Announcement

Collapse
No announcement yet.

Peace and Prosperity by Real Value in Tharamani, Chennai

Collapse
X
Collapse

Peace and Prosperity by Real Value in Tharamani, Chennai

Last updated: December 26 2018
947 | Posts
  • Time
  • Show
Clear All
new posts

  • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

    In current context, Base price is a big misnomer. Even in the forum , all of us discuss at base price only.

    If you are an investor, always look at the fully loaded price per sqft which includes base price + all other charges + interest ( in case of home loan ) and even add transport charges as Srivat had mentioned in a post.

    If for end use, no problem. the parameters vary considerably. location and quality matter most here.

    Comment


    • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

      Yes, I agree with what you say.. However, the total cost (Base price + Other Costs + Interest Charges + Inflation % + UDS appreciation along with a reasonable margin :-)) all should be considered when one is selling a house / apartment....not just when we are 7-8 months into this investment..

      Opportunity cost is truly what you would have earned if you invested the same money into some other opportunity for this period...
      Why are we including the other costs when the construction is yet to start, progress and handover is 3 yrs away.. To simplify, for now, Opportunity Cost is what you would have gained if you had invested the advance, say the advance of say, Rs 5 lac rupees in FD, Gold, Mutual Fund, Stocks, another Plot or any other asset..

      The ideal match would be with some other venture (the same asset class) ie what you would have earned if you had invested in some other real estate venture... You can't compare apples with oranges...

      Hence, given all this, at this point of time, I would say that this is a Break even (considering the appreciation)

      Comment


      • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

        Rajan, You are correct at this point of time. What I was trying to highlight is the overall scenario when you get the apartment in hand.. as the decision to stick with this or move away is dependent on the overall scenario till possession and not the current postion at this point of time..

        However looking at the prices in the nearby projects in the location, I think there would be good appreciation by the time the project is handed over and the math should work out in your favour.. All the best
        Last edited August 17 2013, 07:17 PM. Reason: additions

        Comment


        • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

          Originally posted by nrajan1981 View Post
          Yes, I agree with what you say.. However, the total cost (Base price + Other Costs + Interest Charges + Inflation % + UDS appreciation along with a reasonable margin :-)) all should be considered when one is selling a house / apartment....not just when we are 7-8 months into this investment..

          Opportunity cost is truly what you would have earned if you invested the same money into some other opportunity for this period...
          Why are we including the other costs when the construction is yet to start, progress and handover is 3 yrs away.. To simplify, for now, Opportunity Cost is what you would have gained if you had invested the advance, say the advance of say, Rs 5 lac rupees in FD, Gold, Mutual Fund, Stocks, another Plot or any other asset..

          The ideal match would be with some other venture (the same asset class) ie what you would have earned if you had invested in some other real estate venture... You can't compare apples with oranges...

          Hence, given all this, at this point of time, I would say that this is a Break even (considering the appreciation)
          Yes you are perfectly correct. The discussion came in because of your previous message

          Originally posted by nrajan1981 View Post
          Most of us who booked at 6000/- earlier assuming 8-8.5% interest for 1 year, the interest would be Rs 500; as against the current booking rate of Rs 6593/- sft and the neighboring venture Rs 7000 per sft (KGS rate from beginning is Rs 7000 per sft).. so for now, it is approx a breakeven for our investment...
          What you are talking about is an notional price rise. Question to you

          1) Will you be able to transfer your flat at 6593/- when builder has inventory in the same price?

          2) What is the maximum delay you can tolerate for your investment to be profitable?

          I know you have paid only 5 lakhs but there are few others as well who have already paid 15%. Think about the opportunity lost for them.

          I am just applying time value money concept. Todays 5 lakh may be worth more then year or 2 down the line and your realization has to beat the inflation and other factors.

          If for end use it is fine. If the apartment is brought for investment purpose any delay can derail the investment target.

          Comment


          • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

            Dear All,

            Thanks for all who have joined in the recent discussion.

            I request every one to think that, this is the discussion and we are (Either booked or thinking to book or volunteer for valid advice) helping each other on our future house / investment. So, please please please write your doubts or clarifications in the form of discussion. Thanks.

            I think there is some point on Rajan's view. Well. SKpadman, most of them paid in advance 5L and you have paid 15% which is slightly above 2 time of 5L. My opinion is, Even if the project start with in this year, you will not have loss. which is Increase in property price + choice of selecting the flat + Location + Future appreciation - Opportunity cost.

            In any development within the city limit location like P&P, there is no history of prelaunch price = developer inventory price. The developer will calculate the inflation, opportunity loss, increase of material/labour/land etc etc.

            So, Srivat's first question is not practical. today 5L value beaten after 2 years by inflation is good. Because the rest of the amount, we will pay less value of today's committed price due to inflation. more over the value of flat will be higher due to inflation too. because this 5L helps to lock the price for us.

            The second question is very logic. To answer this question contains of many factors and risk too. I have given some points in my previous posting. Further, depends on individual requirements and the developer efficiency.

            Thanks Rajan for the update of Launch in Sep'13. I guess they may track till Oct or Nov'13. let us hope for the best.
            Last edited August 19 2013, 08:18 AM.

            Comment


            • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

              Naveennnnn are you there? any updates from your side? Thanks

              Comment


              • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

                Ya I am there,But have to be a silent spectator :-) since no updates from my side

                Comment


                • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

                  Hi Naveen & Rajan, Please call RV during next week and let us see the status please. Thanks. Since both of you in Chennai now, you can have telephone contact guys. If possible, when I am chennai, I will call both and let us meet. not sure when hihihi

                  Comment


                  • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

                    Hi,
                    Same old stories from them today!!Still no firm reply yet!
                    Last edited September 2 2013, 03:59 PM.

                    Comment


                    • Re : Peace and Prosperity by Real Value in Tharamani, Chennai

                      Thanks Naveen.

                      Ohhhhh come on RV. We need a REAL REPLY from REAL VALUE.

                      Comment

                      Tags: None
                      Have any questions or thoughts about this?
                      Working...
                      X