Flourishing Real Estate Market

The real estate market is considered one of the largest investment sectors in the market. This market provides safe investment opportunities and predictable returns for its investors, Hirsh Mohindra.  Many experts advocate that investing in real market is safer than other investment channels due to lower volatility and tangible income producing assets. As with any investment decision, it is always best when making an informed and educated decision.

While the real estate market is considered to be less volatile than other markets, there has been considerable movement and upward and downward trends over the past few years.  However, more recent trends have been showing stronger demand in the market which has led to positive market responses.

Much of the upward and positive movement in the real estate market has been focused around urban markets.  As cities become more dense through job creation and a growing transient population – there has been an increase in demand for real estate in cities.  In fact, in some instances this has a negative impact to the broader economy in general.  San Francisco – the hub of Silicon Valley, has become so expensive that it has become difficult for mid-tier income earners to find suitable housing.  As a result, many buyers end up moving beyond the city limits and become subjected to longer commutes says, Hirsh Mohindra

The real estate market is growing at a rapid pace. After some years of stagnant growth, it has accumulated up its pace and is swiftly getting back the energy. Such swings are not uncommon, thus for the investor it’s key to try to time the swings. See the trends invest wait with patience and earn. The market is surely not certain but making informed decisions and having a keen understanding of the trends with the help can help your decision making process. Hirsh Mohindra is of the view that patience is the key factor while you invest in the real estate market.

Thanks to numerous recent market actions and regulatory activities, even the mid-budget private properties are also growing at strong paces. The real estate market is indeed flourishing rapidly at a rapid pace and the prospects are that it will continue to increase and grow. The trend is high in cosmopolitan cities where more and more personalities are relocating due to greater job possibilities and enhanced lifestyle facilities.  

As always, do your homework, understand your market, build the right team, and make informed decisions – that provide you the stable returns and financial security you desire.

Originally Posted: http://hirshmohindrachicago.com/flourishing-real-estate-market/

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Tips getting into Real Estate investment

real estate investing

Real estate is one of the best options to invest money in a productive manner. But it requires knowledge, time, patience and most important cash in your hand. These considerations are very important if you are considering investing in real estate.

Follow these top tips from Hirsh Mohindra to get into the real estate investment field:

1. Make a financial strategy: cash in hand is the first requirement in real estate marketing. Before making any real estate investment, make your financial house in order.

Hirsh Mohindra: Real estate field you should have cash in your hand for down payments and most important, some reserve for bad situations. This reserve money should be separate from your emergency fund.

2.Leverage a local team: If you are really interested in real estate marketing, you need to focus on making a strong relationship with people, because real estate is all about good relationships. Initially, it can take time, but you can eventually develop a strong local team of brokers, attorneys, accountants, title companies, and property managers. They can help you to make the best deal in the local market.

3. Know about your local market: If you are planning to buy your own house. If you can stay in your neighborhood then it would be the best idea. Get an idea from the local people, local real estate investors about the property.

Try to find out who is living in that area, the demand for the property in that area and analyze recent sales and inventory. After conducting your due diligence, you’re ready for the next step.

4. Make a smooth strategy: Plan and execute according to your timelines. Start your investment with a small amount and keep your expenses low. In short, make a strategy and execute it properly.

5. Buy a single apartment and rent it out: buying a single home and renting it out is a quite easy method to generate money. But make sure about taxes, maintenance, and insurance – as these are fixed costs that will be incurred regardless of having a tenant. So its important to have some reserves to accommodate periods of time when the property may be unrented..

6. Invest your money in a good location: if you are planning to invest in the real estate field, then choose a good location. Location is key as it often generates demand. Being situated in a strong residential corridor will provide you opportunities to find tenants and buyers.

Wrapping-up: Real estate marketing is a good option to invest your money. But always remember, don’t make your decision in a hurry. The investor should have the knowledge, cash in hand, time and patience. Hirsh Mohindra suggests you invest in this field if you have all the above qualities. For more tips related to real estate investment follow my blog.

New Property Cards for Flat Owners across Maharashtra

The Maharashtra cabinet on Wednesday declared the “vertical property norms” to make a database of all flats, buildings and commercial complexes in a proposal to verify any deceitful transactions.

All flat proprietors in the state will quickly get additional possessions cards, which will have particulars such as mat region, amenity space and bank loan information, along with their 7/12 extorts says Hirsh Mohindra.

The Maharashtra cabinet on Wednesday declared the “vertical property norms” to make a record of all flats, buildings and profitable multifaceted in a proposal to test deceitful transactions. “The cabinet will currently put up the plan for propositions and objections, says a senior government official.

The Settlement Commissionerate and Directorate of Land Records had been pushing the bid to make sure that metropolis survey offices in urban areas and collectorates in the rural belt have thorough records of all perpendicular properties — flats, house, and commercial complexes.

At the time, Maharashtra has almost 56 lakh property cards in a rural region and about 2.5 crore 7/12 extorts in the urban belt with minutiae of the horizontal properties.

