Why The Monsoons Are The Optimal Time For Home Purchase

Kishor Pate 2Kishor Pate, CMD – Amit Enterprises Housing Ltd.

In India, the monsoons stand for a lot of things. Indoors, they set the ambience for pakodas and hot coffee while watching the rains freshen the air and trees. Outdoors, we navigate puddles, slippery roads and traffic jams. However, the monsoons also present the perfect time to scout for a new home.

There are good reasons for why the rainy season is the optimal time for house hunting. In the first place, overall demand tends to be subdued, since a majority of potential home seekers are averse to do site visits and home inspections while rains lash the city. Savvy buyers, on the other hand, are able to strike good deals with sellers on account of the muted demand.

The best time to negotiate 

Time is money for everyone selling real estate, so developers and investors are more willing to consider reasonable counter-offers on their asking prices when demand is more muted than usual.

Also, the first fortnight of the monsoon season coincides with pitru paksh, which traditional Indians consider an inauspicious time to make major investments in. The festival season that follows in the month of October is the usually the period which such people will focus on to make property investments.

For this reason, many developers offer attractive discounts during the monsoon period in order to boost their sales, which obviously presents a very good opportunity for buyers.

Apart from real estate developers, investors who are holding residential units will also generally offer to sell their properties at lower rates during the monsoon period. These discounts can range from anything to 5-15%, depending on the city and location.

These advantages to buyers that the monsoon period presents them with are further compounded by the fact that residential sales have been slow over the past 3-4 quarters.

During the lull period which comes in the monsoon season this year, sellers are therefore more willing than ever before to accommodate serious buyers looking for bargain rates.

Why The Monsoons Are The Optimal Time For Home Purchase

Seasonal special rates on home loans

It is not only discounted property rates which present buyers with an advantage during the monsoons. Even banks and other lending institutions generally come out with special offers on home loans in this season.

Even if no formal offers are announced, banks will tend to be more willing than usual to negotiate on their charges and interest rates on home loans.

No better time to determine product quality

For buyers who have had their eyes on certain shortlisted properties but have not taken the plunge so far, the monsoon period is the perfect time to make final inspections and close the deal.

The overall construction quality of a property is best determined during this period; while developers are less challenged to maintain their offerings in good, saleable condition during the other seasons, a few heavy downpours will reveal construction flaws such as seepages and leaks which can only be avoided by perfect waterproofing, flawless plumbing and high-quality window fittings.

In other words, the monsoons are the ideal time to judge the potential investment value of a new property, as well as investments on repairs that would need to be made in resale units.

If leaks and seepage are discovered before closing the deal on the property, the buyer can insist that the required waterproofing and other related repairs be carried out by the seller before signing on the dotted line.

The monsoons also reveal how traffic in the neighbourhood behaves when it has to slow down because of wet roads. In fact, some low-lying areas are prone to flooding, leading to immense traffic jams – this is a factor which can only be established during the monsoons. This kind of knowledge is very important to intending buyers who are unfamiliar with the locality.

In short, the monsoon period is probably the best of times to make one’s property investment in India. This is a little-known fact, but it can actually help buyers to get the best value for their property investment.

About The Author

Kishor Pate, Chairman & Managing Director of Amit Enterprises Housing Ltd. is the driving force behind one of the most successful real estate development firms in Pune and beyond. Apart from its signature luxury homes towers and premium gated townships, AEHL has also launched highly successful affordable housing projects like Astonia Classic and Colori in Undri and the Mediterranean-style township Astonia Royale in Ambegaon.

Family Influences In Property Buying: India’s Changing Trends

Kishor Pate 2Kishor Pate, CMD – Amit Enterprises Housing Ltd.

Property investments are among the major decisions taken in a household. Those who finally bought their homes after living for years in rented properties will appreciate the relief associated with home ownership. The independence and security that a self-owned home provides are unmatched.

However, the decision to purchase a home is not always a straightforward one – there are various socio-cultural and economic processes associated with property purchase. In fact, these trends are closely studied by real estate developers and brokers. Among these factors, family influence is doubtlessly the strongest.

Changing family trends in property decision-making

In India, there was a time when only the male members of the family actually brought in the family income – and in a majority of cases, men were the sole decision makers in the family. All big financial decisions like buying property were made by the male head of the family, and such decisions were invariably accepted without any arguments.

Today, the scenario has changed completely. In more and more parts of India, men are no longer the sole breadwinners and decision-makers in a family. Women have become financially independent, often continue to be so after marriage and in fact work at the same levels as men.

A massive number of households in urban India now have dual incomes, and women have equal decision-making powers and often make decisions on behalf of the whole family. Definitely, when the issue is as important as property purchase, women have the right of an opinion regardless of whether they hold jobs or are housewives.

Stronger focus on children’s needs while purchasing homes 

Another factor that has changed in the family influences surrounding home purchase is that the preferences of adult family members are no longer the sole focal point.

Along with preferences and choices of adults including elders of the family, the needs of the children are now also being taken into consideration while buying a new property.

While choosing a home to buy, Indians parents are at considerable pains to establish whether their kids will have a safe, supportive and conducive environment.

In fact, this is one of the main reasons why most Indian families today prefer larger houses if they can afford them. They want their children to have space to play in, and not be endangered by crammed furniture and goods that need to be piled up to conserve space.

