Digitization of Land Records in Real Estate – A Big Step!

To simplify management of trusted information and maintaining the security by protecting data from the unauthorized access or manipulation with no room for error about individuals, organizations, assets and activities, the requirement for a digitized system for data handling by the government needs to be implemented. Digitization, like the other advanced governments, has touched and transformed almost every industry, India also need to the digitized real-estate sector in terms of construction, asset management, marketing and sales and also for the dawn of “smart homes” and a professional working environment. The housing sector alone contribute 5%-6% of country’s GDP. As per IBEF, the real-estate market of India is going to touch USD180 billion by 2020, where, technology will accelerate the growth-rate in real-estate further.

Reasons for Digitization

Still many states have not even digitized the basic survey documents, sketches, maps, etc. Previously, these records were maintained by different departments at the village level and they were working alone with no digitization training and lacked any streamlined land records resulting in litigation, scams and property disputes over land ownership. All these forced the government to set up a digital department which will lead to transparency and reducing the document procurement time.

Also Read : What are the Documents Required to Buy a Land

Introduction of DILRMP

Digital India Land Records Modernization Programme (DILRMP) was launched to computerized all land records, including mutations, improve transparency in the land record maintenance system, digitize maps and surveys, updating all settlement records and minimize the scope of land disputes. A clear title of land ownership will be provided, which can be monitored easily by government officials facilitating the quick transaction. It will also reduce construction timelines and developers overall costs and benefited the consumers’, making attractive property prices.

The computerized land record was started by Karnataka under “Bhoomi Project” followed by Andhra Pradesh and Tamil Nadu. Due to lack of clear and sufficient data and mismanagement between the various land records handling agencies even the digital land record and the digitized land registration databases are not synchronized.

What will be the Impact?

The registered sale deeds and property tax receipts are not government guaranteed title to the property but the authorities used them primarily for financial purposes. For the evidence of ownership, the registered property title documents should be provided which will encourage faster transactions and completion of projects in the real estate industry. For national growth, the support of infrastructure development also requires litigation-free land for commercial and residential use.

The unclear land titles, the accompanying costs for title disputes, litigation and lack of transparency, makes the real-estate market sluggish. So the digitization of all kind of land records is imminent.

Conclusion

It will also boost the government’s “Digital India” mission. The total area of land owned by a person will be revealed by a complete compilation of land record data, avoiding confusion between government and private lands and difficult evading of property tax by the general public. For home buyers, it will show the correct details of the owner and any litigation records if exists, also if buying from a developer they can verify if the building adheres to all regulations and transparent market-based pricing. SVB Realty offers residential plot for sale in Pune with the help of experts who will guide you throughout the land buying process and documentations. That’s the reason SVB Realty is becoming a convenient potion for the people looking for residential plots in Pune.

The Rise of Female Real Estate Investors

For many years, investment in real-estate was confined to the male domain while women are mostly concentrated in the helping aspects of the industry like real-estate agents. But in recent years this trend is changing and women are drawn towards real-estate investing which leads to a tremendous impact and have become a powerful force in the industry. The overall growing income level of women, in general, has been increased, which increases the propensity to purchase a home and secure them. In India, it has been estimated, women are now 30% of urban property purchasers. The various initiatives by the government and financial institutions have also contributed to this growth.

If a property is registered under a woman’s name, then there are a number of benefits that available are:

1. The preferential interest rates offered by SBI, ICICI, etc., who are the major lending providers along with the lower stamp-duty rates up to 1%-2% as seen in markets which include Delhi and Rajasthan.

2. Higher tax deduction on the interest rates paid on the home loans.

3. If both husband and wife are co-applicants of a home loan then both of them can claim the tax deduction on the rate of interest paid.

The provisions of government to encourage women investors in the real-estate sector are:

1. The interest of home loans is lowered by the lending banks comparing to men.

2. The women have to be the co-owner or sole-owner of the affordable houses under the Union Government “Housing for All” mission. This empowers women from low-income households.

3. Women are eligible for up to Rs.2 Lakhs of tax deduction on home loan interest. The Delhi Municipal Corporation also provides a 30% rebate on the property tax, if registered under a woman.