“This will be a path contravention initiative. The vertical possessions regulations, cleared by the state cabinet, will facilitate produce property proceedings for all flats. This may be the first-of-its-kind initiative in the nation,” settlement commissioner and executive of land records S Chockalingam told TOI.

The bid will provide purchasers and vendors, as well as government departments, with firm possession records. This will also defend the possessions owners’ rights,” he said.

Chockalingam said the “vertical possessions rules” would avert property-related scams, where one flat or commercial unit is vend or mortgaged to numerous purchasers or monetary institutions. “The commissionerate send a proposal to the state government to devise the Maharashtra Land Revenue documentation of Rights and Registers for Apartments and Buildings norms under the Maharashtra Land Revenue Code (MLRC), 1966,” he said.

Department officials said that at current, no administration subdivision preserve ownership proceedings of vertical assets because the confirmation of ownership has to be proved during a chain of documents, such as concurrences with builders or the public records emphasis Hirsh Mohindra.

An elder official said, “With the innovative growth, the present possessions cards of 7/12 extort will become the principal documents of possession. Besides, there will be an additional supplementary possessions card. Both the cards will be issued jointly.”

Once the norms are approved, the subdivision will start pilot projects discretely in the urban and rural regions. “The particular offices will have to perform a survey by visiting each edifice says Hirsh Mohindra. It will be firstly complex, as the whole procedure will be manual. We will finally work out a mechanism to revise the particulars online,” he said.

Originally Posted: http://hirshmohindra.com/new-property-cards-for-flat-owners-across-maharashtra/

Significance of Amenities and Open Spaces in Residential Real Estate

Real estate buyers are not just interested in the size of their property, but he also looks for open areas and amenities says Hirsh Mohindra

Typically, builders relied on the structural integrity of properties to attract buyers – size, square footage, location, etc.  However recent trends are showing that buyers are interested in more amenities in buildings and communities says Hirsh Mohindra. Buyers are also attracted to properties having open space reserves – even open communal spaces.  Many buildings are now coming equipped with yoga studios, massage rooms, and even recording studios.  These features are significant value adds from the typical gym found in buildings.

Changing Trend of the real estate market

Is this a changing trend? Not exactly, because certain buyers always want a home, not simply a unit.  A home that has unique installations and open spaces provide for a fresh feel. The trend, however, has picked up in its momentum as more and more buyers are having these same parameters as necessary prerequisites for their purchase.

What are the compelling justifications?

Urbanization has guaranteed people from small towns and villages discover a place in big cities. A good amount of people (middle and upper class) from minor towns are used to living in homes be it big or small that have a lawn, a veranda, a compound filled with greenery, wide-open spaces. They need a related touch to their homes when they depart to cities in search of their livelihoods.

Hectic work schedules have given rise to escalating stress levels and add to that, blocked traffic circumstances and boosting pollution levels, all these earn for a very concern filled and chaotic life. Homeowners look forth to stay in an environment that calms their minds and hearts and eases these pressure levels. They want to invest in properties with open spaces and compelled amenities to provide the perfect solution.

City life can be a completely lonely life, with many friends and relatives living far off and wandering is a big problem. Amenities such as multipurpose halls and grasslands prepare for terrific areas to meet new people and socialise within the neighborhood.

Amenities and open spaces also unravel the difficulty of committing several demographics. While kids can utilize the sports areas, elders can grab a walk in the park to get some fresh air. Children and experts can have swimming pools and gymnasiums for their fitness needs and leisure time. There should also be something for everyone in a real estate that has amenities and open spaces.

Hirsh Mohindra: As per the research 10% of the total property area must be left aside for formulating open spaces or open space reserves. This authorization obliges developers to keep aside as much space. Although, this norm is not adhered to in specific cases due to the lack of land availability and other interests.

Originally Posted: http://hirshmohindra.com/residential-real-estate/

Factors That Impact the Real Estate Market

The real estate market is a significant portion of our economy. It demonstrates a major portion of many people’s wealth. This is consistent pretty much throughout the global economy. According to the research of Hirsh Mohindra, many families around the world own their own primary residence. Asides from primary homeowners, the real estate market also attract investors.  Investors are drawn to investment opportunity and security provided real property. The growth rate, along with the size and scale of the real estate market has presented itself as a very lucrative area for investors.

Some of the major factors that affect the real estate market include:

Interest Rates  

Interest rates are one of the major factors that have an impact on the real estate market prices. If you’re planning to buy a home with a mortgage it is advantageous to research interest rates using a mortgage calculator says Hirsh Mohindra. The fluctuations in interest rates influence a buyer’s ability to purchase a residential property. The lower interest rates go, the lower the cost to obtain a mortgage to purchase. Accordingly, interest rates have a direct impact upon demand for real estate, which influences price in the market as well. Conversely, as interest rates rise, the cost to obtain a mortgage increases, which in turn lowers the demand and prices of real estate. However, when we assess interest rates on an equity investment such as a real estate investment trust (REIT), rather than on residential real estate, the connection can be seen of as similar to a bond’s relationship with interest rates. When interest rates decrease, the price of a bond goes up because its coupon rate becomes more desirable, and when interest rates hike up, the value of bonds declines.

