Frost and Sullivan predict that by 2025, the value of the Indian IoT market will reach US$9.28 billion as customers invest in connected home solutions for convenience and a hassle-free home experience. Also, the pandemic has accelerated the demand for smart appliances. Thus, smart home technology will continue to disrupt the real estate industry in 2023, which presents an excellent market opportunity for builders, designers, entrepreneurs, and investors. Smart home technology, such as IoT-enabled kitchen chimneys, ceiling fans, and water purifiers with AI monitoring, will drive efficiency and save energy, attracting conscious customers. Developers who offer houses with pre-fitted smart appliances will successfully cater to the premium segment of customers and enjoy high demand. Touchless interactions and whole-home automation will also play a significant role in providing convenience and comfort to customers, making smart home technology a desirable feature for prospective homebuyers. Rise of environment-friendly and sustainable real estate developments In recent years, the demand for green buildings has been rising. Developers and customers are interested in investing in eco-friendly and sustainable real estate developments that reduce carbon emissions, and it is becoming a business-critical requirement. Green buildings can save up to 50% of water and 30% of energy, and in the past decade, the top 6 cities in India have seen a 31% increase in green real estate assets, including Delhi-NCR, Mumbai, Pune, Hyderabad, Bangalore, and Chennai, according to a report by CBRE South Asia in 2022. Final Words Overall, the year 2023 has a promising outlook for real estate, as it remains a resilient as well as aspirational investment that offers both short and long-term gains. 2023 will be an exciting time for this sector, with an expanding economy, increased commercial operations, and rising income! About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore.
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The main goal of investing is to get the highest possible return. Real estate is a lucrative investment option and is growing rapidly year after year. Many millennials are interested in investing in real estate to either settle down or to get a good return on their investment. However, to make a profit, it is crucial to carefully analyse and invest in a developing location that is not yet on everyone's radar.  Chennai is one such location that offers promising investment opportunities and is considered one of the best metropolitan cities. Therefore, it's worth discussing why real estate investment in Chennai is more profitable than in other places.
Real estate investment in Chennai is considered one of the most secure and profitable investment options, and there are several factors that make it a lucrative choice. Chennai is recognised as India's "Detroit" due to its thriving automobile industry, and it has experienced consistent economic growth over the past decade, which has made it an attractive market for investors. Here are some reasons why investing in Chennai is a wise decision: High Rental Yields As the demand for properties in Chennai continues to rise, rental yields have also increased, making them incredibly higher than in other cities across India. Due to the significant rise in rental income, many individuals consider real estate investment in Chennai as a reliable source of regular income, which can provide long-term financial stability and benefits. Job Opportunities Due to its thriving industrial sector and abundant job opportunities, Chennai is an ideal location to invest in real estate. The salaries offered in this city are higher than the national average. Also, government headquarters, logistics, manufacturing, industrial services, and IT firms provide plenty of job opportunities. Therefore, real estate investment in Chennai is an attractive option for those seeking consistent income or future financial gain. High ROI potential The demand for residential properties in Chennai is high due to the influx of migrant workers and residents from other parts of India. Thus, it allows investors to make the most of their money and generate good returns in the future. The city's ongoing expansion and development plans make it a very attractive real estate investment destination. Residential properties in areas like ECR, OMR, Madhavaram, Ponamelle, and Arakkonam are in high demand and are trending residential properties in Chennai. Cost-effective real estate pricing Chennai's real estate market is cost-effective and affordable compared to other metropolitan cities like Mumbai. For example, the price of a sea-facing plot in Chennai is much lower than in Mumbai. This makes investing in Chennai's real estate market a once-in-a-lifetime opportunity for those looking to make a fortune. Additionally, various investment opportunities are available in and around Chennai's work culture and entertainment zones like Ambattur and Arakkonam, located close to industrial estates; OMR, Ponammalle, and Thiruvanmiyur, located close to the IT industry; and ECR, known as Chennai's getaway destination, etc. Strong economic growth Chennai, the capital of Tamil Nadu, has a strong and diverse economy with various industries like manufacturing, IT, logistics, and healthcare. This economic growth has led to increased demand for housing in the city, contributing to its high economic growth. Tamil Nadu is the country's second-largest GDP contributor, with