Hello All:
I plan to buy a property in Aundh. Does any one know the prevailing rates for this area in the current market scenerio. I am getting unreliable information from a number of sources. I have read some real good posts on this site....please provide your valuable guidance

Thanks -
Read more
Reply
97 Replies
Sort by :Filter by :
  • Originally Posted by gsa177
    . Buyers really need to hold on to their purse strigs to bring the RE prices down by even 20%. But in the last 3 months the prices have only gone up (or we are led to believe so by media and builders). The debate continues...


    Whether you can stop somebody buying once prices drop by 10%...like somebody liked a house & /sqft rate is 3000....So he wanted to buy but wnted to get rate go down...now suppose rate down by 10%..that is 2700 /sqft...so what you think somebody will wait till it get reduced by 20% i.e.2400???

    No, This happen in theory that one have to wait till 20-30% or lets say 50% correction...But in practical life if I like some flat & will wait till at the max 10% down & than I will buy it...thats what is happening right now...

    I know ppls dont agree with me on this...But this is the reality of life...you accept it or forget it....If not then 10 years back rate in pune center areas were less than 1000 /sq ft & those rates shouldn't gone at current rates...
    CommentQuote
  • well, I agree. what I want to understand is what really happened post 2005 for the RE prices to go up so sudddenly..what was the trigger? and why were the buyers so keen to buy then?
    CommentQuote
  • Originally Posted by gsa177
    well, I agree. what I want to understand is what really happened post 2005 for the RE prices to go up so sudddenly..what was the trigger? and why were the buyers so keen to buy then?


    This happened to every thing in india in last 4-5 years...I remember we used to watch movies in theater in just 25-30 Rs almost 5 years back...Now same movie cost almost 200 Rs in multiplex & still you have to book ticket in advance (thru some online ticket booking site & they will charge you at least 10 rs extra)...Still I see ppls watch movie...

    Now come to a bigger thing...Have you seen Nov month's sales figure of all the car companies....All of them have registered more then 50% growth in the same month last year...this growth in number for Hyundai is more than 100% (due to their most popular models i10, i20 etc)....100% growth in car sales & we are saying we are in recession

    Ppls compare india's RE with US or say Dubai....car sales figure in those countries are negative for all the car companies, even TOYOTA made a negative growth in US very firs time....So we can say their economy is in recession , but in india I dont see an iota of effect of recession....You ask why....BLACK Money is the answer...when world goes to recession we have enough BLACK money that keep demand up to a level....

    Thats the reason I said BE PRACTICAL....I wont see US like reduction in RE price EVER...as in India we have so much population...what is not affordable to you maybe affordable to some one else...& what is affordable to you may not be affordable to some one else.....

    As we all know 50% of India's population can not think beyond 2 times meals daily (that is almost 500 millions, more than US entire population)....Real picture is rest around 200-300 Millions India'a population is real consumer to the various products (like car, RE or say can afford 200 Rs movie ticket) & that is almost US population.....So, in idnai when ever we see price reduction in 10-20% ppls start buying (I dont know why??? but this is truth)....So I dont see in india specially in pune we can see more than 20 or say 30% fall in RE prices....

    why were the buyers so keen to buy then?

    Again answer is black money ....those 300 millions I have described above at least 150 millions has black money in any form & Black money neither you can put in Bank nor can invest in Stocks...so safest investment to invest Black money is RE (Land or Flat)...So, ppls did that & they got very handsome returns & that leads other to try RE as investment option....

    Second is easy access to loan...those who dont have Black money & can not pay upfront for them we have ICICI & HDFC banks:D:D

    So, I think Re rate wont come down heavily in near future....But what leads me to not buy a flat for myself till now...that is QUALITY of the RE at least in Pune....You dont have any infra & then you can not live there...One more thing Rates can not justify the lakck of infra...ppls say that somewhare we dont have road seo rate should be 1500-2000 instead of 3000...I ask why the hell you want to buy it at even at 1500, when you dont have road to reach there or no water...But then GREED come into picture & once builder reduce rate from 3000 to say 2500 ppls buy without infra & later same ppls say RE rates are so HIGH:D


