1BHK Flat v/s Bungalow Plot - Which is a better investment option for a young first time investor?

Conversation with Mr. Kedar Vanjape, on the occasion of launch of 'Nisargsrishti' - 110 Fully Sanctioned Residential NA Bungalow Plots -
2199 - 2587 sq.ft. for Rs. 10.94 - 12.84 Lakhs (approx all inclusive price @ Rs. 450 per sq.ft. Launch Rate for a limited period) at Palshi, near Shirwal - 35 minutes drive from Katraj Tunnel on Pune Bangalore Highway:

Flat v/s Plot - Which is a Better Investment?

I started Ravi Karandeekar's Pune Real Estate Market News Blog because I wanted to help home buyers to buy a home in Pune. I thought that sharing info about ongoing housing projects in and around Pune would help home buyers to make a right decision.

I started visiting sites and sharing information about newly launched projects on my blog. I didn't stop at that! I published my mobile number - 919860044110 - on my blog and started offering 3 minutes free advice about buying a home in Pune.

As expected, more and more people started calling me for free advice. However, over the period, I realized that I am receiving more calls from real estate investors - second home buyers - than genuine home buyers. This realization made me sad.

I become more sad as the number of home buyers' calls went on decreasing day by day.

A young, intelligent, educated, salaried, first time home buyer who is eligible for a home loan - can't buy a 2 BHK Flat at a convenient location is - social injustice.

It's systematic economic exploitation of the young population. Particularly the IT professionals working in Hinjewadi & Kharadi.

Only because of these IT guys, Indian economy could achieve around 4 - 5 per cent GDP growth in the last 4 - 5 years and bring in good amount of foreign direct investment in the country.

But, in return what did these IT guys get?

Nothing!

These IT guys can't fulfill even their basic needs. These IT engineers can't buy a decent home with proper approach road, water & power connection.

These IT professionals in Hinjewadi & Kharadi have become slaves of the Indian economic policy.

I went on convincing myself to accept this truth. But, I couldn't. And, I became more sad.      

At the same time, all was not well with real estate investors too. Unscrupulous builders & land developers had set traps to kill these naive investors.

Builders trap was 'affordable - budget - compact - homes'.

Land developers' weapon of mass destruction was "Proposed NA Plots".

"Affordable - budget - compact - homes" means poorly designed 1 BHK Flat of around 410 - 430 sq.ft. carpet area & a 2 BHK Flat of around 610 - 650 sq.ft. carpet area - located in some faraway - remote - non urbanized - location - without road, water, electricity, drainage and waste management services and social infrastructure.

Assuming that in the near future - when the area would develop - we can win a jackpot - these naive investors are paying irrational property prices for these worthless properties.

"Proposed NA Plots" means a cut piece of an agricultural land - sometimes on the hill top & hill slope - which seller can not sell and a buyer can not buy. Because -
1) Agricultural land can not be divided into pieces.
2) Only a farmer can buy an agriculture land.
3) Hill top & hill slopes are protected - no construction is allowed.      

Trusting in the white lies about some ring road - PMRDA - proposed merger in PMC / PCMC - upcoming phase of IT Park in the vicinity - automatic conversion from agriculture to residential zone -these stupid investors are deceiving themselves.

These stupid investors are paying irrational price for a cut piece of agriculture land which they do not own today. And will never be able to own tomorrow.

The property card - 7/12 - of the cut piece of agriculture land is not transferred in their name today. And will not be transferred tomorrow.  Because these cut pieces are illegal and these investors are not farmers.

Today, in this corrupt Pune real estate market, most of the young eligible would be home buyers find themselves in a fix. Same about the young home owners who want to invest in second property and earn appreciation.

These young guys are intelligent enough to see the con game of land developers. These rational guys refuse to invest in worthless affordable compact budget homes - which are not suitable to live.

But what should they do about their savings? Where should they invest their 5 - 10 lakhs?

They do not have enough money to buy an investment grade property in the developed area of Pune. There is no point in keeping a few lakhs in a bank. What to do?

Their few lakhs are making them uncomfortable.

After repaying the first home loan, they know that not availing a second home loan is not a smart decision.

For them investing in real estate is not only about earning appreciation. Not only about increasing personal worth. Not only about earning passive income. Not only about converting their printed paper currency notes into a valuable kind.

Investing in real estate is more than that.

Investing in real estate is about securing your future. Making provision for future needs of your family.

Real estate investment is their pension account. And they know that for the old age - you have to start saving while you are young.

But there is no safe & affordable real estate investment option available for them.

Not so anymore!