more than 60% of its population living in the cities. It is ranked as India's most economically free state and one of the top three states in electricity generation. Affordable property prices As previously mentioned, property prices in Chennai are generally lower than those in other major Indian cities like Mumbai and Delhi, which makes it an attractive investment location. The outskirts and developing areas of Chennai are more affordable and have high growth potential. Once the construction is complete, investors can look for tenants, as there is a high demand for rental properties in Chennai. This high demand for rentals can result in positive rental yields for investors, making it an attractive option for those seeking long-term gains. Good infrastructure and connectivity Chennai has excellent transportation, healthcare, and education infrastructure, which makes it an attractive place for professionals and families to live. Again, each area has its own set of amenities, including prominent schools, hospitals, grocery stores, and shopping malls, providing convenience to residents. Chennai's affordable property prices, combined with its strong economic growth, result in a high potential for positive rental yields, making the city a desirable investment destination. The city is well-connected through various modes of transportation, including government buses, TNSTC, local trains, and the metro, which is not only convenient but also cost-effective. Besides, the government is investing heavily in infrastructure development to improve the city's overall quality of life, which further adds to its appeal. Overall, Chennai's growing population, strong economic growth, and competitive prices make it a desirable destination for real estate investment. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. Hyderabad, the capital city of Telangana, has received top rankings in indicators like GDP and is tagged as the most dynamic city globally according to the JLL City Momentum Index 2020. Hyderabad is close to major metropolitan cities like Bengaluru, Chennai, and Mumbai and benefits from excellent accessibility to markets. The investment industry highly values outstanding connectivity as it leads to upward trends in property prices because of its proximity to prime markets.  Here are some reasons contributing to the attractiveness of Hyderabad and its flourishing real estate market.
Emerging IT Hub Hyderabad has become an important place for the IT industry and therefore attracts a large number of working professionals to the region. This influx of people has created a high demand for real estate and investment opportunities. In the last six years, Hyderabad witnessed a drastic change and emerged as a new tech hub in India. The growth of the IT industry has given rise to various investment prospects, such as office spaces, residential and commercial properties, and co-living spaces. Due to the city's substantial consumer base, investing in real estate is considered a profitable option because the tech giants that drive the markets have a strong presence in the region. Open to New Opportunities Markets that can adapt to changes and embrace new trends will experience rapid growth. Hyderabad has shown its ability to adopt new technologies and trends, which is evident in the current market. The pandemic-induced digital trends have affected the markets, creating opportunities for data centre markets. The warehousing markets, which are in high demand due to the rise of e-commerce, are supplementing the commercial property market. The e-commerce industry has also adopted strategies like instant delivery, which has increased the need for warehousing. This has opened up opportunities for investors to invest in high-grade assets such as warehouses and data centres, which have elevated Hyderabad's position as a leading market. Investing in emerging markets that have the potential for development is wise, and Hyderabad has everything to make it an optimal investment location. Smart Government Initiatives The government initiatives have revitalised the sluggish markets in Hyderabad. Policies like 'Look East and North' and 'Integrated Township Policy' have been implemented to strategically disperse markets that were previously concentrated in certain areas of the city. These policies are now driving demand in outer regions and expanding them in a smart manner, which may result in a price increase of land in surrounding areas. To boost development, five IT parks have been approved in these corridors. Hyderabad is making efforts to avoid market saturation and create new investment opportunities, which is a desirable characteristic of any investment location. Fast Pace Infrastructure Development Infrastructure plays an important role in developing the real estate sector, and Hyderabad's Metro Rail Project and Outer Ring Road are connecting the key regions of the city. The Ring Road offers a convenient way to travel to any part of the city with minimal traffic congestion, which has propelled the real estate industry in areas like Adibatla, Ghatkesar, Kompally, and others, appreciating property prices. Thus, urban infrastructure has catalysed city development through enhanced connectivity. Diversified and Affordable Property Prices One of the unique features of the Hyderabad real estate market is the diversity of property prices and affordability. Hyderabad has relatively lower land prices than other metropolitan cities in India. The property