Hi Friends,

I had been to the FAIRPRO '09 Fair.My Impression after seeing, is that prices are stagnating for all ongoing projects and builders are trying hard to hold them up.

Prices are 10-20% lower for new projects in the pipeline and for ready to occupy flats.

The discount offered at the stall was very less and were in the range 150-500 Rs/sqft max.

For the benefit of fellow members I am posting the project/price details of some of the properties.



Akshaya Foundations

Adora - OMR - 3750/sqft
Aikya - Adyar - 12500/sqft

Alliance Group - Orchid Springs - 3199/sqft

Arihant Foundations

Heirloom - Thalumbur - 2499/sqft
Escapade - Thoraipakkam - 4150/sqft
Villa Viviana - Maramalai nagar - starting from 1 Crore

Asvini Foundations

Amarisa-phase1 - Ramapuram - 4500/sqft
Amarisa-phase2 - Ramapuram - 4250/sqft
Akshita - Madipakkam - 3800/sqft

Casa Grande

Riveira - Palikkarnai - 3450/sqft - before discount 3600/sqft
Silver Oak - Perungudi - 4300/sqft - before discount 4500/sqft
Madhuban - Madipakkam - 3300 /sqft - before discount 3500/sqft
Mylapore - R.K.salai - 12500/sqft
Plots
Ponmar -785/sqft - before discount 825/sqft
Maraimalainagar - 790/sqft - before discount 825/sqft

CeeDeeyes - Chenni Pattinam

Basic Rate - 1600/sqft All Inclusive - 2075/sqft

Chaitanya shanthiniketan

Sunnyvale - Ayanavaram - 4850/sqft
Serena - Rajkilpakkam - 2550/sqft
Gardenia - OMR - 1900/sqft
Green Park - Chitlapakkam - 3300/sqft

DLF

Gardencity - 3200/sqft - was told slash in prices expected in coming weeks.

Doshi Housing

Etopia I and II - Perungudi - 3895/sqft
Nakshatra - Tambaram - 2995/sqft - Completion May 2010
Tranquil - Velachery - 5500/sqft - Completion February 2010
Trinity park - Santhoshpuram,Vengaivasal - 3195/sqft - Completion April 2009
Serene Couny-Villas - Santhoshpuram,Vengaivasal - 2200,2600/sqft
LlanStephan - Chetpet - 9000/sqft - Completion May 2009
Sri Mahalakshmi - Ayanavaram - 4495/sqft - Ready to Occupy

ETA

Rosedale - OMR - 3100/sqft
Le Chalet - Villas - Sriperambudhur - 26 Lakhs - 37 Lakhs

Hiranandani Upscale - 4200/sqft

Hiranandani Palace Gardens - 3475/sqft

Indus Housing

anantya - Navalur,OMR - 2299/sqft + 400(other charges)
riviera villa - Navalur,OMR - 90 Lakhs onwards
habittera - urapakkam,GST - 2399/sqft + 400(other charges)
amber - Saidapet - 4750/sqft

Jain Housing

Ankush Prakas - Kilpauk - 7500/sqft - Ready to occupy
Amrit Kailash - Strahns Road - 4500/sqft - Ready to occupy
La Gardenia - Nungabakkam - 7500/sqft - Ready to occupy
Ansruta - Valluvarkottam, nungabakkam - 10000/sqft - Ready to occupy
Antariska - Kodambakkam - 4500/sqft - Ready to occupy
Eiffel Garden - Vadapalani - 4250/sqft - Ready to occupy
Saagarika - M.R.C Nagar, sea facing - 10000/12500 - Ready to occupy
Green acres - Pallavaram - 3900/sqft - Ready to occupy
Abhishek - Selaiyur - 3500/sqft - Ready to occupy.

