Tips for NRIs to buy a new home in India

When it comes to investment avenues, NRIs are considered to be opportunists. Real estate industry is one of the profitable sectors which they mostly focus on as it offers attractive returns and there is no dearth of investment options. In terms of loan applications, NRIs find it easy to get home loans as financial institutions in most cases do not face any troubles when it comes to repayment.
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Below are two norms laid down by the Reserve Bank of India for NRIs looking forward to buying any property:

1. A financial institution approves around 80% of loan amount, while the remaining amount is borne by the NRI.
2. The NRI is required to make down payment, repay principal amount and interest from his/her Non-resident External (NRE) or Non-resident Ordinary (NRO) account in India
Income & education eligibility:

Your income and educational qualification plays an important role in determining how much amount of loan will be offered to you. You need to be at least a graduate and your income eligibility is calculated taking into account the repatriable income (income abroad) plus income in India.

Tenure of loans:

Loan tenure for NRIs is limited that is within the range of 5-15 years. However, if you wish to extend the loan repayment term then it is depends on the rules of banks, but it may be extended only is some cases.

Taxation:

Just like a resident of India is required to shell our registration and stamp duty money, similarly the rule is applicable for NRIs as well. He is entitled to avail all sorts of benefits at par with Indian residents on the interest paid for the home loan. However, the tax process becomes full of twists if the property is leased.

Document submission:

To submit documents for home loan, NRIs do not need to make their trips to India. Some banks do offer online facility for document submission. However, you would require help of a General Power of Attorney in favor of a resident Indian who would act on your behalf with the bank.

Authentication:

To authenticate a property, NRIs are required to verify property through proper mediums. You can either consult your friend or a real estate agent.

If you’re an NRI looking to buy a new home in Navi Mumbai, then get in touch with us. We are the leading property consultants in Navi Mumbai.

Frequent home buying mistakes & how to avoid them

With the real estate prices in Navi Mumbai & all over Mumbai becoming affordable post the roll-out of GST and RERA, it may urge several people to buy their dream home now. Buying a new home is a major decision, especially for first time prospects where they may make a blunder.

But don’t you want to avoid such kind of errors typically when it comes to home buying? After all, it’s your hard-earned money and you should be in charge of it. Here are a few tips to help you take back control over your home buying mistakes & how to avoid them:
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Organizing your finance:

When you’re ready to walk into a dealership, the next prep-work you need to focus is organizing your finances. You can also negotiate with an agent to get the best price for your home in Navi Mumbai. Once you have fragmented your finance, it will help to use the spare budget for clearing down payment, taxable amount and other hidden costs associated with your dream home. Turning a blind eye to additional costs is a common error which buyers make.

Real estate policies:

It is no doubt that RERA and GST are redefining the regulatory reforms of real estate in India, which has influenced the current prices of affordable properties, under construction, ready-to-move-in houses. Hence, it is a mandate for home buyers in Navi Mumbai to stay updated regarding real estate policies and how they are affecting the mortgage rates for different states.

Keep account of transactions & written proof:

Whether you’re purchasing a home for the first time or investing for a future purpose, it is good to collect a written proof of the purchase contract. In fact, it is advisable to keep account of even smallest of transactions & every vital paper work. This will save you from fraudulent activities. Make sure your agreement mentions registration, property completion date, as well as conditions in case of delay. Do a detailed paperwork study by consulting a lawyer in case you’re less knowledgeable about legal formalities.

Detailed research:

A careful and persistent effort is the key if you’re looking for a new home in Navi Mumbai. When searching for dealers, negotiate in such a way to grab the best deals. Research thoroughly on location, construction company, real estate agent, insurance and other vital things. Once you have decided to invest in a home, it is necessary that you know about the future prospects of the surroundings, and what are the upcoming developments. Seek recommendations from your friend for a professional inspection of your neighbouring area. It is a mistake if you are unaware of profits you can gain from the developments that may happen in the near future.

It is important that you have a complete control over mistakes. You can ensure to be extra cautious by following some of the steps outlined above. To get the best deals, visit Akshay Argade which is the leading real estate company in Navi Mumbai.

The New Age Buyers: How The Millennial Trends Is Redefining The Real Estate In India

Property investment is one of the most important decisions and making sure that you pay attention to every bit of the home buying process is necessary. Searching for your dream home is definitely a tumultuous ride as you come across ads that you will find on social media, newspapers, TV or for that matter on radio. Although, finding homes is still an essential phenomenon, but the parameters of purchasing a new home in Navi Mumbai have not remained the same as earlier. This is collectively due to urbanization, shifts in family structures, spending patterns & many other factors. The new age buyers are redefining the norms of moving into a new home. Related to this, a study indicates that 65% of millennials aspire to buy a property in the future without compromising on the quality of life.real esate(3)

Rental Homes:

Indian millennials consider renting out spaces as the best option rather than purchasing a new home. According to a survey carried out By the world’s largest real estate consulting group, CBRE Group Inc, indicates that 82% of Indian Millennials live with their parents and 25% of these have no intention of leaving the family home and 25% of Indian Millennials have no intention of leaving the family home.

