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“GST AND RERA ADD TO OVERHEADS AND INCREASE HOUSING PRICES BY 10%-15% THE STATE GOVERNMENT IS REQUESTED EITHER ABOLISH OR REDUCE STAMP DUTY

 
 
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“GST AND RERA ADD TO OVERHEADS AND INCREASE HOUSING PRICES BY 10%-15% THE STATE GOVERNMENT IS REQUESTED EITHER ABOLISH OR REDUCE STAMP DUTY
by System Administrator - Monday, 29 May 2017, 2:23 PM
 

By: M.S.Yatnatti: Editor and Video Journalist Bengaluru: Are you planning to build or buy your dream home in near future ? You may want to hold on for some time, as developers led by the Confederation of Real Estate Developers' Association of India (Credai), Bengaluru, are trying to convince the Karnataka government to cut or abolish stamp duty and registration fees in the wake of the goods and services tax (GST) being implemented from July .If the move is successful, you will definitely save some money. "Else, it is expected to burden home buyers by 10%15%," say some industry leaders. Reportedly Suresh Hari, secretary, Credai, Bengaluru, confirmed they will soon submit a petition to chief minister Siddaramaiah, seeking either to abolish or reduce stamp duty as it is expected to hurt home buyers with the introduction of GST. Though GST was introduced to eliminate multiple taxation, he said the real estate sector will be an exception because home buyers are bound to pay GST along with stamp duty and registration fees, which account for 5.6% of the property value. "GST and RERA will certainly add to overheads of the industry and increase housing prices by 10%-15%. It's time the state government steps in to protect home buyers by either abolishing or reducing stamp duty levied on all immovable property after implementation of GST," .

Reportedly when there's unsold inventory in a subdued market, property developers occasionally offer a guaranteed rental scheme to boost sales. Mantri Developers, the Tata Group, Confident Group are among those who have done it in the past. Now, Puravankara has tied up with e-commerce company Snap deal and property consultancy JLL to launch a similar scheme. A customer can buy a ready-to occupy apartment from Puravankara across Bengaluru, Chennai, Coimbatore and Kochi and lease it back to the company for a period of seven years. The flat booking can happen through Snap deal. Puravankara will pay a pre-agreed rental to the customer for the leased period and pay the common area maintenance amount to the building association. It will increase the rentals by 8% annually . JLL will help Puravankara in sub-leasing the apartments to tenants. Some 200 apartments will be part of this scheme. For many buyers who do not intend to stay in the apartment they have bought, such schemes can be attrac tive. They receive a guaranteed income and lowers the pressure of loan EMIs, if any . They do not have to worry about finding and dealing with tenants. A CEO of a rival company , who declined to be identified, said it will turn out to be a great scheme in attracting buyers if Puravankara can provide the promised rental appreciation for the stipulated period. In 2011, Confident Group had offered assured rentals of Rs 10,000 and Rs 14,000 for ready-to-move in 2 & 3 BHK flats in a project in Hoskote. Those flats measured between 1,100 sqft and 1,450 sqft and cost between Rs 21 lakh and Rs 31 lakh. Bengalurubased Mantri Developers launched a similar scheme named last year for two of its projects. As per news paper reports Bangaluru real estate is booming .There are nearly 500 residential projects underway in and around Bengaluru adding around 60,000 new units and this indicates huge construction activity happening in and around Bangaluru.. Once the buyer has decided on the location and his or her budget ­either through own funds or housing loan -care and caution have to be exercised. For, buying apartments and falts and homes and villas involves many intricate and complex issues. The Bengaluru real estate market is vibrant, with builders catering to all sections of the society with apartments and villas of varying categories -built up area ranging from 650 sqft to 10,000 sqft and price Rs 30 lakh to Rs 10 crore plus.Look before you leap.Cons are everywhere . Beware of con artists: Con artists make money through deception. They lie, cheat and fool people into thinking they've happened onto a great deal or some easy money, when ­they're the ones who'll be making money. If that doesn't work, they'll take advantage of our weaknesses -- loneliness, insecurity, poor health or simple ignorance. The only thing more important to a con artist than perfecting a con is perfecting a total lack of conscience.What does the average con artist look like? Despite what you may think, he isn't always a shady-looking character. A con artist is an expert at looking however he needs to look. If the con involves banking or investments in properties, the con artist will wear a snappy suit. If it involves home improvement scams, he'll show up wearing well-worn work clothes. Even the basic assumption that the con is a "he" is incorrect: there are plenty of con women too."Ensure papers are in order verify the builder's credentials”.