Jamals

Orchid - Palikkarnai - 3500/sqft
Palazzo - keelkattalai - 3700/sqft
Grandeur - Velappanchavadi(near saveetha dental college) - 3200/sqft

KGEYES

3 Projects on L.B.Road, Thiruvanmiyur - 6650/sqft
Delmare - Beach road,Thiruvanmiyur - 7000/sqft
Carolina - Velachery,Taramani - 4500/sqft
Swathi - Sastri Nagar,Adyar - 8500/sqft
Kalakshetra - 8000/sqft

Landmark Constructions

Tiara - Perungudi - 4000/sqft - Completion on August 2009
Aston Ville - Vadapalani - 5500 sqft - Completion on July 2009
Tudors Place - K.K.Nagar - 6500/sqft
The Address - Adyar - 11500/sqft
The Grange - Palavakkam - 7500/sqft
Cenralia - Chrompet - 2950/sqft - prelaunch
Gem Towers - AnnaNagar - To be launched.
Mahalakshmi Heights - Ashok Nagar - To be launched

L&T Estancia
Construction in Progress
1st-3rd Floor - 3950/sqft
4th -12 floor - floor rise charge of 20/sqft for each floor
13th - 17th - 4450/qft

L&T Eden Park - 3600/sqft

Mantri Synergy - OMR
2800/sqft - with 20/floor rise
Special offer - First Floor - all inclusive
1140 sqft - 33,67,000
870 sqft - 28,50,000

Navin Housing

Dayton Heights - Nelson Manickam road - 6500/sqft + 30/sqft floor rise from 2nd floor
Subha Mangala - Ramapuram - 4200/sqft
Brookfield - Nanmangalam - 3500/sqft
Merrylands - Medavakkam - 3500/sqft

Olympia Opaline - 3441/sqft - spl budget flats available

PACE Builders

Anna nagar west - 4195/sqft - before discount 4495/sqft
Selaiyur - 3195/sqft - before discount 3495/sqft
Valasarvakkam - 2795/sqft - before discount 3295/sqft

PS Srijan

The Grand - Velachery - 5250 sqft - before discount 5500/sqft - Floor Rise applicable from 4th floor

Rajparis

Harmony - Medavakkam - 3100/sqft

Rajarathnam Constructions

RC Prince Gardenia - Perambur redhill road,Kolathur - 3600/sqft

Rajkham

Independant houses - Ayyapathangal - 2600/sqft

Real Value

Sai Skanda - Velachery - 4200/sqft
Sai Surya - Palikaranai - 3800/sqft
OMR opp SIPCOT - 13.20 Lakhs onwards

Shriram Properties

Trishakti - SIPCOT - 2750/sqft
Shankari - 1990/sqft

Sidharth foundations

Tulip - k.k.nagar west - 4800/sqft - completion march 2009
Natura - medavakkam - 3100 /sqft - completion july 2009
Visvaleela - Annanagar - 8500 /sqft - to be launched
Dakshin - Urapakkam - price TBD - to be launched
upcoming projects in porur, thoraipakkam, rajkeelpakkam, mogappair.

SIS

Safaa - Urappakam - 3150/sqft

SSPDL

Crescent - Kelambakkam - Vandalur Road - 2500/sqft
Upcoming 2 villa project one in OMR and one in Sriperambathur.

Sumanth & Co

Thiruvanmiyur - 6000/sqft
Besant Nagar - 11500/sqft

TVH

Lumbini square - Pursaiwalkam - 5500/sqft + 30/sqft floor rise from 5th floor
Ouranya Bay(Premium) - OMR,Padur - 3100,3200 + 25/sqft floor rise from 5th floor
Ouranya Bay(Budget) - 2bhk - 20 Lakhs
3bhk - 30 Lakhs
Ekanta - Coimbatore - 3100/sqft
Revata - Mogappair east - 4500/sqft
Kamya - K.K,Nagar - 7000/sqft
Metro Golden Nest - Sriperambathur - 1bhk - 15 Lakhs
2bhk - 22 Lakhs
3bhk - 28 Lakhs

VGN Group

Minerva - Mogappair,Nolumbur - 2975/sqft
3 in 1, 4 in 1 - 3800/sqft
Mahalakshmi Nagar,Thiruverkadu - 3500/sqft
Plots
Mugalivakkam - 52 Lakhs/grnd
Selaiyur - 50 Lakhs/grnd
SPKoil - 34 Lakhs/grnd
Katankulathur - 22-27 Lakhs/grnd

Yuga Homes

Shem Park - chemmenachery - 3300/sqft
Upcoming in Koyambedu, R.A.Puram(8000/sqft)



There are lots of properties and also lots of potential buyers.There is sure a sense of uncertainity among the builders and also the buyers on when to make the next move.It was evident that correction in RE prices have started to happen.