4. In state’s like West Bengal, for the poverty alleviation schemes, the land titles of the Government allocated plots for low-income households are provided in the name of a woman.

Also Read : Easy Ways to Save for a Down Payment

While all these benefits are there for female empowerment, but still there are quite a few challenges ahead. For a single woman, they face indirect challenges when looking forward to buying a home due to their gender, ignorance by others and contractors taking advantage by charging them more. Also for some other components like safety, security and connectivity which makes the female home buyers purchase in what could be more expensive developments and neighbourhoods and ultimately it increases the purchase price of the home for these single female home-buyers. In addition to this, during the process of purchasing a home by female home-buyers, there are instances of discrimination, inconvertibility with a single woman and also they are subjected to greater personal scrutiny during the time of application.

Though the above mentioned universal challenges are there, the trend of women home purchaser should be encouraged to increase and provide them with the rightful empowerment by the society and as an industry. Women can too like the men can be a successful real-estate investors and make a good living or prepare for a comfortable retirement.

A Guide for Newcomers for Buying a Property in Pune

The city of Pune, Maharashtra attracts various people from all across the nation and the globe. Most people move here either for higher education or for job as the city provides ample job offers. But when it comes to property buying, all of these people have different requirements which is different from the local residents. When you compare Pune to other cities, the city offers all sorts of apartments like 1bhk, 2bhk, 3bhkz duplexes, and bungalow to luxury houses at affordable prices. With the rapid increase in the commercial and IT hubs in Pune, the growth in the IT jobs, the real estate business has widely been affected and has increased.

What does the real estate market at Pune offer?

The residential real estate business segment is hugely in demand amongst the Non-resident Indians is the city provides stable returns from proper investments and handsome rentals. The ready to move in properties or the properties that are almost ready properties have the highest demand in Pune. The real estate market has witnessed a massive depression from all around the country but despite of the slowdown which has been noticed in most of the cities, the real estate market in city of Pune has been silent due to its high demands from the IT hub and the students.

The type of property that one is thinking of buying naturally depends on economic condition of the buyer and the time he or she is thinking to buy the property. Homes ranging from 35lakhs to 10 crores is easily available in Pune, so the decision is upto you.

Also Read : Important Things You Need to Know Before Buying a Plot

The ideal and cheap micro markets in Pune and their benefits:

Places like Koregaon Park, Bibvewadi and Central Pune is the best option for people coming from outside to buy properties as the place has proper and updated infrastructure, good schools, entertainment hubs, hospitals etc. However as we know for getting a good thing you must spend more, the properties here are slightly expensive.

If you are looking for properties at places near the IT hubs at affordable prices, then Hinjewadi and Magarpatta would be the best option. The Outskirts of Pune, like Wagholi, Ravet, Undri, Talegaon and Wakad also has good facilities and is usually preferred by the middle class people. Hadapsar is widely popular among the rich on terms of investment as the returns are quite high.  These few regions offer quite good potential for capital appreciation and higher rental income.

Points to keep in mind if you are an outsider and you are investing in plots here:

  • First of all have a clear vision of what you are going to do with the house, rent it or live in it or resale or reinvestment.
  • If you are planning to move in, then decided whether you will move in recently or later in future.
  • If you are planning to move out, then check the base price and the selling price of your property and the return on your investment.
  • Before you make your first down payment, make sure that your bank has loan eligibility for your account.
  • You are advised to consult a property expert before buying one to know better about the locality and the resale value.

Five lessons from Lord Ganesha on Buying a Property

Ganesh Chaturthi is considered as the onset of Indian festivals. It is a ten-day festival of adoration of Lord Ganesha. It is also popularly known as Vinayaka Chaturthi or Vinayaka Chavithi. This festival is celebrated mainly while initiating a journey as it is believed that, worshipping Lord Ganesha will eradicate all the hindrance that comes in the path of success. Given below are some monetary lessons one can learn from Ganesh Chaturthi:

1. Take an Initiative:

It is never too late to take an initiative. If you have not taken any initiative in acquiring your monetary aim, start right now. Ganesh Chaturthi is celebrated while initiating a new journey, so take an initiative towards securing your financial goals right now. This could be done by saving an equal amount of money every month. You can use it as a recurring investment or as a mutual fund investment plan. This will help you to fulfill your desires like buying your own property.

