Hi,

I could not find any threads where members have formed groups for negotiating real estate deals. Basically, I am looking for a property in Noida and thought of getting some people together to negotiate a better deal in a similar property. (Builder Apts).

There seem to be a couple of sites for buying property in groups but I was wondering why a popular website like IREF has no threads for group buying?

It would be nice to have some feedback from members and also from IREF on why this concept has not taken off on IREF, a wonderful free speech platform.

Thanks

Note: I have listed some excerpts from a couple of group buying websites! Can members identify any difference in their offering? (Anything Unique?). (All these group buying websites seem to have more or less the same business model.

1) ABC harnesses the power of group-buying and uses it to negotiate with developers for substantial discounts for each home buyer. Over XXX smart home buyers have already achieved huge savings up to Rs. XXX each through ABC’s Power of group buying! Join ABC’s unique group buying program for Savings, Quality and Delivery!

2) Have you ever planned to buy a house and visited the market? Dealt with a few brokers who didn’t have the entire gamut of projects in a particular area? Did you ever meet a developer and haggle but failed to get the right pricing for your purchase? That’s when we step-in!! At ABC.com we collate all like minded people to form a group and present it to a Developer; thereby you get a better pricing on your flat, which would be otherwise individually impossible.

3) ABC aspires to do a Groupon in the Real Estate space viz. provide builders with a platform to leverage group buying for quick disposal of their pre-launch or under - construction projects. We facilitate seller listing buyer aggregation through crowd sourcing! Individuals/ firms can enlist as affiliates and retain 80% of brokerage charged to builders/ developers.

4) ABC is a dedicated player in the online real estate group booking space. It aspires to become the largest platform for real estate crowd sourcing by using the power of the net to reach to a wide cross section of real estate sellers and buyers. We not only allow buyers to aggregate, we also provide sellers with a potent tool to offload their inventory through our website.

5) ABC seeks to empower buyers to benefit from buying in bulk. Discounts to a group of enlisted buyers is a common phenomenon. However, there are hardly any platforms which allow such aggregation. The success of group buying sites is testament to the inherent strength of the crowd. ABC also allows disparate buyers to come together, join hands and negotiate harder. For sellers, ABC allows sellers to make a quick sale to a group of buyers who have aggregated with intent to buy at a discount. ABC also provides sellers the platform to reach out to a large section of buyers at zero cost.

6) You can do group booking of your dream home in 3 simple steps at ABC - ABC negotiates a discounted Group Price with the Builders, Interested Buyers get the discount coupon online to participate in the group deal. Buyers present the discount coupon to the Builders/ABC Bookings to buy the house at the discounted price.

7) Group buying is a unique concept that facilitates property buying in cost effective and efficient manner through the power of group buying. Built around the concept of collective buying, ABC aggregates demand for real estate projects and then approaches the builder for a discount for the group that a single buyer cannot negotiate. In a group setting, Buyers can avoid real estate brokers (save commissions) and chose their representative to bargain with the builder/developer.
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  • This group buying could be used by brokers on IREF as good tool to increase sales...You could see lots of dummy buyers who may make the buyer push on black hole

    However, I agreed that in Group Booking.. you will get maximum benefits & ATTENTION from builder OR broker...
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  • Group Booking happens in LONG TERM MUTUAL TRUST.

    It is bad for a good intention and clean person to take initiative and be accused of commission out of group bookings

    It is equally bad to be taken into a ride in the name of group booking.

    Give you an example, it is so much much cheaper to buy a piece of land and build a 8 flat apartment building of your choice. You just need 8 similar minded people with 2-3 active members. Those who had gone through the process knows how ugly it turns out in reality. Eventually 4-5 people will sell their flat within 2 years. Human beings are not truly social animals.
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  • Can somebody pls throw light on this:

    1) In Group Buying how people decide which flats goes to whom ?? everybody would prefer east facing flat or may be garden facing on 1st , 4th 8th floor ??
    2) How do people agree to believe in 1 project among so many ?
    3) What drives project ? Lesser price or builder or location ?
    4) Where is the IREF link for group buying ?
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  • nice thread, more comments are required particularly from the veterans & if forming such groups is allowed on IREF.
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  • Originally Posted by Titlee
    nice thread, more comments are required particularly from the veterans & if forming such groups is allowed on IREF.



    Very much possible to form such a group, form a co-op housing society ,buy a plot of land say 2 acres ,and get a contractor to build as per your specification.
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  • Originally Posted by deepakgoyal9
    Can somebody pls throw light on this
    1) In grp buying how ppl decide which flats goes to whom ?? everyvbody would prefer east facing flat or may be garden facing on 1st , 4th 8th floor ??
    2) How does ppl agree to beleive in 1 project among so many ?
    3) What drives project ? Lesser price or builder or location ?
    4) Where is the link of grp buying ?