Social Media:

Digital savviness and millennials go hand-in-hand as they are the first generation to have access to internet right from their adolescence. This generation of audience is more inclined towards technology and the Internet. Right from shopping to searching homes, Millennials are more influenced by visiting social media & other websites when they want to invest in a property.

The use online resources are not just limited to search of new homes, even when calculating mortgage costs or getting loan approvals, Millennials chose the internet medium.

More Transparency:

The generation seeks transparency when buying new homes. While researching for homes, they always prefer to do 80% of inspection themselves as they value transparency rather than risking in half-knowledge information. They believe in being 100% sure that their investment has proper returns.

Location Convenience:

When buying a new home, millennials consider choosing a location, which gives them the flexibility to be close to their workplace. In addition, this indicates that convenience is an utmost priority for the crowd as it allows them to spare time engaging in social activities at large.

The trend of home buying strategies among millennials is changing, which means real estate developers in India would have to use new marketing methods to reach new prospects. If you’re looking out for luxury properties in Navi Mumbai, visit our website.

GST: Is it a positive sign for developers and home buyers?

GST

2017 has been revolutionary for the real estate industry as there have been several regulatory changes and practices that have been implemented with the only purpose of making it an organized sector. First, it was the roll out of the Real Estate Regulatory Act (RERA), now another development that has taken place is the recent introduction of the Goods and Services Tax (GST).

GST has increased the total incidence of tax from 5.5% to 18%. Earlier, an individual had to pay different taxes, however; the scenario now has changed. The tax regime will subsume taxes like  excise tax, service and value added tax, octroi or the local body taxes. A unified tax will now be applicable on all goods and services which is segregated into three tax slabs consisting of:

CGST, SGST and IGST

The Council responsible for the new tax regime has decided four-tier tax structure for the the real estate industry – 5, 12, 18 and 28%.

How will GST will help real estate developers?

According to a few real estate developers and builders, the implementation of GST and RERA will increase the prices in the state by 5% to 6%. Developers will have to pay goods and services tax on the below list of things:

  • Services provided by goods transporters
  • Services provided by government or local authorities
  • Construction materials

Under the new regime, the construction materials will come under the 18% and 28% tax slab. According to a report released by CRISIL, the cement will be taxed at 28%, while steel will be taxed at 18%. Other inputs like paint and white goods, will come under 28% tax slab. The housing unit will taxed at 12%. This rule is applicable for real estate companies in Navi Mumbai as well as all states in India.

How will GST help home buyers?

A uniform tax means home buyers are saved from the implications of triple taxation, thus bringing down the compliance costs. Earlier, developers used to charge diverse taxes due to ambiguity of taxes to be charged. The new tax regime will bring transparency and a structured tax policy, therefore, bringing clarity among home buyers.

As only a few days have passed to the implementation of GST, for home buyers in Navi Mumbai, this will bring straightforwardness into the sector without causing any tax confusions.
For home buyers, who are searching for dream homes in Navi Mumbai or Mumbai, the roll out of GST will be beneficial as it promises to eliminate tax ambiguities.

GST and affordable housing:

Affordable housing will also be liable for tax at 12% . Let us understand this policy with an      example:

For example: A prominent builder has launched an affordable project, which offers 1BHK at Rs. 6 Lakhs and a buyer is required to pay down payment of around 10% while the remaining would be financed by the banks. Affordable housing is exempted from service tax, the builder imposes zero tax as the rate is all inclusive. It is likely that the government may come out with a clarification regarding the applicability or continuing exemption under the GST. For the affordable housing, which is basically an initiative under the Pradhanmantri Awas Yojna, the overall impact of GST will remain be neutral, but full of gains.

As stated by the Finance Minister, affordable housing will not be impacted by GST. This comes in the wake of the ‘Housing for all by 2022’, an initiative by the Union Cabinet chaired by the Prime Minister, Shri Narendra Modi.

If you’re looking for affordable homes or luxury apartments in Navi Mumbai, visit Akshay Argade. We will assist you in getting the right value for your property based on market research and our expertise.

How to determine if a property in Navi Mumbai is legally clear?

