RIGHT TIME FOR NRIS TO INVEST IN PROPERTY

With renewed transparency and accountability in the real estate market, investing in Tricity realty could prove good value for money for NRIs. The market sentiment too is upbeat with lucrative property rates, attractive finance schemes from banks and offers and discounts from developers.

As the festive season begins, real estate developers in the Tricity region have high hopes from the Non-Resident Indian (NRI) investors to bring a boom in the market and put it back on the fast track. Their aspirations and expectations rise from the fact that most NRIs visit India around this time of the year. The realtors expect that with improving infrastructure, low property prices, cut in stamp duty by Punjab government and economic and political stability, its an ideal time for NRIs to put their money in Tricity real estate.

In earlier years, the opaque nature of the realty business, with its lack of information and no due diligence, did not inspire much confidence in the Punjabi diaspora. However, with some of the key policy changes in the past one year, like the Real Estate Regulation Act (RERA), demonetisation, the Goods and Services Tax (GST), NRIs will now be more confident in making an investment decision. Also, to simplify the purchasing processes, several rules and regulations have been amended. In addition, lenient FEMA policies and relaxation of laws by the RBI regarding property buying by NRIs, are likely to boost their participation.

"With tight regulations, greater transparency, more affordability and enhanced price stability, NRIs will find interesting investment opportunities in areas like Zirakpur and Mohali, as long as they have a long-term view and are discerning about which project to invest in," says Col Inderjit Kumar, Head, Sales and Marketing, JLPL.

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In the past also, NRIs have invested a sizeable amount in real estate, and their participation brought about strength in the market. Ramesh Sharma, a real estate agent, shares, "With almost no option within Chandigarh, Panchkula and Mohali to buy property, periphery areas surrounding Zirakpur, Patiala Road, New Chandigarh and Mohali are preferred by NRIs, especially from Punjab--who seek higher security, greener surroundings, luxurious lifestyle and proximity to educational, health and recreational set-ups. Villas, apartments and penthouses are what they eye at. Though, the market has been somewhat slow till last year, the real estate scenario is expected to take a high stride starting with the festive season."

Raman Singla, GM, SBP Group, says, "Punjabis form a major part of NRIs. With the starting of international flights from Mohali, NRIs are now keen on buying property in Chandigarh periphery as their travel would be easy. Property is at a decent pricing right now, compared to the past years. NRIs go by the brand value of the project, showing interest mostly in projects approved by the government."

Umang Jindal, Director, Homeland Heights, says, "There are several factors that make Mohali and surrounding areas an attractive hotspot for NRI buyers. Prominent amongst them is well developed infrastructure, easy access to the airport, and presence of premier health institutes and entertainment centres. Also, these areas are strategically located adjoining Chandigarh and have direct connectivity to Delhi, most areas of Punjab and even the hills of Himachal Pradesh."

NRIs are also aware that residential inventory has piled up and they are currently very well-placed to find good bargains in these markets, as most developers are offering discounts and other attractive schemes. However, once the economy begins to grow, housing demand is again going to rise and it will lead to price escalation. So, for NRIs who are waiting on the edge, this is the right time to invest. Once the primary residence is secured, with surplus funds they can also invest in rental income-generating apartments or commercial properties as well. However, they should we wary of projects by unknown developers who have no existing track record. NRIs should strictly follow a check-list of points to verify, such as the RERA registration of developer, his track record and brand visibility, the soundness of the identified location in terms of civic and social infrastructure and amenities in the project.

RESIDENTIAL PROJECTS WAGHBIL THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 - 55

 

Source: CONTENT.MAGICBRICKS.COM

THE GIST OF GST

Post GST's implementation on July 1, there have been a few apprehensions that end-consumers are currently harbouring. The quintessential question therefore is: how severely would you be affected by GST in your real estate dealings? We seek some answers...

There is a lot of confusion in the minds of the home-buyers and developers about the implementation of GST that came into effect from July 1, 2017. People are not sure whether they would be benefited by the new tax system or would have to shell out more money. We bring some clarity with regards to this.

