Think Once Should Buy or Lease a House is Better In India?

Buying or leasing a home depends on various factors. As real estate prices rise and fall in India, it becomes difficult for home buyers to decide whether to buy or rent a property. It is necessary to do a thorough research of the city's property trends and decide whether to buy or rent a property. The decision also depends on the financial status of the person.

A wrong decision will lead to huge debt or illiterate assets. Many factors will help you decide whether to buy or rent a house in India:

High property prices: Property rates are skyrocketing in cities like Mumbai, Delhi, Chennai, Ahmedabad. So it becomes difficult for buyers to buy a house. Renting a house is a wise decision. Due to the rise in property prices, Mumbai is witnessing high demand for rental properties. The rental rate in Ahmedabad is quite stable, so renting is better than buying a property.

Low or stable property prices: Cities like Pune and Hyderabad have stable property prices, so buying a house in these cities is convenient. These are neutral cities for property investment. You can buy or rent property as per your convenience. Although Bangalore is a metropolitan city, properties prices are significantly lower than other Tier I cities. Therefore it is advisable to invest in property. In fact rental rates in Bangalore are very high compared to property prices. Even Hyderabad has cheap property prices and remains an ideal property to purchase destination.

Financial condition: Buying or leasing a property also depends on the financial condition of a person. If a person is financially strong, he can buy property even if the prices are high. Investors in cities like Chennai, Delhi, Gurgaon, Faridabad, Pune can take decisions based on their financial condition.

Duration of your stay: One of the factors to consider when buying or renting a property is how long you are going to stay in that place. If you are transferred to a particular place for a job or educational purpose then it is advisable to plan and decide the duration of your stay. If you are living for a short period of time then you rent a property instead of buying and paying a home loan. If you are looking for a long term plan then you can buy property.

Inactivity: Since large amounts of capital are invested, disposing of the house is difficult. Invest in an area that has strong infrastructure facilities such as connectivity, schools, parks, etc. Rather, it is better to rent a house, being stuck with an illegal property that is not easy to dispose of. Therefore it can be concluded that, if property prices are high, it makes sense to rent instead of buying property. Buying or renting a property depends on the person's choice and the above factors.

Is it wise to invest in the Indian real estate market in 2020-2021?

Finance Minister, Nirmala Sitharaman presented the Union Budget 2020-21 on 1 February. Highlights of the budget for the real estate sector are as follows:

Deductions on affordable housing were allowed on housing loans sanctioned on or before March 31, 2020. In order to ensure that more people take advantage of this benefit and to pursue affordable housing, the date of loan approval has been proposed to be extended by 1 year. To boost the supply of affordable homes in the country, a tax holiday is being provided on the profits earned by the developers of the affordable housing project till 31 March 2020.

Currently in real estate transactions, when taxing income from capital gains, business profits, and other sources, if the consideration value is less than the 5% circle rate, the difference is counted as income for both the buyer and seller. To reduce the difficulty in real estate transactions and provide relief to the sector, it has been proposed that the limit be increased from 5% to 10%.

An investment of Rs 100 crore will be made on infrastructure in the next 5 years in various sectors like housing, infrastructure, energy, healthcare, educational institutions, transport, logistics and warehousing, irrigation projects etc.

The year 2019 was a period of many highs and lows for the Indian real estate market. The ongoing crisis resulted in a decrease in liquidity and a slower pace of sales improvement. However, on the positive end, the successful launch of India's first real estate investment trust (REIT) opened up new avenues for investment, while several positive government initiatives provided much needed relief to the sector. 

According to research, the housing sale price of India's top 9 listed players reached in the 2nd and 3rd quarters of 2019, an increase of 5%. 2019 saw a 4–5% annual increase in housing sales with over 2.58 lakh homes sold during the year. The new housing launches in 2019 saw 18-20% annual growth and developers are expecting sustained efforts of the central government such as additional cuts on loan interest, GST rate cuts, alternative investment funds for stalled projects and credit guarantee scheme changes in the sector will be strengthened.

Affordable Interior Decoration Ideas For Your Apartment

Buying your home in a vibrant city is like a dream come true. But as an amateur, turning your empty house into an inviting place can be misleading. You may have a rough idea of ​​what you want in your first apartment, but your wallet may not support your vision. Also, as you get limited space in an apartment, you may not fit into everything you wanted. While decorating your first apartment, you need to focus on meeting your essential needs while maintaining a decent attitude. As you have to stay indoors for the rest of your life, make sure that its decorative accents reflect your taste and personality. In this write-up, we have shared some simple tips for decorating your apartment.

1) Invest in multi-functional furniture units

As apartment spaces are limited, instead of decorating your home with bulky, luxurious furniture units, you should buy multifunctional fixtures. Furniture such as sofas-cum-beds, diwan beds, and coffee table cum bookshelves help you create a clutter-free minimalist interior. The practice of matching pieces of furniture for the living room and bedroom is more; you can also try odd pieces. But whatever furniture you choose should go well with the overall interior plan.

2) Opt for neutral wall colors

Instead of painting your home in dark and bright colors, you should paint the walls in a neutral shade, such as off-white, light pink, sky blue, or light green. The light colors of the wall paint reflect more light in the room and go well with both modern and traditional furniture units. In addition, it produces a more energetic feel.

3) Use vertical space smartly

When it comes to decorating a small apartment, the sky is the limit. But make sure you use the space properly. You should focus on creating a more functional space while maintaining a clutter-free approach. To give your apartment a minimalistic and clutter-free look, you should focus on using more vertical space and less floor area.

4) Use mirrors smartly

Hanging a mirror and using mirrored accessories is a great way to create a feeling of greater spaciousness. In addition, mirrors can be used excellently to diffuse more daylight in the home and create a luxurious aura. They are an excellent accessory for the dining room, living room and bedroom.

