Property values stabilise due to oversupply in Thanisandra, Bangalore - Dreamz Review on Bangalore real estate

Bangalore

Thanisandra, a locality in the Northern zone of Bangalore, has lately been witnessing stable property values. According to the city-based consultants, currently, Thanisandra has an oversupply of stock and there are many units which do not have any takers. As per the data with MagicBricks.com, the capital values in Thanisandra dropped by almost 15 per cent in the Apr-Jun 2013 quarter as opposed to the consistent rise of 5, 15 and 4 per cent respectively in the Jan-Mar 2013, Oct-Dec 2012 and Jul-Sept 2012 quarters.

Several projects were launched in the beginning of 2012, as it was believed that the values would rise as the projects neared completion. Avinash Rao, regional director – South, Knight Frank Pvt Ltd, once commented in MagicBricks.com’s PropIndex that, “Thanisandra witnessed several launches in the Jul-Sep 2012 having low prices. These are expected to rise once the projects take-off.”

A part of what Rao said did happen. The prices rose in the subsequent quarters but they dropped considerably in the Apr-Jun 2013 quarter, indicating that the area could not absorb the number of units that were being produced. Supporting this, Hemand D Rawal, director of Samruddhi Realty says, “Currently, Thanisandra faces an excess supply, as there were a number of new launches, especially in the mid-income category, and this led to a drop in capital values.”

Another reason hampering the growth of property values is the proximity to other preferred residential locations such as HBR Layout, Hebbal and Nagawara. These locations also offer properties in the range of Rs 3,500 and Rs 4,000 per sq ft. Rakesh Nathan of Property Estates says, “The overall housing demand in Thanisandra gets shared between the other nearby localities. Since, these offer properties within the same range, along with a well-developed social and physical infrastructure, there is nothing special that Thanisandra offers to attract buyers.”

Source-TOI

Land Acquisition Bill may push up property prices by 30% - Dreamz Infra reviews on acquisition Bill

 Real estate developers say the passage of the Land Acquisition Bill could push up property prices by as much as 30% in projects where land is yet to be acquired.

The Bill, passed by the Lok Sabha recently, aims to provide higher compensation of four times the market value for land sold in rural areas and twice the market value for land in urban areas, among other benefits to landowners.

While developers agree that the Bill will increase transparency in land deals, they say the higher compensation to land owners could make several real estate projects unviable. While large projects of over 50 acres will become difficult to execute, even prices of smaller parcels of land that do not come under the purview of the Bill could double, they add.

"The process of acquiring land for projects will become tedious, especially in the case of large land parcels," said Lalit Kumar Jain, chairman of Confederation of Real Estate Developers Association of India.

Developers say the worst hit could be lowcost and budget housing projects. "The idea of low cost housing was to get cheap land. If land prices shoot up, so will the prices of the finished product," said Niranjan Hiranandani, chairman of Mumbaibased Hiranandani Group.

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Bill, 2012, will replace the Land Acquisition Act of 1894. It needs clearance from the Rajya Sabha and the President to become law. Besides ensuring fair compensation, the Bill says that land acquisition for public private partnership (PPP) projects will require the consent of 70% of the landowners while private projects will need the consent of 80% of the owners, conditions that will leave little room for forcible acquisition of land. The Bill also says that if the land is sold to a third party, 40% of the profits will have to be shared with the original owners.

According to the Bill, affected "families" would include farm labourers, tenants and workers who have been in the area for up to three years before the land acquisition. Such persons will have to given a job or compensation of .Rs 5 lakh, an allowance of.Rs 3,000 a month for a year, besides other allowances as part of the rehabilitation and resettlement (R&R) package.

This means that a private company acquiring land will have to first seek the consent of 80% of the land owners before approaching the government to acquire it. Once cleared, it will have to offer an R&R package, too.

One of the amendments to the Bill allows a buyer to leas land, instead of buying, as suggested by BJP leader Sushma Swaraj. "For the real estate industry, the addition of R&R component will be a big financial burden," said Sanjay Dutt, executive managing director of South Asia at Cushman & Wakefield.

The Bill has drawn protests from developers, who maintain they always ensure full consent of the seller in any land deal. "A willing buyer and a willing seller should be exempted from the Act, as in such cases there is always 100% consent and the best market price for the land is paid," said Rajeev Talwar, group executive director at DLFBSE 2.89 %.

"Going through the government compulsorily will only add to the cost and time taken and will put unnecessary burden on the buyer. The government should rather make it easier for the private sector to operate." To insulate against any increase in land price, several developers have adopted the joint development model, where landowners and developers share profits as well as risks.