prices in various localities in Hyderabad differ due to factors like development, connectivity, property availability, and proximity to the IT hub. For instance, in Narsingi, land rates range from Rs.2,000 - Rs.5000 to Rs.15,000 - Rs.20,000 per sq. ft. This allows a broad consumer base to invest in premium localities like Narsingi at an affordable price, further expanding the real estate market in Hyderabad. Final Words Hyderabad is transforming into a world of opportunities by expanding and scaling up markets. Because of its optimal location and climate, the city is attracting investors for various reasons. This led to the establishment of tech giants like Amazon and other profitable MNCs. So, if you're looking to invest in real estate, Hyderabad might just be the perfect destination! About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. Has a golden era begun for real estate in Pune, following the largest launches and sales in 2022?11/5/2023 In India, the increase in office space revival, job opportunities, and work-from-home culture contributed to the growing housing demand in 2022. While many people in other cities returned to their hometowns during the lockdown, Pune saw a reverse migration. The city’s climate, vibrant job market, and education institutes are among the reasons why many people choose to live here. The real estate market in Pune has not only recovered, but recent reports indicate that housing is becoming a growing need in the city.  In 2022, Pune sold 85,000 units worth over 50,000 crores. Has the golden era begun? Pune Times Mirror talks to Mr. Rahul Ajmera, a young real estate developer and IIT Bombay alumnus, about the booming real estate market in Pune. It was a time of doomsday rhetoric and dismay around real estate when the Covid 19 pandemic hit in 2020. Several people said that work-from-home culture would destroy the real estate business. Nonetheless, real estate launches and sales reached an all-time high in 2022. What led to this? Since real estate is a structural sector of the economy, it cannot collapse easily. The restriction during the pandemic lockdown made people realise that a 1 or 2BHK wasn't spacious enough for a family of four. People who returned to their hometowns eventually returned because they realised that Tier III and IV towns don't have the health and social infrastructure that Pune has. Therefore, Real Estate Developers reduced the supply of 1BHK units and increased the supply of 2.5 / 3 BHK units. Why aren't prices falling in Pune if there's so much unsold inventory, as some real estate data analysts claim? The amount of unsold inventory in a city is one of the most deceptive statistics because it sometimes includes figures from abandoned and poorly planned projects. Because real estate is a niche market, these statistics should have no influence on a home buyer. Pune is a bustling city with plenty of job opportunities and developable land, so unlike Mumbai, property prices are still affordable. "When there's so much unsold inventory, why is it so hard to find ready-to-move-in homes in good projects? Supply and demand affect real estate values at the local level rather than the macro level. Depending on the surroundings, layout, and internal requirements of two projects, their pricing and unsold inventory in the same general area may be quite different." Popular social media influencers often talk about the financial benefits of renting over buying a home. How will this affect the future outlook? India has historically had poor rental yields, but this has had no impact on the real estate market. "Although living in a rented flat and investing the difference in EMI payments in a mutual fund SIP seems appealing, how practical is it to do so for 10 to 15 years?" Most people eventually want a stable life, so they marry, have children, and buy a house." What are the most important factors flat buyers should consider before making a decision? Buying a home is usually one of the most exciting things in life. However, choosing the right home can be difficult with so much information available and so many people around to influence us. Contrary to popular belief, more people do thorough research before buying a car or mobile than before buying a home. "Shouldn't they spend at least 15 to 20 days conducting the proper research before their home purchase, given that most homebuyers repay their mortgages over 15 to 20 years?" So, to help people make better home-buying decisions, we have created a fun-to-read Home Buyer's Guide." Many buyers are unaware of important details due to the new trend of non-refundable Eol/Token-based Pre-launches and end up booking a property that may not suit their actual needs. A home buyer's focus is diverted towards the project's grand amenities, discounts/offers, and promises of future development. "Also, buyers must find out about the exact location of the project, the developer's record and feedback from past customers, as well as the governing municipality." About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. Buying a house is an important decision for an individual and often requires a huge investment. Therefore, it's crucial to weigh all options that can provide financial benefits to a person thinking about buying a property. If the individual is married, he must decide whether to buy the property in his own name or in co-ownership with his partner.  Here are some things to remember if you are married and considering buying a property.