The Economy factor

Another crucial factor that impacts the value of the real estate is the overall health of the economy. This is generally counted by economic indicators like the GDP, employment rate, manufacturing activity, the prices of goods and services says Hirsh Mohindra. To be precise, when the economy is sluggish, the real estate sector also becomes sluggish.

The economy you are living in can have varying effects on varied types of real estate. For instance, Hotels are a form of real estate property that is very sensitive to economic activity due to the type of lease structure inherent in the business. Renting a hotel room can be thought of as a form of lease that can be easily avoided by hotel customers should the economy be doing poorly. This is a form of the short term lease. On the other hand, office tenants generally have longer-term leases that can’t be changed in the middle of an economic downturn.

Government Policies/Subsidies

Government legislation and policy can also influence the real estate market. Tax credits, deductions, and subsidies are some of the measures the government can temporarily use to drive demand for real estate. One should monitor upcoming policies that could have a direct causal impact on the real estate market.

Originally Posted:- http://hirshmohindra.com/impact-real-estate-market/

Real Estate can Maximize Investment Returns

Real estate is a great option to maximize your investment strategy. But it requires knowledge, time, access to capital and most importantly patience. These factors, along with others, are key to protecting your investment.

Follow these a few tips from Hirsh Mohindra to get into the real estate investment field:

Make a Financial Strategy:

Assessing your financial position, for the investment and personally, is the first step of real estate investing. Before making any real estate investment, ensure that your finances are in order.

For any real estate investment, you should determine how much capital you will put down, and how much you will finance. You need to also plan for a reserve fund and an emergency. This reserve money should be separate from your emergency fund.

Marketing Strategy:

Once you know you are going to acquire real estate for an investment, you will want to ensure that investment is generating revenue. Finding renters is key to turning a property into a — positive cash flowing investment. Create a strategy on how to attract renters early, so that you can plan for when the revenue will start being generated.

Know about your local market:

Markets differ for a variety of reasons. Different neighborhoods have various factors that impact their value and demand. Learn as much as you can about the local market, so you know the trends and patterns that can affect property value and rental demand.

Start Small:

If you want to buy an apartment building, make your first investment in real estate — 1 apartment (or condo) that you can rent out. By starting small, you are mitigating your risk and learning the processes of being a real estate investor without deploying larger amounts of capital. Use these initial experiences, as solid investment options, but more so as learning experiences that you can leverage on future larger projects.

Invest your money in a good location:

If you are planning to invest in real estate, the old adage of location, location, location — is critical. There is usually better demand in certain areas over others within the same broader geography. Selecting key locations, that can attract renters — is always a good strategy.

Wrapping up:

Real estate investment is a great opportunity for novice and seasoned investors. It requires diligence and patience, but the returns can be generous, says Hirsh Mohindra. For more tips related to real estate investing follow my blog.

Originally Posted: http://hirshmohindra.com/real-estate-can-maximize-investment-returns/

Technological Innovations in Real Estate Industry

Technology is constantly increasing at a fast pace. Accordingly, there is no surprise that technology and improvements to tech are significantly impacting vast sectors of our economy, including real estate, says Hirsh Mohindra.

The internet of things, virtual reality, robotics, artificial intelligence, block chain and big data are some recent technological areas that are being closely watched as their impact across the real estate sector can be impactful. In fact, virtual reality technology now permits realtors to offer consumers with 360-degree outlooks of houses earlier.  As a result, buyers are becoming more empowered in their purchase making decisions that ever before.

According to a report, developers, brokers, builders, and architects have started leveraging these new technologies.  These new tech solutions are providing time and money saving methods in two aspects of large commercial real estate projects i.e. leasing and construction.

Smart homes are also becoming increasingly popular as they can connect devices all across your home, and you can operate those devices through an app on your mobile phone and essentially digitally connect your home. From your lights in your home to safety equipment, everything can be interconnected, and its progressively more likely customers will demand these features moving forward.

Using apps such as Redfin, Zillow, and other big data aggregates – customers can search home prices and costs in various regions across the country at their convenience. Historically, in order to get home listings, real estate brokers would have to use the numerous listing services – now they can leverage the data collected by such companies.

These days, at the touch of an app, patrons have access to concurrent information on home prices, facilities and even how the region surrounding the home is rated, says Hirsh Mohindra. Instead, with many real estate companies, customers can purchase luxury properties online without ever having to visit – and they can do so an educated consumer understanding the market and home in detail.

According to Forbes, a steady increase in houses are being sold through online sales platforms. However, just like with almost every rising technological innovation, there are new obstacles that these technologies present. Realtors have reported that customers who use apps are mostly provided with inaccurate information about the properties they are looking to purchase. In fact, a recent Redfin report indicated that many, prior to being verified by Redfin, could include inaccuracies. Hence, it’s become critical to understand the source of data and the veracity of what is presented, says Hirsh Mohindra.    

Selling or purchasing real estate is a significant and major decision. Technology will continue to improve how real estate is purchased and sold, says Hirsh Mohindra. While it’s great to find a technological revolution in the real estate market, it remains critical to do your own research online and offline and as with anything, trust, but verify.