    OOps it became really a long post:D
    CommentQuote
  • Hi Ashish,
    That was a thorough well described ,explained post . Must have done long term analysis abut RE & Pune in particular..
    CommentQuote
  • adding to the list: a large number of good paying jobs were created in thousands in the last 5 years due to all kinds of outsourcing & companies setting up operations here...then, to serve these people with "new found money", all other ancilliary businesses like retail etc. boomed and so these businesses made money..when a lot of people have increasing disposable income, there will always be a competition for acquiring resources that are relatively limited (houses, cars, school admissions, other services etc.)...prices had no where to go but up..now there could be a slight correction here and there but as Ashish pointed out, when you have a large number of people in every single segment(extremely rich, very rich, rich, upper middle class, middle class, lower middle class, poor etc.), how can the prices come down drastically for resources which one or the other segments will definitely need?
    -Rahul
    CommentQuote
  • Originally Posted by RahulD23
    adding to the list: a large number of good paying jobs were created in thousands in the last 5 years due to all kinds of outsourcing & companies setting up operations here...then, to serve these people with "new found money", all other ancilliary businesses like retail etc. boomed and so these businesses made money..when a lot of people have increasing disposable income, there will always be a competition for acquiring resources that are relatively limited (houses, cars, school admissions, other services etc.)...prices had no where to go but up..now there could be a slight correction here and there but as Ashish pointed out, when you have a large number of people in every single segment(extremely rich, very rich, rich, upper middle class, middle class, lower middle class, poor etc.), how can the prices come down drastically for resources which one or the other segments will definitely need?
    -Rahul



    Do you mean to say, because of this "new found money", and "more disposable income", people who could not
    afford to buy in Kalyani nagar/Koregao Park can now afford to buy there?

    Dude, today most of them cannot afford even in Wakad. All the new found money is gone buying sugar itself.

    Either I am sleeping or you are, some one of us need to wake up and see around.

    One more thing, why do you feel there should be a correction now? Just for change? or there are some reasons according to you, please mention them.
    CommentQuote
  • People have not moved from middle class to upper middle class that they can afford 50-60 lac apartment. With increase in salary has increased all the prices from onions to RE. I don't think a person who before 2000 could afford an apartment at the "then" outskirts of Pune can now buy an apartment in Koregaon Park, or Prabhaat Road.
    CommentQuote
  • Another reason you can add to it is the IT ppl who are going to abroad for 1-2 yrs more than that.

    Any IT guy who is going onshore can save 10laks per year. So assume if you stay for 2 yrs you will get 20laks cash and if you don't have any flat in pune you have sufficient money to go for a real estate purchase.

    I have seen 5 cases in my co. recently. Five of my frnds went offshore and all of them bought flats worth of 30 - 45 laks in various areas.
    CommentQuote
  • Originally Posted by ash7979

    Now come to a bigger thing...Have you seen Nov month's sales figure of all the car companies....All of them have registered more then 50% growth in the same month last year...this growth in number for Hyundai is more than 100% (due to their most popular models i10, i20 etc)....100% growth in car sales & we are saying we are in recession

    Good post in total, but disagree to this one.

    In 2005-07, the largest growth was seen in the C segment cars like Accent, SX4 & then stood D segment like Skoda Octavia, Corolla, Civic etc. This was the first time when C & D segment, had growth rates more than B segment cars like Wagon R, Alto, Indica etc. for the first time.

    However, this year, it is again B segment which dominates the car bazaar indicating that people have downgraded their cars which otherwise would have been buying larger & better car. One of my friend bought a Fiat Grande Punto last week but in actual, he was planning for Honda City. Hence, Grande Punto was bought out of complusion & not out of liking :( & this should not be considered that everything is now well in the economy. Hence, don't rely solely on numbers.
    Same goes for RE, though RE sales are up, it is largely due to 20-25l flats & not 40l+ flats. Had this been the case, the builders wouldn't have modified their layout/floor plans, & prices at Baner would have been 4k+.
    Originally Posted by RahulD23
    when you have a large number of people in every single segment(extremely rich, very rich, rich, upper middle class, middle class, lower middle class, poor etc.), how can the prices come down drastically for resources which one or the other segments will definitely need?
    -Rahul

    C'mon man, will people who wanted to buy at KP will now buy at Vimannagar & those looking at Baner buy at Wakad?

    These segments were there even before the RE boom, recession & will continue to remain so even in future. At no point of time you will find people in same segments.
    CommentQuote
  • RajeshP,
    I didnt say there will be a correction; I said "there could be a slight correction here and there but..". I was talking in the context of prices in early 2009 where in fact, there was a slight correction due to recession. (see a few posts here about Kothrud property prices as compared to last year.)
    In fact, as reasons mentioned in my earlier post I know for a fact that property prices cannot come down.

