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Essential Vasthu Tips Part 2 : Vasthu for the Kitchen

2009-11-07T17:12:00.005+05:30

This is the second in a series of short blog posts on how to incorporate easy Vasthu tips for your home and office. Don't forget to subscribe to our blog to receive more useful tips regularly in your mailbox!

The Kitchen

The Kitchen is a place where you cook your everyday food. You must have to consider several factors, while constructing your house kitchen. You must be very considerable in placing the sink, location of the gas, refrigerator, gas cylinder, and more.

Essential Vastu tips for your house kitchen room:
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The right place to set your kitchen is in the south-west corner. If you never find an apt position, then you can avail the alternative of locating it in the north-west corner.
Building kitchen in North-east, mid-west, mid-north, mid-south, south-west or in the centre is strictly not recommended, as they are out of Vastu norms.
Ensure that the cooking area never touches the sidewall of northern or eastern side.
The right location to cook food is by setting it on the direction of east.
Remember that taps and sinks should not be very close to the cooking range. Fire and water repel against each other.
It's best to have the kitchen sink in the northeast direction. If there is a dishwasher in the kitchen, place it in the northwest side of the kitchen. The other water elements like drinking water should be placed in the northeast.
Different electrical appliances also have to be kept at a right place in the kitchen, according to Vastu shastra. For example, if the refrigerator is placed inside the kitchen, then keep it in the southwest direction. Exhaust fans in the kitchen should always be fitted on the eastern walls in the southeast corner. Other electrical appliances, like microwave, should be put in the southeast corner.
While constructing the kitchen, make adequate provision for cross ventilation. The big windows of the kitchen should be in the east direction, while the smaller ones should be towards the south.
There should be no toilets adjoining, above or below the kitchen.

Essential Vasthu Tips Part 1 : Vasthu for the Bedroom

2009-10-31T11:35:00.007+05:30

This is the first in a series of short blog posts on how to incorporate easy Vasthu tips for your home and office. Don't forget to subscribe to our blog to receive many more useful tips regularly in your mailbox!

The Bed Room

The Bed room is a place where you wind up all your worries and tensions and thereby stay relaxed with pleasant memories. So, it is really essential to design your bedroom with great care sticking very close to Vastu principles.

The direction, which you face while sleeping will badly affect your physical workout in your everyday activity. If you have constructed your bedroom with the inappropriate structure that stands out of Vastu principles, it will badly disturb your sleep and make you restless. Moreover, you may often get clashes and misunderstandings with your better-half. Along with this, you might experience everlasting health troubles.

Some Essential Vastu tips for your house bedroom:
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The right direction to set your master bedroom is on south-west.
Ensure to place your heads positioning towards the direction of South corner. Placing heads towards North is not recommended, as it will badly disturb your sleep.
Don’t place your bedroom mirror on the wall opposite your bed, as it disturbs sleep. At such a position, the mirror reflects your image and holds back your stress, rather than allowing you to throw it off.
Constructing your bedroom with the shape of rectangle or square is highly recommended, as it bestows peace and good fortune.
Avoid placing divine idols in the bedroom. The best place for them is your pooja room.

We hope you enjoyed these handy tips to make your bedroom a better place to sleep and invite peace and prosperity into your lives. Watch out next week for the second part of this article series - Essential Vasthu Tips Part 2 : Vasthu for the Kitchen! Subscribe to our blog posts now on the right side of this page!

Rakindo signs deal with Appaswamy for projects

2009-10-04T19:44:00.000+05:30

Rakindo Group has struck a deal with India's Appaswamy Real Estate to jointly develop large-sized residential projects in key locations of Kotturpuram and Pallikarnai in the Indian city of Chennai, according to a media report.

The projects, on 2.72 million sqft of land, are estimated to have a sale value of Rs2.5 billion (Dh193 million), the Economic Times reported.

Rakindo Group is a joint venture between Rakeen, a joint stock company promoted by the Government of Ras Al Khaimah, and the Trimex Group of India.

The company has been designing and developing properties and resorts in the Middle East, China, India and Europe.