For developers, the cost of land is expected to increase significantly, impacting project cost and margin.

Source:EConomictimes

UB Towers, Raj Bhavan Road flats are costliest in Bangalore - A Review By Dreamz Infra

BANGALORE: Your dream flat in Bangalore’s tony areas is set to leave a bigger hole in your bank account.

The new market-based guidance value for property registration came into effect on Monday, pushing up the land cost by 30%-50 % in 90% of Bangalore city areas to 100% in the rest.

UB Towers on Vittal Mallya Road is the most expensive property in Bangalore, followed by Raj Bhavan Road, Commercial Street and Sankey Road.

The value of the property at UB Towers has been pegged between Rs 20,150 and Rs 20,350 per sqft. And properties on the outskirts of Bangalore North taluk cost about 1% of that – Rs 250 per sqft, making them the cheapest in the current revision.
The revision is expected to increase the government’s revenue by Rs 1,500 crore, taking it closer to the Rs 6,700-crore mark in the 2013-14 financial year.

For the first time, the registration of houses and villas in the gated neighbourhoods has been included with the guidance value that ranges between Rs 500 and Rs 1,000 per sqft.

Guidance value

Revision likely to curb black money

The final values have been published with minor changes, based on feedback from citizens, said Adoni Syed Saleem , inspector-general of registration and commissioner of stamps.

An officer in registration department said: “The revision will help augment our revenue collection, and curb black money in property deals.”

N Manjunath, a realty dealer in Yelahanka, said: “The revision is expected to have a negative fallout in the initial 3-4 months and property registrations may slow down.” The revised guidance values of properties in BangaloreRural and Ramanagara districts have also been published.

What’s new?

The revision will apply to villas, apartments and gated communities. Geographical Information System was used for the first time to determine areas that have witnessed a growth in the number of apartments. Revision has been based on locations / type of construction /amenities provided etc. The lowest value per square foot is Rs. 250 and the highest Rs. 20,350 per sqft

Effect of the rise

Property values will go up by around 30-50 per cent. Low and middle income groups will be discouraged from buying property. Developers will, naturally, load the increase on the buyers.

http://timesofindia.indiatimes.com/city/bangalore/UB-Towers-Raj-Bhavan-Road-flats-are-costliest-in-Bangalore/articleshow/21793314.cms

Residential Hubs Sprout Up In The Vicinity of Outer Ring Road (ORR)

Residential Hubs

Earlier also, Bangalore has witnessed sprouting up of areas like Malleswaram, Yeshwanthpur, Mathikere and Rajajinagar into enlivened residential hubs... This rapid growth was being stimulated by the developing civic infrastructure projects like the NH4 leading to Tumkur Industrial Town and Metro Line that was under construction.

Currently, this 19.5 km long commute-way, along with 4.5 km elevated expressway, has resolved the woos of traffic congestion pouring in from the residential as well as commercial junctions connecting Tumkur, Peenya Industrial Area, also smoothening travel to north Karnataka and Mumbai, radiating to opposite directions.It is quite obvious that the realtors did not require a microscopic detailing to cite the future prospects of urban growth along this facilitated positioning. 

An increased consumer interest, inferred from footprints of 1.20 lakh commuters per day, also has helped the research by Knight Frank to conclude that the connectivity to Mumbai, as well as the availability of future industrial zones, have added to future prospects of residential growth within these areas including Jalahalli, Yeshwanthpur, Hessarghatta, Nelamangala and Jalahalli . 

Future development possibilities have also welcomed the frontiers of healthcare, entertainment and other aspects of social infrastructural developments. The advanced link with the NICE Ring Road adds to the boon.

Is Your House 100% Vastu ? Here are some ways to eradicate the Negative Energy

Vaastu Shastra

Here are some ways to ward off negative energy from your home:

Vastu Shastra is depends on the 8 directions of the earth’s magnetic field.

Most of us know that Vastu means Directions to live, but it is not! Now a day’s people in city or most educated people follow vastu system (vastu Shastra).

Even though we are born with good horoscope, our lifestyle and many other things are dependent on the House where we stay, so we are concerned about Vastu.

What's Vastu all about ?

The main Direction is EAST - the house should be east facing, it is just a logic that the morning sunshine should enter the house, and Sun's Energy has the power to cure the most of the skin diseases!

Points mentioned below looks simple or silly for many of us but practice them properly; you will find some change in your life in short time!!!!