    RealAcres's statement: "C'mon man, will people who wanted to buy at KP will now buy at Vimannagar & those looking at Baner buy at Wakad? ",

    I am not sure why my statement was interpreted that way. I merely meant that demand for all types of properties (very upscale to very basic and everything in between) is so big due to a large population that there is no way prices can come down.
    People who wanted to buy at KP will have to look for alternatives if they cannot afford in KP right? I am not saying they will now buy at Vimannagar or any other particular place but either they will have to reduce the sq. footage that they are looking for or look further away. I am not sure what other alternatives they have.
    -Rahul
    CommentQuote
  • Originally Posted by RahulD23
    I merely meant that demand for all types of properties (very upscale to very basic and everything in between) is so big due to a large population that there is no way prices can come down.
    People who wanted to buy at KP will have to look for alternatives if they cannot afford in KP right? I am not saying they will now buy at Vimannagar or any other particular place but either they will have to reduce the sq. footage that they are looking for or look further away. I am not sure what other alternatives they have.
    -Rahul

    Had this been the case, why slump in prices & large scale inventory? If a person can't buy in KP, how the heck will he buy at any other place in Pune? Now don't say that those who can't afford flats should stay in slums.

    You in short mean to say that stay in crap houses but pay lot more to the builder because of population? Did the population increase 3-4 times in 3 years? Similarly it seems that many people in Bangalore died due to typhoon & in Mumbai due to tsunami that prices fell/crashed here:D.
    CommentQuote
  • Originally Posted by realacres
    Had this been the case, why slump in prices & large scale inventory? If a person can't buy in KP, how the heck will he buy at any other place in Pune? Now don't say that those who can't afford flats should stay in slums.

    You in short mean to say that stay in crap houses but pay lot more to the builder because of population? Did the population increase 3-4 times in 3 years? Similarly it seems that many people in Bangalore died due to typhoon & in Mumbai due to tsunami that prices fell/crashed here:D.


    what is slump and where is it seen?
    CommentQuote
  • Mumbai suburbs crash - Auction

    Originally Posted by ash7979
    Yeah he did mentioned this, but without mentioning the builder name or area....So, you yourself judge what is the deal & what the intention to post a rate in some post without reveling any detail....


    Have a look to flats under 1 lakh -> 1,00,000 in auctions & decide for yourself if possibilities of this happening to Pune are totally ruled out or not. Below is my authentic post & you will not find more genuine info on internet than this!

    http://www.indianrealestateforum.com/mumbai/t-navi-mumbai-property-crash-auctions-started-8110.html

    If real estate prices keep growing the way they are right now, the generation who will be out of colleges after 3-5 years will live on rent life long?? paying 25K-30K rent for a 2 BR flat??

    Even after 5 years i believe a fresher will be offered no more than 5-7 lakhs as starting salary in IT, leave aside other sectors.

    & a 2 BR flat will cost hime 50,00,000 :) at that time which people have invested right now? - will he be able to buy it?

    Pls draw inferences on facts today if you want to count on future.

    Indian RE is due for correction, saying everything sold out doesn't actually sell, Lavasa are hit very bad, investors listed property in open market through brokers & after 8 months even they are looking for an end buyer. They still keep saying though that all flats near lake sold out!! - Yes but to investors mostly, city will not be inhabited before 2015 or so, & thats a huge time frame for a 2006 investor :)

    Investment rule - buy when under priced, sell when overpriced!

    Right now RE in India is overpriced for Indians, i have NRI friends who find it hard to afford a 1Cr flat in Pune & looking at quality & comparing to UK standards they get turned off.

    Next question - 1.25Cr property fetching 25K per month rent in Pune - either rent is less or property is overpriced :) - this is based on experience of a colleague from UK, as rent is expected to be 7-8% annual of property value
    CommentQuote
  • Aare realacres, I said that we have a large population to begin; I didnt say or imply that the population increased 3 to 4 times in the past 5 years. My apologies if my post gave that impression.
    Population,no, Disposable income, yes across a lot of segments of society.

    realacres: "You in short mean to say that stay in crap houses but pay lot more to the builder because of population?"

    Who am I to suggest what people will or should do...people will do what suits them at that particular point in time...i am a buyer like the rest of us here and will be ecstatic just like everyone if the prices come down...it is just that i dont see them coming down for all the reasons mentioned in the previous posts by others and I..
    -Rahul
    CommentQuote
  • Originally Posted by utopian2009
    what is slump and where is it seen?


    Originally Posted by utopian2009
    for edit for edit

    Didn't get you mike.
    CommentQuote