RE/MAX Mumbai Gujarat Maharashtra Newsletter August 2014

MGM NEWSLETTER

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RE/MAX MUMBAI –GUJARAT – MAHARASHTRAA

AUGUST 2014

RE/MAX MGMSafal Profitaire, Block A, G5,Corporate Road, Opp.Prahladnagar Garden Road,Ahmedabad – 380 015Phone : +91 99090 66999Email: [email protected]

CONTENT

MANAGEMENT SPEAK

NEW BROKER ASSOCIATES

ONLINE TRAINING IN AUGUST 2014

UP COMING TRAININGS AND EVENTS

BA INDUCTION TRAINING FOR

NEWLY JOINED ASSOCIATES

MONTHLY BO MEET AT REGIONAL OFFICEFRO IN PUNE

VISIT TO NAR Convention – Kolkata

CRISIL - STAR RATED PROJECTS – AHMEDABAD

FEW GAME CHANGING ADVICE FROM REAL ESTATE INVESTORS

HOME LOANS:MAKING MOST OF HEADWINDS

NEWS FROM RE/MAX FRANCHISE OFFICES

CHANGING FACE OF THANE REAL ESTATE

REAL ESTATE NEWS BYTES OF AUGUST:

MANAGEMENT SPEAK!

Dear Affiliates,

It give me immense pleasure while conveying activities done

for the month of August in our region. Firstly I would like to

congratulate our newly joined affiliate in the month of august

. They are not one, two or five but fourteen new associates this

month.

Congratulations and all the best to all the new affiliates who have

joined RE/MAX in the month of August.

Though the month of August had many festivals and celebration, For RE/MAX MGM the month was

eventful with lot of positive things happening within region and within our industry. Economy is giving

positive sign and it is visible in stock market and soon it is expected to reflect the same in real estate

market. India’s economic growth continues to gain momentum while most major economies are seeing

stable prospects, according to Paris-based think-tank OECD. The country’s growth touched 5.7 per

cent in April-June quarter, the highest in two-and-a-half years. Also UK’s Maplecroft firm has ranked

India at No. 1 in terms of economic opportunities for investors, whose interest in the country has spiked

dramatically since the general elections. Officials close to the development said India has now become

the fifth most requested country in terms of risk and opportunity reports from rating agencies and risk-

mapping firms such as Maplecroft.

With all these positive signs of Indian economy, real estate market also looking positive in coming time

with festive season starting next month we expect to gain more market share in broking market. We are

also expected to get big amount of money as Private equity in real estate in times to come.

Region has done lot of activities in terms of training to all our affiliates and has also started online

monthly BO meeting connecting BOs from various parts of MGM for interactive session and knowledge

sharing by Successful BO to other BOs.

With ‘Shraadh’ coming in next month there is expected some slow down in transaction but I expect that

all the affiliate would build strong pipe line for transactions once the Shraddh gets over and Navratri

Starts you all get lot of transactions happening.

Happy Prospecting and wishing you best of times ahead.

Aashil PatelRegional Director

RE/MAX Mumbai Gujarat Maharashtra

MGM NEWSLETTERRE/MAX Mumbai Gujarat Maharashtra AUGUST 2014

MGM NEWSLETTER AUGUST 2014

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AUGUST 2014

RE/MAX Mumbai Gujarat Maharashtra registered 14new agents in the month of AUGUST 2014. RE/MAX MGM congratulates all these Broker Associates for joining RE/MAX and wishes them all the best.

ONLINE TRAININGDONE IN AUGUST 2014

TRAINING CALENDAR FOR SEPTEMBER 2014

NAME OFFICEBhaskar Lanjile RE/MAX METRO, MUMBAIAnkit Patidar RE/MAX ADVANTAGE, AHMEDABADDevendra Patel RE/MAX ADVANTAGE, AHMEDABADKrupal Patel RE/MAX ADVANTAGE, AHMEDABADPradeep Patel RE/MAX ADVANTAGE, AHMEDABADVicky Seth RE/MAX ADVANTAGE, AHMEDABADPranav Shah RE/MAX ADVANTAGE, AHMEDABADAnkita Vala RE/MAX ADVANTAGE, AHMEDABADSiddharth Mehta RE/MAX ADVANTAGE, AHMEDABADJanak Patwari RE/MAX ADVANTAGE, AHMEDABADSurendra Bihola RE/MAX ADVANTAGE, AHMEDABADHardik Goswami RE/MAX ADVANTAGE, AHMEDABADPayal Shah RE/MAX KUNVARJI, AHMEDABADAshesh Agrawal RE/MAX PROPERTY WORLD, AHMEDABAD

