Subvention schemes were supposed to make things easier for buyers, but in many cases, became instruments that gave builders access to loans without accountability and left homebuyers in the city to bear the aftershocks, like demand letters to pay EMIs despite houses running years behind schedule.
Builders and real estate developers try to exploit borrower's desperation with marketing offers that make homebuyers believe that they can easily get their dream home. However, little do they know that any such lucrative deal may turn into a nightmare.
Many upper-middle-class Indians are keen on investing in Dubai real estate due to high rental yields, no tax payment requirement, and appealing property prices. However, be sure to conduct your due diligence on the developer and funding methods before buying a property in Dubai so that you remain in full compliance with LRS/FEMA. Also, make sure your property is located in designated freehold zones.
Odisha Pre-RERA: Odisha Apartment (Ownership and Management) Act, 2023 (OAOM) was being wrongly interpreted to prevent registration of apartments built prior to February 25, 2017 in Odisha state. Now this action has been corrected. It is hereby clarified that registration authorities shall not deny the registration of any apartment citing provisions of the OAOM Act if the apartment was completed before the commencement of RERA.
RERA: The Haryana Real Estate Regulatory Authority (HARERA) recently held a builder liable to pay interest compensation to a homebuyer who paid Rs 1.07 crore for a flat in 2013. In the last 10 years, the builder kept on promising the construction would finish however it did not. Read our story to find out what legal RERA provisions were used which made Haryana RERA order Rs 2.26 crore compensation to the homebuyer which includes 11.1% interest compensation.
For a long time, investing in real estate has been seen as an inflation hedge and a way of generating regular, long-term wealth. However, the asset class does not guarantee even growth and is often an expensive investment to make. Know more about the pros and cons of investing in real estate and what experts think are better alternatives to have in your portfolio.
RERA: A father from Panvel, Navi Mumbai purchased a flat for his family legacy however the developer despite taking about 97% of the money failed to deliver the flat. Hence the homebuyer filed a case with Maharashtra State Consumer Commission. However during the course of this court proceedings both the homebuyer and the builder died. Hence the builder and the homebuyer's son continued their father's case. Ultimately NCDRC, New Delhi solved this case and ruled in the homebuyer's favour.
RERA: Telangana Real Estate Regulatory Authority (RERA) recently passed a judgement ordering a builder to refund the advance money fully. This is because the RERA authority found that the builder drafted a one-sided agreement and also did not sign the sale agreeement despite taking about 20% of the money in advance.
RERA: The Maharashtra Appellate Tribunal (MahaREAT) has ruled that a promoter cannot arbitrarily forfeit advance money paid for a flat. The promoter must show a just and reasonable cause or show that due to the booking cancellation the promoter faced loss. MahaREAT said that the promoter violated both section 13 and 18 of RERA Act.
Sohna, a suburb of Gurugram, is witnessing a surge in real estate activity due to improved infrastructure and connectivity, says a report by the Square Yards. This has led to increased demand for both residential and rental properties. Prices have risen significantly, but Sohna remains relatively affordable compared to other parts of Gurugram. Several developers are actively launching projects in the area, catering to both end-users and investors.
Noida property: If the Noida authority increases the circle rate by 30% then it could mean up to 3% increase in cost of acquisition of a property in Noida. Rahul Arora of Trilegal says, "An increase in the circle rates for residential properties will directly raise acquisition costs for buyers. The upfront cost of the property shall see a direct impact as well as the other charges payment (stamp duty and registration fee) would be increased proportionally."
RERA: A retired Major had to chase the builder for 9 years in order to get occupancy (OC) and completion certificate (CC). Apart from this issue, the builder violated other laws like charged separately for parking space, etc. So the retired Major decided to file consumer case against the builder and ultimately after a seven years fight he got an compensation of Rs 5.14 lakh.
The MMR, India's leading residential market, saw a 18% YoY decline in new launches in Q3 2024. However, sales remained stable, with MMR absorbing 34% of national sales. Affordable and mid-end segments dominated new launches and sales, with Mumbai's Peripheral Central Suburbs leading. Check property rates in Mumbai, Thane and other key micro markets in the Mumbai Metropolitan Region.
