All posts by Indian Real Estate Advisor

Farm Land for Sale in India

http://bigindiafarms.com/images/indiafarms_pic2.jpgHello Folks, at a time when the global economy is slow and stock markets remain volatile, here is a solid investment opportunity that can give both annual income and capital appreciation.

  • A reliable agri-company in our network has arranged 500 acres of farm land in India from only Rs 1.95 lakh/acre (very attractive land price and offer available only  till land supply lasts).
  • The company is founded and run by professionals with IIT/IIM background with international business experience, who are using their professional management experience in the area of farming and land development, which can give better returns than other investments.
  • The company has about 800 acres under management, with 300 acres more in pipeline.
  • All these farm lands have appreciated more than 200% in last 5 years, and have been the best investment in our portfolio.
  • The lands are in central India (contact for exact location details), where the company has a strong presence and experience in organized farming. Investors from different locations have already bought these farms, because the farming operations are managed by the company. So your location does not matter. Continue reading Farm Land for Sale in India

Indian Real Estate Sector Review 2012

FY2012 was a very challenging year for the Indian economy. The year witnessed turmoil as the GDP growth rate came down to 6.5%, the lowest in the last 5 years. This was a result of the various macro-economic factors, global economy being at the brink of a recession, financial turmoil in the Euro zone and slowdown in the economic decisions (or lack of them) by the Indian Government and the 13 consecutive interest rate hikes by the Reserve Bank of India (RBI).

Amidst a slowdown in economic growth, the Indian real estate sector continued to face a challenging environment. With an overall decline in volumes, pricing was a key issue in some geographies marked by over-supply and lack of sustained economic activity. Key markets were also impacted by policy inertia, leading to significant reduction in volumes on account of lack of fresh approvals.

On the regulatory front, the Indian govt has proposed Land Acquisition Bill and Real Estate Regulation and Development Bill. These Bills are yet to achieve consensus and enactment. Continue reading Indian Real Estate Sector Review 2012

Annual Letter from HDIL (Housing Development & Infrastructure Ltd)

Here is the Chairman’s annual letter from HDIL (Housing Development & Infrastructure Ltd), one of India’s leading real estate company with a strong base in Mumbai metropolitan region (MMR), having a successful track record in every kind of real estate project. The letter offers a good perspective to real estate investors like us.
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Dear Shareholders,

The year 2011-12 was a year of major economic upheaval, marked by sluggish growth, global uncertainties and low market sentiments. The real estate sector in India was severely impacted by the liquidity
crisis, high inflation, slowdown of growth, consumption and investment cycle. The slowdown in the economy and the rise in real estate prices during previous years plummeted demand across all segments of the
sector leading to a decline in overall growth in Real Estate sector during the year.

The Reserve Bank of India (RBI) increased the interest rates, to restrict inflationary forces and to curtail excessive spending. As a result, the cost of borrowings also increased thus affecting the
overall performance of the sector and thus needless to say, the industry cannot be completely immune to such repercussions. Residential segment of Real Estate saw curtailed demand due to rising mortgage
rates. Changes in regulations within Mumbai and its development control regulations also contributed to the delays in its approval processes. Continue reading Annual Letter from HDIL (Housing Development & Infrastructure Ltd)

Can NRIs Get Housing Finance in India?

Question: Can NRIs obtain loans for acquisition of a house/flat for residential purpose from authorised dealers/financial institutions providing housing finance in India?

Answer: The Reserve Bank of India (RBI) has granted some general permission to certain financial institutions providing housing finance e.g. HDFC, LIC Housing Finance Ltd., etc, and authorized dealers to grant housing loans to NRIs for acquisition of a NRI house/flat for self-occupation subject to certain conditions. Criteria regarding the purpose of the loan, margin money and the quantum of loan will be at par with those applicable to resident Indians. Repayment of the loan should be made within a period not exceeding 15 years, out of inward remittance through banking channels or out of funds held in the investors’ NRE/FCNR/NRO accounts. Continue reading Can NRIs Get Housing Finance in India?