Requesting members to respond with their thoughts on the current trend.
Read more
Reply
2345 Replies
Sort by :Filter by :
  • Dear friend,

    Good feed back for those wanting to go in for their flats for own living, with further hard negotiations. I feel, the time is not still ripe for invesments in flats.

    ks2071746
    CommentQuote
  • nabishek,

    thank you very much for the inputs. your posts are definitely worth reading.
    CommentQuote
  • Excellent work Nabishek. This kind of real market facts is what I am looking for and really makes me want to visit this form. I was almost driven away by some people hitting each other with their personal views. This really helps in the knowing the current price trend before doing any negotiations with the builders and dealing with the cut throat brokers in the highly unregulated Real estate market place.

    Thanks.


    Originally Posted by nabishek
    My thoughts regarding the trend reflected in the fair.

    Chennai Proper - Area within corporation limit

    Premium High end apartments are seeing less demand and significant correction.

    Project at gandhi nagar adyar, ready for occupation available at 8000/sqft as against the earlier quoted price of 11000/sqft a significant fall of ~ 30%

    Project at anna nagar,adyar, besant nagar etc avaialable for 1000-1500/sqft lesser.

    Correction of ~10-20%.

    Chennai Suburbs - Areas within the proposed new corporations and CMDA limits

    Price are stagnating, not many new projects.Oversupply building up due to huge availability in existing projects.

    Projects in velachery, mogappair, porur etc being offered at around 3500/sqft aginst earlier price tag of 4000-4500/sqft.

    Correction of ~25%

    Chennai Suburbs - Areas outside corporation within CMDA limits.

    Lots of new projects being announced aiming at the affordable housing category, price range around 1500-2500/sqft.

    Projects in Pallikarnai, Selaiyur,medavakkam etc which had the price tag of arnd 3500/sqft is down now to 2500-3000/sqft level(negotiable).

    Heard from other sources that some projects inside jeyachandran nagar,Pallikarnai are being offered at less than 2800/sqft.

    Correction of ~30-40%

    Chennai Outskirts - Areas adjoining OMR/GST/Bangalore and kolkata Higways.

    Lots of new projects being launched at attractive rates, existing projects slashing price by more than 40%.

    Outskirts are seeing significant correction yet minimal booking.
    Pricing is around 2000/sqft against the earlier price of 3500+/sqft.

    Plot developers offering 100-250/sqft less than their earlier price.Additional sops like free registration etc.

    Correction of > 30%

    In a nutshell, Price has been stagnant and invariably most of the builders mentioned "This is the quoted price, please come for discussion we can offer for much(read as 10-15%) lesser".
    CommentQuote
  • Originally Posted by nabishek
    My thoughts regarding the trend reflected in the fair.


    Chennai Suburbs - Areas within the proposed new corporations and CMDA limits

    Price are stagnating, not many new projects.Oversupply building up due to huge availability in existing projects.

    Projects in velachery, mogappair, porur etc being offered at around 3500/sqft aginst earlier price tag of 4000-4500/sqft.

    Correction of ~25%

    .


    velacherry is within chennai corporation limits pls modify your post accordingly
    CommentQuote
  • Originally Posted by newboy
    velacherry is within chennai corporation limits pls modify your post accordingly


    I have corrected it.

    To my knowledge, many places called and sold as velachery do not fall under chennai city corporation limits.It comes under the attached adambakkam,alandur,madipakkam,ullagaram puzhuthivakkam municipality/panchayats purview.
    CommentQuote
  • Originally Posted by nabishek
    Its a premium project offering on raghavaiah road, t.nagar.It has two attached stilt+4 blocks with seperate lifts.The completion date is December 2009.

    you can get more information from their website lancor.in


    I visited their website. They seem to be an old builder in Chennai, they have given nice photos of some apartments they completed in mylapore Dr.R.K Salai all the way back in 1992.
    CommentQuote
  • Originally Posted by nabishek
    My thoughts regarding the trend reflected in the fair.