2. Learn to Earn More:

As we all know that Ganesha has large ears and small eyes. This feature emphasizes the fact of learning through listening and observing things around us. Applying fresh methods which helps you to increase your income is the best decision you can make. By earning, saving and investing more one could meet all his demands in fulfilling the desires. Also by observing more, you could choose the best and appropriate properties with the best reference.

Read More : Reasons To Buy NA Plots in Pune

3. Be Frugal:

We all know, that mouse is the vehicle for Lord Ganesha. According to the size of Lord Ganesha, the mouse is very tiny. From this feature, we come to know that, we should make the best of use, even from the slightest resource we have. We should not be impulsive in buying something. We should have patience, interrogate property, and then come to a conclusion. We should know the difference between our wants and needs. We should spend money on the things we need, rather than the things we want. This will help us to secure more money.

4. Ensured a Secured Community:

Ganpati is the other name for Ganesha, which means “savior”. You should also learn about how to protect yourself and your family from miseries that you have to face in future. Keep a habit of buying only adequate things. This will help you to save money and run as a backup when your family faces any financial upset in future. This will help to suffer less and bring you more close to achieving your future goals.

5. Digest Volatility:

As we all know, that Ganesha has a huge stomach. This feature emphasizes the fact of his digestive ability. In the commercial world, there are times, when the market faces financial upheaval and a lot of unpredictable obstacles. Thus, you should have the knowledge about the assets and how much capital you should invest, which reveals the stomach ability of an individual. This volatility helps the investors to stay calm when such upheavals arise.

Easy Ways to Save for a Down Payment

Buying your own home is one of the common things we all aspire to acquire. As we all know, a lot of capital is required to buy your own house. We mostly do not have such a huge amount of capital available. Thus, we take the help of a bank or other agencies in the form of home loans, who provide us with the credit and in return we have to pay them back the credit, every month. Many people think that it is impossible to save money for the down payment. But, given below are some policies, with the help of which, you can save your money for down payment.

  1. Make coffee at home:

Avoid going to coffee shops and spending an ample amount of money on a single cup of coffee. Make coffee at home in a beautiful coffee mug and enjoy your day, rather than spending it on a coffee shop. Suppose, a cup of coffee at a coffee shop costs about Rs.150, then money spent on 300 cups of coffee in a year is around Rs.45000. Thus, avoiding coffee shops can save a huge amount of money which you can use it to pay your down payment.

  1. Pack a lunch

Packing lunch from home is another greatest way of saving money. It is not only less expensive but also is healthier. Buying meals on a daily basis can cost you a huge amount. A full meal plate costs about Rs.500. thus, a plate of meal costs Rs.500, then 360 plates of a meal can cost Rs.180000. This amount can add to your down payment if you are planning to buy a property or a home. Now you can estimate how much amount of money you can actually save and use it to pay your down payment. So, start from today itself.

  1. Ditched the bottled water:

Many people have the habit of not carrying water bottles, instead, they buy it from shops on a regular basis. It is a very good advice for those people who regularly buy water bottles for drinking purpose, you need to start using water purifiers at home, and start drinking those water and even fill it in your bottles while traveling for work. In this way, you do not need to pay for the bottles. Each bottle costs about Rs.30. so, 365 bottles cost nearly about Rs.10950 in a year. So, if you save this money it will help you in paying your down payment.

Also Read : REASONS TO BUY NA PLOTS IN PUNE

  1. Review your cable package:

Most of us cable connections at our home. We all know, that there are plenty of unknown channels on our package, which we do not watch, but still are paying for it. Take a close look at the channels you do not watch, and remove it from your package. Why pay for such channels which you do not watch. You can cut off the channels according to your usage and pay less. For instance, the cost of the full package is about Rs.600. So, if you cut off unwanted channels you can save Rs.200 per month, then the annual saving upon cable packages will turn to Rs.2400.

