Published on March 19, 2014
MGM NEWSLETTER February - 2014 RE/MAX MGM Safal Profitaire, Block A, G5, Corporate Road, Opp. Prahladnagar Garden Road, Ahmedabad – 380 015 Phone : +91 99090 66999 Email: [email protected] HighLIGHTS »» Management Speak »» New Broker Associates »» Regional Owner in refresher Training Course »» Online Trainingdone in FEBRUARY »» MONTHLY BO MEET »» PROSPECTS’ VISIT TO REGION »» RISHTA Rotary Conference in Daman »» REALTY BITES »» 5 Things to watch out when buying an apartment »» Which city has highest office rental? »» Design your bedroom with Vaastu help. RE/MAX Mumbai Gujarat Maharashtra Management Speak: Dear Associates, We will be in the month of March when you would be reading this newsletter of February 2014. First two months of New Year seems promising for Indian Real Estate. While Indian economy showed its early signs of growth in recovery in the end of 2013, but headwinds such as threat of inflation, uncertainty in global capital flows and the upcoming 2014 general elections prevail. It is expected that 2H- FY2014 should record a growth rate of over 5.0%, which is positive in the near-term. Rising Inflation is likely to result in further increase in cost of construction. The increase in cost of finance has lead private financial institutions to switch from equity to debt funding. Through it all, residential developers pinned their hopes on the Diwali festival season, which usually brings with it a 25-30% rise in home purchases a month or so before it actually arrives. In anticipation of the coming demand, they kept their stated prices steady; instead of hard dis- counts, many smaller developers offered freebies and add-on incentives. Some centrally located projects even showed marginal increases. The ‘freebie’ strategy failed noticeably, with home purchases increasing by no more than 10-12%. By and large, the sales that did happen took place on the basis of discounts wrangled on the negotiation table. Rental and capital values are expected to grow in 2014, and yields are likely to compress further. The present cautious buyer sentiment is likely to continue until the first half of 2014. In 2H2014, post the elections, fence-sitting investors are likely to become active leading to a gradual revival in absorption. Close to 900,000 sq.m of additional retail space supply is going to hit the pipeline in 2014. Also, because of the high demand for ready-to-move-in residential properties in all major cities, there will be price increases to be seen in projects that are being delivered or are close to completion. The mid-end and affordable housing segments will record healthy appreciation in capital values in the short term from a low base. The provisions made for this segment in the recent interim budget to help the affordable housing sector have paved the way for increased activity in 2014. As you all know RE/MAX MGM is hosting 5th RRR, its yearly conference, in Ahmedabad this time, I appeal all our Broker Owners and Associates to register in maximum number and let the world know the strength of RE/MAX brand in Ahmedabd and Gujarat. In our endeavour to help our broker office and agents we keep doing several events, tie-ups and online webinars to impart constant education and updation. Wish you all a happy March ending and lets start a new financial year on a high note When new Financial year starts In April 2014. Aashil Patel Regional Director RE/MAX Mumbai Gujarat Maharashtra
RE/MAX Mumbai –Gujarat – Maharashtra RE/MAX Mumbai Gujarat Maharashtra registered 02 new agents in the month of February2014. Probably this was the first time when the number is so low. I hope all our Broker Owner will focus on Recruitment and recruit more agents this month. RE/MAX MGM congratulates all these Broker Associates for join- ing RE/MAX and wishes them all the best. RE/MAX Kunvarji Chirag Shah RE/MAX Property Clinic Jitendra Desai ONLINE TRAINING IN FEBRUARY 2014 Date Session Name by 12-Feb-14 Ideas for Lead Generation Pranav Pandya 26-Feb-14 Fall in love with ONLINE Consumers Pranav Pandya REGIONAL OWNERS’ VISIT TO DENVER AND LAS VEGAS FOR REGIONAL OWNERS’ TRAINING AND R4 CONVENTION The yearly R4 convention is being held in Las Vegas in March 2014 and Mr. Manan Choksi and Mr.Pranjal Patel are two regional owners representing RE/MAX MGM. Mr. Manan Choksi who believes in on-going Training and education, took a refresher course on Regional Owner’s Training on How to run regionssucessfully. He says. “Training at RE/MAX Head Quarter, Denver is justover ! It was a rigorous 5 day training program which started at 8:30 AM every day and taught us how to run the region. I came for a refresher after 4.5 years. Made new friends and learnt a lot. Now going to Las Vegas for the RE/MAX convention”