    Chennai Proper - Area within corporation limit

    Premium High end apartments are seeing less demand and significant correction.

    Project at gandhi nagar adyar, ready for occupation available at 8000/sqft as against the earlier quoted price of 11000/sqft a significant fall of ~ 30%

    Project at anna nagar,adyar, besant nagar etc avaialable for 1000-1500/sqft lesser.

    Correction of ~10-20%.

    Chennai Suburbs - Areas within the proposed new corporations and CMDA limits

    Price are stagnating, not many new projects.Oversupply building up due to huge availability in existing projects.

    Projects near velachery, mogappair, porur etc being offered at around 3500/sqft aginst earlier price tag of 4000-4500/sqft.

    Correction of ~25%

    Chennai Suburbs - Areas outside corporation within CMDA limits.

    Lots of new projects being announced aiming at the affordable housing category, price range around 1500-2500/sqft.

    Projects in Pallikarnai, Selaiyur,medavakkam etc which had the price tag of arnd 3500/sqft is down now to 2500-3000/sqft level(negotiable).

    Heard from other sources that some projects inside jeyachandran nagar,Pallikarnai are being offered at less than 2800/sqft.

    Correction of ~30-40%

    Chennai Outskirts - Areas adjoining OMR/GST/Bangalore and kolkata Higways.

    Lots of new projects being launched at attractive rates, existing projects slashing price by more than 40%.

    Outskirts are seeing significant correction yet minimal booking.
    Pricing is around 2000/sqft against the earlier price of 3500+/sqft.

    Plot developers offering 100-250/sqft less than their earlier price.Additional sops like free registration etc.

    Correction of > 30%

    In a nutshell, Price has been stagnant and invariably most of the builders mentioned "This is the quoted price, please come for discussion we can offer for much(read as 10-15%) lesser".


    Friends,

    I interpret What we are seeing now as the acceptance of correction that happened in phase 2 and not as bottoming out of prices.

    In one of my earlier posts in this thread I had stated

    "First to witness correction would be the highrise on the outskirts and premium apartment segment within the city.The land prices in the speculative areas will also see sharp corrections.I feel the indication of next wave of price correction would be reduction in rentals."

    The first part of it has happened, and the rentals are beginning to come down all over the city.There are reports of to-let boards hanging as people are unable to find tenants.

    An Interesting thing I am observing is people are swapping to locations which are equidistant to their workplace for lesser rent and where it is more affordable.For instance People from thiruvanmiyur are moving to velachery and vice versa.After sometime at both places rental will come down significantly even when supply remains and demand is the same.

    With huge oversupply building up at several pockets in the city the P/E ratio for the house will make it more unattractive for buying at such high costs.

    I believe we are in the outset of another wave of 15-30% correction.I expect this will be reflected in the prices within the end of year.

    i.e.
    Phase 3 - Correction to Right(Real) Price - Falling back to the inflation/returns adjusted project launch price(read as 2004/2005) with acceptable builders margin and correct FSI factoring.

    I have shown earlier that after phase 3 correction, The price to expect is year 2006 price + 10-15%.

    People who are serious about buying and have cash, should use this time till the correction to identify the location and project they are interested in and keep pursuing it for better deal.

    I would like to emphasize again that one should not exert beyond their capacity and should not be deterred and carried away by the downmoves and upmoves.

    The builders cannot keep going about only catering to the target segment of NRI/R2I/Businessmens/Self employed people.Though, they are able to sell the volume would not tick as fast as they expect.

    They desperately need People who have cash and wanting to take home loans to end the wait and watch and enter the market.

    Price correction and offering value for money is the only way to revive demand from this segment, not sales gimmicks.

