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.

Plan to fight corona virus? Pay attention for house you live in

The rapid introduction of corona viruses has endangered the entire human community throughout the world. Although corona virus was first developed during 1937, a recent version of corona virus that originated from Wuhan, China is responsible for an acute respiratory syndrome that is highly fatal. Among humans, corona virus infection occurs mostly during the winter and early springs as the virus finds a precise environment to live and thrive.

The World Health Organization and many research institutes around the world are looking for an action plan to control the spread of the deadly virus. Currently, preventive measures basically focus on avoiding human-to-human transmission. In addition, there is a need to focus on the environment - water, soil, air and man-made surfaces.

Dark and dirty environments serve as a repository of pathogens. If people live in a contaminated environment, they can become infected with the virus. Therefore, to deal with virus outbreaks, it is important to live in a green building. Some of the reasons supporting this idea are:

1) Airlessness and vapor barrier in building walls

Viruses mostly live as living cells in an organism's body. But when they are not inside a host, it is present in the environment as small particles. There is scientific evidence that most pathogens live in dark, cold, dirty environments. Generally, viruses prefer low temperatures, about 4 ℃, and low humidity. Therefore, to prevent them, it is better to stay in the green building. Aeration and vapor barrier in building walls retain moisture and moisture from outside.

2) Low solar heat gain coefficient

Green buildings include a low solar heat gain coefficient that is the amount of solar radiation that enters through the glass and is released as heat inside a building. A low solar heat coefficient ensures that the environment has a moderate temperature that eliminates the growth of pathogens.

3) Open, natural environment

Most infectious diseases, including severe infectious respiratory syndrome that are caused by corona virus, are due to human-to-human contamination. Thus, it is better to live in less crowded areas. Green buildings are usually constructed in open, large spaces, probably in a suburban location, which is very good for the prevention of the disease.

4) Antimicrobial floors and walls

Green buildings have anti-microbial floors and walls that can inhibit microorganisms. There are no seams, welds, or grout lines on these surfaces where fungi and bacteria can potentially irritate and grow. Thus, green buildings promote clean and hygienic conditions.

There are many real estate developers in India who are developing green buildings. By staying in these houses, you can avoid infectious diseases to some extent. These include airtight walls and floors that can improve air quality by eliminating the entry and growth of microbes. And, there are many other benefits of living in green buildings including energy conservation and rainwater harvesting. Also, the building materials in these buildings never harm our environment or harm people in it.

How to get flat on rent for nuclear family?

Moving to a new city or changing a house within the same city is not a plain-boating task. But it becomes even more difficult when you are planning to hang out with your children. In most Indian cities, the trend for a nuclear family is becoming more popular. As most of the parents are working, they stay out for a considerable part of the day. Therefore, it is important to choose a home that provides protection and comfort to the children while they are alone at home. In this write-up, we have shared some great tips for hunting the perfect flat for your small family.

Look for a decent locality

Although it can be difficult to figure out which area would be best suited for renting a flat, but with online research, you can easily zero in on the best terrain in the new city. You have to see that your favorite place hosts excellent social infrastructure. Also, it should host a crime-free environment.

Safety is foremost

If you want your family to be safe even when you are not at home, make sure that your area hosts a crime-free environment. Also, there should be proper security provisions in the society such as security guards, CCTV cameras and alarms. In addition, make sure your apartment includes proper locks and window grills. In addition to protection from criminal intrusion, you should also watch for protection from fire.

Find sufficient space

If you have kids, your flat should comprise sufficient space. If you are opting for a fully-furnished house, then check that there is enough storage furniture to attain a clutter-free look. Also, the kitchen should have an eat-in corner so that you can help your kids in doing the homework while preparing the meal. Apart from this, make sure that there is a kids’ playground within the apartment complex where they can play.

Good neighbors

While staying in the apartment, we enjoy our privacy to the fullest. But we cannot remain isolated and have good neighbors to rely on during any emergency. When looking for a family home, your priority should be to find an apartment next to a more decent family, which includes a child of the same age group. If you are new to the city, you should prefer to live near a family friend's house.

Prevent potential Hazards

If living in an apartment is your ultimate choice, keep in mind that not all apartments are safe for children. So, properly inspect well and look for potential hazards present there. Find out if paint, cement, flooring and other components of the home are not made of low-quality hazardous elements. Also, make sure that the railing of the balconies is not low enough that the child may accidentally fall.

So, if you want to rent a flat for your small family, and then you should consider your needs first. Keeping the above tips in mind, you can easily find decent accommodation for your family. Well, the best thing about living in the current world is that you can find hundreds of property options online. But make sure that you inspect any property and neighborhood thoroughly before closing the deal.

