How to Build a Strong Portfolio Before Buying a Home at DNR Casablanca

Bangalore, over the years has encouraged realtors to come up with their respective projects for obvious reasons. The city enjoys great weather conditions and provides attractive job opportunities in the IT sector. DNR Casablanca by DNR Properties is one such project that is strategically located to perfection at Mahadevapura in Bangalore. Real estate property investments are long-term in nature. Such decisions should be carefully thought about before implementation. 

DNR Casablanca

With amenities and floor plans that suit every residential requirement, residents are eager than ever to partner with DNR Casablanca. The project comprises of high-rise architectural marvels ensuring stunning views of landscaped gardens surrounding the project. Mahadevapura houses some of the reputed IT tech parks that comprises of more than 30% of Bangalore’s working population. This is fantastic news for potential investors who are looking for profitable tenants for long-term gains. Before one makes a property investment, they should have a portfolio which comprises of various points that contribute to effective decision making. Lets now look at some crucial aspects that would help residents formulate a steady portfolio for profitable real estate investments.

Devise strategies to increase your earnings

Its important that residents formulate strategies that would enhance their earning power. Getting multiple educational degrees, having a steady career growth can contribute to great earning powers that will certainly come handy when a resident is keen on investing in properties.

Educate yourself- Read as much as you can about real estate investments

Be it any kind of investment, it is important that people educate themselves. As far as real estate investments are concerned, markets can fluctuate at regular intervals leading to uncertainties and risks. To avoid such unforeseen situations, it is crucial that investors read and research about real estate to have an in-depth knowledge about how things work and how crucial investments are for a profitable future.

Land Appreciation- Know about the location and its prospects

Before a property investment, it’s important that residents go to project locations and gauge overall property developments. Land growth never remains constant. Land appreciation is based on various aspects that eventually contribute to the credibility of the project. Having sound knowledge about the location and the benefits it offers can make investment decisions a lot easier.

Aim on a lower budget initially

Its always suggested that first-time property investors come up with a budget before they plan on meeting realtors for their property purchase needs. It is also suggested that residents plan on a lower budget than the proposed budget initially because the real estate is bound to develop in the years to come. Aiming exactly as the devised budget or way above it would null all the possibilities of future investment opportunities and residents may end up in a risk of getting house-poor.

Analyze current market prices and rental trends

To create a creative real estate portfolio, one has to create strategies so they could analyze current real estate price and market trends. Initially, in most of the emerging localities like Mahadevapura, the prices are quite nominal as opposed to prices in well established locations. It is crucial that residents grab on to such profitable opportunities before time runs out. Property investments are the most coveted form of investments and residents should realize this at a very early stage to avail benefits for a secured future.   

RERA- Effect On Real Estate Price

RERA- Effect On Real Estate Price

The Real Estate sector is to get its own regulator from May 1, 2017. The Real Estate (Regulation and Development) Act, 2016 (RERA) became effective in the entire country.

Each state and UT will have its own Regulatory Authority (RA) which will frame regulations according to the Act.

Here is what the RERA has in store for home buyers…

RERA

Real estate prices

The prices haven’t come down as it was expected. Huge unsold inventory, lack of new demand, demonetization amongst others has not led the builders bringing the rack rate down albeit few discounts and freebies to the customers.

The impact of RERA:

Rohit Gera, MD, Gera Developments and VP Credai - Pune Metro, says, “Before RERA, the risk of delays, quality, title, and changes were borne by the customer. These will now be borne by the developer and there will be a premium that the flat purchasers will have to pay for transferring this risk to the developer. There is no room for developers to absorb these costs and so they may be transferred on to the customers by way of the price increase.”

Delayed delivery

Untimely delivery of real estate projects has been the biggest bane for the buyers. Of late, almost all projects especially projects launched 2010-2013 have defaulted in delivery within the stipulated time primarily because funds were diverted to new projects by the builders instead of using them in completing the existing ones.

The impact of RERA:

Now, as per the RERA Act, the promoter has to maintain a ‘separate account’ for every project undertaken wherein 70 per cent of the money received from the buyers shall be deposited. Such funds can only be used for the purposes of construction and land cost.

Real estate developers will have to furnish additional information regarding the ongoing projects for the benefit of the buyers besides depositing 70% of the unused funds in a separate bank account to ensure their completion.

Ongoing projects

Developers will have to make public the original sanctioned plans and changes made later, total amount collected from allottees, money used, the original timeline for completion and the time period within which the developer will complete the project, certified by an Engineer/Architect/practicing Chartered Accountant.

Role of Regulatory Authority

Each Regulatory Authority in the state will have the responsibility to register and regulate real estate projects and real estate agents registered under this Act.

It will also be required to maintain a website for public viewing, of all real estate projects for which registration has been given.The quality of the construction has also been a matter of concern with several builders. The RERA rules provide for protection against this up to 5 years after possession.

In case any structural defect or any other defect in workmanship, quality or provision of services or any other obligations of the promoter as per the agreement for sale is brought to the notice of the promoter within a period of five years, it shall be the duty of the promoter to rectify such defects without further charge, within 30 days.What you get to see - No promoter shall advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment or building, as the case may be, in any real estate project or part of it, in any planning area, without registering the real estate project with the RERA established under this Act.

Each advertisement has to carry the RERA registration number.

Registration of projects

Make sure you buy a project which is registered with the RA. Once the state has its RA established, builders will be required to register their projects with it by furnishing all the information including, financial statements, a copy of legal title deed and other documents.

The builders will get a registration number project-wise i.e. tower wise.

Delayed delivery - compensation

If the promoter fails to complete or is unable to give possession of the property within the agreed timed-period, he has to return the total amount with interest at such rate as mentioned in the agreement to sell.

And, in case the buyer does not intend to withdraw from the project, he shall be paid, by the promoter, interest for every month of delay, till the handing over of the possession.

Online information

After registration with RA, the builder will be given a login-id and password to create a page on RA’s website to upload the project related information on authority’s website.

It will show quarterly up-to-date the list of number and types of apartments or plots, as the case may be, booked; quarterly up-to-date status of the project; and amongst others.

Booking Amount Currently, most builders ask for 10 percent of the total cost of the property as a booking amount.

Now as per RERA, a promoter cannot accept more than 10 percent of the cost of the property, as an advance payment or an application fee, without first entering into a registered agreement for sale.

DNR Corporation has once again come up with the unique idea of recreating the majestic beauty in Mahadevapura with a project named as DNR Casablanca Bangalore. The project DNR Casablanca Bangalore is the most awaited and sought after residential project in Bangalore. DNR Casablanca Bangalore will soon be launched in Bangalore city and will come with 2 Towers, 200 + Units of 2, 2.5, and 3 BHK apartments in various sizes. You can visit our website for more details or contact us at +91 81239 27750. We will guide you throughout. Or you can also watch the video below: