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adProperty News For January 2009

Realty sector in kozhikode upbeat about 2009
Source : The Hindu Property Plus Published On : 2009-01-03 City : Thiruvandrum

The sector grew in the range of 30 per cent to 40 per cent in 2008.

The year 2008 was eventful for Kozhikode city. The realty sector grew impressively in the range of 30 per cent to 40 per cent.

“Of course, we experienced a slowdown towards the end of the year, particularly in November and December. But that has not affected the overall growth,” says Nityanand Kamath, secretary, Kozhikode chapter, Kerala Builders Forum....

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A promise of cheaper housing
Source : The Hindu Property Plus Published On : 2009-01-10 City : Thiruvandrum

With new and cheaper technology and a steady drop in prices of cement and steel, the lower- and middle-income groups can hope to realize their dream of owning a house.

The economy is going through a slowdown. The housing sector, booming in the earlier part of 2008, is feeling the heat. But there is hope this year, if opportunities are handled well. The slowdown holds a possibility — affordable housing.

The once-booming construction industry in West Asia is now reeling under skyrocketing material and lab our costs. With over 70 per cent of the planned projects stopped, a million skilled construction laborers are heading back home to India. But this can very well give an impetus to the domestic construction industry. Because of the meltdown, engineers and skilled workers will be available at half the lab our cost they had charged six months ago. Workers who had charged Rs.300-400 a day would now be available at Rs.150-200 a day. And since lab our costs contribute as much as 30 per cent of the construction costs, this is significant. ...

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Borrow now as interest rates decline
Source : The Hindu Property Plus Published On : 2009-01-10 City : Thiruvandrum

In the past month and a half, interest rates have come down. The Center’s stimulus packages, intended to reverse the slowdown, has centered on rate cuts.

The trend has triggered speculation that home loan rates may well be back to 7.5-8 per cent soon from the current 10.5-12 per cent. Most borrowers anticipate the rates to reach such low levels, which is most unlikely.

Despite the downtrend in the interest rates, loans other than for housing has not seen rate cuts. For instance, car loans still go at 12.5-16 per cent. But many car makers and sellers and dealers offer goodies in the form of special cash discounts and free accessories and insurance. ...

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Softening prices raise spirits
Source : The Hindu Property Plus Published On : 2009-01-10 City : Thiruvandrum

The prices of some key building materials have started falling, but how far will it ease construction costs overall? K.A. MARTIN takes a look.

The building industry, reeling under an economic slowdown, has been looking at two major sources of solace. The first is the relief measures announced by the Union government, including tax cuts on materials and interest rate revisions.

The second is the fall in prices of several building industry inputs. More than the government incentives, a natural correction in the materials market is what is expected to provide long-term price stability for the building industry. ...

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Build firm foundations suitable for the soil type
Source : The Hindu Property Plus Published On : 2009-01-17 City : Thiruvandrum

The first step in planning to build a house is the selection of a suitable site. N. UNNIKRISHNAN and ARVEE SUJIL JOHNSON discuss the next step, building the foundation.

The break-up of the traditional joint family system, coupled with the migration of young families to job centers, has resulted in the need for more dwelling units. This, in turn, has triggered a spurt in the demand for residential sites.

In all major towns and suburban areas, house sites with soil that allows quality foundations are becoming scarce. In Karalla, where the rural-urban dichotomy is practically non-existent, the problem is ubiquitous. ...

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