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.
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  • Unlike China, which has adopted a slew of measures to cool its once red-hot property markets India still lacks regulation to stem price rise and tackle the shortage of affordable housing for its burgeoning urban population.


    Why property prices in Mumbai are likely to fall - Business News - IBNLive
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  • Finally many end up here:ForeclosureIndia.com | Bank Auction Properties | Preforeclosures | Bank Foreclosures (it will become hot website soon)

    Recently i met my friend who bought 70 L appartment. He is running all the way to pay loan.

    It works well as things are good if any small change in plan they are out and end up in above link i mentioned.



    Originally Posted by vettipayyan
    Hmm. well .. my 6 months of property search says that.. affordability always does not translate to value for money at least in Chennai RE. I am mainly talking about the 35-50 L segment.

    This represents many who settle down for lower sized apartments like 900 sf or they settle down very far off from city by sacrificing their original requirements and these may not even be worthy apartments. Why this happens is because they are scared of losing out on the dream of buying a house in Chennai , where the current prices, in no way reflect the actual demand.

    Even in other categories like 50-75L people are stretching themselves by 10-15 L more than budget by squeezing every ounce of their loan eligibility. Hardly 20 % of the buyer purchase using their huge savings or profit from earlier sold property..

    So this kind of demand is not good as this doesn't mean "Buyer isnt speculative" this means "Buyer is scared of never being able to buy a house". I have seen atleast 20 instances in various projects where booked flats get release due to rejection of loans. On further analysis this might be a bigger number.

    A builder near Inner Ring road (near Velachery) quotes his apartment as 7K where as the rate is 4.5K to 5 K . He told me the reason is its a premuim project. I asked what is so premium.. Will we have facilities like fully furnished flats, jacuzzi , parks etc. He immediately said we are open to negotiation. Then i repeated my question. He said sir that is the going rate in that area and we have a small park and we are premium.
    This project has its compound "on the banks of Velachery Canal" and hope they dont call it lakeview apartments :) . I am sure inspite of being close to proposed rail station, this canal may be an obstacle in future resale etc. But he said there is a great demand for this! Again this project will face unrealistic demand which does not mean Chennai is back on this legs :-)

    I agree with demand for rare options like Hiranandani or ceebros where the buyer get value for money. But these G+2 builders with stinky apartments and zero sunlight blocks, quoting exorbitant prices, which get booked like a Ceebros apartment, is not due to the increasing demand exactly but to avoid losing out of the race completely.
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  • Let's look at the positive side, when there is heavy financial commitment people will start taking their career seriously and eventually productivity of workforce will increase.

    Until I bought my first house, I was spending recklessly and didn't really care about my job, only after I got committed financially I started budgeting my expenses and learnt financial discipline. I was also very keen to get salary increments and worked hard to improve my career.

    It works both ways ;)
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  • Love4Land:
    I completely agree with you if you are coming to the thoughtful decision based on your need and the level of risk you can take and if Risk occurs what is the fallback mechanism you can depend on. If somebody has thought all this and arriving its great.
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  • The other fact also is that salaries increase but your EMI stays constant.

    I would say within a five year period for most people in India salaries double easily. So the EMI might look big initially but later on it eases.

    But I would not suggest people to take loans > 10 years. It does not make sense with high interest rates.
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  • I would suggest people to take maximum possible tenure their amortization limit allows but follow strict financial discipline and pre-close as early as possible.

    This way they will have some buffer during contingency. If lets say EMI for 10yr loan is 70,000 and 20yr loan is 40,000 they can go for 20 yr loan and earmark 30,000 each month for early repayment. It will be as good as takin 10yr loan then because interest portion in EMI is same in both cases.
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  • Yes, by doing principal part repayments we can minimize the interest component of EMI.
    Moreover most of the banks don't levy penalty for this repayment.
    BTW....any chance of Interest rate cut in the forthcoming months?
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  • RBI has come out with clear instruction last year to not impose penalty for part payments or pre-closure. I closed a home loan last year and didn't pay a single paise as penalty.