Legal Ownership and Rights When you purchase a property with your spouse as co-owner, you must decide how to own it legally. In India, there are two options: joint tenancy and tenancy in common. In a joint tenancy, both parties have equal rights and ownership of the property. If one partner passes away, the other will automatically inherit the entire property. In contrast, tenancy in common allows each co-owner to own a specific percentage of the property. If one owner passes away, their share will go to their heirs, and the other co-owner will retain their ownership percentage. Stamp Duty Benefits When purchasing a house, stamp duty must be paid to the state government when a seller(s) registers a sale deed to transfer an immovable property (house) in favour of a buyer(s). Several states have reduced stamp duty rates for women as part of their social initiatives. Therefore, buying a property in co-ownership with your partner would lead to huge savings in stamp duty. Loan Eligibility Usually, prospective buyers require additional funds to buy a property, for which they approach banks/ financial institutions for availing loans. If a man makes a joint application with his working partner, there may be a significant increase in loan eligibility because the incomes of all the borrowers are taken into account. Thus, banks/financial institutions will consider both the partner's and husband's income when determining their eligibility for the loan facility. In contrast, an individual's net income determines his loan eligibility. Interest Rate Benefits Women are preferred applicants for lending institutions. Women borrowers/co-borrowers have a better chance of loan approval as data shows that loan defaults among women borrowers are much lower than among male borrowers. Also, several banks/ financial institutions offer women borrowers attractive terms, schemes, and lower interest rates for a home loan. Therefore, if a husband and partner obtain a home loan for a property in co-ownership, it would impact the EMIs and lead to significant savings in the amount repayable to the lender bank. Tax Implications Under the Income Tax Act 1961, home loan borrowers are eligible for tax benefits on both principal repayment and interest payment. Under Section 80C, each joint owner can claim a deduction of up to ₹1,50,000 for principal repayment as well as on registration and stamp duty charges. Furthermore, under Section 24, sub-section (b), they can claim a deduction for housing loan interest from house property income of up to ₹200,000. The provisions of the IT Act state that the income earned directly or indirectly by the partner from assets transferred to her will be combined with the husband's income. Thus, if the husband buys a house in his partner's name, with no monetary contribution from her, the rental income from this property may be treated as the husband's income and taxed at the applicable rate. However, if the partner works and has a separate income, and the property is purchased with an equal monetary contribution from both husband and partner, there may be tax benefits if the property is rented out. In such a case, the spouses can split the rental income equally. This may result in a lower tax slab to them according to the provisions of the Act. Final Words Overall, buying a property with your partner as a co-owner can have several implications. Women benefit more from stamp duty. Joint ownership also improves loan eligibility because the combined income of both spouses is considered when applying for a housing loan. However, it's also important to consider the potential tax implications if the partner has no independent income, as the partner's income may be combined with the husband's income. Another important thing to remember is that problems may arise if the marital relationship turns sour later. In such an event, the partner will be entitled to absolute ownership of her undivided share of the property purchased jointly. Also, at that point, prior consent of the other would be required to sell the co-owned property. Therefore, it's critical to weigh the benefits and drawbacks of co-owning a property with your spouse. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. It's every homebuyer's worst nightmare to face the long halt delay in possession of their dream house. Because of this, the homebuyer suffers not only economically but also mentally. Therefore, in this blog, PropertyAngel will discuss what you as a homebuyer can do if your real estate project is delayed. Firstly, it's important to understand the reasons behind delayed projects. The most common reasons include poor project management, lack of funds, delays in obtaining permits and approvals, and legal disputes. Regardless of the reason, homebuyers have the right to take legal action to protect their interests.  The Legal Route: RERA, NCLT, and CPA
The Real Estate Regulation and Development Act (RERA), passed in 2016, protects homebuyers in case of delayed projects. RERA aims to regulate the real estate sector and ensure timely completion of projects, and it applies to all states and union territories in India. It mentions a few of the most important roles of a real estate regulator, which are:
NCLT Also, homebuyers can file a complaint with the National Company Law Tribunal (NCLT). The NCLT has the power to appoint an administrator to take control of the project and ensure its timely completion. Additionally, the NCLT can order the developer to compensate the homebuyers for the delay. CPA Apart from RERA and NCLT, homebuyers can take legal action under the Consumer Protection Act (CPA) as well. The CPA gives consumers the right to seek compensation for any deficiency in services or goods. If a developer fails to deliver a home within the promised time frame, homebuyers can file a complaint with the appropriate consumer court. Should You Sell the Property? This is the first question that comes to mind for a homebuyer who is stuck in a delayed project. Because you're mentally and financially stressed due to such a big delay, the best option may be to sell the property. But it isn't as easy as it looks.