Now, Kedar Vanjape Developers Pvt. Ltd. www.kvdl.in have launched "Nisargsrishti" - 110 fully sanctioned residential NA bungalow plots at Palshi, near Shirwal, 35 minutes drive from Katraj Tunnel on Mumbai Bangalore National Highway!

Safe & affordable investment option exclusively designed for these smart young first time real estate investors & would be home buyers!

Last time when I visited Kedar Vanjape Developers' office, my mind was pre-occupied with 3,000 + home buyers in Ackruti Hubtown projects. So, I went back and interviewed Mr. Kedar Vanjape and visited the site of "Nisargsrishti at Shirwal".



In this interview in Marathi, Mr. Kedar Vanjape covers 3 points -

1) How 'Nisargsrishti at Shirwal' is a safe & affordable investment option
( than any other Proposed NA Plotting Scheme)


(To View More Photos - Put Your Cursor Over the Current Photo)

A) No MOU. No Agreement to Sale.
At Nisargsrishti - Sale Deed of the plot is done.
Your name is put on the 7/12 (Property Card) immediately.
Next day, since the plot has residential NA, you can start construction of your bungalow.
In a minimum required period your name appears in the government records.
Means you become legal & true owner of your plot immediately.

B) At Nisargsrishti,
Smallest plot is 1,867 sq.ft. for Rs. 9,29,399.
Biggest plot is 5,845 sq.ft. for Rs. 28,88,696.
Most of the plots are:
2,199 sq.ft. for Rs. 10,93,049
2,393 sq.ft. for Rs. 11,88,472
2,490 sq.ft. for Rs. 12,36,184
These are all inclusive prices - area x rate (450) + stamp duty (4%) + registration charges (1%) + legal charges (10,000) + One Time Maintenance @ Rs. 20 per sq.ft.) - at the launch rate of Rs. 450 per sq.ft. (Click to Visit Price List)

You can get 60 per cent home loan from a bank at a normal home loan interest rate.
Means, to own a plot at Nisargsrishti you  have to pay only 40 per cent own contribution.
Means, if you have 5 - 6 lakhs, you can own a plot!
Means, Nisargsrishti at Shirwal is an affordable investment option.    

2) How 'Nisargsrishti at Shirwal' is an ideal investment option for young first time investors
(more profitable investment option than a flat in the same price range)


(To View More Photos - Put Your Cursor Over the Current Photo)

A) Safe - Residential NA
B) Instant Legal Ownership - Sale Deed. Your name on 7/12.
C) 1 FSI
D) 60 per cent home loan from any bank at home loan interest rate.
E)  5 - 6 Lakhs Own Contribution.
F) EMI manageable.
G) Located in fastest developing industrial belt - at Shirwal
H) No maintenance charges - One Time Maintenance at Rs. 20 per sq.ft.
I) Expected returns - 15 to 20 per cent per annum
J) Good returns in 3 - 5 years time frame.
K) Compared to a flat, selling fully sanctioned residential NA plot & booking profit is easy

3) How 'Nisargsrishti at Shirwal' is an ideal weekend home.
(after visiting the site, I completely agree with Kedar Vanjape!)


(To View More Photos - Put Your Cursor Over the Current Photo) .

A) 35 minutes drive from Katraj Tunnel on Mumbai Bangalore National Highway.
B) Means can reach in one hour from your home in Pune
C) Can visit on Saturday morning and come back home on Sunday evening. Refreshed, Recharged.
D) In the lap of nature - water bodies, hills, greenery, pollution free, pleasant ambience
E) A land with good vibrations
F) Vastu compliant plots
G) Power & water connection
H) Club house for socialising
I) 110 plots in 10 acres - good size of safe neighborhood
J) Affordable price of a plot
K) No recurring common maintenance cost

After looking at the legal papers shown to me and visiting the site of Kedar Vanjape Developers' 'Nisargsrishti at Shirwal', after a long time, I felt good.

Now, I know that at least there is one safe & affordable investment option for a first time young investors in Pune real estate market.

Now, if someone asked me what is a better investment option - a flat or a plot - I can confidently tell him - a plot in Nisargsrishti!

What say you? Do you know any other option? Please, share your views in the comments.

To know more about Nisargsrishti at Shirwal, please, contact:

Kedar Vanjape Developers Pvt. Ltd.

Click to Visit Brochure of Nisargsrishti at Shirwal

Click to Visit Launch Price List of Nisargsrishti at Shirwal

www.kvdl.in

Call 020 2553 8833 / 44 / 99223 88333 / 88050 06555

Related Story:

1) Saturday, February 15, 2014

Current Property Prices & Availability in West of Pune

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