    I request forum members to share their opinion and experiences regarding the trend they are facing while dealing with builders/land owners.
    CommentQuote
  • Dear friends,

    Any one has details of the current prices negotiated with Ruby Builders/Selayur ( a good builder ) who has got more than 15 projects concurrently running now and under progress in areas like Perungalathur, Durga Road/Pallavaram, Chrompet, Hastinapuram, Selayur different areas, Irumbuliyur, Camp Road etc. Their high end area is Rs.3500/sq. ft and it ranges between Rs. 2600 to 3200/sq. ft. in other area projects as could be seen in their web site. Any recent deals settled by members/guests who can share their experiences of settled cases and even no agreement reached yet cases. I am looking for a flat in their projects for one of my friends.

    ks2071746
    CommentQuote
  • Originally Posted by ks2071746
    Dear friends,

    Any one has details of the current prices negotiated with Ruby Builders/Selayur ( a good builder ) who has got more than 15 projects concurrently running now and under progress in areas like Perungalathur, Durga Road/Pallavaram, Chrompet, Hastinapuram, Selayur different areas, Irumbuliyur, Camp Road etc. Their high end area is Rs.3500/sq. ft and it ranges between Rs. 2600 to 3200/sq. ft. in other area projects as could be seen in their web site. Any recent deals settled by members/guests who can share their experiences of settled cases and even no agreement reached yet cases. I am looking for a flat in their projects for one of my friends.

    ks2071746


    one of my friends finalised everything then took one of his relative to see his previous projects, this friend works in CMDA and said 'NO' point blank on inspection of his projects says he deviates blatantly. the setbacks of 5 ft from the boundary are not even 3 ft.
    CommentQuote
  • Hi every one, i have joined newly with the forum. I feel it is not correct to work out the costing of any product to take a decision as in the fisrt instance. As all the members of the forum is having right knowledge on the issues, things like prominance of the location, immediate future developments in pipe line, present basic amenities, lay out feature like multi connectivity to the building, road width, present average market price of comparable project with comparable feature and quality, present status of other projects completed by the builder atleast 3yrs befoer, traveling time from the work place, nearby good school, hospital and provisional and veg stores, possibiltiy of immediate renting and sales(normal market condition), decent neibours, safety and security of ladies and elderly persons, economical balance of co owners in case of small projects having 4 to 12 units,etc., are also forms reason for price.

    We can get products at diffrent rates for many reason. quality with reasonable price is to be seen.

    Any development for a location can come only if govt undertakes infra development. Roads, Bridges, EB, water drainage, etc. cannot be made / done by any one.

    Land prices are only playing a key role in deciding the price of a flat. People are so informative in arriving the cost of construction. The replacement of land in a demand oriented area will grow where the developemts are more. Land are sold as more than gold.

    i believe many land sales are made only at future price and not on todays value. this is for the comfort. Principle of average land banck cost is also taken into account for deciding the land price.

    Mount road in chennai cannot be replaced with any other road even if the new road is wider and more attractive like IT Express way. We cant change egmore or central from its place. What happened to koyembedu vs Kothavalsavadi market. Every one can agree that Kothavalsavadi is still the option no.1 to decide the market. Broadway cannot be replaced by any one with any new best infrastructure. There are many hiddenn unknown reasons for locations.

    Coffee ranges from Rs.3 to 12/- and takers decides based on the need and not based on the costing. The reason for the price diff is not only profit but quality and comfort is also involved. I feel Rs.12/- coffee is best than the Rs.3/-. I dont want to stand in a Q in front of a doctor for this. Preventive is better than cure.(it doesnt mean all the Rs.3/- coffee are bad)

    One liter water cost Rs.12/- and a kilo of rice is given at Re.1/- (with lot of inside trading). Govt says they subsidise this. Like this many goes like. Oil, Gas, Diesel, Petrol and many more. It is u and me who subsidise for others. People below poverty line are taken care first not for their poverty but for the vote. Politicians keep them in the same status by providing frees. The real people who strugle in this world are neither the poor nor the rich. Only middle and upper middle class.