  1. Limit dining out-

It is necessary to try things to enlighten our life and feel refreshed. Dining out occasionally is good, but it is not necessary to go out for dinner on a regular basis. Having dinner at restaurants costs a huge amount of extra money. It even costs more, when you dine out with your family members. You can save money by cooking at home instead. You can cook fancy stuff and create a party mood at your own house with the help of lights and candles. Saving Rs.14000 per month can save Rs.168000 in a year. This money can be used to pay your down payments.

The scheme is not only limited to buying a property or a house, but you can also apply this scheme to buy other home appliances like refrigerator, television, washing machine, etc., Thus, for every people, it is very necessary to save money every month, so that we can pay the down payment for the things we have bought.

Legal Procedure while Buying an NA Plot

Introduction

Ownership of a house/ farmland/ land is an important thing in one’s life. Although, one needs to be conscious while buying a property to avoid falling into a legal nuisance. Prior to buying a land, a number of checks need to be done to be sure that the land has a clear and marketable title. The legal status of the land is one of the first affairs that should be addressed before purchasing a property.

Basic Documents Required to Buy an NA Plot in Pune

Purchasing property needs to be well-informed decision always. There is a lot of legal procedure involved when it comes to dealing with properties. Owning a property is risky but carelessness can lead to greater losses. Therefore, being cautious is vital. With correct property papers and identity proofs, you can take a more informed decision regarding your land. The first thing is to know the basic documents required to buy a land?

Legal checklist

  1. Verification of title– Verify that the documents you are having a look at are duly signed and stamped by governmental authorities.
  2. Search the identity of the seller– It is mandatory to pay attention to the seller’s residential stature and also nationality as well. Land investment is a crucial investment and requires consciousness.
  3. Check for the required permission– the process of converting of property for non-agricultural use is significant. If you are a buyer you must examine the plan beforehand.
  4. Construction approval-The layout plan of the property should be sanctioned by the municipality or other concerned governmental bodies.
  5. Non-agricultural-Agricultural lands are not meant to be taken under construction. Have a look through the necessary documents and procedures and be confirmed that your land is non-agricultural.

To ensure all things are at place, you need to understand the checklist in details.

What if I Am an NRI?

For an NRI purchasing a piece of land in India is more than an investment. Many Indians have gone abroad to stimulate their career.  This factor may sometimes make people homesick for staying away from their parents.

Here is a checklist for NRI’s looking to buy a plot in India:

  1.  Purpose-Your purpose should be clear.
  2.  Transactions-All transactions should be done in Indian currency.
  3.  Power of attorney-It is possible for a POA to any relative or friend who is living in India.
  4.  Taxation-If the price of the property is more than 50lakh, then the buyer must pay 1% tax on it. This is only for the first purchase.

Continue reading the complete checklist.

Transferring the Property

It is mandatory to have property documents while transferring a property. Transfer of property can take place for reasons like gifting, selling, etc. The Memorandum of Understand (MOU) is the first document that is required during this process. The transfer deed is used for transferring the existing title to someone else. The relinquishment deed is required when there is more than one owner of the same property and this deed relinquish all the share in that property to another partner. There are majorly 5 things you need to know about property transfer.

Who Can Help When Looking for an NA plot in Pune?

Due to the increase in IT and manufacturing companies have been coming up every day. This results in a huge demand for residential plots. Purchasing NA plots is the best solution for residential needs. There are a number of real estate business companies and trust which will help you find your ideal residential plots. Amongst the reliable developers available, SVB Realty is one of the prominent real estate development companies in Pune.

Why should I Invest in a Plot?

A most heard question usually found among investors and home buyers is, what would be the right option for investing, plots or apartments? The favorable answer is plot. There is no belonging more beneficial in the long run than investing in a plot.

The plot is one of the popular investment choices for its better resale value when contrasted with other residential properties. Although, investments in the plot has its own merit and demerit.

Is it a Good Investment Option?

