The Philosophy Behind Residential Project Names

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

The naming of residential projects can play a significant role in how much attention they garner on the market. While the name-selection process may sometimes seem random (and it sometimes is), there is more often than not a great deal of psychology and marketing thought behind it.

The idea is to create a certain impression and aspiration in the minds of the target clientele, and when this is done with enough research and sound marketing advice, this objective can definitely be fulfilled.

The philosophy behind naming a project is guided by the specific nature of a particular market in terms of overall ethos, social configuration and mind-set, and the type of clientele that the developer is targeting.

The developer will seek to find a name that ‘speaks’ the local language and also conveys the image or impression that he is trying to create. Usually, the developer will employ an advertisement agency to come up with a suitable name, and the shortlisting and confirmation of the final pick can be quite a drawn-out process.

For instance, project names with a Mediterranean image evoke visions of such countries and the ethos they represent. This ethos would include a lot of things, including a sense of chilled-out global ambiance, exclusiveness and social ‘arrival’.

Amit's Astonia Royale in Undri
Amit’s Astonia Royale in Undri

Such names are usually given to themed gated projects and townships wherein the developer has gone to considerable pains to recreate the identified cultural ethos in the project with its specifications, amenities and design, including the interior decor of individual units.

With yet another category of project names such as those that evoke a certain cultural ethos, the intention will be to attract buyers from a certain community within a city.

Such names may seek to speak to buyers from the traditional ‘core’ sector of the city, which would like the thought of being able to include such a name in their address.

However, this is by no means a given. The name selection may also be completely random and based on no such particular intention. At times, the name may have absolutely no bearing on anything that the project actually is, and this phenomenon is often seen in the case with mid-income housing projects.

In today’s market scenario, there is no shortage of highly imaginative and well-researched project names. By the same coin, there is also no shortage of bizarre project names where one tends to wonder what exactly the developer was thinking.

In the past, the process of naming a project was a lot simpler and less meditated. Previously, a number of good names were up for grabs – today, there is high competition among developers to find the best possible names.

Developers will seek to keep the names of their projects a secret until they are ready to unleash the complete marketing campaign, to reduce the chances of competitors plagiarizing these names for their own projects. As of now, there is no well-defined ‘copyrighting’ mechanism available.

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.

Compact Homes: India’s New Urban Living Standard

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

The parameters that drive urban living in India have been changing constantly. People from other parts of the country have been migrating into thriving cities like Mumbai and Pune to avail of the better job prospects there.

While real estate developers have been attempting to cater to the rising demand for housing, urban land prices have been rising and with them the cost of homes. This has given rise to the trend for compact homes near these cities’ main office locations.

Perfect residential solution in urban areas

The affordable prices of smaller homes are not the only reason why compact flats are now the first choice of people living urban areas. Of course, the price differential does play a major role. After all, bigger apartments of 3BHK and 4BHK configurations are very expensive.

At the same time, 1 BHK flats are considered too small for growing families. This is why 2BHK apartments are now in highest demands among urban families. Particularly designed for the working middle class, such flats are more suitable as well as affordable for nuclear families. In fact, the compact 2BHK apartment is now considered the new luxury standard.

Projects with 1BHK, 2BHK and 3BHK options are not new in a city like Pune, but they have some inbuilt limitations. The biggest limitation is that such projects result in very disproportionate neighbourhoods, with several families having bought homes in different budgets.

However, projects comprising exclusively of compact 2 BHK flats – a new trend that is catching on in a big way in cities like Pune – provide a setting where all home buyers come in at the same level. This results in uniform neighbourhoods whose residents are evenly matched at a socio-economic level.

Home Construction Plan

Why Compact Homes Rock The Middle Class

– The size is right: Compact 2BHK flats are small enough to be manageable for small nuclear families, yet large enough to accommodate their future growth in terms of children.

– Makes ‘space’ for other investments/expenses: Home buyers who are on a budget but still want to enjoy the benefits of a good, well-connected location prefer such flats. Real estate developers who focus on this demand segment are able to achieve economy of scale by building vertically on relatively smaller plots.

– Cheaper than larger apartments: While investing in a property, the primary concern for the Indian middle class is price. Not only are large properties that are extremely expensive out of reach for them, but the money that is saved by buying a smaller home can be invested elsewhere or utilized in some other manner to achieve yet another important lifestyle goal. Today’s upwardly mobile young Indians want to travel, invest in nice cars and get the best possible education for their children.

– Smartly designed compact homes maximize space: One of the first things one notices in many larger flats is that lots of space is wasted, or not being utilized optimally. Because space saving is not only a virtue but a necessity in urban areas. Compact 2 BHK homes can be designed in a manner that provides space for everything while no space is wasted. Such smart designs help in using smaller areas in the most effective manner.