    For buidlers Undisclosed cost like Approval, Brokerage, EB, Drainage, Water connections through paid officially many goes as un official part. Many donations to all the political parties on various occassions.

    It is not correct to blame the builder alone as if they take the margin to their home. How many of us first compare the price difference as last one? For many, this goes as first option.

    For quality we can pay more nothing worng. Facilities which are needed to be paid for. Many venture with unregistered builders who will never look back after the sale. It is we the people, who drive every thing.

    Now the suburbans are like city and we could not c any high raised building inside the city(chennai). Big companies and FDI made all mess up in the setup. Govt wanted money for running their party and purchaing the MLAs and MPs. Why the outskirt projects are approved for more than one plus one. What is the need? If the govt can approve the projects why they cann,t form the layout and sell it to all individuals. How many houses are running at low voltage? Is there any replacement for the damages? Where the money paid for development expenses have gone?

    IT professionals who changed their job more frequenty till last year now keeping quiet even at reduced salary and facilities and every day they pray god for their job security.

    There are many more behind everything. It is a race. Not all wins. It is the era where the race is only for money.

    Proper analysis wold always help even sucess is not guaranteed. Not more than this.

    No weightage / importance are is given for Good, Sincear, Straight forward People. Those who shout for rights are fools nowadays. Only money drives all and we are not driving it.

    The decision for taking a house property can be made like this in terms of budget:-

    Your present take home * 75% * 60% = 45% of your take home for paying the housing loan emi + (60% of your present savings in hand) = Over all Flat Cost

    To illustrate:

    Your present savings in hand is 5 Lakhs
    Your Present take home is say 35k

    Your safe house budget should be (35k * 45%)/emi per lakh + (60% of 5 Lakh)

    ie. 15750/(900 appx) + 3 = 20.5 Lakhs

    Thanks. If any one disagree advance sorry for that.
    CommentQuote
  • Originally Posted by vmggb1972
    Hi every one, i have joined newly with the forum. I feel it is not correct to work out the costing of any product to take a decision as in the fisrt instance. As all the members of the forum is having right knowledge on the issues, things like prominance of the location, immediate future developments in pipe line, present basic amenities, lay out feature like multi connectivity to the building, road width, present average market price of comparable project with comparable feature and quality, present status of other projects completed by the builder atleast 3yrs befoer, traveling time from the work place, nearby good school, hospital and provisional and veg stores, possibiltiy of immediate renting and sales(normal market condition), decent neibours, safety and security of ladies and elderly persons, economical balance of co owners in case of small projects having 4 to 12 units,etc., are also forms reason for price.

    We can get products at diffrent rates for many reason. quality with reasonable price is to be seen.

    Any development for a location can come only if govt undertakes infra development. Roads, Bridges, EB, water drainage, etc. cannot be made / done by any one.

    Land prices are only playing a key role in deciding the price of a flat. People are so informative in arriving the cost of construction. The replacement of land in a demand oriented area will grow where the developemts are more. Land are sold as more than gold.

    i believe many land sales are made only at future price and not on todays value. this is for the comfort. Principle of average land banck cost is also taken into account for deciding the land price.

    Mount road in chennai cannot be replaced with any other road even if the new road is wider and more attractive like IT Express way. We cant change egmore or central from its place. What happened to koyembedu vs Kothavalsavadi market. Every one can agree that Kothavalsavadi is still the option no.1 to decide the market. Broadway cannot be replaced by any one with any new best infrastructure. There are many hiddenn unknown reasons for locations.

    Coffee ranges from Rs.3 to 12/- and takers decides based on the need and not based on the costing. The reason for the price diff is not only profit but quality and comfort is also involved. I feel Rs.12/- coffee is best than the Rs.3/-. I dont want to stand in a Q in front of a doctor for this. Preventive is better than cure.(it doesnt mean all the Rs.3/- coffee are bad)

    One liter water cost Rs.12/- and a kilo of rice is given at Re.1/- (with lot of inside trading). Govt says they subsidise this. Like this many goes like. Oil, Gas, Diesel, Petrol and many more. It is u and me who subsidise for others. People below poverty line are taken care first not for their poverty but for the vote. Politicians keep them in the same status by providing frees. The real people who strugle in this world are neither the poor nor the rich. Only middle and upper middle class.