They also want to ensure that the property they buy has abundant ventilation and light, which they know as essential for their children’s health, growth and all-round wellbeing. In fact, the same considerations also apply for the safety and welfare of the elders of the family.

Family profile – going from joint to nuclear

In India, living in large joint families was historically the default trend. Many people lived in the same house with their individual families. Obviously, to accommodate so many people under the same roof, it was imperative that one had a very large home.

Usually, it was the senior male members of a joint family that got together and made important decisions affecting all the members; in the matter of home purchase, these decision-makers would look for large standalone properties which, among other things, could be enlarged to an extent when the family grew.

However, the traditional Indian concept of the joint family has seen a radical change; nuclear families are now the norm rather than the exception. Usually, a nuclear family consists of a couple and their children – period.

Obviously, nuclear families do not require nearly as much space as a joint family. The property buying decisions of a nuclear family are radically different from those of a joint family, both in terms of who make them and what the choices that are made.

What nuclear families look for while scouting for property 

  • Apartments:

Apart from the cost factor, maintaining an outsized property is tedious. The contemporary Indian nuclear family looks for homes that are compact, yet space-efficient – so apartments and flats are the natural choice. The choice of locations also opens up considerably when one opts for flats rather than standalone properties.

  • Proximity/accessibility to workplace, schools, healthcare and shopping:

Since there is lack of manpower in nuclear families, they look for facilities which are close by. For instance, they prefer buying homes which are either close to their places of work or offer good connectivity to them via public transport so that they can save time and money on transportation.

Proximity to their children’s school is important for reasons of safety and convenience. Daily needs must be met by availability of nearby shopping outlets, and medical facilities should be available to tackle emergencies without delay

  • Possibility to upgrade: 

While purchasing a property, the Indian nuclear family will invariably have an eye on the possibility of upgrading to a larger home in a better location in the future as financial capability improves.

If the current property or location do not offer enough scope on the resale market so as to facilitate such upgrading, savvy families will shy away from them.

  • Good neighborhood for the kids:

The focus on children’s wellbeing is sharper today than ever before. Indian parents will simply not want their kids to grow up in an unhealthy environment. Therefore, while buying property, they will ensure not only that the property itself is sound but also that the identified neighborhood is healthy and wholesome for their offspring.

This is why the availability of parks and playgrounds within the housing complex has become a matter of paramount importance for the new Indian family.

About The Author

Kishor Pate, Chairman & Managing Director of Amit Enterprises Housing Ltd. is the driving force behind one of the most successful real estate development firms in Pune and beyond. Apart from its signature luxury homes towers and premium gated townships, AEHL has also launched highly successful affordable housing projects like Astonia Classic and Colori in Undri and the Mediterranean-style township Astonia Royale in Ambegaon.

How Long Does A Modern Concrete Building Last?

Kishor Pate 2Kishor Pate, CMD – Amit Enterprises Housing Ltd.

Needless to say, the world is gradually becoming one big concrete jungle. Innumerable concrete buildings are being constructed for residential as well as commercial purposes globally. Given that people pay a lot of money for them, a natural question to ask is how long these concrete structures or buildings will last.

Building materials play a big role in deciding the longevity of a concrete structure. There have been instances where concrete buildings not more than 20 to 30 years old have collapsed. However, there are cases where concrete buildings that were constructed 100-150 years back are still going strong without any kinds of damage or problems. Unfortunately, the fact that housing projects are being mass-produced today has resulted in countless buildings being constructed with inferior quality materials.

Since all concrete buildings look the same to the untrained eye, it is very difficult to ascertain how long any one will last without needing serious structural repairs. While some buildings will last for more than 50 to 60 years without problems, some will start developing problems after few years of construction.

The designs used in concrete buildings also play a part in how long they will last. If we examine some old structures, it becomes apparent that they have thick columns, beams and slabs that provide superior support to the building. In many of today’s concrete buildings being raised by developers who are more concerned with cost-cutting than delivering quality products, the slabs that are used are merely few inches thick.

Concreting Work Construction Worker

Other than building materials and design, the longevity of a concrete building is also decided by the foundation. In concrete buildings that have lasted for 100 years or more, the foundation is deep and strong, set in ground soil that had been tested and confirmed for its ability to support heavy structures If the soil in a particular site is not strong enough, the foundation needs to go deeper so as to provide adequate anchorage and support.

Assuming that the developer has used a good building design by a qualified architect, that he has used good quality cement and steel, and that the foundation is adequate for the type of soil in the plot, a multi-storey apartment building will provide problem-free service for anything between 70 to 80 years or even longer. Within this period, regular maintenance of the building’s structure will need to be carried out, which a responsible developer who considers himself accountable for his products will undertake as a matter of course.

A badly constructed building which falls into neglect after all the units are sold may not last for more than 35 to 40 years before developing serious faults, along with all related dangers to the occupants.

About The Author

Kishor Pate, Chairman & Managing Director of Amit Enterprises Housing Ltd. is the driving force behind one of the most successful real estate development firms in Pune and beyond. Apart from its signature luxury homes towers and premium gated townships, AEHL has also launched highly successful affordable housing projects like Astonia Classic and Colori in Undri and the Mediterranean-style township Astonia Royale in Ambegaon.