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Property Price Fall : Ref - Today's Economic Times

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Property Price Fall : Ref - Today's Economic Times

Last updated: March 16 2016
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  • Property Price Fall : Ref - Today's Economic Times

    Have a look at the link below. Buyers can do hard negotiation -

    Real estate headed for a significant correction - The Economic Times

    This is what indicated in my another post(in bold) sometime back -

    https://www.indianrealestateforum.co...lopers?t=17699

    Enjoy...!!!
    Loxley
  • #2

    #2

    Re : Property Price Fall : Ref - Today's Economic Times

    US realty turns hot property; Indians snapping up big housing deals

    US realty turns hot property; Indians snapping up big housing deals - The Economic Times
    NEW DELHI: India-born American realtor Jaswant Lalwani hasn't been this busy since the housing crisis in the US in 2008. "I have closed 10 deals with Indian buyers in the last three months. And I am working on another 30," he says. The Manhattan-based realtor deals with all kinds of buyers, but of late, he has got more business from Indian clients. ( Latest news on NRIs )

    Rohit Prakash, based in Austin, Texas , has for long been doing brisk business helping Americans and foreigners buy and sell property in the capital of one of America's biggest states.

    Recently, he set up American Full House to cater to Indians looking to buy homes in locations that have seen a huge price drop. An Indian buyer who contacted him sometime ago is close to doing two deals in a suburb of Los Angeles at $82,000 and $85,000 each for a three-bedroom condominium. At the peak of the housing boom, these properties were selling at close to $250,000.

    Flush with cash and keen to diversify their portfolio, Indians are busy snapping up property in the US. Buyers include rich families whose children are either working or studying there, and rich individuals in India looking for good returns. "These individuals have a minimum net worth of $1 million and are looking for properties in the $1-10 million price range," says Lalwani of Corcoran Real Estate.

    Indian buyers are mostly exploring cities such as Los Angeles, Las Vegas and other parts of southern California and Phoenix, and Miami, where prices are still 60% lower than the peak.

    According to the US National Association of Realtors , Indians contributed 7% of total international home sales of $82 billion in the US during the year ended March 2011, only behind the Canadians (23%) and the Chinese (9%). The year saw the highest home sales in America after the meltdown, and the largest purchase in value terms by the Indian community in three years.

    "The US is a mature market and very transparent. Unlike in India, it is easier to manage property there," explains Santhosh Kumar, chief executive officer of operations at global property firm Jones Lang LaSalle, which has closed about 5-6 such transactions in the last 12 months.

    The subprime crisis in the US in late 2008 was followed by a sharp drop in home prices. Even after two-and-a-half years, the country's real estate market has not recovered. Property prices have been declining for 57 consecutive months now.

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    • #3

      #3

      Re : Property Price Fall : Ref - Today's Economic Times

      DLF to raise up to Rs 7,000 cr from sale of non-core assets

      DLF to raise up to Rs 7,000 cr from sale of non-core assets - The Economic Times


      DLF, the country's largest realty firm, plans to raise up to Rs 7,000 crore in the next 2-3 years from the sale of non-core assets to cut its net debt, which currently stands at a whopping Rs 21,424 crore.


      In a presentation, DLF said it has raised the divestment target for non-core assets (including land parcels) to Rs 10,000 crore from Rs 4,500 crore earlier.(Indicating more land will be available for development)

      Yesterday, DLF had reported a 19.19 per cent decline in consolidated net profit to Rs 344.54 crore for the quarter ended March 31, 2011, from Rs 426.38 crore in the year-ago period. (If Builders are constantly saying that, Prices will not remain stable, almost prices have increased, then, with all this How there is a net decline in profit of 19.19 per cent. Of course, its happening due inflated prices and sale declining heavily. )

      The biggest Builder has these figures to show, one can imagine about the local builders or small builders.

      Inventory level in RE is very high, and Debt is also very high for builders, so, they have no option to correct the prices, otherwise, loose the customers and again lower the sales volume, which is already very low from Last six months..

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      • #4

        #4

        Re : Property Price Fall : Ref - Today's Economic Times

        Excellent, now the builders are feeling the heartburn. Let them suffer as much as they make us suffer. . What goes around comes around. This is classic case.

        Who in their right mind would purchase a over-inflated RE property. Only a person with ill-gotten money or insane person will buy.

        I heard that builders are ready for hard negotiations to complete the sale. So guys, better be prepared to negotitate and get a better deal. Also post the pricing info so that others can benefit too.

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        • #5

          #5

          Re : Property Price Fall : Ref - Today's Economic Times

          Originally posted by patilbha View Post
          The biggest Builder has these figures to show, one can imagine about the local builders or small builders.
          that may not be true for small builders... they are not answerable to anyway (except maybe their political handlers) and are trying to make a lifetime's worth in a single project itself...

          so their aim is to just get money from Bakaras and then construct at their own leisure...

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          • #6

            #6

            Re : Property Price Fall : Ref - Today's Economic Times

            Original thread psot of May 2011

            Interesting to lookback and see logic given by ET.

            No offence meant to anyone ... except economictimes

            Comment

            • #7

              #7

              Re : Property Price Fall : Ref - Today's Economic Times

              These posts belong to year 2011, when RE prices saw biggest jump of over 30% in Pune in that year. Interesting to read and look back . Will be useful for people to take balanced view. One members even gave info that Builders are huddled up in some hotel to discuss crisis of price fall. On the contrary ,IMO, they had hotel meeting to decide what is causing so much price increase and how to react to the situation.
              Last edited March 14 2016, 11:14 AM.

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              • #8

                #8

                Re : Property Price Fall : Ref - Today's Economic Times

                Wow an interesting thread which was dug up by compuwalah; Very good educative experience
                Last edited March 16 2016, 01:24 PM. Reason: user tag

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                • #9

                  #9

                  Re : Property Price Fall : Ref - Today's Economic Times

                  Originally posted by RH_Loxley View Post
                  Have a look at the link below. Buyers can do hard negotiation -

                  Real estate headed for a significant correction - The Economic Times

                  This is what indicated in my another post(in bold) sometime back -

                  https://www.indianrealestateforum.co...lopers?t=17699

                  Enjoy...!!!
                  Loxley
                  Enjoyed since 2011?

                  Comment

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