·        Get up early in the Morning at least by 6.30 AM

·        Clean the House (sweep and mopping) don't depend on your Wife (help your wife everyday so that she will feel happy and the whole day of yours will be cheerful).

·        Open Up curtains full and clean up the mats every day.

·        Don't keep used Towel on Doors, chairs or on Sofa (It causes for Loan or loss on financial matter),

·        Keep the toilets Clean – use Phenol or Dettol.

·        Use washed Clothes everyday and never use torn clothes.

·        Play a Lite Music / mantras at home (Morning and evening) like Vishnu sahasra Nama, daily chant mantras.

·        Have food with all family members every day – most of the times, whenever possible.

·        Talk nicely with Kids and make some funny moments there.

·        Have a positive talk every day with wife/husband and with your parents too, don't just say Bye to wife and go!

·        Never keep any rooms unused (dark or with no light) for longer time.

·        Try to accommodate an Aquarium 

Advanced Methods to ward off Negative Energy:

·        Keep Salt in a Teacup in all the corners(4 per room) of the House (Change every week once) – Don't use powdered salt and use paper tea cups (Small) and fill salt 75% of the cups.

·        (When changing the salt - collect all the salt in a tumbler and pour it to toilet or bathroom (Do Not use or reuse the salt).

·        Put some posters in Hall (currency posters).

·        Don't keep Mirror in Bedrooms, If you have already cover with clothes in nights.

·        Main Door –Door mats should be RED Colored – put one at outside and one inside.

·        Put an Om symbol (or Swastik) on main door (stick a gold colored symbol).

·        When doing Puja use Bells (Big bells).

Points are many, but the most important part is to follow it studiously. we will come up with more significant Do's & Don'ts for vaastu in our further posts.

Keep following us, for more insight on the same. More detailed manuscripts can be obtained, feel free to share your comments & reviews.

The run towards a Dream home - Reality or Myth ?

Every now and then you will hear people speaking “few years back a decent 2BHK flat cost around 30lakh now the same flat would cost some were around 80+lakh or even more depending on the locality”. Now rising prices are not common to people in country like India, where prices fluctuate for every little political stunt or even depend upon demand and supply. Now this is hard to accept the fact that sometimes these prices change a lot more than expected and there is no control over it. This major fluctuation is not always as per the market, real estate scams & frauds, excessive commissions between builders and agent can also cause the price increase to the end consumer. 

Hurdles before you own your dream house:

Normal middle class people always have dreamt for a dream home, right from the state when they start earning. But these dreams don’t materialise for many, because by the time they would at least manage to get the down payments for a flat, the prices might have gone higher than the time, when they actually planned for a house & started saving. Home loans are been arranged now a days with many private and nationalised banks to help the cause. But the point still remains that, the huge price variations have made many prospects buyer to shelf their dreams.

Agents in between builders:

“Agents”- now this term is a very common term now a days, almost every sector irrespective of real estate sector has agents in between the selling party (builders) in this case & the prospect buyers.

Agents can be good or might cause a big hole in your pocket towards your dream home, because they tend to raise the price to the buyers while increasing their profits. This can be controlled apparently if builders try to acquire buyers themselves rather been more dependent on the agents.

Land scarcity & Increase in living costs (Inflation):

Increase in prices is what we are more acquainted with, which has become very much common now days. Government change or major economic reforms, depreciation in exports, and depreciating rupee value cause major drive to the increase in prices. Now the increase in prices not only affects the upward trend in constructed space, it also pushes the cost of construction materials. The price for a flat before construction would largely vary in comparison to a constructed flat. Though builders are coming up with excellent offers to reduce the price to lure buyers, but largely they fail to keep up with the promise and somewhere or the other buyers end up to be on the losing side.

Land Scarcity is another big problem in developing cities like Bangalore, where the prominent places to stay are either filled up or there is no space to initiate any further constructions. Either a buyer has to shell out, way to much of cash to buy a dream home at a place of his desires or rather he will have to compromise to a different place which could be either far from the city or could be in down suburbs.

Dreamz Infra towards Innovation and Making people dreams come true:

Dreamz infra one of the upcoming and most respected real estate company in Bangalore. Dreamz has always strived in making people’s dream come true by building breakthrough price challenging homes; Dreamz looks forward towards their customers with robust engineering, excellentdesign team to assist, timeline bound, and customer centric approach. They believe in complete value for money in what they build, dreamz have continuously evolved them-self in respect to their customers from the customers reviews, feedbacks & encouragement. There residential projects include affordable apartments to luxury flats with all modern amenities, they have always worked towards to keep the prices affordable by keeping up the quality with innovative aesthetics.