RERA: Maharashtra Real Estate Regulatory Authority (RERA) has laid out new clarifications about which projects are to be eligible for RERA registration. Akshat Pande of Alpha Partners explaining the impact says, "Consumers seeking to buy any unit in the exempted projects will be that such projects will be outside the ambit of the provisions of RERA and hence, the checks and balances, protections and other provisions prescribed under the RERA Act will not be applicable to such consumers."
Increase in circle rate for properties: The department in charge of stamps and registration has suggested to the district magistrate that the circle rates be revised, as they have not been changed for the past five years. According to a news report in the Times of India, the proposal seeks to raise the circle rate by 25-30% in residential areas, 10% in industrial, commercial, and IT sectors, and 15% for farmland.
RERA: A builder charged separately for parking space inside a flat from a retired Major of the Indian Army. Legal experts say that the builder also violated various other laws like Rajasthan Apartment Ownership Act, 2015 also. Feeling cheated, the Major decided to fight the case in consumer forum and ultimately NCDRC ruled in his favour after a seven year fight.
Housing price rise in Delhi-NCR area: Indian real estate prices have skyrocketed in recent years. These two regions in Delhi-NCR saw the most significant increases, with prices rising over 140% since 2019. Between 2019 and 2024, approximately 15,000 projects, including apartments, floors, and villas, were launched in these top 10 cities, which include Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai, Thane, Navi Mumbai, Pune, Noida, and Gurugram.
As per ANAROCK data, the top seven cities collectively saw over 44% of price appreciation in the last five years. At a city level, Hyderabad recorded the highest jump of 64% between 2019 and H1 2024, followed by Bengaluru with a 57% increase. The lowest price growth of 25% was seen in Kolkata.
Rent agreement: When you are thinking about renting a house, it is important to take your time before signing the agreement. Even though a rental agreement contains many details, it is essential for both the landlord and the tenant to carefully review specific points. Before you finalize the deal, make sure to thoroughly double-check the following key points.
The government-owned NBCC has sought the permission of the Supreme Court to develop and complete 17 projects that have been stalled or are partially constructed by the troubled real estate firm Supertech. Approximately 27,000 distressed home buyers have been stuck for years in these projects, which were started in the National Capital Region, Dehradun, and Bengaluru.
Bengaluru: Karnataka RERA has ordered payment of Rs 7.12 lakh interest to a homebuyer of Shriram Blue in Bengaluru. This order after the builder failed to deliver the flat by the deadline and did not even seek consent from the homebuyer for extension of deadline. Read below to understand how this case unfolded in Karnataka RERA.
The state-owned NBCC has put forward a three-year construction schedule to provide reassurance to numerous homebuyers. The objective of the plan is to finalize the construction of 50,000 apartments across 17 projects of Supertech, which is currently being managed by an insolvency professional. The company's main stakeholder is confronting several allegations, such as fund diversion and money laundering.
A recent report reveals which are the most and least affordable cities for homebuyers in India. The study analysed price-to-income and EMI-to-income ratios to find out. The report also highlighted rising housing costs nationwide, with average prices increasing by 46% in the past four years. Check the full list of most and least affordable cities in India in 2024.
MahaRERA: A non-resident Indian (NRI) paid Rs 97 lakh to book a Godrej flat, however when Godrej cancelled the flat booking, entire money (Rs 97 lakh) was allegedly forfeited by Godrej. After a 6 year fight MahaRERA appelate tribunal ordered Godrej to pay Rs 97 lakh plus State Bank of India (SBI) highest MCLR interest rate plus 2% to the NRI. By calculation this comes to Rs 1. 26 crore.
A total of 538 individuals who have purchased homes and have paid at least 80% of the cost but have not fulfilled a necessary claim under the Insolvency & Bankruptcy Code are now allowed to settle their debts. According to the updated proposal endorsed by the Supreme Court, these homebuyers have a 30-day timeframe to resolve their outstanding payments.