Date Session Name

August 6 Fundamentals in Real Estate Series Part – 7 Sales Associate Personal Finances

August 20 Promoting Listing onlinle with Practical Examples

Date Session Name

Sept 3 Selling More of your Listings, In Any Market

Sept 17 Social Media and Real Estate

ONLINE TRAINING

All online training starts at 11.00 a.m. and contact [email protected] for more details.


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AUGUST 2014

BA INDUCTION TRAINING FOR NEWLY JOINED ASSOCIATES

Monthly Meet with Broker Owners at RE/MAX MGM Head Office.

RE/MAX MGM conducted an Induction Training on August 11, 2014 for newly joined Broker Associates.

Regional Owner Mr. Manan Choksi discussed about importance of uploading properties on iConnect and other Portals and getting best offers from Top Portals so that agents get encouraged to use it more. RE/MAX MGM decided to create unique images for festivals and other important days and upload it on its FB pages which can be shared by all agents across regions so that it shows a strong brand among others. 5 Broker Owners from Gujarat were present at RE/MAX MGM HQ while 4 Broker Owners from Maharashtra were present online in BO Meet.


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AUGUST 2014

REGIONAL OWNERS’ VISIT TO NAR CONVENTION, KOLKATA

Mr. AAshil PAtel And Mr. MAnAn Choksi Visited nAr ConVention held in kolkAtA on August 16th And 17th. the theMe of ConVention this yeAr wAs ConneCt - network - grow.

ConneCt: this ConVention ProVides A CoMMon PlAtforM for reAltors And deVeloPers to ConneCt with one Another.

network: it helPs in building strong networks with frAternity. grow: PeoPle ConneCt, network And shAre exPerienCe leAding to growth.


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AUGUST 2014

CRISIL - STAR RATED PROJECTS - AHMEDABADCRISIL Real Estate Star Ratings provides city specific all round assessment of real estate projects and helps buyers benchmark and identify quality projects within their city.

Star Rating ScaleThe Star Ratings are assigned on a city-specific, eight-point scale; for example, ‘Ahmedabad One Star’ to ‘Ahmedabad Seven Star’, seven being the highest. The lowest rating will be ‘non-deliverable’ project. The assigned rating will thus be a benchmark against other rated projects in the same city.

The ratings are available for proposed, ongoing and recently completed commercial and residential projects. Once the rating is assigned, the project will be monitored constantly, providing timely updates on project progress. The rating will be valid until the project is completed.

Star Rating Parameters Project Sponsor Quality: This parameter focuses on the developers’ construction and legal track record, and comments on their financial strength and ability to complete the rated project.

Project Construction Quality : By providing an independent assessment of aspects such as structural quality, amenities, likelihood of time and cost overruns, and after-sales services, this parameter assumes critical importance.

Project Legal Quality : This parameter examines the land title, sales agreement and various other statutory approvals and clearances of the project.

Project Financial Quality : This parameter assesses the viability of the project, and financial flexibility and accounting quality of the developer.

Project Innovation Quality :This parameter examines the innovation in the project, and covers aspects such as construction technology and building design, among various aspects. Star Rating Parameters

Star Rating Criteria

Project Sponsor Quality Project Construction Quality Construction and legal track record • Structural quality • After-Sales ServicesOrganization strength, systems & processes • Infrastructure& Integrated Facilities Financial strength of developers (s) • Finishes • Likelihood of Time and Cost OverrunsProject Financial Quality :Accounting Quality, Financial FlexibilityProject Innovation Quality : Innovation in the areas of Land acquisition/ Construction technology/ Building design/ Project funding


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AUGUST 2014

If you’re not getting good deals, you don’t have enough leads – you need better/more marketing.