RE/MAX Mumbai –Gujarat – Maharashtra Monthly Broker Owner Breakfast Meet: The broker owner meet for the month of February was held in the first week of February and Mr. Manan Choksi and Mr. Aashil Patel discussed various points like aggressive recruitment of Broker Associates, Listing Drive launched by region to motivate agents to get and upload more listings, Launch of RE/MAX Corporate Services with a view to do more transactions in RE/MAX Network, RRR 5 dates were announced and Broker Owners were asked to get maximum registrations from our region. All our Broker Owners extended their helping hand for RRR 5. PROSPECTS VISIT TO RE/MAX MGM H.O. RE/MAX MGM invited few BO prospects to Ahmedabad from Rajkot, Pune and New Mumbai to its head office in Ahmedabad and they discussed about RE/MAX business model and visited successful offices in Ahmedabad and had meetings with regional owner, sales team and Franchise development manager. Overall they went back with good impression about RE/MAX and its business model. RE/MAX MGM thanks Broker Owners who spent time with these prospects. MR. C K Taneja who is now Regional Owner of Haryana came to RE/MAX MGM Ahmedabad office with Mr. Puneet Verma, Vice President of RE/MAX India and met Regional Owner and Other Brokers Owners before he signed up as Regional Owner. Mr. HaardikNayak, Broker Owner of RE/MAX Property Clinic, Navasari was event chairman of 44th District conference of R I Dist 3060 held in Daman on 7-8-9 February 2014 and he also kept big stall of RE/MAX there. RE/MAX MGM’s Franchise Development Manager participated in this conference and witnessed this broucher in the hands and pockets of over 2000 delegates. It was amazing to see RE/MAX everywhere and people asking and getting more information about RE/MAX and projects from the RE/MAX stall there. Kudos to Mr. HaardikNayak for successful event and spreading RE/MAX.
RE/MAX Mumbai –Gujarat – Maharashtra RealtyBites : Construction cost has increased by 40% in two years, while taxes have also gone up. This eliminates any scope for reducing prices.. The Indian real estate sector continues to be a favored destination for global investors. The urban population will surge in the coming years, which, coupled with growth in employment, education and health care, will push the demand for residential and commercial space. Urbanization has been rapid in the past few years, with ‘upwardly-mobile’ buyers keen to invest and reap dividends from the real estate mar- ket growth. Increasing migration to the cities will drive this demand. Also anticipate a rise in sales of housing property following the recent stock market rally and a slew of optimistic RBI rules to allow foreign banks into the country’s protected banking ecosystem. Steady housing demand will be a big constant for the Indian economy this year, and the industry will focus on meeting this demand. Read More :http://businesstoday.intoday.in/story/expert-outlook-on-prices-in-real-estate-sector-in-2014/1/201881.html Global investment in realty sector to reach $45 trillion by 2020 Driven by rapid urbanisation and demographic changes, especially in emerging markets, global investment in the real estate sector is likely to increase 55 per cent to $45.3 trillion by 2020 from $29 trillion in 2012, according to PwC. PwC in a report ‘Real Estate 2020: Building the Future’ said that the investment in developing Asia-Pacific countries, which includes India, is likely to rise by 140 per cent to $10.2 trillion by 2020 from $4.3 trillion in 2012. Read More : http://economictimes.indiatimes.com/markets/real-estate/realty-trends/global-investment-in-realty-sector-to-reach-45-tril- lion-by-2020/articleshow/31114504.cms Tata Housing to invest Rs 1,200 cr in retirement homes Tata Housing will invest Rs 1,200 crore over the next five years on developing 13 housing projects for senior citizens. Tata Housing - a subsidiary of Tata Sons - has already launched the first project ‘Riva Residences’ in Bangalore and will now expand pres- ence in the senior living segment by taking the concept to eight more cities. There are 98 mil- lion people of 60 years and more in India and this number is going to double by 2030. Read More :http://economictimes.indiatimes. com/markets/real-estate/news/ tata-housing-to-invest-rs-1200-cr- in-retirement-homes/article- show/31339595.cms Which city has highest office rent- al? Office rentals may have seen a huge shakeup in the recent past. But New Delhi continues to rank among top 10 cities with highest rentals. On top of the heap is London.