    For buidlers Undisclosed cost like Approval, Brokerage, EB, Drainage, Water connections through paid officially many goes as un official part. Many donations to all the political parties on various occassions.

    It is not correct to blame the builder alone as if they take the margin to their home. How many of us first compare the price difference as last one? For many, this goes as first option.

    For quality we can pay more nothing worng. Facilities which are needed to be paid for. Many venture with unregistered builders who will never look back after the sale. It is we the people, who drive every thing.

    Now the suburbans are like city and we could not c any high raised building inside the city(chennai). Big companies and FDI made all mess up in the setup. Govt wanted money for running their party and purchaing the MLAs and MPs. Why the outskirt projects are approved for more than one plus one. What is the need? If the govt can approve the projects why they cann,t form the layout and sell it to all individuals. How many houses are running at low voltage? Is there any replacement for the damages? Where the money paid for development expenses have gone?

    IT professionals who changed their job more frequenty till last year now keeping quiet even at reduced salary and facilities and every day they pray god for their job security.

    There are many more behind everything. It is a race. Not all wins. It is the era where the race is only for money.

    Proper analysis wold always help even sucess is not guaranteed. Not more than this.

    No weightage / importance are is given for Good, Sincear, Straight forward People. Those who shout for rights are fools nowadays. Only money drives all and we are not driving it.

    The decision for taking a house property can be made like this in terms of budget:-

    Your present take home * 75% * 60% = 45% of your take home for paying the housing loan emi + (60% of your present savings in hand) = Over all Flat Cost

    To illustrate:

    Your present savings in hand is 5 Lakhs
    Your Present take home is say 35k

    Your safe house budget should be (35k * 45%)/emi per lakh + (60% of 5 Lakh)

    ie. 15750/(900 appx) + 3 = 20.5 Lakhs

    Thanks. If any one disagree advance sorry for that.

    Nice view expressed here vmggb1972.

    Thanks for the math to estimate the loan eligibility.I am noting it down for future reference.

    Agree with you that land transactions happen taking future price into consideration, and more importantly the type of use that land can be put to use.If its for a commercial complex, multi storied building of 2.5 FSI or a stilt + 4 flat, G+1 building of 1.5 FSI also plays a role in deciding the price.Opportunity cost is also considered.

    People pay high premium cost for the kind of ambience and amenities they want for living.Posh areas are priced high because the price tag screens away people aspiring to be rich from those who are really rich.People buy in posh places only for self use and seldom for renting purposes.

    When one pays 50 rupees for a cup of coffee/tea at a cafe, its not just for the quality of beverage its also for the time one gets to spend there and kind of non invasive environment thats extended.The extra cost is for the luxury, not necessity.

    I believe thats a niche segment, and their spending and investment do not reflect the sentiment of rest of the people.

    Let me try to explain todays scenario with an analogy

    A person owns a tea stall adjacent to a 5 star hotel.Seeing the fascination people are having for 5 star status, and the spendthrift nature of the people coming there(floating demand), He decides to use the opportunity and names his shop "5 star tea stall" does some minimum alterations by taking bank loan and pegs the price of 50 rs for a cup of tea.

    Initially the tea stall owner was lucky to find few Foreigners who bought from him thinking its just $1 for them, thus encouraging him to hold on to the exorbitant price.

    The regular customers(local demand) who would have bought from the tea stall if the price was Rs.10, realize If they had Rs.50 they would rather walk into the five star hotel pay some extra and enjoy the ambience than have this tea outside at unjustifying cost.They begin to look and go elsewhere.

    Slowly with the sales coming down,profit diminishing, cost of inventory and debt growing the owner realizes that he aint as big as the shop's name and locality.The owner is stuck in a position to make a choice whether to resort back to value based pricing and attract the old customers or to be doomed without trace.Its a matter of survival.