    1) In grp buying how ppl decide which flats goes to whom ?? everyvbody would prefer east facing flat or may be garden facing on 1st , 4th 8th floor ??
    >>> LOTTERY
    2) How does ppl agree to beleive in 1 project among so many ?
    >>> Someone decide the project/land first and then rope in other members.
    3) What drives project ? Lesser price or builder or location ?
    >>> Passion. Less price, better quality, 6-8 months possession, less maintenance fee.
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  • Indeed IREF is only meant for discussions and not for group buying.... There are many other platforms that offer group buying in terms of properties. These portals today help us understand the real estate market & prices better..

    And when in a group, we know that we’ll always be grabbing a good discount. Negotiations taking place in groups definitely provide with a good bargain. We have many group deal websites running today one of which is

    It benefits all the parties involved in it….The customer, the source and the builder. Group buying has worked for many buyers in the past and will continue to in future as well.. n I don’t think IREF promotes negotiations for group deals at present..
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  • Problem of Trust

    Originally Posted by gharondabhai
    1) In grp buying how ppl decide which flats goes to whom ?? everyvbody would prefer east facing flat or may be garden facing on 1st , 4th 8th floor ??
    >>> LOTTERY
    2) How does ppl agree to beleive in 1 project among so many ?
    >>> Someone decide the project/land first and then rope in other members.
    3) What drives project ? Lesser price or builder or location ?
    >>> Passion. Less price, better quality, 6-8 months possession, less maintenance fee.


    I beleive on any such forums,there would always be a problem of trustworthiness ,even if 5-6 ppl are readying for buying in the same project.(although its very profitable and can save anything between 3-5 lacs in group buying of atleast 10 people as builders/brokers normally provide good benefits to such ppl...i have seen this happneing in noida in many projects specially in Antriksh(Sector78), Paras Tiera(Sector 137), Purvanchal (Sector137),Gardenia-Golf City (Sector 75) where corporates like ONGC,IFFCO,NTPC,Adobe,HCL,CSC have goot wonderful deals in group bookings in the past 2 years)
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  • While IREF is certainly meant for “constructive” discussions; it provides a wonderful platform for people to come together and share knowledge and help each other. I am sure many people have immensely benefited from this forum and made WISER investment decisions and also gained knowledge.

    There could be some bias information from brokers but on the WHOLE, IREF offers a free and fair platform.


    As far as other platforms are concerned, these ‘group buying’ sites are nothing but a hand-shake between brokers and some literate IT savvy people who are trying to work out a group deal business model.

    Example: I am looking for a 2 bedroom apartment in Noida. So I start my research and check out a few properties. When I have finally narrowed down and short listed 2-3 properties, I could create a ‘Group Requirement’ for those 2-3 properties and see if there are others out there with similar interests.

    The bigger the group, the better the bargaining power. Once some people connect on a thread, we could finalize a face-to-face meeting in a coffee shop and discuss our requirements. We could then appoint 1-2 people from the group to negotiate a better discounted deal from the builder. (Brokers are not allowed in this group). It would be easy to identify a broker and his intentions when the group meets together.

    Advantages:

    - No Brokers or their vested interests in highlighting the projects of their choice.

    In case of these ‘group buying’ websites, they would have already short listed a couple of projects and got discounted rates and preset their own commissions. Then they post their project and try and find people out there. There would be limited choice on offer and brokers, brokers and brokers everywhere. Even if an IT guy heads the operations of this business model, he is in-directly a broker.

    These group buying portals are no different or better than listing websites. They are out there to find buyers like you and me and strike a deal and make their own commissions.


    However, in case of a FREE AND FAIR group buying discussion on IREF,
    WE – THE BUYERS
    would further end up saving the commissions that these group buying sites earn (that would actually be a further discount to us).

    Why have a MIDDLE MAN – These sites are nothing but brokers in disguise.

    It would be nice to have some feedback from our veterans, senior and everyone. Please pitch in so that we can propose IREF/ADMIN to look into this.

    Excerpt from IREF Announcement:
    “The readiness of this forum is to allow its members to exercise their right to free speech”.
    So please allow Group Buying Concept on IREF.

    Members could pitch in how this can be implemented and chalk out the pros and cons and how to keep such area away from brokers.

    Thank You!!!
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  • HI

    I want to express my views on the same. About 18 months ago i had a similar experience when i was invited for a similar meeting for buying in group. The offer came through a close friend and i could see only positive side of it. The main guy who took initiative was a tech savy guy who had worked in a big multinational before entering in real estate. We collected around 12 cheques after several meetings and we were told that the brokers are getting 5% discount (and passing on 4%)for the upcoming project (which was going to come soon for soft launch) . We were promised 8% instead of 4% as we had a confirmed booking of 12 flats in our hands. The guy who organized said he is a broker but he wanted to book a flat for himself so it was in mutual benefit. Finally we came to know through other sources that the deal did not go through as this guy asked extra 5% comission from builder (instead of 3% offered) on behalf of our bookings, on top of our discounts. we realized as despite builder being nearly ready the cheques were not taken. In the background he was not letting the deal get finalized as he wanted more comission from builder. The deal never happened but we understood how these group bookings function. He was hiding his face when he came to know that everyone was aware of the concept launched by him. Since the chapter is closed with a lesson learnt i would never go for the same, rather pay 3% more and have my peace or invest with close friends together.

