Sunday, 15 July 2018
Real estate sector is one of the major sectors in India which is seen a source of employment and an income earning source for many people. We will discuss the effect of GST on various construction activities and whether the implementation of GST is beneficial to the real estate or not?The first advantage with GST is the uniformity of tax structure in all the states and the elimination of taxes such as octroi, entry tax from one state to another, excise duty etc. Other than that the service taxes and the other taxes such as VAT were different in each state which are regularized and made the same with the implementation of GST.
Another advantage with GST is the transparency and accountability in the construction. The contractor or the builder in the real estate sector is at benefit through GST as the profit margin increases for them through the reduction and similarity of tax prices.
When it comes to the consumers or buyers, there is not much change because the prices of the land or building is decided by the market value and based on the prices in a particular locality. But this scenario may change soon due to the implementation of GST on the sale of land and constructed properties.
When we see the impact of GST on the construction material, there is no much change in the prices of bricks, cement, iron etc. as there is only a marginal change due to the implementation of GST on these materials. The transportation of material used to make a lot of difference in the construction due to octroi and various other taxes which is not there now.
When we look at the impact of GST on home loans, there is no change in interest rates and stamp duty as GST is not applicable to both. The processing fee which is a onetime payment has a slight increase of 3%. The lenders whether it is banks or other financial institutions will charge for EMI default. This charge on the delay of the payment goes up by 3%. The lenders have some benefit through GST brings tax savings for the lenders.
The slab rate for the buyers while buying properties and land can be 12% which is not yet decided, but this rate can be a burden on the buyers because of this slab rate. The slab rate on the properties may vary for properties above and below 1 core. If this is implemented then buyers can get affected if the charges in properties are more.
The conclusion on whether is it beneficial to implement GST in the real estate sector is that there is no huge difference in the prices of the construction material. The builders, lenders are on the beneficial side due to the implementation of GST. There is no impact on the buyers of the land or constructed properties which may change in the future when the GST is implemented on the land or constructed properties.
Sunday, 24 June 2018
The beauty of a house increases many folds through some factors. If you want to make your house beautiful implement these factors if they are not already there to enhance the beauty of your house.
1. A pleasant garden
A garden enhances the beauty of a house whether it is in front of the house or at the backyard. The small independent houses and the apartments make it difficult to have a garden in the house. But the patios and balconies in the house, apartments can be used to arrange some plants and turn them into a small pleasant garden.
2. Flooring of the house
Flooring is one of the important factors that determine the beauty of a house. So be generous and plan for a flooring with a wide variety of marbles, tiles, wooden flooring etc. if you are building a new house. If you already own a house then renovate the flooring to enhance the beauty of your house.
The water features whether it is a small pond, a table top fountain or a cascading water fall if your house can accommodate improves the aesthetics of a house and makes it pleasant. The small houses and apartments can have a small tabletop water fountain or a decorative pot with water and some flowers in it.
4. A view
A house with a beautiful view is much more preferred than a house without a view. It may not be possible for everyone to have a view such as mountains, sea etc. But it is possible to choose an apartment that has a garden or some trees, plants in the apartment building. It is better if you choose an apartment flat has a view of the plants or garden in the apartment building. If you have an independent house or planning for one then plan in such a way that the plants or the arranged garden can be seen from the kitchen window or the bedroom windows.
5. Home Decors
Home decors whether it is a painting, a wall hanging, a small statue, a flower vase with beautiful flowers enhances the beauty of a house many folds. Decors need not be expensive and they can be bought within budget. Some him decors can be made as a DIY by a family member interested in the crafts which even more increases the beauty of the house.
Try these tips and increase the beauty of your house. If you are planning to a build a house, it is better to buy a residential plot in a gated community as they come with landscapes, trees, lawns etc. Buying a residential plot is also a good investment option or if you are planning to build a house in the future.
Thursday, 21 June 2018
Buying a property whether it is a residential plot or a house or a farmland is always the best investment option as the appreciation in real estate is higher and faster when compared to any other investment options. Before buying it is always better to check some points so that buying a property does not bring a major financial crisis.
Checklist for buying a property:
Having a separate budget based on the type of property
It is a time of celebration when it comes to buying a property but it is also a time to do a lot of thinking about the investment to be made on the property. It is very important to stick to the budget and do not get carried away by other factors such as the appreciation of the property etc. If you are taking a loan then plan in such a way that the EMI does not exceed 30 percent of the salary.
Choose the lender properly
If you are planning to buy a property through a loan then check the online websites for comparison. Here are many online websites which compare the interest rates and EMIs. This helps in procuring a loan to buy a house or residential plot at competitively lower interest rates. Choosing the lender correctly helps a lot in easier repayment of the loan.
Choose the location to buy a property
If you are planning to buy a residential plot or a house or land, then choosing the location plays an important role. Some locations have higher growth rate and appreciation when compared to some other locations. Many factors such as the proposed industrial development, upcoming IT hubs etc. May play a role in the growth of property values in a location. So keep yourself updated about the future developments and choose a location that has higher chances of development.