    Similarly today, builders fail to provide value for money in terms of monetary worth or in terms of ownership/living experience.This is the reason why pricing is being looked first and debated so much.
    CommentQuote
  • Originally Posted by vmggb1972


    Coffee ranges from Rs.3 to 12/- and takers decides based on the need and not based on the costing. The reason for the price diff is not only profit but quality and comfort is also involved. I feel Rs.12/- coffee is best than the Rs.3/-. I dont want to stand in a Q in front of a doctor for this. Preventive is better than cure.(it doesnt mean all the Rs.3/- coffee are bad)



    Hi vmggb1972,

    Sometimes high price does not guarantee quality. It is always important to do research and arrive at a value/price equation yourself.

    At Tiruvanmiyur, an apartment with good builder will be charged Rs.8500-Rs.9000/sq.ft. However these problems are there in Tiruvanmiyur a) some fishermen huts will be very near the apartment b) heavy road traffic particularly not safe for retired people c) higher population density with many old houses converted into bachelor mansions d) unclean main roads.

    Did Rs.9000/Sq.ft provide you quality?

    On the other hand,
    At Egmore in Casa Major road near Don Bosco school, an apartment will cost Rs.6500/sq.ft. Egmore is fantastic a) Its posh b) heart of chennai c) ideally located between spencers, central, egmore station, nungambakkam and chetpet. d) some of city's best colleges and schools c) low population density e) located far away from IT corridor maintaining the old south madras charm.

    Rs.6500/Sq.ft in Egmore (less then Tiruvanmiyur) gave you quality.

    Parts of West Tambaram at less than Rs.4000/sq.ft are posh, calm and peaceful residential suburbs. Population density in West Tambaram is less then Tiruvanmiyur and is a good locality with independent bungalows, smaller apartments. Unlike Tiruvanmiyur which is noisy with high population density West Tambaram is calm residential suburb.

    At less then Rs.4000/sq.ft West Tambaram gave you quality.
    CommentQuote
  • Many of the objections and issues are discussed in detail and there should be an end for to take a decision. I belive nothing can be achieved over text or oline. If u want something to happen go and work on the spot. Realise the ground reality over there. Come to a conclusion. If we have doubt and analysis we never do anything other wise than to think always. What ever be the findings one shuld achieve it via negotiations. One cannot work hard for what he cannot get. The best say by Cho Ramasamy " we should find an option which is least damaging. There is no point in expecting everything perfect. If so we get nothing". Our friends should keep this in their mind and come to a conclusion.
    CommentQuote
  • Originally Posted by madrasi
    one of my friends finalised everything then took one of his relative to see his previous projects, this friend works in CMDA and said 'NO' point blank on inspection of his projects says he deviates blatantly. the setbacks of 5 ft from the boundary are not even 3 ft.


    Dear friends,

    More views about Ruby Builders especially on the current rates settled/under negotiation in their projects are welcome pl. In small/medium projects of G+1 floors, hardly any promoter is maintaning 5 ft. gap/setback from the boundary. It is seen between 3 to 4.5 ft. mostly and very rarely 5 ft.

    ks2071746
    CommentQuote
  • Originally Posted by ks2071746
    Dear friends,

    More views about Ruby Builders as well as the current rates are welcome pl.

    ks2071746


    Dear Friend

    Pl provide us the following info.
    1. Total land extent
    2. UDS to be conveyed
    3. Carparking Frontage
    4. No of Flats constructed
    5. No of floors
    6. % of comon charges loaded on the selling area
    7. Present stage of Construction
    8. Time required for delivering the possession
    9.Distence from basic amenities
    10. Road width and is there more than one conectivity to the project.
    11. Other basic features of the project like flooring, joineries, plumbing, electircal and painting.
    12. if u have anything to highlight as the project feature other than in 11 above the details
    13. Present offer price by the builder
    14. Have u seen the previous project completed by the builder (i know they have done enough in these location) and have u interacted with any of the flat owners to decide the committment of the buidler in fulfilling their promise
    15. Facilities like EB, Water, Drainage / Septic tank etc
    16. Any other info as u wish

    Then we can work out the normal price

    Thanks
    CommentQuote