14.02.2017 Views

Insights Success The 10 Most Valuable Real Estate Solutions Provider Companies Insights success November2016

Insights Success The 10 Most Valuable Real Estate Solutions Provider Companies Insights success November2016

Insights Success The 10 Most Valuable Real Estate Solutions Provider Companies Insights success November2016

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

CXO Standpoint<br />

To be on<br />

<strong>Real</strong> Home Journey,<br />

Invest in <strong>Real</strong> <strong>Estate</strong><br />

Chairman of Finstem group of companies “Mr.<br />

Manish Kumar Shoundik” firmly believes in<br />

the saying “A goal without a plan is just a<br />

wish”. Through different verticals of Finstem Group, the<br />

company is striving to provide direction to the dreams of<br />

individuals as well as corporate and excels towards<br />

providing solutions in the fields of Financial Services,<br />

<strong>Real</strong> <strong>Estate</strong>, Outsourcing Services and Digital marketing.<br />

<strong>The</strong> infrastructural development boasts of impressive<br />

projects like Finstem City-Florizel Villas on Bangalore -<br />

Mysore highway, Fin Castle Residency in Ludhiana -<br />

Ferozepur highway and Eastern Homes, Patna. Finstem<br />

intends to continue to grow in India & abroad over the<br />

next few years so that our foreign and domestic clients can<br />

continue to work seamlessly across the globe. With<br />

established centers across 8 Indian cities, the company<br />

boasts of its presence in Delhi NCR, Ludhiana, Jagraon,<br />

Bangalore, Mysore, Patna, Lucknow & Dhanbad.<br />

“<strong>Real</strong> estate has been considered as the most sought of<br />

investment as per the Indian investor’s psyche.” Like<br />

any other market, <strong>Real</strong> <strong>Estate</strong> sector also has its highs and<br />

lows. Although investors have minted money during the<br />

boom period of 2002-2013, they also have seen the<br />

declining phase of the market between 1994-2002 when<br />

the properties were sold at half their peak price. Expecting<br />

similar returns in nascent markets might be possible, but it<br />

won’t be fair to expect the same kind of return in<br />

developed markets.<br />

Lack of Buyer’s Interest<br />

<strong>The</strong> bear phase of the market has directly touched the<br />

sentiments of investors and people are not very keen on<br />

buying the property looking at the unclear future picture<br />

of few of the projects. <strong>The</strong> sector carries a baggage due to<br />

ignorance and opaque regulation which needs to be settled<br />

to improve market sentiments. Decline in a number of<br />

buyers for residential projects can be witnessed clearly<br />

due to the lack of appropriate pricing, which is found as<br />

high as compared to the average income of investors and<br />

rental aspects of the property. This is one major factor that<br />

has impacted the level of demand for end users as well as<br />

the investors.<br />

Buying Opportunity<br />

A boom in the <strong>Real</strong> <strong>Estate</strong> market is expected with GDP is<br />

moving to 7.5-8% per annum. Moreover, the current<br />

government has also tried to bring clarity to both buyer<br />

and developer in the form of a real estate regulator bill<br />

which makes real estate investment more lucrative and<br />

regulated investment option.<br />

Due to the correction phase in real estate sector and rupee<br />

depreciation, investors can find properties being sold at<br />

half the price of their peak value. Although the cost of<br />

construction has risen over the past few years and the<br />

compliance cost is also expected to go up in view of<br />

introduction to <strong>Real</strong> <strong>Estate</strong> regulators, buyer’s can still<br />

find properties which are sold at a cheaper price due to<br />

rupee depreciation and large unsold inventories.<br />

<strong>The</strong> approach in the current market scenario should be to<br />

invest under construction residential properties rather than<br />

the constructed ones, in view of the discounted price of<br />

the former as compared to the latter one. This is the time<br />

when investors should search for best possible options in<br />

terms of the legality of project, location, pricing and<br />

rental/future aspects in order to enjoy the best out of the<br />

market.<br />

34 | December 2016 |

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!