The Amrapali housing projects under the Supreme Court's supervision have received a significant boost with all involved parties agreeing on a purchasable floor area ratio (FAR) that has the potential to build more than 13,000 extra apartments.
Property price in 2024: Residential housing prices in the Delhi-National Capital Region (Delhi-NCR) jumped by 30% year-on-year during the April-June quarter of 2024, the highest among the top eight cities in India, according to a report by CREDAI, Colliers and Liases Foras. Check how much property price has risen in your city.
According to the Knight Frank – NAREDCO Real Estate Sentiment Index Q2 2024 (April – June 2024) report, 63% of respondents in Q2 2024 predict an increase in residential property prices in the next six months. This is a notable decrease from the 82% who held a similar view in Q1 2024.
To assess their real estate attractiveness and growth potential for the next five to six years, Colliers India has analysed over 100 emerging cities in its latest report, "Equitable Growth and Emerging Real Estate Hotspots." From this pool of over 100 cities, 30 emerged as high-potential growth centres. Notably, 17 of these cities are expected to witness accelerated real estate development across three or more asset classes. Check the cities here.
Capital gains indexation calculation after amendment of Finance Bill, 2024: The Union government offers a huge relief property owners by allowing a choice between two options for long-term capital gains (LTCG) on the property — 20% LTCG tax with indexation or 12.5% LTCG tax without indexation. The Budget had proposed a lower LTCG tax without indexation benefits. However, taxpayers can now opt for the old LTCG tax with indexation or the new one with a lower rate that lowers their tax outgo. Calculate and understand which LTCG option helps you to save more tax now.
MahaRERA: Now a promoter can't cheat you with false promises of various facilities and amenities like lifts, gym, etc. As per Subham Chatterjee, ALMT legal, "The homebuyers, especially those who had booked under construction flats, would feel deprived while receiving possession of the project without the amenities as promised at the time of purchase. This issue has been resolved to a large extent in view of this MahaRERA order."
The Pradhan Mantri Awas Yojana (PMAY) is a government flagship program in India that aims to provide pucca houses with basic amenities to all residents, both in rural and urban areas. Pradhan Mantri Awas Yojana is divided into two parts: Pradhan Mantri Awas Yojana-Gramin (PMAY-G) for people in rural areas and Pradhan Mantri Awas Yojana-Urban (PMAY-U) for people staying in urban areas. Both schemes offer financial assistance to eligible beneficiaries to help them build a pucca house. All you need to know about the latest update in Pradhan Mantri Awas Yojana
In Q1 2024, Mumbai led Indian cities with an 11.5% year-on-year increase in prime residential prices, ranking third globally in Knight Frank's Prime Global Cities Index. Delhi followed with a 10.5% rise, securing fifth place. Knight Frank attributed the surges to India's robust economic growth, with GDP exceeding 8% annually. 'Prime Global Cities Index' is a valuation-based index tracking the movement of prime residential prices across 46 cities worldwide.
As fractional ownership gains traction and becomes increasingly popular, retail investors must run a few checks before investing in CRE assets via this route. Here are some factors that one must consider.
Jaypee home buyers: Jaiprakash Associates Ltd (JAL) is currently in the process of insolvency proceedings, and an appointed resolution professional by the NCLT will now assume control. As per a news report from the Times of India, the board, previously led by the Gaurs, will cease to function.
If you are confused by personal finance terms, jargon or calculations, here’s a new series to simplify and deconstruct these for you. In the first part, ET Wealth explains what rental yield is and how it is calculated.
MahaRERA: Now flat buyers don't have to worry about parking space inside the flat, as MahaRERA has passed a order mandating parking space to be accurately communicated in both allotment letter and sale agreement. Read here to know more about the parking order by MahaRERA and how it will help you.
Aurum Analytica, a data analytics firm in real estate, uses data science and AI. CEO Prakash Tejwani and co-founders Sahil and Vishal discuss the company's mission and growth.