Working too long on one “deal” trying to force it to work means it’s no longer a deal and you’re still working on it because you don’t have enough leads.

Marketing is not an expense; it’s an investment.It’s not how much money you make that matters, its how much money you keep.

You will pay for education, either ahead of time from a mentor or by the mistakes you make as you go through the process.

When negotiating, spend more time listening than talking.

If a potential tenant doesn’t have enough money for their deposit and first month’s rent, they won’t have

enough money to make the monthly payments.Pick a mentor who is successfully doing the type of business you want to do because you don’t know what you don’t know.

Never get greedy. The best deals are the ones where everybody wins.

Don’t wait until you know it all to get started. None of us know it all.

It’s always a great time to be in real estate; you simply have to pay attention to the economy and real estate fluctuations to know how to direct your investments.

Don’t wait to buy real estate; buy real estate and wait.

There’s never been a better time to be in real estate.

Few Game Changing Advice from Real Estate Investors

Home loans: Making most of headwinds

NHB is considering a proposal to increase the loan-to-value ratio (LTV) for home loans to 90% of the property value from the current 80%, which would mean home loan borrowers can take loans up to 90% of their property’s value

Banks and non-banking financial companies (NBFCs) are getting active to make sure they get the maximum number of home loan borrowers when growth in real estate picks up.

HDFC has announced a discounted interest rate of 10.15% for all new borrowers irrespective of the loan amount. The new scheme has been in force since the month of August 2014. Bajaj Finance, an NBFC,

followed suit with a new home loan scheme, under which borrowers need not pay instalments for the first three months.

State Bank of India is offering women borrowers an interest rate of 10.10% for home loans above R75 lakh while ICICI Bank is giving a further 0.05% discount with loans available at 10.10%.

Since the tenure of home loans is usually quite long, there are bound to be cyclical highs and lows for interest rates, but such discounted schemes help borrowers make quick decisions, especially if they have been waiting for the right opportunity to take a home loan.


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AUGUST 2014

NEWS FROM RE/MAX FRANCHISE OFFICES

Rising loan-to-value ratio

If tax benefits and discounted interest rates are not enough, here is more good news for new home loan seekers. National Housing Bank, or NHB, is considering a proposal to increase the loan-to-value ratio (LTV) for home loans to 90% of the property value from the current 80%. Once implemented, this would mean home loan borrowers can take loans up to 90% of their property’s value.

This new rule can be effective for people with small savings, who have so far been unable to save the minimum 20% margin money that institutions expect the borrower to invest.The new changes in the LTV rule, once effective, would only be made available for home loans above the minimum threshold limit of R20 lakh.Note that a higher LTV only reduces the margin money to be raised by the borrower while increasing the quantum of the home loan and, hence, the total interest cost of the loan. Do bear in mind though that home loan funds are not provided for stamp duty and registration costs and borrowers must keep some part of their funds for registration fee and stamp duty charges.

The recent announcement by finance minister Arun Jaitley in his annual budget speech has given a positive impetus to the infrastructure and real estate sector. The finance minister allocated R4,000 crore for low-cost housing, encouraging more real estate developers to bring in low-cost projects

RE/MAX Advantage

11 new business Associates joining:

The largest team of the RE/MAX Network gets even bigger and stronger. This new full force is all set to spread its wings in the real estate industry and help more clients buy, sell and invest in real estate keeping Client’s Interest as their number one Priority. The Team at ADVANTAGE welcomes the fresh buds to the world of success in Real Estate!

On the prowl to Greater Noida

The tigers of RE/MAX ADVANTAGE were on the prowl again and this time the turf was the National Capital.

‘Imperia’ have come up with very informative and attractive investment options in Greater Noida. The Imperia distributor based out of Mumbai had come to our office and discussed the product details at length in one of our Team Meetings. This brought in so much of enthusiasm that Mr. Salim Ravani, Mr. Mukesh Patel, Mr. Rachit Parikh, Mr. Bhaumik Dave, Mr. Manoj Dhandha and Mr. Sanjay Khangale; Business Associates, RE/MAX ADVANTAGE packed their bags to check out the claims and credentials personally for a two day trip to Noida.