In a 2015 survey conducted by the CIDCO revealed that there are around 300 illegal buildings spread across Navi Mumbai. The government body took an action against unauthorized constructions by demolishing them as most of them were under construction. With illegal buildings getting constructed in some areas of Navi Mumbai, how would you determine the legality of a property in Navi Mumbai?inwestuje
Below are the given checklists to know if the property is legally clear:

Check agreement papers:

While buying or investing in a property in Navi Mumbai, you need to verify the original title deeds, building approval papers or occupancy certificate. In addition, a potential home buyer need to ensure all documents are legally approved, stamped and registered. If it is a resale property in Navi Mumbai, remember to check the transfer deeds and share certificate.

Encumbrance Certificate:

When it comes to buying a property in Navi Mumbai, encumbrance certificate is mandatory. The certificate is issued by the concerned Sub-Registrar, which is used in property transactions. It is basically a proof that the builder has a complete ownership of a property without any legal issue. A property dealer is mandated to submit 10-15 years of encumbrance. For buyers applying for a home loan, this certificate is compulsory when you buy or sell a property. To confirm about the encumbrance, you can ask for up to 30 years of encumbrance to be checked.

Approvals from leading banks:

Confirming legality of property in Navi Mumbai can also be judged if a particular project has got the approval from banks. If the property dealer has all the vital documents in place, which have received legal clearance from banks, then you can go ahead with the plan of buying a home.

Examine construction area:

There are times when buildings are constructed illegally, hence confirm with the builder about the sanctioned area of construction. Do a comparison between the build up area and the sanctioned area. This will help you to understand whether the property in Nani Mumbai is completely legal or not.

Registered society:

A home is the most valuable investment of your life and that’s why it is necessary to make sure that it is a registered society. Often, people who are less equipped with the knowledge of home buying procedure get tangled in real estate troubles like investing in unauthorized buildings, thus resulting loss of time and money. It is recommended to choose registered society to save yourself from the hassles of illegal constructions.

So, the next time you’re stuck to determine whether a property in Navi Mumbai is legal or not, these  are points you need to remember.

We are rera registered !

 

We are happy to inform you that we are now RERA registered. Registration no. is A51700000703

You can go to

https://maharera.mahaonline.gov.in/

click on Registration / Registered Real Estate Agents / User type “Agent’ / Division “Konkan”/ Fill in the registration no. and click ‘view’ under ‘view details” to look up our profile.

 

This year, buy your dream home in Navi Mumbai

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It is said that 2017 is the best period to invest in a new home in Navi Mumbai. Leading banks like SBI, ICICI and HDFC have lowered their interest rates on home loans. It’s not just the monetary benefit associated with property investment, even some changes in real estate regulations would work in favour of home buyers.

The recent budget 2017-18 announced the rule of infrastructure status to affordable housing, which has resulted in higher demand and pushing the sales of apartments in Navi Mumbai. Even developers felt the pinch of the new rule and constructing properties where affordable housing has a high demand.

RERA (Real Estate Regulatory Act) which came into force on 1 May 2017 will restore the confidence of consumers in the market. In fact, this new regulation will also aid to bring transparency in the construction of properties. Whatever information given by the developers regarding the amenities and facilities of the township, RERA makes it mandatory for developers to offer the same as promised. RERA commits to assure customers of timely delivery and unparalleled quality.

In addition, the upcoming taxation system called GST (Goods and Services Tax) will come into effect in July 2017. The new tax regime will replace service tax and value add tax. These regulations will have a positive impact on the real estate as a whole. In fact, by taking into account all these changes, home buyers will be encouraged to invest in a new home in Navi Mumbai. And, undoubtedly 2017 is considered as the best time to make your investments count.

If you’re still wondering whether you should invest in a new home? Then choose Navi Mumbai for your dream home. Here’s some fact to clear your confusion. In 2014 and 2015, around 16,000 units have been sold in the Mumbai Metropolitan Region (MMR). Put your worries to rest by choosing profitable locations like Kharghar, Dronagiri, Panvel, Taloja, Ulwe, among others.

It is recommended to give less preference for under-construction properties considering the delays and tumultuous nature of the real estate in India. When you’re looking for home in Navi Mumbai, opt or ready-to-move apartment which has a tax benefit on home loans, zero delivery risk and promises a good return on investment.

Navi Mumbai will continue to be a trending location due to significant infrastructure developments like the airport, metro railway and ease of transport, which makes it an attractive location among home buyers.

So, buy a new home in Navi Mumbai. If you’re looking for any kind of assistance for your ideal dream home, get in touch with us. Visit our website to get exclusive deals on properties in Navi Mumbai.