A Square & Osyan jointly launched “Trinity Park” at Thoraipakkam

Trinity Park is jointly promoted by A Square Properties and Osyan Property (India) Private Limited.

Trinity Park is an elegantly designed residential gated community spread across 1.82 acres. CMDA Approved. It offers 164 well planned Apartments 1 BHK (505-625 Sq.Ft), 2 BHK & 2 BHK + Study & Pent House (706-1068 Sq.Ft) with covered Car Park and all modern amenities.

It is strategically located off the IT Corridor, Rajiv Gandhi Salai (OMR), which is surrounded by prominent IT companies, Educational Institutions, Recreational Hubs, Hospitals, Shopping Malls, Supermarket and is well connected by all modes of public transport.

The basic price is about Rs. 3000/Sq.Ft and the project is expected to be completed in February 2011.

Home Loan Interest Rates for Resident Indians

NAME OF THE INSTTITUTION	January 2010
	Floating				Fixed
BANKS	5 Years	10 Years	15 Years	20 Years	5 Years	10 Years	15 Years	20 Years
Allahabad Bank	9.50	10.00	10.25	10.50	11.00	11.50	11.75	12.25
Axis Bank Ltd
Bank of Baroda	8.50	8.75	8.75	9.00	9.50	9.75	10.00
Bank of India
Bank of Rajasthan	10.00	10.25	11.00	11.50	12.50	12.75	12.00	13.50
Canara Bank	9.50	9.75	10.00	10.00	11.25	11.25	11.25	11.25
Central Bank of India	9.00	10.00	10.00	10.00	10.00
Dena Bank	9.75	10.25	10.50	10.50	11.25	11.75	11.75	11.75
ICICI Bank Ltd
Indian Bank	9.00	9.25	9.50	9.75	10.50	11.00
Indian Overseas Bank
ING Vysya Bank Ltd
Indusind Bank Ltd	11.25	11.25	11.50	11.50
Oriental Bank of Commerce	10.00	10.00	10.25	10.25	11.00	11.00	11.25	11.25
Punjab National Bank	8.75	9.00	9.25	9.25
State Bank of India	8.00	9.00	9.00	9.00	8.00	10.50	10.50	10.50
Syndicate Bank	8.50				12.00	13.00
Union Bank of India					8.50
Vijaya Bank	9.25	10.00	10.25	10.75	9.50	10.00
HOUSING FINANCE COMPANIES
Can Fin Homes	8.75	8.75	8.75	8.75	12.25	12.25	12.25	12.25
GIC Housing Finance	10.75	11.25	11.50	10.95
HDFC	9.25	9.25	9.25	9.25	14.00	14.00	14.00	14.00
HUDCO	9.50	10.00	10.00	10.00	13.75	13.75	13.75	13.75
LIC Housing Finance
PNB Housing	8.75	8.75	8.75	9.00	12.50	12.50	12.50	12.50
Sundaram BNP	8.75	8.75	8.75	8.75

Collated By G Saravankumar of Roofbird

Realty prices in metros set to ease further

Analysts say the second quarter of 2009 would see more price cuts as the market is expected to show more volatility

‘I F ONE searches hard enough it is possible to find God, but not a nice flat in Mumbai”, goes a popular saying and over the years this has come to be true not just about Mumbai, but about all the big cities in India.

However, of late, property prices have fallen in the metros in double figures, as developers are finally being forced to pull them down.

During the real estate boom in India, among all the metros, it was Mumbai, which saw the steepest appreciation in property prices. In many cases, prices rose beyond affordable limits and, to most people, buying a house seemed almost unimaginable.

However, today, despite the city witnessing a correction of some 16 to 36 per cent, the same people are expecting real estate prices to fall by another 30 per cent.

Goldman Sachs believes that property prices across Mumbai suburbs would need to fall by about 30 per cent for affordability to improve. “We believe most price cuts are in the range of 16 to 26 per cent with the exception of two or three developers, who have cut prices by more than 30 per cent. In our opinion, the move is in the right direction but the extent of price cuts may not be enough to tempt buyers,” said a recent Goldman Sachs research report.