All these factors make finding a new buyer nearly impossible, as no one would be willing to purchase a real estate property with so many issues and problems. Should You Continue To Pay for EMIs? This is a common question, as you might be confused about whether you should continue paying your EMIs for the home loan or stop. There is also concern that if you stop paying your home loan EMIs, your credit score will suffer, and your financial credibility in the market will suffer. However, according to some experts, homebuyers shouldn't stop paying their EMIs even if the project is delayed. The main reason for this is that financial institutions from which homebuyers may have availed their home loan may drag them to court and, in addition, charge homebuyers interest on the EMI amounts deferred by them. Final Words If you're stuck in a delayed project, your first option is to go the legal route and file a consumer complaint under RERA, NCLT, or CPA. If you're considering selling your house, it will be tough for unfavourable reasons. According to some experts, as a homebuyer, you shouldn't stop paying your EMIs. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. India's real estate market has been on a growth trajectory for a while now, with increased demand for property due to the country's growing population and economy. This has increased the number of real estate options available for buyers. Before investing in real estate, it's important to understand the different types of properties available in India.  Types of Real Estate Property in India
Residential Real Estate Residential properties are the most popular real estate investment in India. Because of its low entry cost and easy financing options, this investment is a good place to start for aspiring real estate investors. The common types of residential properties include: Single Family Homes Homes built on single lots with no shared walls are called single-family homes or SFHs. Such houses have a garage either detached or attached. The value of such residential properties often increases over time. Also, single-family homes located in a rapidly growing area typically have a high resale value. Condominiums A condominium or Condo is a single unit within a larger building or community. These are most popular in high-density, urban areas with many shops and restaurants. Since the condo owners aren't responsible for the exterior of the unit, they need to make only fewer repairs. As such, investors mostly don't have to worry about landscaping the unit or fixing the roof. Townhouses A townhouse is a hybrid term between a condominium and a single-family home. They often have multiple floors, one or two shared walls, and a small garden space. They are larger than condos but smaller than single-family homes. Generally, these kinds of residential properties are less expensive to buy than single-family or multifamily properties. Cooperatives In cooperatives or co-ops, you own a share of a building. In other words, everyone using the structure jointly owns it. Co-op owners must pay maintenance fees. Therefore, the Homeowners Association or HOA expenses are lower than the condos. Multi Family Homes Multi Family homes consist of two or more units and can be either row house-style, multiple floors, or range from duplex to a four-plex. Along with this includes garden apartments, mid-rise apartments, and high-rise apartments. The only difference between a condo and a multifamily home is that you cannot buy the latter individually. Also, buying a multifamily home with a single mortgage can result in less paperwork and headaches than buying two single-family homes. Commercial Real Estate Commercial properties are best for making investments, including hospitality projects, industrial space, retails, etc. These properties are specifically designed for investors who want to improve their local communities. Usually, these types of properties have a higher potential for cash flow. CRE investors can benefit from longer leases and lower vacancy rates than other forms of real estate. Office Space Office buildings, like multifamily properties, are also designed as low, mid, and high rise depending on their size. Office buildings are categorized into:
Industrial space also differs in size based on its specific use:
These properties are sub-categorised into:
Hotel and Lodging Hotels are categorized into:
These properties usually include hospitals, doctor's offices, clinics, or senior care facilities. Unique Purpose In real estate, unique purpose property includes publicly owned properties like places of worship, libraries, schools, parks, and cemeteries. Vacant land Vacant land, or raw land, is an underdeveloped or unoccupied area. The cost of such land varies directly depending on the land's size, location, and the earth's zoning use. Raw land purchases often provide steady cash flow and come with several exit strategies. The vacant land typically comprises timberland, working farms, ranches, orchards, or any new construction site. Usually, developers acquire such vacant lands and combine them with other properties by assembling and rezoning them to increase the density and value of the property. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. In India, many people dream of buying a home. However, one must also consider the low air quality index (AQI), which reaches severe levels due to high pollution, especially in metro cities. The country's reliance on fossil fuels and lack of environmental regulations have contributed to this problem, with air quality levels often exceeding safe limits. However, the real estate industry believes that green buildings aren't only a solution but will ultimately be the only real solution for countries like India.  What Are Green Buildings?