Rakindo Group is making its debut in India with its $1.5 billion (Dh5.5bn) integrated township project in Coimbatore. Construction activity has been on for a while now.

According to a senior Rakindo official, integrated townships are its forte.

But as development in central business districts is not its core competence, the group decided to partner with Appaswamy Real Estate, its Managing Director Prasad Koneru told the paper.

Both the properties were purchased recently after long drawn negotiations but it is gleaned from the market that the deal between Appaswamy Real Estate and Rakindo Group was struck in August.

When contacted, Appaswamy Chief Operating Officer TSS Krishnan confirmed that the deal was concluded about a month ago. Two special purpose vehicles would be floated to execute the projects, Krishnan added.

5 important facts on home loan tax benefits in India

2009-09-13T16:38:00.000+05:30

Buying a home is one of the major decisions of one’s life and almost everybody who takes a home loan has to go to a bank or financial institution to get his home financed. The money involved in a home loan is often a very big sum. Government of India has given some tax benefits on home loans in India to decrease the burden of buying a home in India. Here are 5 important facts about these tax benefits.

1. Both interest and principal components of home loan attract tax benefits.Persons who have taken a loan to buy a home or for construction can claim these deductions under the section 24(b) of the Income Tax Act.

2. The deduction on interest component on home loan is available up to Rs.1.5 lakhs if the loan was taken on or after April 1, 1999 to buy or build a property. The purchase or construction should be completed within three years from the end of the financial year in which the loan was taken. In addition to it a certification from the lending banks is needed to certify that interest is payable against the loan advanced to buy or construct a house.

3. These deductions are only available if you continue to make payments. If a borrower fails to make EMI payments on time, he cannot claim tax benefits on the amount supposed to have been paid.

4. If a person buys a house and sells it within the same year or before three years, he is liable to pay short term capital gains tax. But,if the sale had taken place after three years, he is liable to pay long term capital gains tax. Long-term capital gains are exempt from tax if the profit amounts are invested in capital gains tax-saving bonds as detailed under Section 54.

5. Only a person who has taken a home loan can claim tax deductions. If there are co-borrowers of the home loan , the deduction they can claim is limited to the extent to the part of the loan they repay.

Tips to apply for an NRI Home Loan

2009-09-06T19:16:00.002+05:30

Buying a house or property in

India

is relatively simple for an NRI /PIO. Any Indian who has been living abroad for employment, conducting business or pursuing a vocation is eligible for a NRI Housing loan! Personnel deputed abroad on short term or long term assignments with foreign governments or international agencies are also eligible for these loans.

Housing loans are offered to NRIs by leading financial institutions and commercial banks in India like Citibank, ABN AMRO, and SBI, to name just a few.

As an NRI you can opt for the government supported ‘Griha Shobha’ scheme as well. Remember that an NRI can avail of a loan of up to Rs.1 crore or an amount of up to 85% of the cost of the property. The rate of interest varies from 11.25% to 14.25% per annum (rates subject to change). Almost all banks and financial institutions charge a processing fee, which is payable once and will amount to approximately 1% to 2% of the loan amount applied for.

The eligibility of the amount of loan disbursed will depend upon the individual’s repayment capacity. The calculation of repayment capacity is made based on factors such as monthly and annual income, source of income, savings and credit history, work experience, age, qualifications, number of dependents, other sources of income including spouse’s income, and assets and liabilities. Further, the probability of the individual continuing in the same occupation or his /her interest in alternate employment prospects when he/she comes back to India is assessed.

The typical duration for repayment of the loan is three to ten years. The repayments are usually made in Equated Monthly Installments (EMIs), which are a combination of the principal and interest amounts. EMIs get deducted from the month following the month in which the loan gets disbursed and can be made through post-dated checks from the NRE/NRNR account held by the NRI in India. The list of documents needed to process this application is a long one.

