Is It The Right Time To Buy A Property
Till two years back, no one really imagined that property prices could decline so much That time it seemed almost unbelievable that realtors could actually offer so many discounts and freebies on properties But it has finally come true . .As there has been an immense decline in demand for property among buyers, realtors are taking all kinds of measure to create a surge in demand Big realtors are offering price cuts and discounts on properties and small and medium sized developers are offering freebies along with properties . . .Recently, DLF announced 20% price cuts in Gurgaon housing projects The company announced this move discourage existing buyers from defaulting on payment and induce new buying Not only this, the company has also cut prices in Bangalore, Chennai and Hyderabad by almost 20% In Bangalore, prices have been reduced to Rs 1, 850 per sq ft from Rs 2, 750 per sq ft . .While price cuts have been announced by biggies in the market, other developers are offering unusual freebies like a car free with a house For instance, RDB Developers in Kolkata has made a recent offer of giving a Nano free with its new housing project The company has decided to give the car ‘free’ with a flat for its first 50 buyers The company has booked around 50 Nano cars with Tata Motors for giving it free with flats in one of its residential projects in Sonarpur, South 24-Parganas Another realtor in Kolkata took a similar step and is offering free car space with flats . .Besides the developers, government is taking equal interest in boosting the demand for housing Not only they have declined interest rates but also prices by 10% India’s biggest lenders such as State Bank of India (SBI), HDFC Ltd , LIC Housing Finance, etc have reduced their loan interest rates . .With property prices falling and with such enticements being given to buyers, is it the right time to buy a property or not? . .As per experts, it is actually not .Contrary to conventional wisdom, experts are of the view that this may not be the right time to invest in residential real estate market Their advice is for both the first and second-time home buyers As per a recent report from PropEquity, a firm that maintains data on real estate, in the first quarter of the current financial year, the Mumbai market saw an average correction of 42 84 per cent compared to the corresponding quarter last year And, a report by Centrum Broking on Maharashtra Chamber of Housing Industry’s exhibition said, major developers such as Kalpataru, Lodha, Rustomjee and Acme Group were quoting prices 20 per cent lower than their card rate six months ago Godrej Properties had dropped the price it quoted for its Mahalaxmi project (Planet Godrej) by 34 per cent .Not only in Mumbai, according to the PropEquity report, prices in other major metros too have seen a significant correction in the past six months . .These areas include Gurgaon (24 per cent correction), Chennai (13 per cent) and Hyderabad (10 per cent) for the same time period As per Mr Hitungshu Debnath, executive director, distribution and wealth management, Angel Broking, "To begin with, the yields of residential properties are low They are between 3-5 per cent only " He added that if you take a loan from a bank and expect the rent income to help you pay the equated monthly instalment (EMI), you will need to rethink the math "The rent income along with property appreciation will not be able to cover even the interest that the investor will pay for the home loan in the first few years This is called as opportunity cost in real estate To get good returns, the buyer will need to hold on to the property for a long time, probably till the loan is repaid," says a property expert . .They also suggest that real estate prices are most probably going to remain stable for at least two years, that is, if the correction stops But if you are still not convinced and want to go ahead with the purchase, wait for just another six months They feel that by that time there will be some clarity on the economy as well as the real estate industry in this period .
Source: www.rsstnx.com

Foreclosed Homes For Sale Increase In February
In February, foreclosed homes for sale increased tremendously by the largest amount in almost six years This was as a result of first time home buyers taking advantage of the huge discounts available on foreclosure properties around the country . .Economy analysts say that although sales had not reached the levels seen since 1997, they may be finally making a comeback after going down following the economy plunge last autumn However, they predict that prices will continue to fall well into the year There are over ten thousands foreclosed homes that are awaiting to be sold Also, as the recession gets worse and job losses increase, many buyers are likely not to be attracted by homes foreclosures . . .The director of Joint Center for Housing Study (Harvard University), Mr Nicolas Retsinas says people are likely not to buy new homes if they are worried about having a job tomorrow The National Association of Realtors has reported that sales of foreclosed homes increased by 5 1 percent, from 4 49 million units in January to 4 72 million units in March This was the highest increase in sales since July 2003 First time buyers contributed to this increase with over half of the houses sold going to them . .More people are buying foreclosure homes as there have seen some indications that the prices are about to rise For instance, seller asking prices in Orange County and San Diego, California have started to rise With this in mind, most investors are rushing to buy before things stabilize Also, the competition seems to be fair as most home buyers are sticking to their budgets In February, the number of foreclose homes that were not sold was 3 8 million, a 5 2 percentage increase This means that people who are still interested in foreclosed homes for sale have a chance to buy before prices start to rise .
Source: www.rsstnx.com

How To Find Foreclosure Homes
Probably one of the main reasons why many investors and citizens choose to find foreclosure homes is the opportunity that is created by foreclosure transactions for them to own cheaper homes This is particularly in regard to the serious economic downturn that is being experienced in the world The current real estate blossom is ripe for home owners that are seeking to get sizeable profits from such deals If one understands the process and tips that are needed in the process of buying real estate homes, it becomes easier to purchase such homes and even take part in real estate business . .The first important step in finding foreclosure homes is to locate the homes There are basically three main methods that an investor or home owner can use to locate foreclosure homes One of this is, by hiring the services of a real estate agent For instance, the agent will usually provide the much needed information for the foreclosure deal . .The other method that will help an investor locate foreclosure homes is by researching on the lender listings that are provided by the financial institutions Most financial institutions usually have foreclosure listings that contain information relating to the types of properties that are being foreclosed The listings also help save on time and money Lastly, an investor should consider using subscribed foreclosure lists Such records can usually be obtained form the various public records that are in the market today . .Having determined the location of the foreclosure homes, the next step will be to check out the physical condition of the property The main reason why this is important to anyone seeking to find foreclosure homes is that it enables the person to ensure that the property is worth its price .
Source: www.rsstnx.com