After gold, investing in plot is the first choice of any Indian. Through many generations, we have been taught that land is the real gold and its value never decreases over time. Nowadays, when everyone is searching for a variety of investment, land is the only one which stays for a long run and priced higher.

On the other hand, share market and gold prices are reliant on the factors afar our control but when you have landed in a prime location, its price will rise higher exponentially. Read more

Plot vs Gold

The love for gold is alluring to the Indians. The proclivity towards the shining metal in the form of ornaments is never-ending. It is viewed as an important investment allocation that also contemplates a high-status symbol economically.

A few decades back, gold was an appropriate option to invest your hard earned money but the admiration of the metal is fluctuating a lot these days. The investors are searching for something that will unavoidably increase its appreciation in the future at a better rate so that they can propagate money to own it. In this aspect, the land properties are the ideal provisions to get your money doubled in no time. Read more

Also Read: IS IT A GOOD INVESTMENT TO BUY LAND?

Plot vs Flat

As the question arises while investing in a property, you get an option of either a plot or a flat. Rural areas have large acres of land which are used for the farming purpose or kept barren. Plot owners generally keep it unsullied until the need to sell arise and price of the plot rise up. Although, when investing in the urban area, apartments are the best option that can yield profitable return once the land price of locality skewers up.

Purchasing an independent plot is all about the choice if planning to build a house for future settlement and has the liberty to resize, change the construction. Read more

To make a decision on whether to invest in a plot or not, it is important to concentrate on your need. Planning and proper research according to the future benefit you will earn by investing in any of the property.

Buying A Residential Plot in Pune

Being the focal point of the most celebrated IT corporation, Pune is becoming one of the most congested cities in India, because a number of people are migrating here in search of jobs. Due to more number of the relocation of people from other cities to Pune, the residential plots, houses, flats and villas are in great demand and their prices are rising high. The calculated planning of the city has offered you with magnificent whereabouts, where you will find a huge diversification for plots for sale in Pune, with all the comforts and advantages like modernized efficiencies, faultless whereabouts, and many more.

Why buy NA plots in Pune?
Pune has a wide developing area. It is an upright emerging city. This is a city which gives you all the possibilities of towering returns when it comes to real property speculation. As it is the highlight of many IT corporation and also has the accommodation of many reputed educational institutions, makes Pune an appropriate place to invest money in buying plots. Being a metropolitan city, Pune has a healthy lifestyle of living. The neighboring places are flawless with the plants and vegetation as well as the animality. This view could be of great help for stress-relief. All the basic vital amenities like hospitals, restaurants, grocery shops, shopping malls etc., are almost in every part. There are many other reasons to buy NA plots in Pune.

Research before buying a plot
The first thing you should keep in mind is to check whether the plot is NA plot. In India, all the lands are agricultural plots except the ones, who are marked as NA plots. It is against law to construct buildings on agricultural plots, as these plots are used for agricultural purposes only. Bills and property tax receipts must be checked before buying a plot. The present owner of the land must show all the bill receipts that he/she has paid to the local or municipal government annually. The release certificate of the land must be checked. This certificate denotes the clearance of loans taken from the bank by the landowner. The encumbrance certificate must be reviewed which will help you to identify if there is any disputed legally related to the land. The original title deed must be asked from the landowner. This title deed reveals the right of possession of the property. Make sure you are ready with your research before buying a plot.

Also Read : REASONS TO BUY NA PLOTS IN PUNE

Choosing the perfect plot
The local zoning laws must be checked. The property must be approachable from the roadways. If the property is surrounded by lands, then special authorization is required for trespassing. Setbacks must be checked in order to avoid substantial loss. Ordinance companies may create obstacles in front of you in making a second storeyed building, thus the ordinance must be checked also. All these information can be obtained from the office of local zones. Choosing the perfect plot is the most important phase while buying a plot.

Whom to trust when buying a land?
Last but not the least, there are certain things you must consider before buying a plot from developers. The land is considered as one of the extremely prized possession, that can bring a good amount of capital on selling. The developer must be a reputed one, on whom you can trust and invest your money my on the property. The type of land a developer deals with must be checked, in order to avoid losses. Remember the factors to consider while approaching the builder.

