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16 April 2012

New Approach Towards Buying Homes- Rented Living

There was a time when people used to dream of owning a home. This was the biggest and first dream every newly married couple would have, that is to have a roof over your head. Be it a one room kitchen, a two room kitchen or a two bedroom hall kitchen or a bigger flat, everyone just had to have a home of own.
Thane city ahs shown tremendous progress in terms of house constructions and with villas to duplex apartments , there is place for all luxury living here. But I have seen a change, a change for better coming up now as the rates of houses are increasing the new thought coming up is, is it worth purchasing a home?
The west has been showing constant change in values and progress financially and as we all know buying a flat in the States or any foreign country is so expensive people prefer staying on rent. There are so many advantages in this as they save on the commitment of a home loan and since the pressure of repayment is not there they can enjoy their income and save accordingly. And as the situation changes they can shift to another locality. Even in Mumbai the same trend is going on and as homes have become unaffordable and buying a home on home loan is becoming more and more of a dream unreachable.
Let us try to understand this new concept in home living. Since homes cost more than a crore and your life's most precious years go in the tied down feeling when you are bound with the repayment of a huge home loan, people are trying this new age mantra. The sum amount of a crore is too big and when you invest this sum you are assured of some income every month when invested in a good financial institution. A good financial consultant or financial planner can help you to plan your life according to the finances available. Since the future is unpredictable people are getting scared to commit for say 15 to 20 years ahead with a home loan.
The policies are changing and the rules for lending and borrowing are changing constantly and it is always understood that borrowers are always at the receiving end for any changes and they have to shell out the extra money to balance any changes in rules on loans.
So now people are accepting the way of living of the west. The culture of living in rented apartments is the latest trend going on and as many upper end companies offer good home rent it is also very easy and convenient. You save your precious finances that come into your home every month in form of monthly income and also an important part is that there is no burden of a  home loan   that  is hanging constantly over your head!
New Era in Home Living
With house rent been offered in 20 to 25 thousand rupees or more according to your post in the company people are free to choose the best locality near their work place offering posh luxury homes with fully furnished and having latest amenities on rent. Living in rented houses is no longer a taboo subject and people have accepted this new trend of living in a rented home.
It does work out fine if you are not attached with the dream of owing a home. You save every month the amount that would go into your home loan and invest this amount in a fruitful venture or investment option. Paying an EMI every month that comes to 50,000 or more Rupees for a small flat and that too for many years is just not practical now adays. With the tsunamis and earth quakes pondering every now and then the future has become unpredictable ,so just enjoy! when your home owner increases rent move on!

15 April 2012

The Scenario On Home Loans Thane City in the Year 2012

Home loans and home rates have been increasing steadily and with no hope for new buyers. The hope of any lowering of home rates has now been stabilized and there seems to be no benefit to the borrowers of home loans. Many unsold houses and lowered numbers of new home loan borrowers, all has led to a stand still in the housing sector industry.
The ray of hope from any changes in the home loan rates and home rates in 2010 from the Government have been to no avail. All the government policies though having changed considerably there seems to be no respite from the pressures of repayment of big home loans. The builders have stalled projects taking more time and delayed construction due to expenditure involved in processing and approval of registered construction societies , there seems to be a slack in the home loans scenario front.
Slim House in Japan

Till 2010 middle class people had the hope of purchasing new homes, maybe on the outskirts of the city, but now the rates have increased off hand and the budget on buying home seems to go haywire! Does this indicate that there is no movement in the housing sector? no. the black market is still flourishing and the only people still continuing to buy new properties are those who have money and need to invest in the housing sector. The movement is slow and gradual but many new buyers who are purchasing property are doing so for investment purposes and not for staying. Either the flats purchased are given on rent or kept locked for the property to appreciate in value.
Homes seem to be smaller and smaller with less carpet area available and there will come a time when houses will be compared to small nests. Area per square feet are increasing, and in many areas where we had enquired the rates were 2000 to 2500 just few years back have increased three and four folds making the rate 5,500 to 6,500 per square feet. The rates in Thane city have increased from 25 to 30 lakhs for a two bedroom hall kitchen to nearly sixty to seventy lakh rupees which is soon going to cross the crore line for bigger flats!
Many people who really need to buy homes are at a question whether this deal is worth it? putting lakhs of rupees and paying heavy interest rates on home loans and when the ownership time will come after many years, will the property rate appreciate so much so that they profit? think about it!