hi wish to know the ongoing rate for old flats in good residential areas of tnagar like ragavaiah road somasundaram street. Is the flat rate depend on the uds.(if the uds is high then flat rate is high)
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  • Rental yields in our city is very bad.You get 3 or 4% returns in residential and 6 to 7% in commercial.It will not make economic sense.But again if you are gonna live then any piece of real estate is a good investment.:)
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  • Originally Posted by muthu_ram
    Rental yields in our city is very bad.You get 3 or 4% returns in residential and 6 to 7% in commercial.It will not make economic sense.But again if you are gonna live then any piece of real estate is a good investment.:)


    It is incorrect to see rental yield of a property in terms of % of current value alone. The key highlight is that rentals keep on rising over period of time.

    While in suburbs, in far off places, rentals are suppressed by the risk of huge looming supply of newer and better apartments, in places like TNagar, there is no scope for fresh supply, so rentals will increase further even in a stagnant economic environment.

    In early 1990s, a resi apartment in TNagar (best ones) commanded Rs 1000 rent pm (or around) Today it is 20K and more and based on what you can invest in refurbishing , you can get what you want. And this wil get better.
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  • Originally Posted by muthu_ram
    Rental yields in our city is very bad.You get 3 or 4% returns in residential and 6 to 7% in commercial.


    Those are pretty awesome numbers by Indian standards.
    4% I say a very good return. 5% is excellent. 3% is decent.

    Many Indian cities are still struggling at 2%.
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  • Originally Posted by k11
    Those are pretty awesome numbers by Indian standards.
    4% I say a very good return. 5% is excellent. 3% is decent.

    Many Indian cities are still struggling at 2%.


    I completely agree.I think out of the big cities Hyderabad is the worst.
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  • old flats in tnagar were built under old fsi rules. if you apply new fsi then the chance of building double the flat size or even 2 andh half times is possilble. In such a case it will be wise to find out flats which are in the redeveloping condition and invest . In such a case what will be the rate at which you can buy old flats with good uds in tnagar
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  • Because of Revised guideline values is their any change in on going rates for old flats in tnagar what is the current rate is it based on uds
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  • Hi
    The rate for old flats are mainly depend on the Market value of the land, UDS portion and the eligible FSI for constructing new apartment today. These three are major factor which decides the rate of the old flats but there is also some hidden things like the cooperation of the existing owners and their legal rights of the Flats. Since it is a point which can make or break the demolition and construct the new apartments. So calculation of the value of the flats is tricky one.
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