Aniket Khanzode, a Mumbaibased merchant navy officer, sums up the ground reality.

“I have been looking for a house for quite a while. It’s not as if only builders are quoting more. I saw a 1BHK house in Goregaon, recently. This place was located far away from the metro yet the owner was demanding around Rs 35 lakh. I was willing to buy it for Rs 27-28 lakh, but the owner refused to budge,” he said. Khanzode is willing to wait for the price to drop further, something, he feels is inevitable, given today’s market scenario.

This story finds an echo in other metros. Recently, real estate major DLF led a wave of residential price correction in Bangalore, reportedly slashing rates for a project on Bannerghatta Road by 32 per cent. Since then, property rates have fallen from Rs 2,775 per sq ft to Rs 1,850 per sq ft.

Bangalore-based Sobha Developers had announced an 8 per cent reduction in prices across all its projects. Another Bangalore developer, Golden Gate Properties, is reportedly selling condominiums at its Golden Grand project at 75 per cent of the property value, with an option to pay the balance over a period of five years.

In the north, most property watchers say that prices in Gurgaon, Noida and NCR would fall further. “With builders now taking a serious look at pricing, there is sure to be marginal drop by the end of June,” said Harsha, a Gurgaon-based property broker. He added that in many areas prices have dropped as low as they were four years ago.

ICICI Bank CEO Chanda Kochar has reportedly said that a 15 to 20 per cent correction in property prices is still needed.

“Affordability has started to improve given the decline in residential property prices (down 2530 per cent from the peak) and reduction in mortgage rates. Real estate consultant Jones Lang LaSalle Meghraj (JLLM) expects the residential market to recover by mid-2010, although near-term demand is expected to be muted given a weak job market. Off-take for new launches priced at Rs 2,000 PSF levels remains one of the key data points to watch out for over the next few months. Bangalore is the most favoured micro market given the lower level of residential prices/rentals,” said Anuj Puri, country head and chairman, JLLM.

Analysts feel that the second quarter of 2009 will see more price cuts as the market will show more volatility. In turn, builders will be forced to correct their price realisations even further. ??

Courtesy : Financial Chronicle  26/02/2009

Mad sense of urgency

In 1995 , when Alacrity Sangath – Phase- 1 project was launched in Velachery , I participated in the property exhibition ‘ - Propshop -95 Dubai ‘ organised by Citibank.. I had seen many NRIs in Dubai, paying advance and subsequently with the EMD for booking an apartment in this Project. They don’t know where these project was coming?, how is the access , water logging in this area etc. In 1995, the profile of Velachery was totally different from the present day . I was wandering how these customers were making a choice, before even seeing a location, before even checking the pros and cons of the project!!(a mad sense of urgency) , Alacrity collected the bookings and promised to start the construction within two or three months and promised to deliver the project, within 18 months of the commencement. I visited, the next Propshop next year , in Dubai , this time strangely Alacrity didn’t participate, though they had a big name in the Dubai market. I realized it only later that, they didn’t start phase- 1 Sangath as promised , but they had started the booking of Phase -2 .

The customers in Dubai , who ever have booked in Sangth phase 1 wanted to know the status of the project and the status of the money what ever they have paid. To avoid questions, Alacrity didn’t participate in the exhibition. I believe the project was delayed by three years or so. Please note, In 1995 there was no mobile phones, emails and customers in Dubai can contact the Developer only through personal contacts or through LAN connection/fax .

I am seeing the same shades of that trend even now, the moment a project is announced by a developer , customers are booking the apartment , by paying an advance in a hurry without knowing the approval status of the project and before even checking with the bank, whether , they will get a Loan?(Mad sense of urgency?).

Wanted to caution the customers, Please note, “ nowadays getting a loan from the bank is not that easy as you may think, the scuritinisation process is very tough, thanks to the RBI guidelines and the Banks will use every opportunity to reject the loan applications, because of the prevailing uncertainty in the economy . So ensure that, you have got a sanction letter from the Bank before booking an apartment”. There is more possibility that, your advance money will get forfeited unless promised in writing by the developer or get struck for a long time before refund, if you are not getting a loan.

Rajesh babu