Check the credibility of the seller and the property
With much litigation in properties as selling a property owned by another owner, selling a Government land, selling a property by a single owner when there are multiple owners for the property, checking for the credibility of the owner and the property is really important before taking the final step if buying. Enquiring about the property in the local administration offices helps in knowing about the details of the property and who exactly does the property belong to.
Think of buying a property through the option of joint ownership
This is a decision that should be made by both the husband and wife if they decide to buy a property. Applying for a loan by both the husband and wife can help a great deal in tax deductions. And with the reduction of tax on woman's it can be profitable if you can buy a property with a joint ownership option and by applying for the loan by both wife and husband if both are earning.
Hope this checklist helps in buying a property in a safe and secure way. Happy buying everyone!
Wednesday, 30 May 2018
Amravati is the capital of newly formed Andhra Pradesh. The current Government of Andhra Pradesh is very keen on making Amravati as a smart city. The central Government has also released huge funds for the development of cities in the Andhra Pradesh.
The current State Government of Andhra Pradesh has many development plans for the new capital city. The various development plans for Amravati will indeed make the city a smart city with all the World class facilities making it a desirable place to live a comfortable life.
Transportation from one place to another plays a major role in deciding the Real Estate prices in any city. Amravati is being planned for intelligent transport system which makes transportation a much more efficient one. Power is another issue which helps in the development of any city and the efficiency in monitoring the power usage benefits both the consumers as well as the Government. The appliance level monitoring of power usage is a very efficient way to monitor the usage of power and the city of Amravati is planning to implement this.
Pollution levels are another major factor which determines the overall well being of the people living in the city. Amravati city is planning to introduce E-vehicles in the city and the charging infrastructure for the E-vehicles which make the city a pollution free city.
The new city of Amravati is planned with green parks and the interactive smart street furniture makes the city a comfortable and high end one which will make the Real Estate prices soar in the city. A city is considered well planned when the parking facilities are well planned and the city of Amravati is being designed with smart parking which will make it a well planned city.
Waste management is another factor which makes the city clean. The city of Amravati is being designed with smart municipal waste management system which makes the city a clean city. The energy resources such as the energy used for cooking are a basic amenity. People in the city can lead a comfortable life if the basic amenities are well implemented in the city. The city of Amravati is being designed with smart gas distribution network which makes it the most comfortable one for the people living in it.
The city of Amravati is being planned with integrated command control center, smart education for the students in the city, public bicycle sharing, bus rapid transit system etc. which gives the city a edge over all the other cities in the country. The pathways in the city and convenience for the people living in the city and the city of Amravati is being designed with roller-skates friendly pathways which makes it a people friendly city.
The amenities and the other facilities like tourist destinations, wellness centers and other recreational centers in Amravati make it a well planned city and a tourist destination for many others. The holistic wellness center, floating markets, ferry service across inland canals makes Amravati a desirable place for people to live a comfortable life as well as for investments.
Thursday, 24 May 2018
Buying a house is a dream-come-true for everyone. But when buying a house, it is also important to choose the right locality based on the security and other amenities. Normally, the home buyers compromise on some issue or other whether it is the landscape, pollution free environment etc.
When buying a house or constructing a house in a residential plot, we usually have no choice of neighbors and we usually can't do anything about it. Another factor which we compromise with is the greenery of locality. A residential plot or house can be of high value but the locality may not have trees.
Another factor which most of the people compromise is the pollution free environment as the plot or house may be present in a popular location and if the locality being in the city may have full of horns from vehicles or the dark smoke from them.
The other factor which is normally ignored or compromised with is the security. The house can be in a posh locality but the locality may not be secure which everyone cannot know while buying a residential plot or a house. So, is there any solution for all these issues is what the discussion is about.
Yes, there is a solution for all these issues and the solution is to buy a residential plot in a gated community or to buy a house in a gated community if they are available. The gated communities provide security, maintain landscapes, maintain trees along the roads, they are usually designed in pollution-free environments and many more.
The householders in most of the cities have to deal with the basic things like water shortage, issues with drainage, issues with electricity lines etc. But in gated communities, the basic amenities are well-taken care by providing 24-hour water supply, well designed underground drainage and electricity lines etc.
Usually, the gated communities are designed around educational institutions, popular companies etc. which makes it easy for the children and working people to either choose the educational institutions or to travel from workplace to house. Almost everyone buying a residential plot or a house in the gated community will be of equal economic level and thereby a peaceful and friendly neighborhood can be expected in a gated community.
When you are looking to buy, a house with a gym, swimming pool, community hall, recreation club etc. then buying a residential plot or house in a gated community with all these options is the best solution. And for people who believe in Vastu, residential plots designed as per Vastu are available in gated communities.
So, the aspiring home buyers or open plot buyers can choose what is the best option whether to buy a house or plot in some locality or to buy in a gated community which has all the needed amenities and facilities. It is a choice that decides the comfort, the happiness of the family and it should be made wisely by comparing the advantages of buying a residential plot somewhere and buying it in a gated community.