Property and related documents:

* All receipts for payments made by individual towards purchasing the house
* Copies of approved drawings of the property, including extensions
* Copies of Agreement for Sale and sale deed
* Document containing detailed cost estimates from the architect/engineer for the house
* Allotment letter issued by the association of apartment owners

Employment and related documents:

* Copy of the work permit
* Copies of the Visa stamped on the passport
* Copy of the existing/current employment contract
* Latest wage slip/ salary certificate or statement
* Copy of the Identity card issued by current employers
* Overseas bank account statement (four months)
* Copy of the Continuous Discharge Certificate (if applicable)

Have you applied for a Home Loan in India yet? Have you encountered any problems or has it been a breeze? Share your experiences with other NRIs through this blog. :)

Documents required for NRIs buying a Home in India

2009-09-06T18:58:00.001+05:30

For all you NRIs that are looking to buy a home or a flat in a fancy apartment complex or any other type of real estate in India, here are the documents that you would need.

Identity

You can establish your identity through copies of passports, birth/school leaving certificates, driver’s license or organizational identity/labor cards. You may have to provide a certificate of your educational qualifications too.

Proof of residence

Copies of a valid resident visa stamped on your passport, utility bills or insurance premium receipts can provide proof of residence. You will need your employer to certify your designation, length of employment, passport number and salary slip, along with a copy of your latest work permit. You will also need three years’ tax returns and copies of bank statements for the past four months.

Self employed

If self employed, you have to provide a brief introduction to your business or profession and copies of trade licenses/certificate of incorporation, copies of balance sheets, profit and loss statements for the past three years and details of current and savings accounts for the past six months.

Proposed buy

The details of your proposed buy are required. These are the builder’s allotment letter, cash receipts, construction plans, cost, approved drawing and agreement of sale/sale deed.

Have the deed inspected thoroughly to prevent fraud. Take out homeowner’s insurance in advance. In addition, a lender’s coverage insurance may be required. Get a completion certificate from the seller as it tells you that your home conforms to local laws.

Additionally, details of assets and liabilities are required from all applicants. Finally, you may need to show your PIO card, Power of Attorney to a local representative, guarantor forms along with net worth and Continuous Discharge certificate.

The paper is as important as the home itself! Don’t let this get you down; the thing to remember is that when the home is finally yours, it will have been worth the effort.

Finding the right home is exciting. Though the process of buying a home can cause heartache, it is most important that you get the paperwork right.

Beginner's Guide to Real Estate Investing 101

2009-08-23T14:29:00.003+05:30

Real estate investing involves purchasing, owning, managing, and renting/sale of real estate for profit. Real estate is very cash flow dependent and capital intensive. Without proper knowledge of this, investment can become risky. Most investment failures happen because of the investor going into negative cash flow for a period of time that cannot be sustained.

Individual properties are unique to themselves and not directly interchangeable, which presents a challenge when trying to evaluate prices and find investment opportunities. Because of this, finding properties to invest in may involve a substantial amount of work and competition among individual investors. Real estate investors use a number of different appraisal techniques to determine the value of properties before purchase. Sources of investment property include: market listings, real estate agents, private sales, wholesale, and public auctions.

Real estate assets are typically very expensive in comparison to other investment instruments such as stocks or bonds. It is very uncommon for an investor to pay the entire amount of the purchase price in cash. Usually, a large portion of the purchase price will be financed using some kind of financial instrument, like a mortgage loan, using the property itself as collateral. The amount financed by the investor's own capital is called equity. Lenders usually have minimum equity requirements for investments they are financing, most often 20% of appraised value.

Equity build-up is the increase in the investor's equity ratio as the portion of debt service payments devoted to principal over time. Equity build-up counts as a positive cash flow from the asset where the debt service payment is made out of income from the property, rather than from independent income sources. Capital appreciation is the increase in market value of the asset over time, realized as a cash flow when the property is sold. Capital appreciation can be very unpredictable unless it is part of a development and improvement strategy. Purchase of a property for which the majority of the projected cash flows are expected from capital appreciation rather than other sources is considered speculation rather than investment.