What is "A" KHATHA and "B" KHATHA - find the differences

For thousands of Bangaloreans residing in the new BBMP areas, a legitimate document that proves they own their property is a matter of utmost importance.

Interactions by Deccan Herald with a cross section of people from these areas brought this out forcefully.

Srinivasan has a property near Hosur Road which was a gift from his father. “I am nearly 40 years now and waiting for the government on its stand on khatas. How many more years should one wait?” he wonders.
The area, where his property is located, was originally under the jurisdiction of the grama panchayat, before it came under the jurisdiction of Bruhat Bangalore Mahanagara Palike (BBMP) limits. But after four years, Srinivasan still has the documents of the panchayat days.

He has heard about the ‘B’ khatha, but does not want to apply for it because of its ambiguous nature. “It would be better that I directly get the A-khata and be sure and secure about my property” he says.

There is a great deal of confusion on the Khata itself, because the “B” Khata is actually an entry in a property identification register. The “Khata” is also a misnomer, as stated by the BBMP Commissioner, Siddaiah himself. No wonder, the property owners are a worried and anxious lot.

Compounding the confusion has been the eagerness of many BBMP personnel and middlemen to cash in on the “B-Khata” craze. There are several cases of bribery by people wanting to get properties registered through these khatas. Many have fallen into this trap. The cost of a document as proof of an entry in the B-Register (which is actually not a khata) has been fixed as Rs 110, but there are many residents who have paid much more.
Take for instance Lakshmanappa, a 65-year-old who owns a property in Kengeri. He had to go through a plethora of hardships to finally get that promised document, which he still thinks is an alternative for a khatha. “I had to shell out Rs 12,000 at the BBMP office and then again Rs 4,000  at the Sub-Registrar’s office. Even after paying so much, my registration was done only after four months,” he recalls.

Lakshmanappa knows that his ‘B-khata’ does not entitle him to his property and that it is just an acknowledgement for the property tax he/she has paid to the BBMP. “Well, something is better than having nothing”, he says.

Although the BBMP officials wouldn’t admit it, the bribery is an open secret. Salim (name changed) who stays near the Old HAL Airport, having heard about the “‘B’ khatha,” wanted one for his property and tried to get a middleman to do the job. “The agent said he could do it for me for Rs 2000. He also openly admitted that most of the money was for BBMP officials,” says Salim.

In another part of the city, Bommanahalli, also a new BBMP area, a resident, Kamal owns a three-storey building. He claims that his property is registered under the City Municipal Council. But he apparently was not even aware that since the inception of the BBMP, the CMC registrations wouldn’t hold much water unless he did the necessary documentations. 

“Most of them are clueless about B-register which is generally perceived as the B-khatha,” notes Mahesh Babu, an advocate. The BBMP offices, he says, take advantage of the ignorance of people to engage in mismanagement.  “People don’t even know that they cannot avail loans from nationalised banks with this so called B-khatha nor do they know that this doesn’t certify them as legal owners of their property.”

Most people want valid documents not just to feel secure about their property but also to convince banks to sanction housing loans. Many nationalised banks now insist on the “A-khatha” issued by BBMP. “I want to desperately get a loan but want to get one only from a nationalised bank.  A genuine document would benefit not only me but also a government bank” says Srinivasan.

A-Khata, B-register or ‘B’ khatha, almost everyone prefers the BBMP to hold an interactive forum for people to clarify all their doubts. As Srinivasan puts it. “That is the least the government can do at the moment.”
Siddaiah, Commissioner, BBMP.

There is nothing called a ‘B’ khatha in the KMC Act 1976. There is only one khatha. What has come to be known as ‘B’ khatha is the ‘B’ Register

Raju , property owner and realtor 

I paid Rs 4,000 and applied for the registration of my property a long time ago. However I got my ‘B’ khatha only 15 days ago

Sudheesh, property owner, Shastri Nagar

Although I have paid the necessary charges and got my khatha registered, there are a lot of property owners in the new BBMP areas who are confused about the issue. The BBMP could hold interactive meetings for better clarity

Khatha for dummies

* A Khatha is an identification paper issued by the local civic body to recognise the ownership of a property and that makes the owner eligible to receive the civic amenities extended to him or her.
* Each City or Town municipal council and corporation issues a Khatha identifying the property owner, after verifying the title deed, the sale deed and other documents apart from measuring the extent of the site.
* Over the years, indiscriminate issual of Khathas were recorded in the City Municipal Councils and Town Municipal Councils without verifying the documents for the land.