5) Option to look green, nature friendly

The main purpose of creating a green interior is to improve indoor air quality. According to Vastu Shastra, the color green is considered to invite balance and harmony in the house. To achieve this, you must use hardwood furniture as they last for years and also feel fresh. Also, avoid plastic and synthetic things at home. Instead of using synthetic carpets, use cotton carpets. Also, try to keep everything from curtains to walls, ceilings, green or blue curtains. Also, instead of placing miniature sculptures for decoration, you should choose indoor plants.

Amidst Corona virus Epidemic: Know the Impact on Financial Investment in India

The whole world is facing the COVID-19 epidemic. And, while its outbreak in China has only ended a few months, it has already affected 74,61,261 people worldwide, recording 4,19,070 deaths so far. The rapid spread of the virus has prompted people to keep their money in liquid form. Thus, instead of investing in the market, more people are selling their property. In just a few weeks, the epidemic has shaken investor confidence. Thus, the SENSEX is showing an unprecedented slowdown. In addition, the crude oil war between Saudi Arabia and Russia has led to instability in the equity and debt markets.

It is estimated that very soon, corona virus can infect two-thirds of the world's population. This scenario is going to have a negative impact on the Indian economy as well as global economic growth. Let us examine the effect of COVID-19 on most investment routes in India.

1) Sensex is below its 10-year average

The stock market is in turmoil as broader market valuations have slipped below the 10-year average. This is the worst time to sell shares as the Sensex has turned negative. The value of shares in the market has fallen by 44 percent, yet due to uncertainty people are eager to sell their shares. While some financial experts suggest that this time may be optimal for long-term investors, hype is that the market may take several years to recover. In addition, there may be a further decline of 8 to 10% over the next few years. Therefore, there is no certainty for the recovery of higher returns in the future.

As the stock market is witnessing heavy selling, this is the worst time for short-term investment. Right now, you should stay away from small and mid-cap stocks until the volatility settles.

2) Tourism and aviation are showing a sluggish business

The rapid proliferation of corona viruses has severely affected the aviation sector. Most international flights have been canceled, and even domestic carriers are showing sluggish business. Tourism is an important opportunity for income generation in India, but unfortunately, there is a panic in the tourism sector as thousands of tourists are barred from visiting India.

As a result, the hotel and restaurant industry is also showing a petty business. Also, all places of entertainment have been closed because avoiding public meetings is a preventive measure against COVID-19.

3) Gold is not so good for investment

Currently, gold prices are touching an all-time high due to the outbreak of COVID-19. Gold has been seen as a place of investment, with equity markets taking a step back from risk. Although gold is expected to benefit from the low yield scenario, it cannot be considered an interest-bearing asset. Eventually, gold prices will definitely decline after a few months.

If you are already investing in sovereign gold bonds, this is an opportune time to sell them and profit from gold price movements. But now investing in these bonds will not be beneficial.

4) Real estate shines amidst all the uncertainties

As the novel corona virus continues to spread throughout the world, the residential real estate market will feel the effects of quarantine. According to an estimate, only 15% of households in India provide at least one room per person, which is mandatory for self-quarantine. Therefore, in the next few months, there may be high demand for fully furnished homes on rent. And, property owners can take advantage of high rental demand.

As the government focused on the need for social isolation, the sale, purchase and construction of real estate will continue for the next few months. According to a survey, between the COVID-19 hit markets, there has been no change in the interests of the buyer and seller. Therefore, there will be almost no impact on the prices of assets. Although the commercial real estate market may not attract new rental interests over the next few months, there will be no drop or rise in their prices.

While each avenue of investment is showing a degree of uncertainty, real estate is the safest option at hand. Investing in stock and tourism businesses cannot be rationalized at present as these sectors are showing no signs of recovery soon. While gold prices have gone up, there is a strong possibility of a fall in prices after a few months. Therefore, if you are thinking about investing your money, then real estate is the best option as it is possible to drop its prices due to any market fluctuations or political, economic and social scenarios.

What are the rights and duties of the buyer related to RERA?

Section 19 of the Real Estate Act states that a home buyer shall:

• Accessed to obtain information related to approved plans, layout plans as well as approved by specific authority and other such information. 
• To know the phase-wise scheduling of the project including the provisions of water, sanitation, electricity and other facilities. 
• Entered to claim possession of the apartment, plot or building. 
• At such a rate one is entitled to claim a refund of the amount paid along with the interest and may be compensated in the manner provided under the Act. 
• After handing over the physical possession of the unit, it entered for necessary documents and plans, including common areas. 
• Responsible for making the necessary payments specified in the sales agreement at the appropriate time and place.
• They will also have to pay their share of registration fees, municipal taxes, water and electricity charges, maintenance fees, land rent, and other charges.
• Essentially responsible for participating in the formation of a union or society or collaborative society.
• Responsible to pay interest as stipulated. If mutually agreed upon by promoters and allottees, the interest may be reduced.
• Take possession of the unit within two months of obtaining the occupancy certificate.
• Responsible for participating in the registration of the deed.

How to file a complaint

• Registered allottees or organizations of any voluntary consumer association under any law can approach the Real Estate Regulatory Authority or Assistant Officer to lodge a complaint.
• The fees will be determined by the authority.
• The authority may direct that specific cases or issues be heard and decided by a single bench of the chairperson or any member of the authority.
• After giving a reasonable opportunity of hearing to any person, the authority shall appoint an assistant officer to conduct an inquiry in the prescribed manner.
• The application for compensation will be dealt with expeditiously by the officer concerned. The matter will have to be disposed of within 60 days from the date of receipt of the application.