“The real estate sector is currently burdened with indirect taxes on multiple counts such as service tax, Value Added Tax (VAT), stamp duty, registration charges, etc. People were confused and weren't aware w.r.t which taxes were going to be subsumedto be continued under the GST regime. However, with various initiatives undertaken by the government, it is now made abundantly clear that stamp duty and registration charges shall continue and Service TaxVAT would be subsumed in the GST regime and replaced with CGST + SGST (of specific state). With the increase in the indirect tax rate on construction services (read: 12 per cent), the government has issued a press release cautioning developers against resorting to extraction of additional GST on account of the increased tax rate without due regard to GST credits,“ says Amit Kumar Sarkar, partner and head indirect tax, BDO India.

BENEFITS OF GST:

The biggest game-changer under GST is the introduction of the Input Tax Credit (ITC), whereby credits of input taxes paid at each stage of production or service delivery, can be availed in the succeeding stages of value addition.Anuj Puri, chairman ANAROCK Property Consultants Pvt Ltd explains, “To ensure that manufacturers, developers and service providers pass on the benefit to the final customer, the government has included an anti-profiteering clause in the GST bill under section 171 of the GST law.This clause clearly states that it is mandatory to pass on the benefit of the tax reduction (due to the input tax credits) to the final customer.“

SOME IMPORTANT BENEFITS OF GST ARE:

It would help eliminate the cascading tax structure; It would ease compliances; It will create a uniform tax rate and structure; It would help in reducing additional tax burdens (on consumers).

GST MISCONCEPTION AND FACTS:

While there has been a lot of speculation doing the rounds when it comes to GST, Samir Jasuja, founder and CEO, PropEquity clarifies and says, “Let's clear the misconceptions one by one:

Myth 1: Property prices will rise with GST getting applicable on each construction-related material and service:

FACT: Property prices will not rise. The developers can take the input tax credits for the materials used for construction and the services paid. The government has asked the developers to pass on the benefits of the lower tax under the GST regime to the buyers as well, which in turn, will marginally reduce property prices. The government has also passed the anti-profiteering rule, which would prevent any increase in property prices.

Myth 2: EMIs on property buying will shoot up due to GST:

FACT: No, EMIs on property may remain the same or marginally reduce as the overall property price is expected to drop.

Myth 3: Resale property will also get costlier:

FACT: No, it will not get costlier. The impact of GST on resale proper ties is likely to be less.

Myth 4: No input credit will be allowed if you purchase an office.

FACT: The input tax cred it will be allowed for an office space if the purchase is made before the property gets the Completion Certificate (CC) or prior to the first occupancy.“

Shubika Bilkha, business head, Real Estate Management Institute explains, “GST has been levied on the renting of residential proper ties and an 18 per cent tax will be applicable for leasing commercial properties. Experts have clarified that the threshold limit for the applicability of GST has been increased from Rs 10 lakh to Rs 20 lakh. Hence, some of the landlords that came within the purview of the service tax regime may not be included under the tax net of GST.“

INDIA VERSUS THE REST:

Experts point out that a uniform tax structure in markets such as Indonesia, Thailand, among others, has been a catalyst to increase investments. It is important to remember that when buyers purchase properties, they focus on the value, their individual needsrequirements and potential appreciation of the asset, over taxation slabs. Bilkha shares how, “With the introduction of RERA and GST, the real estate sector is metamorphosing into a transparen nt, tightly controlled and regulated industry. All these measures will, in the long run, create stable businesses, as well as contribute towards reducing the trust deficit between the consumers and the developers.“

HOW WOULD GST BRING IN HOLISTIC GROWTH IN THE REALTY MARKET?

The reduced cost of construc tion will bring in more liquidity for the developer; The developers can take the in put tax credit for raw materials like cement and steel. This would bring down the total amount paid in taxes and avoid double taxation on the same product; Free flow of credits will further boost the margin of the develop er; GST will reduce inflated taxes and bring in more transparency and help in improving trust among the buyers.

GST PERKS FOR THE HOME-BUYERS:

Possible reduction of property prices with additional credits flowing to the developers; A variety of products would be available from other states, as the GST regime promotes inter state procurements.

