aedhole

hello all,

One obs to share with u all, all builders near Hinjewadi area proximity have increased PS rates by 100...this is the obs which is made this week.. Guys what does this indicates...there is no reason as such in market to increase rate...then does it indicates that RE market is picking up...?

Pl share your individual views..

Reg
Avi

wiseman

Aedhole,

While Infy, TCS and Wipro are slashing rates to get projects, XYZ Technologies upped their rate from $15 to $15.25 per manhour. Does that mean the market is picking up?

No offence, but, a single data point, that too by one builder in one location, does not make a trend! You are being too quick to "read" a trend into a single data point which may not exist.

There is always an emptional reason for people to "read" trends into random data. Maybe you already bought and want the reassurance of a bull market again. Maybe you are itching to buy and can't stand the waiting around. MAybe you are waiting to sell and want a rally!!!

Whatever the reason, please be very careful to separate a "colored" view of the data from the actual signal. Markets are unforgiving and can quickly bring you down to earth if you make a mistake. Also, buying into a declining market is like catching a falling knife. It is very tricky and best left to the professionals who have many knife marks on their hands to show past experience .

Wait for confirmation of uptrend (which many of our knowledgeable friends on this forum will give you) and only then buy...

cheers

aedhole

I am telling the facts ...nothing else...

One can take any meaning....!!

I dont have any problem.

realacres

RE market picking up? Hey, today is not 1st April! Perhaps, I should buy not 1 but 3-4 flats & sell them for 300% profit!

akssenti

http://business.rediff.com/report/20...-employees.htm

The recession has not yet ended and if developers want to celebrate then they can but lots of basic issues to be tacked before realty sector can seek stability.. Don't fall into trap of "let me buy a house because prices are increasing". Buy only when you really like a project and see value for your money.

Abhilasha

Yes I too have encountered many projects in Pimple Saudagar where builders have increased there prices by 100-150 Rs psft in last 15 days for ex Park Royale, Shiva Heights.

I also feel like that I should book flat right now as they are not negotiating any more.

anup.thakare

You may see the uptrend in the prices of a particular builder/project, because builders have a tendency to increase the SqFt rate once their booking target (break-even) is reached.

When a project is open for booking the price is normally lower and it increases once the project receives near completion. However this phenomenon is for particular project life cycle. Hence we can not relate the uptrend to RE market as a whole.

aditi sharma

I know one small builder in pune thru a relative, whom I called up to know the trends and his views. After couple of calls once I went to his office to meet him. He told me something which after reading your post I realized it was truth.

He told that after slashing prices, pune builders actually saw less bookings as people started expecting the prices to go down even further. So in a meeting (possibly PBAP meeting though he did not specify) they decided to increase the prices and see the trends for a couple of months. This increase is more towards making people believe that the prices are actually going up so their investment is 'SAFE'. The catch here is, this is not natural increase but inflated and is temporary.

ash7979

One more Bad news: Siemens IT arm sacks 500 employees

http://business.rediff.com/report/20...-employees.htm

This always gonna create downturn in the RE market....I would say as IT market is very volatile these days, so I would suggest all IT guys should stay away from RE market, else later they might have to repent....

__________________
Cheers,
-Ashish

hitmady

That's what expected from builder's lobby rather than reducing price to a level which is affordable to consumer.
Do we (RE buyers) have such lobby

I still feel that if RE rate of good projects in the outskirts of pune is brought between 1500-2000 psft, most will be sold out on/before diwali.