An Ideal Time to Buy Property!

Current market conditions are forming to make it the ideal time for buyers to enter the home market.
The RBI are concentrating on the push against inflation to bring home loans down and with the global meltdown the real estate market has seen a price correction across all sectors.
We have recently seen a 2 point drop in the lending rates of most major banks and this equates to a 15% - 20% saving in EMI for the buyer.
“This makes it an ideal time to find an investment property or a property for the first home buyer, the buyer will save around 15% in EMI financing rates plus a discount from the builder of a similar margin” reports CEO of L J Hooker Project Marketing Alexander Moore.
On a global scale India is in a vey good position where we expect to still experience a high level of growth in the next year, whereas the rest of the global economy are not looking to be as lucky.
In Bangalore we also have a large floating population which adds to the inherent market demand for housing.
Bangalore is also seeing developers keen to move on their inventory levels, “Deals available in the current market place are as good as they’re likely to get and young buyers in particular should try and get into the market now while the good deals are available” says Mr Moore.
L J Hooker believes that the price drops we have seen are the end of the cycle and that this couples with the drops in interest rates have left a much more attractive market for buyers.
The last advice is to buy quality well located and well connected property—it will always do better than secondary positions.

Market Plateaus - buyers coming back !

We seem to have seen the bottom of the cycle in general residential property and buyers are now starting to come back into the market.
There has been a push through from the affordable segment to a point where we are now seeing a pick up in enquiry in the large and still somewhat oversupplied middle market.
Buyers are appreciating the fact that there is only so far that prices can, and will come down.
With the price of building materials such as steel and concrete staying up and labour not likely to get cheaper there is really not that much potential downside in property prices from here on.
Builders now are in general terms up to 20% lower than the prices that were anticipated 6 months or so ago. It is considered unlikely that they have much potential to go lower.
The best advice to buyers is to find a property that you like and then sit down with the developer or their agent and get a price that you are happy with.
Buyers need to remember that property is a long term investment, if you buy good quality in a good position then you will always do exceptionally well.
As with the later part of 2008, poorly situated and poorly build product is unlikely to find a buyer in this market.
Some of the best buying at present is in the areas of Electronic City and Whitefield where large volumes of supply have driven down prices to rock bottom.