Essential Things NRIs Need to Know Before Buying a Property in India

Buying a piece of land in India is more than an investment for an NRI. Many people have gone abroad to accelerate their career. Staying away from their parents for a long period of time who are in India makes them homesick.

Here is a guide for Non-Resident Indians (NRIs) looking to buy a plot or property in India.

1. Purpose: Your purpose of buying a plot in India should be clear. Are you looking for a home so that you can stay after your retirement? Or are you planning to buy a plot for business? These are the important questions you need to ask yourself before buying a plot in India.

2. Limitation: An NRI can buy any number of residential or commercial plot or property in India, except an agricultural land, plantation property, or a farmhouse. NRIs can receive residential or commercial property as a gift, however, they cannot acquire agricultural land, plantation property, or a farmhouse as a gift.

3. Transaction: All monetary transactions should be done with Indian currency. As per the government rules, 80 percent of the property’s value can be funded by a loan and the rest needs to be paid with Indian currency.

4. Home Loan: Indian banks can help NRIs with a home loan. The home loan needs to be paid through Indian currency. Some banks may need a power of attorney of Indian resident. You need to bring important documents like visa, last 6 month’s bank statements, and salary credit for the last 3 months.

5. Power of Attorney: An NRI can give the POA to any relative or friend who is living in India. They can make the arrangement of making transactions in India. Banks need POA too.

6. Taxation: If you are buying property worth more than 50 lakh rupees, then you have to pay 1% tax on it. This rule is for the first purchase only. The next purchase will be taxed at 1% tax on 30 lakh or above.

7. Selling the Property: If an NRI wants to sell their property, there are many rules and regulation to follow. They cannot transfer more than 1 million to their NRI account in a year in some cases. Taxation will be under FEMA (Foreign Exchange Management Act).

 

Also Read : IS IT A GOOD INVESTMENT TO BUY LAND?

There is no limitation on buying immovable properties in India. However, funds need to be maintained in a non-resident account under FEMA. With a lot of new relaxed rules by the Indian government, it is fairly easy to invest in a property in India.

This is the best time for NRIs for land investment in India. The good options for investment would be regions like Delhi, Gujarat, Bangalore, Maharashtra etc. As per real estate experts, regions surrounding Pune have higher demand for land investment.

5 Things You Need to Know About Property Transfer

Transfer of a property requires property document. Both parties need to follow the property transfer procedure. Transfer of property can take place for reasons like gifting, selling a property, or sometimes it could be due to the illness of the current owner.

Here is everything you need to know about property transfer.

1. Memorandum of Understand: It is also known as MOU. The MOU is one of the first documents that is required during the property transfer process. This document has all the details about sales and purchase of the property, such as detail information about buyers and sellers, date of purchase, date of legal transfer applied and when the buyer will pay the full amount.

2. Sale Deed: The MOU is covered under the sale deed. Apart from all the information from the MOU, this is the most legal document which is required under registration act. This document states that the property is free from any kind of legal disputes and encumbrances. The document also has bank details and stamp duty. If there is an outstanding loan on the property, then the current owner needs to settle it first and then sell the property.

3. Transfer Deed: It is used for transferring the existing title to someone else. It states the ownership of the property and all the other benefits that are transferred to the new person.

 

Read Also : Key Legal Checklist when Buying a Property

4. Relinquishment Deed: This type of deed is only required when the property is owned by more than one person and this deed is to relinquish all the shares in that property to another partner. Tax and stamp duty can vary as per the shares of the person who has transferred it. If the person owns 10 percent share in the property, then taxation will be just for the 10 percent. Also, this deed cannot be altered even if there is no monetary transition.

5. Gift Deed: This type of deed is required to certify that the ownership of the property has been shifted to the new party without any exchange of money. This deed is written on a stamp paper, attested by two witnesses, and registered to the sub-registrar office. Once the process is completed it cannot be reversed.

These are all the documents required while transferring your property. However, documents are required based on the kind of transaction. Make sure you follow all the legal protocols to avoid any kind of legal dispute in the future.

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