While we asked them about their visit to Imperia they said, ‘It was an absolute pleasure understanding the product and visiting the Imperia Mirage Site ourselves before marketing the same to our clients and we hereby extend heartfelt appreciation to Mr. Harpreet Singh Batra and his entire Team at Imperia. The time, energy and efforts spent in plenty are just to ensure on what we offer the client and it was necessary to do our due diligence. This was the best way to display and live our value proposition at RE/MAX ADVANTAGE: Client’s interest is our number one priority.’


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AUGUST 2014

The face of Thane has been transformed from a sleepy hamlet outside Mumbai to a scintillating suburb with excellent connectivity to the city

From being a sleepy suburb in the past, Thane has woken up to become one of the hottest property destinations for aspiring home-owners and investors alike. Several well-known names in the construction industry offer lifestyle projects to cater to varying tastes of discerning customers.

Steep real estate prices in Mumbai city have compelled many first-time buyers as well as investors to seek out rapidly growing suburbs around the vibrant city.Property rates in the western suburbs have risen to almost around Rs.14,000 per square feet, while prices in Thane range from around Rs.7,000 to Rs.12,000 depending on the project, developer, and location. This offers excellent potential to aspiring buyers that want an affordable home. In addition, smart investors

have also realized that they can book excellent profits within just a few years of investing in a property in Thane. Compared to the western suburbs, life line the three lane western express highway, the eastern corridor has faster connectivity with broader, faster, wider five lane roads and comparatively lower volume of traffic. The construction of various networks such as the Santacruz-Chembur link road and the Eastern Express Freeway can help commuters reach other suburbs and South Mumbai from Thane in a far more relaxed manner while saving precious time. Not to mention the scenic beauty of the location, theYeoor Hills and the Ulhas creek with about 30 lakes titivating it.

Areas in and around GhodbunderRoad,PokhranRoad in Thane have witnessed rapid growth and several well-known developers offer projects that provide affordability and luxury at the same time. Property

rates in such areas have risen at a steady pace and it should continue to do so as this pulsating suburb keeps on attracting a wide range of potential buyers from around the country. These range from first and second home buyers to investors that have a pulse on the realty market in Thane.

In addition to new projects, Thane has also witnessed a rise in redevelopment projects. Areas such as Vartak Nagar, Savarkar Nagar and Swami VivekanandNagar offer excellent redevelopment homes for investors and end users. Buyers now have a chance to move into a brand-new building that boasts of modern amenities along with excellent connectivity by being close to highways, malls, hospitals, etc.

Several industry experts estimate that real estate prices in Thane will witness a rise of around 15 percent per annum as this suburb keeps on growing at a steady pace. In fact, according to a recent survey,

Thane has registered the highest growth in property prices between 2010 and 2014 in the whole of India.

Thane has the right mix of educational institutions, IT hubs, industrial estates, and recreational facilities to offer a well-rounded experience to its residents. There are already several huge malls in Thane such as Korum and Viviana, with many others slated to open their massive doors in coming times.

Investing in Real Estate in Thane can provide Multiple Benefits. This growing suburb offers all amenities to fulfill the aspirations of different types of buyers, right from investors to those looking to make Thane their new residential address. However, as time and properties wait for no one, potential buyers need to move quickly to reap multiple benefits offered by investing in real estate in Thane.

CHANGING FACE OF THANE REAL ESTATE


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AUGUST 2014

PE investment in real estate to cross Rs 12,000 crore

Private equity investment in real estate sector jumped over two-fold to Rs 4,100 crore in the first six months of 2014 and is likely to cross Rs 12,000 crore by end of the year.

The PE investment in the sector was Rs 6,450 crore in 2013 , there is an increase in interest globally in committing funds for Indian real estate through private equity. The funds are being raised mainly for housing projects and leased office purchases.

The first six months witnessed PE investments in realty sector of about Rs 4,100 crore, and the consultant expects it to be about Rs 7,900 crore in the second half.

The total investment in first half of 2014 was more than double the investment in the first half of 2013 at Rs 1,650 crore. This is also the highest levels of investments in the first half of the year since H1 2009In the residential asset class, private equity funds are now being viewed favorably by developers as PE money is being used for de-risking projects and as strategic long term partnerships for further expansion and development.