– Easy to maintain: In today’s extremely busy and hectic life, they watchwords are convenience and low maintenance – especially in one’s home. Compact homes are easier and more cost-effective to handle and maintain than large apartments. Electricity bills and maintenance bills can be reduced significantly in such homes. Also, they require less furniture and décor.

– Freedom and flexibility to design the home: The interior design of compact homes can be designed easily and cost-effectively. Guided by the latest trends in compact home décor, young Indian families are able to transform their smaller flats into extremely stylish spaces within small but intelligently allocated budgets.

– Great savings on transportation: Transportation expenses can be reduced greatly with compact homes which are located in well-connected areas. Because the developers of such projects locate them in close proximity to commercial areas like offices, banks and shopping malls as well as, schools, colleges and hospitals. Thanks to their better connectivity and social infrastructure, well-located compact homes are becoming first choice of home buyers in urban areas.

– Higher scope of resale on the property market: The demand for compact homes in well-connected urban areas is rising constantly, with more and more people looking to purchase such properties and benefit from their many advantages. Therefore, the resale value of compact homes is always high and such homes are sold very quickly, as there are always prospective buyers. This means that owners of compact homes can exit their investments easily and at a good profit if they find the need to relocate or move into larger homes.

Small in not only beautiful but eminently practical and sensible for the contemporary urban citizen. With so many advantages to owning compact homes in well-connected neighbourhoods, this is one real estate market segment that will not only hold its own but grow exponentially in the years to come.

Such a home is the ultimate place to live in, as well as a matchless performing asset from the perspective of real estate 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.

7 Reasons Why You Should Buy A Home While You’re Young

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

There are lots of arguments for and against buying a home early in life, but the rationale for doing so is, in fact, the strongest and most convincing.

  1. Lower EMIs

In the first place, the longer the tenure of a home loan, the lower the EMIs are. EMIs are calculated on the basis of the loan amount and how long the borrower can logically repay the home loan.

In India, the retirement age is 65, and banks will consider this as the age by which the borrower must under any case close the home loan if he or she has not done so already. The longer one defers the decision to avail of a home loan to buy a property, the bigger the EMIs become.

  1. Higher Eligibilty

It is easiest to get approved for a home loan when one is young.

Lenders are eager to provide home loans to young people because they are at the beginning of their careers, and will doubtlessly grow in them over the ensuing years. Their financial viability – and therefore their future ability to service a home loan – is therefore at its highest point.

In fact, the eligibility for a home loan is even higher for young married couples taking out a joint home loan. This is by far the most desirable lending scenario for banks.

Banks are assured that two, instead of only one income stream, will back the home loan proposal, and the fact that two instead of one borrower are involved decreases their risk.

Taking a joint home loan also helps a couple close down the financial commitment of a home loan much faster, allowing them to focus on other investments earlier in life.

  1. Upgrading to a Better Home

Another advantage of purchasing a home early in life is that it becomes easier to pay off the outstanding amount on a home loan with accumulated savings later in life.

This opens up the opportunity to upgrade to a bigger, better-located home is the future – which is what most Indians aspire to do at some point.

  1. Bigger Down Payments

Today, many newly-married couples are deferring their plans to have children until they have had a chance to enjoy some unfettered years together. Such a decision also works very well for such couples from the point of view of home purchase.

Home Buyers

It means that they can make a big down payment on their home before children and their education become an additional financial responsibility. A bigger down payment reduces the EMI burden, meaning that they can close their home loans faster.

  1. Greater Appreciation

It is also important to note that the earlier one buys a home, the longer it has to appreciate in value. Given that the annual appreciation of a well-located residential property can be to the tune of 15 to 20%, which results in a huge incremental increase of the investment value of such an asset.

  1. Income Tax Breaks

It also makes much more sense to invest one’s hard-earned money in an appreciating asset rather than pay monthly rentals for which there are no returns at all. Repayment of a home loan also brings with it the financial advantage of income tax breaks.

These are an added benefit which the Indian Government has provided with the express purpose of encouraging young citizens to invest in self-owned homes and thereby safeguard their and their children’s future.

  1. A Great Investment

Finally, it makes much more sense to pay monthly EMIs on a home loan, into an investment-grade asset, rather than pay monthly rent which is nothing but an expense with absolutely no returns on investment.

The above reasons should present a convincing argument for making the important decision of buying a home early in life.

The New Age ‘logic’ that it is better to live on rent simply does not hold water if one considers the multi-faceted advantages of investing in a self-owned home while one is young. It is true that it requires financial discipline to service a home loan, but this very desirable quality can never come too early.

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.