Green buildings are designed and constructed using environmentally friendly technologies and processes. The goal of green buildings is to minimise environmental impact throughout their entire life cycle, from construction to operation and maintenance. According to Anarock data, green buildings can reduce energy consumption by 20-30%, water consumption by 30-50%, and significantly reduce waste generation through extensive recycling. Apart from the obvious benefits to the ecosystem and biodiversity, the use of green building practices leads to lower electricity consumption, better health and overall well-being, and enhanced productivity in the case of commercial buildings. How Are Green Buildings Different From Regular Buildings? A green building and a conventional building may not look very different from the outside. However, the parameters used to award green certifications are the best way to differentiate between green and regular buildings. It includes:
Pradeep Aggarwal, Founder and Chairman, of Signature Global, says, "Green buildings substantially increase savings through 32% energy savings, 52% water savings, and 53% less embodied energy in materials. The use of toxin-free materials and the design of green buildings are such that energy consumption gets reduced without compromising the occupant's comfort. These buildings will have better ventilation, natural light, and lower indoor pollution." The Scenario of Green Buildings in India The US Green Building Council's annual report ranked India third in the world for Leadership in Energy and Environmental Design (LEED) of green buildings in 2021, with 146 certified buildings and spaces totaling nearly 2.8 million gross square metres. China came in first with more than 14 million gross square mt., while Canada certified more than 3.2 million gross square mt. LEED is the most well-known green building rating system in the world. LEED in India is supervised by Green Business Certification Inc. (GBCI), which aims to accelerate the implementation of green buildings throughout India. There are several programs and agencies across different countries that define, categorise, and certify green buildings, such as LEED (the US), BREEAM (the UK), CASBEF (Japan), and DGNB (Germany). In India, Indian Green Building Council (IGBC) and Green Rating for Integrated Habitat Assessment (GRIHA) are at the forefront of promoting green building programs and certifications. Is it Financially Beneficial to Buy a Flat in a Green Building? In India, the price has always been an important consideration for first-time homebuyers; many do so even today. According to Anarock's data, green homes cost at least 10-15% more, depending on various amenities and factors. Therefore, green housing still remains an elitist concept and option in India rather than a necessity. The price differences between certified green homes and non-green homes are significant for budget-conscious first-time homebuyers. However, this additional cost is an investment toward future savings. Green homes save between 30-40% on energy and water bills. According to real estate experts, the higher costs associated with developing green buildings are a major disadvantage for developers of affordable and mid-range projects, as these costs are pushed onto buyers. That's why the current demand for green housing comes more from financially settled buyers instead of first-time homebuyers. The Reality of Green Buildings in India In January-October 2022, India recorded four silver-certified buildings, 49 gold-certified buildings, and 82 platinum-certified buildings across the top seven leading markets. The Ministry of Environment, Forest and Climate Change (MoEFCC), Government of India, fast-tracks environmental clearance for green building projects that have been pre-certified and/or provisionally certified by IGBC. Some state governments like Punjab, Haryana, Maharashtra, Uttar Pradesh, and West Bengal offer additional floor area ratios. While other state governments offer discounts on property tax, provide subsidies on fixed capital investment, etc. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. As people grow older, their housing needs and preferences change. Nowadays, many older adults find living in a gated community appealing. In short, a gated community is a residential area enclosed by a physical barrier and is typically equipped with security features like guards, cameras, keycard access, etc. These communities often provide a range of amenities and services like fitness centres, golf courses, swimming pools, social clubs, etc. In this article, we will explore why older people prefer gated communities over independent homes.  Safety and Security 'Safety and security' is one of the main reasons why older people choose to live in gated communities. They offer a level of protection that independent homes don't. The physical barrier around the community serves as a deterrent to burglars and other criminals, which reduces the risk of break-ins and theft. Also, gated communities have security guards and surveillance systems, adding an extra layer of security. A sense of safety and security is especially important for older adults. As they age, they become more vulnerable to crime, and the fear of falling victim to it can be debilitating. Living in a gated community gives them peace of mind and makes them feel safe. Amenities and Services Gated communities offer a wide range of amenities and services tailored to the needs and preferences of older adults. For example, many gated communities have fitness centres and swimming pools, which can appeal to older adults who want to maintain an active lifestyle. Additionally, these communities have social clubs and activities like book clubs, game nights, cooking classes, etc., which can help older adults stay engaged and connected with others. Many gated communities also offer services like lawn care and maintenance, housekeeping, transportation, etc. These services may be necessary for those who have difficulty performing daily chores or prefer to spend their time on other activities. Sense of Community Gated communities often have a strong sense of community, with residents participating in social activities and events, volunteering, and supporting one another. For older adults who may be experiencing loneliness or social