* In 2007, those under the seven City Municipal Councils (CMC) of Bommanahalli, Dasarahalli, Krishnarajapuram, Raja Rajeshwari Nagar, Mahadevapura, Byatarayanapura, Yelahanka, one Town Municipal Council (TMC) of Kengeri and 110 villages, were brought under the fold of the Bangalore Mahanagara Palike (BMP).
* Following this expansion and creation of the Bruhat Bangalore Mahanagara Palike (BBMP), those who did not have appropriate approval from the concerned land development authority and yet to come under the ambit of the Palike were issued an acknowledgment which was in common parlance known as ‘B’ Khatha. 
* However, in reality, ‘B’ Khatha does not exist. Property identification numbers are entered into a register called as  ‘B’ register stating that the civic agency has been paid its dues by the property owners.
* For citizens in need of an approval from the appropriate land development authority but have a Deputy Commissioner (DC) conversion, the BBMP re-introduced Betterment Charges which will entail people to take a Khatha on their property.
* Recently, the Legislative Assembly approved the extension of the DC conversion for another year.
* However, owners of properties with building bye-law violations will have to wait for Akrama-Sakrama.  

It is advisable to go for properties having A Khatha as in case of B Khatha you are not entailed to have building license, trade licence or loan from banks or any other financial transactions. B Khata is a temporary measure which will allow you to buy or sell a site, but you will face problems when you go for construction.

Khatha conversion

 B Khatha can be converted in to A Khatha. Keep the below mentioned details and documents ready for converting a B Khatha to an A Khatha:

1. You should have DC converted property

2. Property tax must be paid till date

3. Betterment charges for the conversion property to be paid to BBMP

Refferences -Deccan Herald and BBMP

For all latest and updated property news and Bangalore Real estate news please visit Dreamz Infra Information Blog Sites

Know where the most of Bangalorean go for Buying a Flat - CLICK HERE

4 POINTS - BEFORE BUYING A FLAT IN BANGALORE - CLICK HERE

40% discount on all Flats in Bangalore @ Dreamz infra - CLICK HERE

For Khata-Registration/Modification-Form Click here

For Khata-Application-Acknowledgement-Form CLICK HERE

Info By Dreamz Infra Bangalore

www.dreamzinfra.com

Review on Consumer Complaints and Behavior

In legal terminology, a complaint is any formal legal document that sets out the facts and legal reasons  that the filing party or parties  believes are sufficient to support a claim against the party or parties against whom the claim is brought that entitles the plaintiff to a remedy (either money damages or injunctive relief)

A consumer complaint or customer complaint is an expression of dissatisfaction on a consumer’s behalf to a responsible party. It can also be described in a positive sense as a report from a consumer providing documentation about a problem with a product or service. In fact, some modern business consultants urge businesses to view customer complaints as a gift.

Consumer complaints are usually informal complaints directly addressed to a company or public service provider, and most consumers manage to resolve problems with products and services in this way, but it sometimes requires persistence.

There are many Help lines that have launched its web site with online complaint handling system for providing an interface between consumers and brands and would facilitate the escalation and resolution of the consumer complaints directly through the web.

This system provides a platform where consumers and companies can interact with each other virtually about different views and reviews. Complaints lodged by consumers can directly be seen by the companies and then companies can put their remarks and resolutions, which are accessible to the consumers.

If the complaint is not addressed in a way that satisfies the consumer, the consumer sometimes registers the complaint with a third party such as the Better Business Bureau and Federal Trade Commission (in the United States). These and similar organizations in other countries accept for consumer complaints and assist people with customer service issues, as do government representatives like attorneys general. Consumers however rarely file complaints in the more formal legal sense, which consists of a formal legal process.

Little different than Bangalore, In some countries (for example Australia, the United Kingdom, and many countries of the European Community), the making of consumer complaints, particularly regarding the sale of financial services, is governed by the law). The statutory authority may require companies to reply to complaints within set time limits, publish written procedures for handling customer dissatisfaction, and provide information about arbitration schemes.

The dawn of Internet forums has provided consumers with a new way to submit complaints about real estate agents, real estate agency, financial services, any product or service they have received by any given industry. Consumer news and advocacy websites regularly accept and publish complaints. Publishing complaints on highly visible websites increases the probability that the general public will become conscious of the consumer's complaint. Internet forums in common and on complaint websites have made it possible for individual consumers to hold large corporations responsible in a public forum.

For the best offers on Flats in Bangalore visit here