27/10/2014
Courtesy: Times property Oct 2014
DELHI NCR PROPERTY QUERIES
Q- I am planning to buy a 3BHK flat on Noida Expressway for investment purpose alone.What returns can one expect over a time horizon of three-five years
A- Noida Expressway has a good potential.Your time frame,too,is good enough.The quantum of returns depends on the property you want to buy and the facilities it has.
Q- We have a commercial building on Sohna Road,Gurgaon.The building is almost complete;but,we are not getting corporate/IT tenants and the resale rate is also very less.Can we sell off this property and invest in residential property,as the supply of commercial property is very high on Sohna Road,or should we wait and hope for good returns and rental income
A- Do not sell in a falling or stagnant market.It is better to wait for a rise and better sentiment.If you are getting a smaller rental return,adjust your expectation to the paying capacity of the market and lease it out while you wait for the property values to rise.This will ensure that you get some returns while you bid for the right time to exit.
Q- I am looking for property which will be better,an independent house or a residential flat
A- The appreciation in property value is subject to city and location.Historical trends show that residential houses generate higher return vis-a-vis apartments,on a time horizon of 7-10 years.Traditionally,values for plot rise more than for apartments.However,they are more difficult to maintain.If you buy in a secure gated community with common maintenance,the investment remains safe.But there are many instances of encroachments,etc,and as an individual you may find it difficult to tackle those.
Q- With the real estate prices going higher and higher,what would be a sensible thing to do buy or rent a house
A- There is no harm in renting a property till you are ready with enough finances to make a purchase.If you find a place where you want to stay and can manage to get enough formal finance,look at a purchase,as your monthly outflow will lead to creating an asset.But make sure your EMI is not more than 35-40 % of your monthly salary;otherwise you may find the going difficult.
Q- What are the benefits for an
investor who chooses integrated township over multistorey apartment Is appreciation better in township projects
A- There is an option to buy multistorey apartments in integrated township,so these are not mutually exclusive.We believe integrated townships provide better investment and lifestyle prospects.
Q- I would like to buy a 200 sq ft plot on the outskirts of Northwest Delhi: Kundli,Sonipat or Panipat.Since the Kundli-Manesar-Palwal Expressway will come up in the area in the near future,will this area catch up with other NCR areas like Gurgaon and Noida
A- Kundli is typically a peripheral area to Delhi's development.As you yourself said,the forthcoming infrastructure project will drive its growth;but that is in the future.The place has a good potential to catch up with Noida and Gurgaon when its economic drivers become big enough.