    I don't foresee any interest rate cut in near future as inflation is still very high.
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  • Agree with Love4Land. Interest rates are unlikely to fall. They may be even increased if crude oil prices hike and/or Rupee goes down against USD. The Union Govt would prefer to curb inflation rather than help RE industry in next 2 years.

    The period btw 2002 to 2007 was truly a golden area for home loan availing folks, we had very low interest rates relatively and also fairly moderate RE prices (except pockets like in IT Highway). They will not return , at least in next 2 years.
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  • Originally Posted by braveman
    Yes, by doing principal part repayments we can minimize the interest component of EMI.
    Moreover most of the banks don't levy penalty for this repayment.
    BTW....any chance of Interest rate cut in the forthcoming months?


    I see a 50bps reduction by the end of the year. It will happen after the diesel price hike which is scheduled as presidential election is over.

    The economy is in doldrums, companies are paying huge amount of interest.
    Govt will force central bank. Subba rao cannot hold off forever.

    However it is not going to help realty industry in any way. A small interest rate reduction is not going to bring in lot of sales. Realty is more tied to economic growth.

    Inflation in food might slow down a bit after the rain situation gets better.
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  • Originally Posted by ramki830

    The period btw 2002 to 2007 was truly a golden area for home loan availing folks, we had very low interest rates relatively and also fairly moderate RE prices (except pockets like in IT Highway). They will not return , at least in next 2 years.


    It will never happen. It was a mistake by govts across the world to have done that.
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  • Nabhishek,
    Did you collect all of this information from Fairpro 2012? If so, in your opinion, has this changed in the last 6 months since you posted?

    I am planning on buying something in south chennai (OMR road, Thoraipakkam, Sirruseri) area and would like your opinion on prices there

    Thanks
    Mitul Zaveri




    Originally Posted by nabishek
    Hi Friends,

    A round-up from FAIRPRO 2012



    The general mood in the exhibition was upbeat and most of the builders claimed very good sales. For ongoing projects, Price has stagnated and remains the same since the hike in late 2011. Many new projects have been launched and they have been marked up by another 10-15%. Projects were focussed along Porur-Poonamalee Stretch.

    Sorry for bumping this old thread.I feel this thread captures the essence of Chennai RE since Fairpro 2009 and this post makes more sense here given all the discussion/debates we have had on this thread.

    FAIRPRO 2009 : http://www.indianrealestateforum.com/12854-post1.html
    FAIRPRO 2010 : http://www.indianrealestateforum.com/58298-post407.html
    FAIRPRO 2011 : http://www.indianrealestateforum.com/168891-post466.html

    Please do share your views.
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  • Originally Posted by k11
    It will never happen. It was a mistake by govts across the world to have done that.


    It was a mistake but do you seriously think politicians (across world) are ready to acknowledge that?

    IMHO, politicians in all democracies love asset inflation and easy money. India is no exception and we will see lower interest rates. But not in near future. 2002-07 period in India was possible because the preceding period (1997-2002) saw very high inflation virtually driving out all speculation and also helping to clean the BS of all big lenders.

    I remember reading Aswath damodaran who said that in Long Term lending rates in India should converge with the rates in developed nations. But that is some decades away, but surely we will see lower rates in future.
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  • Originally Posted by ramki830
    It was a mistake but do you seriously think politicians (across world) are ready to acknowledge that?

    IMHO, politicians in all democracies love asset inflation and easy money. India is no exception and we will see lower interest rates. But not in near future. 2002-07 period in India was possible because the preceding period (1997-2002) saw very high inflation virtually driving out all speculation and also helping to clean the BS of all big lenders.

    I remember reading Aswath damodaran who said that in Long Term lending rates in India should converge with the rates in developed nations. But that is some decades away, but surely we will see lower rates in future.


    I agree with your views.

    Monetary easing is forcing us with less choice.
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