Some individuals and companies are engaged in the business of purchasing properties at foreclosure sales, this is known as foreclosure investment. According to the legal foreclosure stages when the process is completed, the lender may sell the property and keep the proceeds to satisfy its mortgage and any legal costs. The foreclosing bank has the right to continue to honor the client's lease, but customary as a rule the bank wants the property vacant, in order to sell it more easily. Thus distressed assets are considered by some to be worthwhile investments because the bank or mortgage company is not motivated to sell the property for more than is pledged against it.

11 Tips to Sell Your Home Faster

2009-08-23T14:24:00.003+05:30

So....you are thinking of putting your house on the market - before you decide to list your house you should be aware of some pertinent factors that will determine how long your house stays on the market and more important, how much you will get for your house. When selling there are two factors over which you have no control - your present location and the state of the market; you do however have control over the condition that your house is in; the asking price and that it is effectively staged. You should also be aware that 87% of savvy buyers drive by a property before they make an appointment to view. Here are 11 tips to help you get a faster sale:-

1. Curb appeal - The first impression every buyer gets of your house is from the outside, meaning its curb appeal or lack thereof. If the look of your house from the outside is not appealing, most buyers will drive on by. It is therefore imperative to make a good first impression.

2. Clean, Sparkling Clean - Your entire house from the curb to the back yard and everything in-between should sparkle and smell fresh. Do not try to disguise or mask odors by using heavy air fresheners; remember there are many people who have allergies, also strong scents will have buyers wondering why you need to use such a strong deodorizer.

3. Curtains/Drapes - These should be in good repair, no rips, tears or stains, and the style should not date your house.

4. De-clutter - Take stock of your entire house, from the curb to the back yard; pack away all the items that clutter your house. This is a difficult task as you have collected many pieces that you find special and have grown to love. Clutter makes people uncomfortable, so pack away all excess stuff.

5. De Personalize - Buyers are distracted by too many personal items, such as family photos, trophies, awards or wall hangings; these items give a message that you don't want to give to the buyer - they say - someone lives here - and this makes it difficult for most buyers to feel comfortable in your space, so pack away all your personal items.

6. Dust, Sweep & Vacuum - Every item, shelf, ledge, cupboard and mantel piece, check the corners of your rooms and ceilings for cob-webs. Dust bunnies, pet hair or droppings must be non-existent.

7. Front Doors - Your front door is a part of the curb appeal, so include that with your sprucing, make sure there are no cobwebs and that the mat and letter box are in good condition.

8. Flowers & Flower pots - It is better to have nothing rather than have dried up or dead flowers in a pot. All Shrubs, plants and trees should be pruned and tidy. Dried flowers should be clear of dust and live flowers should be fully alive.

9. Furniture - Should represent or identify the rooms they are in - too much is a bad as too little, you need to have a good balance. All pieces should be in good repair and strategically placed.

10. Garages are for cars - Rent storage space; or use space from your family or friends to keep all the stuff you have boxed. Yes, buyers do want to see the garage space, and it should be as clean, neat and tidy as the remainder of the house.

11. Windows - like the rest of the house should be sparkling clean, giving clear views of the scenery (if the scenery is not of the best, then close the curtain, but be sure that the buyer will want to see though the window). All windows should be in good working condition.

We hope you enjoyed this article. Many more useful tips coming soon...