RE/MAX Mumbai –Gujarat – Maharashtra What does RE/MAX do? It’s a complicated question, but it ultimately comes down to guiding buyers and sellers toward their greatest accomplishments. It’s happen- ing every day, all over the world. See below link. http://www.youtube.com/watch?v=8_6COozINbo&feature=youtu.be 5 Things to watch out when buying an apartment Builders and developers use various tactics to market their properties. The lack of regulation from the Government allows builders to use various methods to promote expensive projects and hide inflated prices. Here are some of the things that you should watch out for when buying an apartment. Watch out and be wary of pre-launches Promoters and builders use the pretext of pre-launch to raise capital even before getting necessary approvals. There are instances when builders launch projects even before buying the land. There is no legal protection for a consumer who purchases such pre-launch projects. Most buyers find that their initial plan and allotment change significantly when the project is launched with due approvals. There are certain instances when the project is not launched and the buyer’s capital is locked at meager interest. Look at the carpet area Most builders use the super built up area to promote their project cost. The cost could be accurately analyzed if the price is quoted against the carpet area. Carpet area is the actual livable area and is often considered to be a good measure to evaluate accurate pricing. It is not difficult to calculate the carpet area but it is often not disclosed by the builder. The price per sq. ft. could be much higher if carpet area
RE/MAX Mumbai –Gujarat – Maharashtra is used for the calculation. A consumer can find the carpet area and then evaluate the price per sq. ft. using this carpet area to arrive at a price. The services and amenities offered could be priced on top of this price to evaluate different projects. Pricing using carpet area helps a consumer understand the price for usable and non-usable area. If the price for non-usable area is very high, the amenities need to be evaluated for the additional price. If project A and project B are priced at Rs. 15,000 per sq. ft and Rs. 20,000 per sq. ft. (computed using carpet area) respectively, and both offer similar amenities and have similar quality of construction, it is very easy to eliminate project B if carpet area is used for the pricing. Watch out for Preferred Location Charges (PLC) The most common PLC are view and floor. In some cities, it is common to charge additional price for certain directions (such as east, north, south, west). Marketing tricks are used to tap the sentiments and preferences of consumers. It is a common practice by builders to publish prices for the most un-preferred flats and raise the price for providing basic necessities such as proximity to windows, cross ventilation, etc. It is vital to look closely at the plan and price before deciding a flat. If the buyer changes the preference, he/she may be in for a surprise due to PLC added to the new preference. Watch out for Delays Builders often don’t meet the expected deadlines for projects and collect a significant portion of the total cost during the initial phase of the building. If the buyer delays payment of installments, the buyer is charged with significant penalty while if developers delay the completion, they end up paying a very modest compensation. The buyer has to spend significant time in analyzing the builder’s agreement to ensure a two sided and even approach, and avoid builders with one sided approach. District Consumer forums are effective if the value of litigation is below Rs. 20 lakhs and could help a buyer resolve issues much quicker. There are certain instances where there are significant delays in reaching a judgement in these forums too. Looking at the judgement section can help understand common issues faced by buyers. Ask for approval letters Buyers prefer to have the legal documents verified before the installments are paid. Most builders significantly delay the release of these legal documents and put the buyers under emotional distress. Since the installments are due on specific date or linked to the construction, it is often difficult to withhold the payment for want of documents. It might be useful to tie the documents and payment together as a clause in the agreement, if the developer is willing to include it. Buyers who are risk averse could look for alternatives if such a clause is not included. Design your bedroom with Vaastu help. Most of us are unaware of the influence of our surroundings on us. People are unaware of the fact that the positioning of rooms in their house plays a major role in relationship. Often we know that there is disharmony, stress, discontent and arguments, but how many of us realize that the underlying cause can come from our environment! VaastuShastra plays a major role in the placement and designing of the master bedroom. The way one sleeps with their head in the different direction and the placement of the bed is a major decision one must take very carefully. Following are few points one should always consider to improve their love life: • The master bedroom should always be located in the South- western part of the house • There should never be a worship place within the bedroom • The bed should be kept at least 4” away from the walls • The shape of the bed should be regular and any irregular shape should be avoided • The bed should never come exactly in front of the bedroom door. • All the electronic gadgets should be placed at a distance from the bed as the Electro- magnetic waves emitted by them inter- feres with the sleep • Never keep exposed mirror in the room and especially in front of the bed • Avoid dead dried / artificial flowers in the bedroom • Use single mattress on the double bed • Oil the doors to prevent creaking noise • Avoid any kind of clutter in the bedroom • If you place any artifacts / pillows, make sure it is in pair.
RE/MAX Mumbai –Gujarat – Maharashtra Mr. MANAN CHOKSI RECEIVING AWARD FROM MAYOR OF AHMEDABAD FOR HIS ROLE IN IMPROVING THE PLIGHT OF MUNICIPAL SCHOOLS Read More :https://www.facebook.com/photo.php?fbid=10153854397890713&set=a.337503570712.342535.33749 4275712&type=1&theater
RE/MAX Mumbai –Gujarat – Maharashtra RE/MAX PROPERTY CLINIC, NAVASARI’s stall at Rotary District confer- RE/MAX MGM Safal Profitaire, Block A, G5, Corportate Road, Opp. Prahladnagar Garden Road, Ahmedabad – 380 015 Phone : +91 99090 66999 Email: [email protected] NOBODY IN THE WORLD SELLS MORE REAL ESTATE THAN RE/MAX