2 BHK SPACIOUS APARTMENTS IN THANE Contact PRESTIGE RESIDENCY sales office to Know More @ 022 25985951 - 55

 

Source: EPAPERBETA.TIMESOFINDIA.COM

Prescon Realtors & Infrastructures Private Limited

   

201, Prestige Precinct, Near Nitin Casting, Almeida Road, Panchpakhadi

Thane West - 400601

Phone: 91-22-25985951-55

Email: prescon@prescon.in 

A guide to choosing great colours for your home

Here’s how home owners can choose the right wall colours for their homes, based on their personalities and the ambience they want to create

According to therapists, colours tend to have a psychological and physical impact on us. For example, certain colours can raise blood pressure, increase metabolism or even cause eye strain, while other colours have a healing effect and can balance energy levels.

Red

Red symbolises love, passion and courage. It is a colour that exudes warmth and draws attention. It has a great emotional impact, making it ideal for the living room.

Orange

Orange is the colour of knowledge, loyalty and generosity. It reflects a healthy social environment and revitalises the mind and body.

Yellow

If living room lacks a strong source of natural light. Use yellow, to give the room a bright look. Yellow is one of the most widely-used colours in the world and is ideal for small-sized homes in cities. It exudes warmth, inspiration and joy. Besides sunlight and spirituality, yellow is also associated with wealth, as it is the colour of gold.

Green

Green represents freshness and abundance. Its soothing quality characterises the power of nature. The colour is proven to have a therapeutic effect and is suitable for rooms that focus on wellbeing and rest.

Blue

blue represents tranquillity, comfort and serenity. It is the colour of the sky and sea and has a cooling and soothing effect in rooms. It is ideal for bathrooms, because it is associated with water. When used in bedrooms, it induces sleep by calming the mind. A shade of Mediterranean blue, helps to blur the room’s boundaries thereby, making it look bigger than its actual size.

Purple

Purple represents sensuality, passion, royalty, luxury and depth of feeling.

Pink

Pink is an emotional colour and connotes sensitivity and a caring nature. Hence, it is ideal for bedrooms, as it gives a peaceful touch and makes it look lively.

Black and white

White is associated with purity and elegance, while black is associated with negativity and power. If you are not happy with a plain white wall, then, you can opt for different shades of white. You can choose a white shade with a pink tone, blue tone or green tone. This makes the room appear bigger and vibrant. Black can be used to add contrast, to a room that has light-coloured walls.

While painting a room, do not use more than three colours for any space, including neutrals. All that is required is a little planning, to find a colour that best suits your room. After all, you want the right mood in a room, as it impacts not just your own feelings, but also that of everyone who enters it.

Tips on painting a large room

· Bright colours add a positive vibe and make the surrounding more energetic. Younger children, in particular, tend to favour bright colours like yellow, orange and red.

· Warm colours can make a large room seem cosier, while small bedrooms can be made to appear larger, with cooler shades.

· Metallic finishes, such as gold, bronze, glitter or pearl red, silver and blue, add a bold look. Non-metallic finishes, which are minimalistic, along with geometric or trendy patterns, exude elegance and give a subtle, artistic feel to a space.

· Living rooms painted in a triadic scheme (for example, using three distinctly different colours like blue, yellow and red), tend to be very vibrant and energetic and depict youthfulness and freshness.

Painting a small room? Remember this

· Yellow, pink and lavender, are ideal for small-sized bedrooms.

· Light yellows, with green and peach or pink accents, and blue and sea green shades, are light yet, bright colours. These colours are a great way to beat the summer heat, while maintaining a cosy feel.

· You can also paint one wall in a small bedroom with a darker shade, to differentiate it from the other walls in the room. The darker wall will seem to recede, creating an illusion of space.

· You can also paint the walls using stripes of alternating but similar colours. These stripes can be vertical or horizontal and three to five inches wide.

Prescon Realtors & Infrastructures Private Limited

   

201, Prestige Precinct, Near Nitin Casting, Almeida Road, Panchpakhadi

Thane West - 400601

Phone: 91-22-25985951-55

Email: prescon@prescon.in