I have got confirmed news from one of family friend who works with one of the reputed builders (from Pune), that property market in Pune is getting worse day by day. Many people who has signed but not made agreements are cancelling the deals (due to job conditions). Plenty of new projects are at High Risk. Many wise builders stopped the launch of new projects (including Paranjpe, DSK, Kumar).
People don't have money to pay EMI. Investors are not getting good rents. They want to sell off.
All in all, by Diwali rates will be down, if not the same.

You still can buy a flat if you have secured job and enough of money in hand. Those who want to take loan (more than 10L), please don't take risk.

Sansona
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  • RE prices will fall

    RE prices will fall by 25% from here.
    Bulders are in deep debt.
    wait wait...............................................atleast months
    CommentQuote
  • 8-10% fall in Mumbai wont result in any fall in Pune. If Pune rates need to fall, then some major correction need to happen in tier-1 cities like Mumbai, B'lore etc. The tier-1 cities already got corrected around 25%, but Pune did not see that correction during this time. May be we saw a 5-10 correction on select places.

    The media and folks with vested interests, especially folks like TOI print media are making sure to keep the RE bubble alive. The major TV channels are no different. Bursts might happen only at the homes where EMI is paid. Not trying to frighten anyone, but this is indeed true if jobs and salaries do not grow. The Pune builders have made sure to coat the bubble with high density coaltar, it won't even develop cracks until people the buyers realise the trap.
    CommentQuote
  • Flat 50% Discount.

    Unbelievable, but true. A Pune-based builder offers apartments at half the existing rate;... read for more by visiting the following link:-

    ]http://www.mid-day.com/news/2009/jun/240609-Krome-builders-Mumbai-builders-Vishrantwadi-Koregaon-Park.htm

    Btw, Mirchandani Palms is now quoting INR 2500/sq ft, down from INR 3500/sq ft.
    CommentQuote
  • If we go by comparable markets like cities in Japan (% of middle class, median earnings, growth of infrastructure etc).. It would be very normal for the prices to fall by atleast 60% to 70% if the Indian Currency stays at its present valuation.

    And as always, like the years it takes to build a property (3-4 years), it would take around 6 to 7 years for the real estate market to reach its true bottom.

    Anyone buying the houses in the next 2 years may even see his valuation reduce to half of the purchase price...
    CommentQuote
  • Kubix

    Originally Posted by realacres
    Unbelievable, but true. A Pune-based builder offers apartments at half the existing rate;... read for more by visiting the following link:-

    ]http://www.mid-day.com/news/2009/jun/240609-Krome-builders-Mumbai-builders-Vishrantwadi-Koregaon-Park.htm

    Btw, Mirchandani Palms is now quoting INR 2500/sq ft, down from INR 3500/sq ft.



    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area


    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area


    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area


    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area


    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area


    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area
    CommentQuote
  • Originally Posted by Sansei
    Hi,
    this kubix bldr has an undeveloped plot in front of bhairoba pumping station on north main street in Koregaon park.

    I think the proposed project should be ahead of vishrant wadi, there is no 400 acres open land in this area

    Let it be wherever it is. The fact remains that compared to the nearby projects, this builder is charging 50% less & lets be happy with it. Focus on rate/area & not the area/location.:)
    CommentQuote
  • Even if its in budget flat category, its sure to set a cat among the pigeons;) ( Bldrs r no pigeons but vultures)

    Remember the start price in areas around pratik nagar and Alandi road was around 700 -900 psf as late as 2007.
    CommentQuote
  • Gpa

    Hi chk out this article:

    ]http://www.deccanherald.com/content/9991/gpa-misuse-draws-sc-flak.html
    CommentQuote
  • As Sobha fails, Rs 8,000 cr QIPs hang in balance.

    http://www.dnaindia.com/money/report_as-sobha-fails-rs-8000-cr-qips-hang-in-balance_1268253

    India's rich list shrunk in 2008: Global survey:-

    http://www.dnaindia.com/money/report_india-s-rich-list-shrunk-in-2008-global-survey_1268573

    India's growth will be slowest in six years: World Bank

    http://www.dnaindia.com/money/report_india-s-growth-will-be-slowest-in-six-years-world-bank_1267445

    Some may ask why these news. It's because PBAP/Credai Pune is sailing in the same ship as that of Sobha, DLF etc. in terms of liquidity issues. Rest are just economic news. No money, no RE.
    CommentQuote
  • Bhai

    Originally Posted by realacres
    ]http://www.dnaindia.com/money/report_as-sobha-fails-rs-8000-cr-qips-hang-in-balance_1268253

    India's rich list shrunk in 2008: Global survey:-

    ]http://www.dnaindia.com/money/report_india-s-rich-list-shrunk-in-2008-global-survey_1268573

    India's growth will be slowest in six years: World Bank

    ]http://www.dnaindia.com/money/report_india-s-growth-will-be-slowest-in-six-years-world-bank_1267445

    Some may ask why these news. It's because PBAP/Credai Pune is sailing in the same ship as that of Sobha, DLF etc. in terms of liquidity issues. Rest are just economic news. No money, no RE.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.