    probably the same group is active here and doing multiple postings to encourage such things , be careful with your hard earned money and dont get lured with such offers.

    this is just my pov and feel free if you want to indulge in group bookings..that chapter is closed for me personally.
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  • Originally Posted by Bobbydel
    HI

    I want to express my views on the same. About 18 months ago i had a similar experience when i was invited for a similar meeting for buying in group. The offer came through a close friend and i could see only positive side of it. The main guy who took initiative was a tech savy guy who had worked in a big multinational before entering in real estate. We collected around 12 cheques after several meetings and we were told that the brokers are getting 5% discount (and passing on 4%)for the upcoming project (which was going to come soon for soft launch) . We were promised 8% instead of 4% as we had a confirmed booking of 12 flats in our hands. The guy who organized said he is a broker but he wanted to book a flat for himself so it was in mutual benefit. Finally we came to know through other sources that the deal did not go through as this guy asked extra 5% comission from builder (instead of 3% offered) on behalf of our bookings, on top of our discounts. we realized as despite builder being nearly ready the cheques were not taken. In the background he was not letting the deal get finalized as he wanted more comission from builder. The deal never happened but we understood how these group bookings function. He was hiding his face when he came to know that everyone was aware of the concept launched by him. Since the chapter is closed with a lesson learnt i would never go for the same, rather pay 3% more and have my peace or invest with close friends together.

    probably the same group is active here and doing multiple postings to encourage such things , be careful with your hard earned money and dont get lured with such offers.

    this is just my pov and feel free if you want to indulge in group bookings..that chapter is closed for me personally.


    This is precisely the issue. Most of the cases, there are always hidden agenda.

    Now look at the opposite side. The guy is question, for argument shake assume 200% genuine. He alone is doing all the run around, all the magaj maari and when the matter is almost closed .. you complain him as fraud!!.

    try to put yourself in that person's shoe and think how that feel!!

    In most of the cases like this, 10% people will take initiative and do all the work, 80% people will just seat and relax and rest 10% will keep on complaining ... as the things progress, there will be just 5% people working, 50% relaxing and 45% just complaining.

    It is very attractive proposition, but it does not work due to LACK OF TRUST.
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  • bhai ji, no harm in comission but BE CLEAR ABOUT IT , dont scr*w trust of people, thats it !
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  • Bobbydel bhai You've suffered, so your irritation is fair, but such group will be great for low-budget end users like me. I am looking forward to formation of such group composed of real, honest members.
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  • i have not suffered as the deal never happened but i have experienced till what extent people can cheat for money. know that it is a very impractical solution as trust will always be missing in such a thing. some one has to lead and he might be fair but doubts will be raised. Moreover know that the bigger the group is the more complicated it will become to manage. And then there will be discussions on locations to chosen : what by whom ?

    i personally think , go for bulk buying only when :

    1.you go with friends you know personally
    2.have same capacity / budget as other buyers
    3.you are sure that the guy can not have hidden motives behind the deal.
    4.the people are not combined thru platforms like this where a part of users are declared/undeclared brokers.

    Again, no offence to anyone, just my pov.
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  • Originally Posted by Bobbydel
    HI

    I want to express my views on the same. About 18 months ago i had a similar experience when i was invited for a similar meeting for buying in group. The offer came through a close friend and i could see only positive side of it. The main guy who took initiative was a tech savy guy who had worked in a big multinational before entering in real estate. We collected around 12 cheques after several meetings and we were told that the brokers are getting 5% discount (and passing on 4%)for the upcoming project (which was going to come soon for soft launch) . We were promised 8% instead of 4% as we had a confirmed booking of 12 flats in our hands. The guy who organized said he is a broker but he wanted to book a flat for himself so it was in mutual benefit. Finally we came to know through other sources that the deal did not go through as this guy asked extra 5% comission from builder (instead of 3% offered) on behalf of our bookings, on top of our discounts. we realized as despite builder being nearly ready the cheques were not taken. In the background he was not letting the deal get finalized as he wanted more comission from builder. The deal never happened but we understood how these group bookings function. He was hiding his face when he came to know that everyone was aware of the concept launched by him. Since the chapter is closed with a lesson learnt i would never go for the same, rather pay 3% more and have my peace or invest with close friends together.

    probably the same group is active here and doing multiple postings to encourage such things , be careful with your hard earned money and dont get lured with such offers.

    this is just my pov and feel free if you want to indulge in group bookings..that chapter is closed for me personally.



    if he is doing everything then he has to take his share for running around..if he is giving to you what he has promised then what is the problem...people will pay 4% to a unknown broker but not 2% to a friend....only for there loss....;)
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