The rate at which economy is growing our urban centers shall add at least 100 million people by year 2020 merely on the account of urbanization. To provide housing to so many people India needs to invest a trillion dollars over the next 10 years. This is equivalent to 80 times our education budget allocation for year 2011-12.
Browsing: Consumer Connect
It has been a difficult market to be in as a developer. Rising interest rates have impacted the customer interest in new properties moderating the flow of new funds and in addition to that high inflation and rising commodity prices have increased substantially the delivery cost for existing projects.
The Confederation of Real Estate Developers’ Association of India (CREDAI) has put house buyers’ grievance redressal mechanism on the fast track by introducing an e-based redressal system.
The Indian real estate sector has grown rapidly over the last few years, with its stakeholder profile evolving from locally-focused, privately-owned enterprises to increasingly corporatized, professional organizations funded with public capital and having multiple market and product strategies.
‘Haveli’ properties, of which many exist in India (especially in Rajasthan, Delhi and Gujarat) are private residences dating back to historic times that are no longer in active use.
The only constant is change. This has been an axiomatic truth for the Indian real estate market over the last 24 months, with volatility having become a byword to describe it.
The only constant is change. This has been an axiomatic…
As mentioned in the previous part of the series, your calculator won’t help here.
Cashflow, in turn, will allow to calculate the property’s expected rate of return.
The only reason you care about cap rate is that you’re really trying for an easy proxy for what kind of cash flow the investment is going to generate.