    Not in same boat man. Remember ur own prevoius post.

    There might be some wind left in the sail of these bldrs. BHAI'S/ Business buddy's and biggest Daddy politicos; But their nemesis is starring in front :
    Elections.

    Monies will have to be released for funding. No bhais and proxies.

    Good IPO's on the horizon, money would be sucked out into these Govt dis-investment plan's. No business investors. (NHPC,OILINDIA,SPICE,BSNL etc)

    The winds r in the last leg.

    PS: Chk the first post regarding IT techie distress due to home EMI.
    Govt is encouraging low pay to all in pvy company, instead of direct pink slips. This spreads the pain to all employees, instead of few lay offs.
    CommentQuote
  • The media and folks with vested interests especially folks like TOI print media are making sure to keep the RE bubble alive. The major TV channels are no different. Bursts might happen only at the homes where EMI is paid. Not trying to frighten anyone, but this is indeed true if jobs and salaries do not grow. The Pune builders have made sure to coat the bubble with high density coaltar, it won't even develop cracks until people the buyers realise the trap.
    CommentQuote
  • Property has witnessed price drops by 30-50%.

    ]http://www.livemint.com/2009/06/24234542/The-Capitalist--The-economic.html

    PE Players Show Exit Route to Developers:-

    ]http://www.indianrealtynews.com/real-estate-developers/pe-players-show-exit-route-to-developers.html
    CommentQuote
  • Originally Posted by realacres
    ]http://www.livemint.com/2009/06/24234542/The-Capitalist--The-economic.html

    PE Players Show Exit Route to Developers:-

    ]http://www.indianrealtynews.com/real-estate-developers/pe-players-show-exit-route-to-developers.html
    that's all ok, but I cant see any ways of rates will be down till Diwali,
    instead rates r going up n up, bcoz lots of people r booking flats like crazy...
    even i saw people who r booking flats which having possession after 1.5 yrs with high rates...now im thinking that if i wait more time, then i will be not in condition to buy any flats :-( coz my budget for 2bhk is 25L, but in current position 2BHK costing min 30L.
    I can suggest people that,
    If ur thinking buy a flat for ur own use and the flat cost is affordable 4 u then just buy it.
    There is no reason 2 wait 4 RE down bcoz ur flat cost defenately get increse after 5yr if u stay int that.

    this is the practicle thing im saying bcoz lot of my friends who hav book flat 3 yrs back, their flat value if now more than double, but i havnt find any guys who is in loss after buying flat.
    that's all ok, but I cant see any ways of rates will be down till Diwali,
    instead rates r going up n up, bcoz lots of people r booking flats like crazy...
    even i saw people who r booking flats which having possession after 1.5 yrs with high rates...now im thinking that if i wait more time, then i will be not in condition to buy any flats :-( coz my budget for 2bhk is 25L, but in current position 2BHK costing min 30L.
    I can suggest people that,
    If ur thinking buy a flat for ur own use and the flat cost is affordable 4 u then just buy it.
    There is no reason 2 wait 4 RE down bcoz ur flat cost defenately get increse after 5yr if u stay int that.

    this is the practicle thing im saying bcoz lot of my friends who hav book flat 3 yrs back, their flat value if now more than double, but i havnt find any guys who is in loss after buying flat.
    that's all ok, but I cant see any ways of rates will be down till Diwali,
    instead rates r going up n up, bcoz lots of people r booking flats like crazy...
    even i saw people who r booking flats which having possession after 1.5 yrs with high rates...now im thinking that if i wait more time, then i will be not in condition to buy any flats :-( coz my budget for 2bhk is 25L, but in current position 2BHK costing min 30L.
    I can suggest people that,
    If ur thinking buy a flat for ur own use and the flat cost is affordable 4 u then just buy it.
    There is no reason 2 wait 4 RE down bcoz ur flat cost defenately get increse after 5yr if u stay int that.