Chennai Real Estate - Finding a Great Deal in Today's Market

2009-08-23T14:10:00.001+05:30

If you're looking for a great real estate deal, either residential or commercial, there is no better time than now to start shopping. Realtors and sellers are eager to make deals and unload property quickly, which means that you'll get a better value for your money. Now is the time to take advantage of the sluggish seller's market and snap up some choice real estate.
Although you'll have plenty of options when selecting a property, there are a few important things you should consider to help you narrow down your decision. Follow these basic tips to ensure that you get the best deal possible.
1. Appreciation
Whether you're planning on a quick turnaround sale or passing down your new home through the generations, you'll want to consider the potential appreciation of the real estate. Restoring and reselling homes is considerably more difficult in the current market, but holding on to a property for ten to twenty years can become a sound investment.
You can gauge future value by choosing a prime location and doing some research into future price trends in the surrounding area. This will help you determine whether it will give you a good return on investment.
2. Property Condition
Many homebuyers prefer move-in ready property. While this is often hassle-free, it doesn't always make the best deal. Real estate that requires some elbow grease can mean greater value and profit in the long-term, if you're prepared to do the work and have some experience.
Houses that require extensive renovations can often be negotiated for much lower prices. In ideal situations, the buyer can then restore the property for less than they saved, which means instant profit and a future higher selling rate.
If you don't have the time, ability, or experience to renovate, it might behoove you to choose real estate that is already in good condition. Even highly skilled home renovators can lose money on projects that require work.
3. Inspection
One of the most important steps in buying real estate is the inspection. Having a thorough inspection can prevent you from making a huge mistake.
If there are problems found, even minor ones, it can give you some leverage for further negotiations, especially if the seller is highly motivated. Always use property inspections to your advantage in getting the best price.
4. Cash Flow
If you're buying a property to rent out to other tenants, you'll have to take into consideration your monthly income compared to your own mortgage. A more expensive property does not necessarily mean greater profit.
You'll have to evaluate the local market and the kind of demand you foresee for the kind of real estate you're offering. You also must take into account maintenance fees and permits if you're buying commercial property.

Great deals aren't found as much as they are created. If you're not a real estate mogul or are making your first home purchase, it's a wise decision to employ the assistance of a realtor. They can help you negotiate and offer expert advice on what to take a second look at and what to avoid.

Buying a Home - 8 Steps That Make the Process Easy

2009-05-31T22:36:00.002+05:30

There are thousands of different opinions out there on what you need to do to purchase a home right. The Real estate process can be simple if you put it into 8 distinct steps. If you break it down into smaller parts you can really make the transaction process faster and more fun for you and your family.

Step one: Hire a real estate professional.
This is a very important first step that most people forget or wait until later in the process to take care of, but doing so can be a very poor choice on your part.

Step two: Shop for a mortgage
The difference between five and half percent and 6% over 30 years is very significant. This can cost you greatly over the term of your loan so make sure that you shop around before you commit. A great resource for this would be online searches, and recommendations from friends and family.

Step three: Get Pre-qualified for your loan
You'll make sure that you get this done earlier in the process than later. This will tell you how much you can afford and what house is you're going to be looking at. This will set the tone for you to visit properties.

Step four: Tour properties
Make sure you sit down with your agent before you start this step to make sure that you're not wasting time looking at homes that don't match what you're looking for. This can save you weeks, months, and even in some severe cases, years.

Step five: Understand the market
Understand the market .Talk to your agent to see what is popular in the area when it comes to floor plan, bedrooms, bathrooms, lot size, subdivisions, and amenities. This might not seem so important when you're purchasing, though but when you go to resell your property you're going to wish you had thought of these things upfront.

Step six: Rate the houses in order
By the time you've seen your tenth home, you should have a pretty good idea of what you're looking for and you probably have found one or two homes that interest you if you have completed step number four correctly. Make sure that when you're on your tour, you make notes on the properties that interest you and mark down the good things and bad things about the home. This is very important to keep them straight later on, when you are deciding whether to make an offer not.

Step seven: Get your home inspection
After you have an accepted offer on the property, you want to make sure that you did a home inspection whether the home is brand new or 40 years old. Even with a brand-new home you need to find things that you are going to want repaired or at least notified about. This is going to cost you money but is well worth the peace of mind and the avoidance of many problems that can come from skipping the step.

Step eight: Close the property
This is a very important step of course, but it is one step that most buyers don't think about until it comes up on them at the last minute. Being prepared for closing is very important because if you're not, the perfect house of yours can be gone in an instant. If you're one day late for closing, don't have your paperwork in order, miss a signature, where lenders are late with your closing documents, it gives the seller your way out of the transaction if they want. Usually the seller may want to cancel the transaction as they have a better or higher offer waiting,and your dream home can become somebody else's overnight. This is where your agent comes in to play more than any other time during your home search.