Mumbai received a PE investment of Rs 1,140 crore, while transaction volumes in NCR and Pune were recorded at Rs 580 crore and Rs 167 crore, respectively, during H1 2014.

PM Modi’s 100 days: Smart cities set for take-off, state governments asked to identify cities

Among PM Modi’s pet plans, few would be more significant to India than building 100 smart cities, as the country is in the middle of a massive wave of urbanisation. Modi was smitten with the idea of a smart city long ago, and he had set the ball rolling in Gujarat with the Greenfield Gujarat International Finance Tec-city (GIFT). This venture is now proceeding rapidly, as it has been allotted 11 million sq ft for construction. As he moved to the Centre, Modi started work on implementing the idea all across India. It is among his few plans that are moving smoothly ahead.

While these projects are moving quickly, a few smaller townships are also coming up. For example, Pallava, a partnership between IBM and the Lodha Group, is planned as a smart city over 4000 acres.

Cisco is transforming Bangalore’s Electronic City into a small smart city. Private developers are planning smaller smart residential-commercial townships. Over the last 100 years, large projects have fired people’s imagination and energized entire countries.

The best example is the Apollo missions of the US, which brought an entire generation into science and engineering and raised the technology capabilities of the US. Smart cities, with multiple technology components, can produce the same results for India although through different methods.

Realty demand looking up: Credai

To plug the shortfall of 80 million homes in the country regulatory issues have to be simplified : National President Credai

The Confederation of Real Estate Developers of India (Credai) said the property market across the metros in the country was looking up and it expects good absorption in residential property in the next 6-9 months.

In my communication with some of the builders in the south, I was told the demand scenario has picked up in the last few months. Demand in the metros in the last 3-4 months was also encouraging, when compared with the same period last year,” said C Shekar Reddy, national president of Credai.

RBI Deputy Governor R Gandhi asks bankers to be innovative on home loans

The Reserve Bank of India will encourage banks and individuals to be actively involved in home loan deposits, a savings product that will help showcase

REAL ESTATE NEWS BYTES OF AUGUST:


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AUGUST 2014

NOBODY IN THE WORLD SELLS MORE REAL ESTATE THAN RE/MAX

RE/MAX MGMSafal Profitaire, Block A, G5,

Corporate Road, Opp. Prahladnagar Garden Road,

Ahmedabad – 380 015Phone : +91 99090 66999

Email: [email protected]

Please send us your reviews about this month’s newsletter. Feel free to give your suggestions and we will incorporate the same in coming newsletter.

Send your suggestions to : [email protected]

the repaying ability of customers seeking to borrow money to buy a house.

ICICI Bank offers single interestrate for home loans

ICICI Bank has announced a single rate of 10.15 per cent for all floating rate home loans up to Rs 5 crore for salaried individuals.For self-employed individuals, the floating rate of interest will be 10.15 per cent for loans up to Rs 75 lakh and 10.35 per cent for loans from Rs 75 lakh to Rs 3 crore. Donald Trump: ‘India’s real estate market will pick up’

Trump launched his first Indian venture in India at Mumbai this week that is 75 storeys high and gold in colour - individual apartments cost millions of dollars In the world of luxury property there are few more famous faces than Donald Trump - the multi-billionaire who built his fortune through New York real estate.

Now he licenses his name to luxury developments across the word and this week launched a tower in Mumbai - his first Indian venture.

At more than 75 storeys high and gold in colour - individual apartments will cost millions of dollars.The tycoon tried something similar in India a few years ago - but pulled out of the deal.

Indians top investor in Dubai’s real estate market

Indians have been ranked first among foreign investors in Dubai’s real estate sector, making a total of 4,417 transactions worth nearly USD 3 billion in the first half of the year, according to an official report.

Indians, British and Pakistanis ranked top three foreign investors in Dubai’s real estate market with a combined share of Dh20.83 billion for 9,739 transactions in the first half of the year, according to the report by the Dubai Land Department (DLD).

RE/MAX Mumbai Gujarat Maharashtra Newsletter August 2014

Real Estate

Transcript of RE/MAX Mumbai Gujarat Maharashtra Newsletter August 2014