rajarani

I have been looking to buy a residential plot / independent house within chennai city limits. For the last one month, hearing more about the real estate price is falling.

Is it the right time to buy the property or will it go below?

Also give your thought about the best / better place in chennai which is budget friendly and having more appreciation in future?

sundnet

I can suggest you to wait till Jan. If the flat prices fall, wait for it to fall further. Next 6 months is going to be tough wen comes to appartment selling. As far as land , i am not sure.

If you have ample time , check the area you want to buy. Analyse when the builder started to build, how fast he sold etc.. It is easy to bargain if he is nearing completion but did not sell all. Pallikaranai Jeyachandran nagar is an example.

Also, do not commit to buy immediately. Go on bargaining for a week. In reality there are no buyers. All IT buyers are waiting for the market fall [ me too ]

metroplots

According to the article i read in this blog, it says the situation in the US will become normal only by 2010, so whether we like it or not, indian IT sector and other sectors which are either directly or indirectly involved with the US economy will suffer.

But Indian economy will have its own trend, so its better to wait and see.

ravisankars

People have just started selling their flats but there are no buyers. So it will take another 4-6 months to discover the actual price of the properties. Meanwhile prices may start falling starting Jan 2008.

ragavendra.l

Hello all.... I am hunting for House/land in Chennai for last 45 days ... its very clear to me that prices are falling. A house which i inspected 1 month ago for price 52L is still not sold and builder is ready to give me today at 46 L (not only this a lot of Examples )...I see that Buyers are less ... but i dont know when it ll start to boom again..... i can advise u to buy property with great bargain now

Natarajg007

U were hunting for land...What happened? U got a house for 52L requoted to 46L. Can you provide details. Remember brokers take a big cut out of sales so try to find the price from the actual seller. He might have quoted 40L and broker might have jacked it up.

Natarajg007

Pee mela kalla erinja en ahum nu enakku theriyum. Nee pee pole.

ks2071746

Dear all, I get to remember a small story what one of my friend's told me decades back
There was a village chap going on the town road and unknowingly he put his foot on a shit and getting aware that only shit can be there on the raod, he just pressed his foot down to rub on the ground to put out the item from his foot and went ahead. Whereas, a town chap, who also inadevertantly put his foot on the item and in his eagerness to see on what he put his foot down, he touched the item with his finger and still unable to identify what is it, took the finger to his nose and now he realised it is shit. So this is the difference between a village chap and a town chap. It is on 1 place for the village guy and in 3 places for the town chap. This small story is just to draw people out of the fight in this post.

ks2071746

wiseman

Good one ks!

I have a lot of fun on this post fighting .

cheers

sethugm

All the forum can easily understand how the prices have jacked by Brokers and you can hear from an ardent RE Bull.

The property prices have been inflated heavily by unscrupulous Bs(I meant brokers).

So the current prices quoted will be definitely based on the number of transactions happened on the property and number of brokers involved in each transactions.More the number of transactions and more inflated and this most inflated prices have been quoted as the prevailing land price.

Current Price = ( Actual Price + Actual Price * % Profit Margin) ^ (No of transaction + No of Bs)

(Again I mean Brokers for Bs here as Short Code/acronyms are best in formulae )

And the apartments are little organised and few big corporates are involved , these price rigging are not prevalent with apartments.
As its very evident from your statement (???) , land prices are manipulated to more extent , land prices will be the first to fall second to none.

Apartments have already started to reduce the price and still dont find customers and will see more correction .

I could see that only less than 3 % of the plot were transacted during the last 2-3 years and rest 97 % people seeing the price hike ,were of the opinion and were thinking that their property will appreciate another 200-400 % in the next 3-4 years. Who will be the buyers if it becomes 3 times as of now ? If the salary also goes 3 times in 3-4 years ,some will fools will buy...But many companies have announced there is no hike in 2009 .And there is a possible job loss and salary cut...

Realising the fact , more and more lands will be on sale and you know what happens during more availability and less buyers.

I would not say the land prices will go back to 2002-2003 prices but it will go back to the level of (2002-2003 price + 10 % ) ^ Years ...which makes more people to afford to buy.

Wiseman has stated the other possible reasons why there will not be any appreciation on both land/apartment in the next 4-5 years.But you seem to know nothing but saying "1 Crore 2 crore 3 crore 4 crore " .
Kindly have an aptitude to understand the reality and learn something when its free (from wiseman).

Wiseman , Your postings are really informative/educative. Thanks