isolation, living in a community where they can connect with others can be particularly important. Residents in gated communities often share a common lifestyle and interests, which can lead to stronger social bonds. Additionally, the close proximity of homes in gated communities can facilitate social interaction, making it easier for residents to get to know their neighbours and form friendships. Maintenance-Free Living Maintaining a home can become more difficult as people age. Gated communities offer maintenance-free living, which can be useful to older adults who no longer want to worry about the upkeep of their homes. Many gated communities offer lawn care, maintenance, housekeeping, and laundry services. This can free up time and energy for older adults to focus on other activities, such as spending time with family and friends, pursuing hobbies, or travelling. Health Care Access Older adults must have easy access to healthcare facilities because they may require medical care or assistance anytime. That's why many gated communities are located near hospitals, clinics, and other healthcare providers, making it easier for residents to access the care they need. Additionally, gated communities often have amenities such as on-site fitness centres and wellness programmes, which can help older adults stay healthy and active. Some communities even offer on-site healthcare services like physical therapy or nursing care, which can benefit older adults. Final Words Overall, there are many reasons why older people prefer to live in gated communities over independent homes. This can be important for older adults as they navigate the challenges of ageing and seek to maintain their independence and quality of life. The benefits can be significant for those who live in these communities because it provides a secure and supportive environment to age and enjoys a fulfilling and active retirement. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. Investing in a project during its new launch stage can be financially rewarding since the property is about 20-30 per cent cheaper than the ready-to-move developments. However, there are inherent risks involved. This blog will highlight the benefits and risks of buying a new launch property. What is a New Launch Project? New launch refers to the period when the building project is announced. Buying a property in its new launch stage is undoubtedly a good deal for buyers and investors. Many developers offer new launch properties to raise funds before final approvals. This way, they avoid borrowing money from the market at a higher interest rate.  Benefits of Buying a New Launch Property
Customized Choices When you buy a property during its launch phase, you get to choose the desired floor, unit, view, direction, interior modifications, etc. This brings your dream home or workspace closer to reality. Once the building is fully done, making changes isn't easy. Clearly, more options are available during this phase, and you can avoid compromises. Smart Investment Buying a property during the new launch phase opens the opportunity to get the best return on investment. You can take advantage of the price escalation that happens after the new launch phase. Once the building is up for possession, the prices tend to rise. So if you plan to sell off, you can make huge returns. Also, if you plan to allocate more funds to real estate investment, now is the time to put your money. Enjoy Best Deals To attract homebuyers and investors during the initial phase of the project, real estate developers offer attractive price discounts on newly launched projects. If you're looking to invest or buy a home, this is the best time to secure your dream home at the best price. Also, if you want to invest in a low-cost property, consider a new launch project. Risks of Buying a New Launch Property Delays and cancellations Potential delays or cancellations are one of the biggest risks of buying a new launch property. This can occur if the developer runs into funding issues, encounters regulatory hurdles, or experiences construction delays. If the development is cancelled, buyers may lose their deposit and any money paid towards purchasing the property. Unknown quality Buyers purchase a unit based on plans and artist renderings when buying a new launch property. Thus, the quality of the finished product may not meet expectations. In some cases, buyers find that the finished unit doesn't even match the plans the developer showed them during the launch phase. Limited resale options users may have limited resale options if they decide to sell their new launch unit before the development is complete. This is because the property is incomplete, and the value has not yet been established. As a result, buyers may need to hold onto the property until the development is complete to sell it for a profit. What should buyers do? Although buying a new launch property is risky, the price advantage continues to be a major attraction for both investors and homebuyers, especially those not seeking early possession. However, before investing, buyers must ensure that the project has a Commencement Certificate (CC) and Intimation of Disapproval (IOD). The IOD contains instructions that a developer needs to follow in order to construct the building legally. It's also necessary to establish the trustworthiness of the builder. This includes investigating their track record for transparent dealings, compliance with legal formalities and the magnitude of experience they have in the industry. Final Words Ultimately, it all comes down to the developer's market reputation. According to experts, buyers can be assured of a safe investment if a reputed developer launches a project. Even if the project gets delayed, buyers can expect to receive their apartments eventually. Thus, buying a new launch property can be a great investment opportunity for those willing to take on some risk. About PropertyAngel PropertyAngel is a leading O2O (online-to-offline) second landlord platform. We are a Bangalore-based property management company offering professional property management for individual apartments, houses, and villas. Contact us at (91-80-47095974) or (91-7406484455) if you need guidance on how to invest in the right property in Bangalore. |
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