    this is the practicle thing im saying bcoz lot of my friends who hav book flat 3 yrs back, their flat value if now more than double, but i havnt find any guys who is in loss after buying flat.
    that's all ok, but I cant see any ways of rates will be down till Diwali,
    instead rates r going up n up, bcoz lots of people r booking flats like crazy...
    even i saw people who r booking flats which having possession after 1.5 yrs with high rates...now im thinking that if i wait more time, then i will be not in condition to buy any flats :-( coz my budget for 2bhk is 25L, but in current position 2BHK costing min 30L.
    I can suggest people that,
    If ur thinking buy a flat for ur own use and the flat cost is affordable 4 u then just buy it.
    There is no reason 2 wait 4 RE down bcoz ur flat cost defenately get increse after 5yr if u stay int that.

    this is the practicle thing im saying bcoz lot of my friends who hav book flat 3 yrs back, their flat value if now more than double, but i havnt find any guys who is in loss after buying flat.
    that's all ok, but I cant see any ways of rates will be down till Diwali,
    instead rates r going up n up, bcoz lots of people r booking flats like crazy...
    even i saw people who r booking flats which having possession after 1.5 yrs with high rates...now im thinking that if i wait more time, then i will be not in condition to buy any flats :-( coz my budget for 2bhk is 25L, but in current position 2BHK costing min 30L.
    I can suggest people that,
    If ur thinking buy a flat for ur own use and the flat cost is affordable 4 u then just buy it.
    There is no reason 2 wait 4 RE down bcoz ur flat cost defenately get increse after 5yr if u stay int that.

    this is the practicle thing im saying bcoz lot of my friends who hav book flat 3 yrs back, their flat value if now more than double, but i havnt find any guys who is in loss after buying flat.
    CommentQuote
  • Originally Posted by santosh.rawool
    that's all ok, but I cant see any ways of rates will be down till Diwali,

    Pune builders have an exhibition at London, UK. This is the info which I got from friend who visited here:-
    -----
    "I visited the India Homes fair in London today. There were four Pune builders there each of whom I had a discussion with to see what they were offering.

    Magarpatta Township:

    Projects on offer were Trillium and Sylvania. The quoted rate for both was Rs.3250 per sq ft.

    Kalpatru Builders:

    The only project on offer was Kalpatru Estate at Pimple Gurav. For this project, the quoted rates were on the lower side. For 2 and 3 BHKs, the rate was Rs.2500 per sq ft and for 2.5 BHk the rate quoted was Rs.2400 psf.

    Paranjape Builders:

    The two projects being offered were Blueridge in Hinjewadi and Crystal Gardens in Baner-Pashan. He said the best he could offer was around 57 lac for the 3BHK at Blueridge.

    Gera Builders:

    The project on offer was Regent Park in Baner. The rate quoted was Rs.3400 psf but after I persisted in discussion, the lady said that they if I booked soon, they would do the deal for Rs.3000 psf. At the 3000 psf rate, the 3BHK was priced all inclusive at Rs.57 lac."
    ------
    Based on this info, I figured out some points from this:-

    1.) The rates have dropped. Gera Regent Park was once as high as INR 86L & recently (last month) they were quoting INR 62+L. INR 57L must have made bulls nervous, seeing that the project was going for just about INR 53.5L during it's booking time! Seems ready possession will sell for price less than booking rate.:)

    2.) Magarpatta is down from INR 3750-3800/sq ft to INR 3250/sq ft. On table he will definitely go to atleast Rs.2900-2950/sq ft. Resale are doing rounds for INR 2600/sq ft here.

    3.) Kalpataru (I think it is a CIDC-CQRA certified project). Despite this they are reducing rates. Last year not a single major builder in Pimpale Saudagar was quoting less than INR 3200/sq ft. This means good quality at lower price which proves the RE bulls theory wrong of cheap quality.

    4.) Paranjape:- No comments. :(Both these projects have been delayed, Crystal Garden was supposed to complete by Apr 09 including both the phases (phase 1 was to be complete by Sep 08). Better check out ready possession apartments at Camellia doing rounds for sub-INR 50L nego.
    Funny to see INR 1Cr+ house in Forest Trails at Mulshi!:p

    Good to see that builders are quoting lower prices to even known NRIs. Let us see what happens in next exhibition. Maybe no Pune builder would be here!:D

    You need not wait even till Diwali. Prices are already falling & will crash very soon. :)
    CommentQuote
  • Atleast till elections???
    CommentQuote