Do you know how to negotiate your rent as Tenant

It can be difficult to find a perfect flat in any city. And, even if you find a home that suits your needs, a high rent is something that can hold you back. But most people have no idea that the rent can be reduced. After all, leasing a property is a business for the landlord. And, he / she often quote a higher price because there is a common belief that the tenant will negotiate the rent below.

In our opinion, it is worth negotiating and getting the property at the best rental price. By saving on a small percentage of rent, you can save thousands of rupees a year. This will open many opportunities for you and your family.

If this is the first time that you are negotiating a rent, you may be a little nervous about being bothered for rent. So, to help you in this endeavor, here we have shared some useful tips.

How to Negotiate Rent as a New Tenant

When you go in for a home inspection, do not give immediate satisfactory comment, even if the property is like. It is better that you take a family member with you while going for home inspection. And, instead of saying what you like about the house, try to find some defect in the property and talk to your partner about it. This will make the landlord feel that he should reduce the rent.

If you think about understanding your situation, the landlord will deduct the rent himself, it will never happen again. Therefore, you have to start a conversation. Once you start it, don't be too stiff. Let the other person feel that he or she is also winning.

Also, think about what your landlord will cost you in return for a lower rent offer. You should give him some attractive offers, how good you are as a tenant. For example, you can assure that you will keep the house clean and well. Also, you can tell him that you will pay the rent on time.

How to Negotiate Rent as an Existing Tenant

After the expiry of the 11-month lease period, the rent of the house can increase by 10 percent as discussed in the rental agreement. This can be a major reason that you are changing homes every year. But if you are not comfortable with the rental increase, it is better to discuss the issue with the landlord.

By now, you can already create the impression of being a good tenant. Therefore, the landlord will definitely want you to continue living in the house.

Before negotiating rent with your landlord, check the rent of comparable apartments in your area. If you find that other flats in your area are available at a lower price, start making a list of examples. The more data you have, the better. But if you are already paying less than the standard rate for your flat, then it may not take much luck to negotiate.

Ideally, you should negotiate before your current lease expires. Make sure your landlord doesn't understand that you ran to find a place. In addition, it is difficult to say no to someone sitting on the phone with a person, because talk to him in person.

Important- Negotiation can be difficult, especially when you have no prior experience in bargaining. Just be confident in your expectations and be realistic with your expectations. Also, maintain a polite tone and respect your landlord during the entire process.

Should know about payment of guest accommodation agreement

Paying guest accommodation is becoming a preferred option among students and young employees. Staying away from his hometown, a Paying guest provides a homey atmosphere to flourish. Students look for excellent facilities, good food, high security and many other facilities when choosing paying guest accommodation in various cities, but they often ignore the importance of signing a Paying Guest Accommodation Agreement with the landlord. By doing this, they create sufficient scope to pay huge deposits and to rent for various facilities. In addition, they may end up in a variety of landlord-tenant conflicts, with no valid way of proving their point. Before digging deeper on the importance of a paying guest housing agreement, let us understand the important difference between a paying guest and a tenant.

Paying Guest vs Tenant

As a tenant one gets a separate flat or a different part of the rented house. And, the landlord is not allowed to enter that premises, without the permission of the tenant. On the other hand, a paying guest resides within the landlord's premises and can share many common facilities with him. Now, as the paying guest is not a tenant, he / she cannot enjoy all the privileges that have been given to a tenant under the law. But the government has provided special provisions for paying guests.

The Urban Development Department has come forward to regulate the functioning of payment of guest accommodation across the state, making their registration with the designated officer mandatory. In addition to determining registration with fees, the rules also specify the number of guests who can stay at a Paying Guest. In addition, the law also makes it mandatory for a landlord to sign a paying guest agreement.

Benefits of signing a Paying GuestAgreement

Once you have selected a Paying Guest, the next thing you need to do is a Paying Guest Agreement with the landlord. It may be possible that your landlord may not be convinced about entering into a legal agreement. If this is the case, you should convince them of the benefits of signing this agreement. A well prepared Paying Guest settlement protects both the owner and the guest paying against future legal battles. It also ensures that either party does not deviate from the rules that were previously agreed upon.

The Paying Guest Agreement also serves as proof of local address for the paying guest. Also, it will provide proof of the rent you are paying to the landlord and the facilities he is obliged to provide to you.

How to sign a Paying Guest Agreement?

A paying guest agreement must be documented on stamp paper. As long as the agreement is signed on the stamp paper, it does not need to be notarized. Remember that if there is no agreement on the stamp paper, it cannot be used as a document of proof in the courts in case of disputes.

The agreement must contain the name and permanent address of both the landlord and the paying guest. It should be signed by both the parties and two witnesses.

Also, the agreement should provide detailed information about facilities, rent, security deposit and the code of conduct expected from both parties.

Since the Paying Guest Agreementis a license to live and use the premises only, it can be made for 1 year, 1 month, 6 months or any period.