Purchasing real estate can be easy, but usually isn't. Just about every transaction has a kink or two in it that have to be worked out before the property can close. Keep this in mind and do not get frustrated when something does come up. Plan for it, and take care of it when it comes up. If you follow these eight steps, you're bound to have a higher success rate then you would if you didn't have a plan at all. So use this as a guide and make sure that you buy right when you purchase your property.

Real Estate Investment in a Cold Market

2009-05-31T22:24:00.006+05:30

Real estate investment has become a hot topic over the last decade or so. Here are some facts to get you started on this lucrative option:

You're not too late

The world of real estate investment seems to be an exclusive and exciting realm where only a privileged few are successful. If you have always wanted to be a part of this world, you may feel that you are too late now that the real estate market has taken a sharp down turn.

A slow market is a good rental market

However, it may still be possible to start a successful real estate investment career even in a slow real estate market. The most important point to remember is that real estate investment isn't all about buying a house, improving it, and selling it right away. There are many facets to the world of real estate investment.
One of the most stable forms of real estate investment in a weak or unstable real estate market is rental properties. A poor real estate market means that fewer people are buying their homes and more people are renting. Being the owner of a rental property can put you in a position to be a successful real estate investor very quickly.

Renters pay your mortgage

Renting out your property lets you build equity while your renter basically makes the mortgage payments for you. You will be stuck if you can't find a renter for a period of time, but this isn't very likely. In a slow market where buyers are too afraid to buy, you won't be at a loss for people who want to live in a house without a mortgage.

Foreclosed homes

If you are patient and don't need to turn a profit right away, today's slow real estate market opens up a variety of opportunities for you. Homes are being foreclosed every day, and many homeowners are desperate to get rid of their property before it is foreclosed. You can buy a foreclosed property as a real estate investment for far below its value. If you have great timing and a lot of money in savings, you can even snatch up one of these properties with a cash sale. You'll have no need for a mortgage and can hold on to the property until the market starts to look up.

D.I.Y?

In the mean time, you can make improvements to the home that will make it more desirable to future buyers. You can then wait for a better time before putting it back on the market and enjoy a tidy profit on the improved property. This real estate investment tactic is not for beginners or the faint of heart, but it is effective.

What's your risk profile?

In real estate investment, as in most other types of investments, the bigger risk yields the bigger reward. If you are willing to go out on a limb and invest in a property that will not immediately give you a profit, you're likely to come out far ahead in the future. If you are looking for a lower-risk investment, renting out your property is a fantastic choice in a slow real estate market.

It's an opportunity

Real estate investment is not as complicated as some investors would like you to believe. It involves making sound choices and knowing the risks that you are taking. If you are willing to jump in and get started in real estate investment, don't let today's cold market scare you off. Just think of it as an opportunity to get your feet wet.

Selling your Home in A Buyer's Market

2009-05-31T21:56:00.003+05:30

Selling real estate in a buyer's market can seem difficult at the start, but it is not that hard to do. Those days are over when you get an offer that meets your price, that too, one that is above your expectation. Today, it is a buyer's market. This means that the prices of homes have fallen. Hence, there are things that you should know.

You must know that every market is not the same. You must take advice from a real estate professional(realtor/agent), and also conduct research on your own to know the market properly. Before the buyer comes to inspect your home, do a bit of inspection yourself.

It is important for you to do some good marketing of your home so that others come know of a home for sale in their area. A buyer's market leads to greater competition. This means that you need to increase the curb appeal of your home to attract the same number of buyers as before. Doing this will fetch you more buyers at a time.

Involving real estate agents helps in a big way. Ask them what they are going to highlight about your home, and also about the improvisations that they would make before it is put up in the market.

One of the most important things that you need to be aware of is the market changes that are taking place. Try to be at the top of whatever is happening with finance and mortgage rate related matters. You need to keep checking for comparable sales.

Setting the right price is very important when it comes to selling your property. It will be foolish to overprice your property in a down market as it is unlikely to be sold. Set a price that is reasonable in this down market. You can conduct relevant market research to know the price of other homes that have been put up for sale in your locality.

Remember: You need to be very realistic while selling your home in a down market scenario. I hope this article helps you in selling your home in this market. All the best!