Skip to main content

Whether Corona situation will affect the prices of real estate property? Is it right time to buy a property?


Today's our Blog is related to answering the common question running in minds of common people regarding real estate.
Whether Corona situation will affect the prices of real estate property? 
Is it right time to buy a property?
            Generally whether to invest/buy property or not is individual decision of a person depending on their goals and needs. Then too, here I will give you some Current updates which will help you to take right decision. Guys as we all know, after agriculture real estate is second most sector which contributes to the economy of our country, so the government is also taking some steps to boost the real estate industry. One of its example is reduction of Repo rates from 5.15% to 4.40% by RBI on 27th March 2020.This 0.75% reduction in repo rate which is major percentage reduction in last 20 years.This will help in reduction of home loan interest rates. I will explain this by taking simple example so that you will get exact picture of benefit. Let's assume, as repo rates reduced by 0.75%, home Loan interest rates also get reduced by same percentage. For example: you take a loan of 30 Lakh for 20 years. So your EMI Comes to Rs. 24,907 with old rate of interests and after 0.75% reduction in repo rate this EMI comes to Rs. 23,510, this means you get the benefit of Rs. 1377 per month, which is good amount.
     
        So next point is whether Property rates will come down? Actually the profit margin of builders has hampered now a days. Demonetisation, GST & RERA has somehow affected the Profit of builders. Due to lockdown situation builders are already facing the problems of raw material supply, labour shortage & many more. This affects and increases Construction cost of builders. So the general expectations of buyer that property rates will majorly come down,is somewhat difficult and then too if this happens, it may affect the construction quality & timely possession.
     
      But builders are also facing financial crisis due to lockdown situation. So many builders are giving attractive offers & those builders having need of liquidity are also selling limited flats at discounted rates, especially for those customers whose pre- loan is sanctioned or customers who are ready to make fast payment.
   
       One more thing is that due to financial crisis builders will majorly focus on completing their ongoing projects instead of new launching. But Property demand will remain same and this will create the situation of demand Same but supply somewhat less, so there are no more chances of rates reduction.

          Investors are also looking this situation as golden Opportunity for their investment and also now investors who investing in share market are preferring real estate these days because of its secured & definitely gives long term benefits.
       
         As you all know value of rupee has been decreased as compared to dollar, so real estate is good investment opportunity for NRI's.

        Also news is flashing that various foreign companies are shifting their industries from China. And for this, more preference has been is giving to India due to availability of resources and work-force.

       So after studying this entire situation, we will suggest that those having secured Jobs / business or those having extra funds can take the benefit of this opportunity,go ahead and buy/invest in real estate. Reach us to know great offers and to get best deals.

Comments

Post a Comment

Popular posts from this blog

Benefits of Repo Rate cut by RBI to Home Buyers

To maintain economy and Real Estate Sector, the  Reserve Bank of India  (RBI) governor,  Shaktikanta Das   announced rate cuts in Repo Rate to stave off a corona-virus-related recession on 27/03/2020. This might soothe the nerves of equity investors and reduce EMIs for Home Buyers . The RBI, cut the  repo rate  and reserve repo rate by 0.75 % and 0.90 %, respectively . The repo rate now stands at 4.4 per cent and reserve repo rate at 4 per cent. Here is a look at how today's rate cut will give benefit to Home Buyers Benefit  of the rate cut on Home Buyers The unexpected rate cut is likely to reduce equated monthly installments (EMIs) of borrowers, and also make it cheaper to take new loans . Here's an example of how your home loan is likely to be impacted under the new external benchmark regime.  If any Male Salaried buyer takes 30,00,000 Rs  Home Loan for tenure of  20 years, then as per current rates he has ...
Post a Comment
Read more

The Central Park By The Runwal in chinchwad

Runwal the Central Park | Project in Chinchwad Pune: Runwal Group  Established in 1978, the Runwal Group is one of Mumbai’s premier real estate developers, operating in  the residential, commercial and organised retail verticals. With a robust track record of 51 delivered projects, with about 20,000 families living happily, the Group has continuously striven to keep the customer as a focal point in the designing, planning and  construction of all its projects.  Today, the Group’s steadfast focus on quality has led it to become an industry leader and a  market-driven construction company, renowned for trust and quality, along with on-time delivery. Runwal Group'S The Central Park :  Codename New Beginnings is a residential cluster of the most thoughtfully  designed 2, 3 and 4 BHK homes in Pune. Every apartment has been  optimally planned to effectively utilise every square inch of your home. The community c...
Post a Comment
Read more

What Is The Safest Investment Today ?

With many banks failing, in the current scenario, many people feel that it may not be wise to keep hard earned money in Banks. Stock Markets and other forms of Financial Investments are also losing their valuations & hence their charm among investors off-late! So, what’s the best option in the current situation? INVEST IN REAL-ESTATE! 1. It is a 'physical asset' and the Property is accessible, 24 x 7: No sudden closure of the building gate (like Banks nowadays) 2. The property doesn't shrink in size: Physical assets cannot vanish or reduce in size - whereas, in case of Bank accounts, RBI secures only small amount of your bank balance and deposits. 3. No Limit on withdrawals: You can sell any time , and get your entire money out - yes, it may take time to sell , but eventually every property sells! 4. You will earn rental income: Put the property on Rent and earn between 2.5 - 8% rental returns. Most savvy investors are investi...
Post a Comment
Read more