0
was successfully added to your cart.
Jul 25
0

Real Estate Investment in Velachery, Chennai: A Comprehensive Guide

By | Our Post | No Comments

When it comes to real estate investment in Chennai, Velachery has increasingly become a focal point for both seasoned investors and first-time buyers. Known for its strategic location and rapid development, Velachery offers a myriad of opportunities for those looking to invest in one of Chennai’s most vibrant neighborhoods. In this article, we’ll explore why Velachery is a prime location for real estate investment, the factors driving its growth, and what you should consider before making a move.

Why Invest in Velachery?

1. Strategic Location

Velachery’s location is one of its most significant advantages. Situated in South Chennai, it is well-connected to major IT hubs like OMR (Old Mahabalipuram Road) and the Chennai Central Business District. The area enjoys seamless connectivity through the Velachery Road, connecting it to the bustling neighborhoods of Adyar and T. Nagar. Additionally, the nearby MRTS (Mass Rapid Transit System) station enhances accessibility, making Velachery a desirable spot for both businesses and residents.

2. Thriving Commercial Hub

Velachery has evolved into a major commercial and retail hub. The presence of the Phoenix MarketCity mall, one of the largest shopping centers in Chennai, adds to the area’s appeal. This commercial growth has spurred demand for residential properties, as employees and business owners seek nearby housing options to reduce commute times.

3. Robust Infrastructure

The infrastructure in Velachery has seen significant improvements in recent years. The area benefits from well-maintained roads, efficient public transportation, and a host of amenities including schools, hospitals, and recreational facilities. Notable institutions like the Velammal Medical College and the Rajiv Gandhi Memorial Government General Hospital contribute to the area’s appeal.

4. Growing Real Estate Market

The real estate market in Velachery has been on an upward trajectory, driven by both demand and development. With a mix of high-rise apartments, gated communities, and commercial properties, Velachery offers diverse investment options. Property values in the area have shown consistent appreciation, making it an attractive option for investors looking for both capital appreciation and rental income.

5. Upcoming Developments

Several upcoming developments are expected to boost Velachery’s real estate market further. Infrastructure projects, including new roadways and public transport enhancements, will continue to improve connectivity and living standards. Additionally, planned commercial developments and residential projects are set to increase the area’s attractiveness and property values.

Types of Real Estate Investments in Velachery

1. Residential Properties

Residential properties in Velachery range from luxury apartments to affordable housing. The demand for residential units is driven by the area’s connectivity, proximity to IT hubs, and overall livability. Investors can choose from high-end condominiums, gated communities, or standalone houses, depending on their budget and investment goals.

2. Commercial Properties

Commercial real estate in Velachery includes office spaces, retail shops, and business centers. The area’s commercial growth, coupled with its strategic location, makes it a prime spot for businesses. Investing in commercial properties can offer attractive rental yields and long-term appreciation.

3. Rental Properties

With the influx of professionals working in nearby IT parks and business centers, rental properties in Velachery have high demand. Investing in rental properties can provide a steady stream of income, especially in areas close to major commercial hubs and transportation facilities.

Considerations for Investors

1. Market Research

Conduct thorough market research before making an investment. Understand the current property trends, pricing, and future development plans in Velachery. Engaging with local real estate experts can provide valuable insights and help you make informed decisions.

2. Legal Aspects

Ensure that all legal aspects of the property are in order. Verify property titles, check for any encumbrances, and ensure compliance with local regulations. Consulting with a real estate lawyer can help navigate any legal complexities.

3. Infrastructure and Development Plans

Keep an eye on upcoming infrastructure and development projects. Investments in areas with planned improvements and new projects are likely to see higher appreciation rates. Evaluate how these developments might impact property values and rental yields.

4. Budget and Financing

Determine your budget and explore financing options. Consider factors like down payments, loan interest rates, and monthly EMIs. Proper financial planning will ensure that your investment remains viable and profitable.

Conclusion

Velachery stands out as a prime location for real estate investment in Chennai, thanks to its strategic location, thriving commercial sector, and robust infrastructure. Whether you are interested in residential, commercial, or rental properties, Velachery offers diverse opportunities to suit various investment preferences. By conducting thorough research, understanding market trends, and considering future developments, you can make a sound investment decision in this promising neighborhood.

Invest in Velachery, and you’ll be positioning yourself in one of Chennai’s most dynamic and rapidly growing areas. Here’s to successful investing and a prosperous real estate journey in Chennai!

Apr 27
0

What is the jurisdiction of any dispute related to property investment in India?

By | NRI | No Comments

It is not advisable for NRIs to file property dispute cases anywhere else other than the jurisdiction where the property is located. Only the court in that jurisdiction can try a property-related case.

Delays in the construction process beyond the extension period mentioned in the agreement fall under the purview of consumer courts under ‘deficiency in rendering of service’ in the Consumer Protection Act of 1986 if the project is not registered under state RERA.

If the project is registered under RERA, buyers can file a complaint under Section 31 of the regulation with the appointed regulatory authority within the respective state.

Interestingly, there may soon be a law in place in the state of Punjab to protect NRIs against property-related frauds. The State government is planning to bring the NRI Property Safeguards Act to resolve issues of NRI buyers effectively and transparently.

An ombudsman for resolving issues would also be set up under the law. If this happens, it would indeed be a worthy precedent for other states to follow.

Apr 22
0

How does one verify whether an Indian property is legally compliant in all respects?

By | Posts | No Comments

It is important for an NRI to pay attention to factors like the legitimacy of land, compliances to be followed during construction, environmental clearances, etc., at the time of a property purchase. As real estate is a state subject, laws may differ from state to state and there is, therefore, no one-size-fits-all response.

Before buying such a property, the NRI should ideally consult a lawyer to examine all the legal documents and verify their authenticity. They must also check whether the project is registered under the respective state RERA and whether or not it is fully RERA-compliant. However, many Indian states and Union Territories still do not have a functional RERA website, and this is where the services of a reputed real estate consultancy can be invaluable to save on time and effort, and ensure that all the boxes are ticked.

Apr 16
0

How to repatriate funds from real estate investment, both for rental income and proceeds on sale?

By | Posts | No Comments

The laws are quite lenient but have some provisos.

There is no restriction on NRIs for repatriating rental income or even property sale proceeds (other than agricultural land, a farmhouse and plantation property) as long as the total proceeds are within the set limit of USD1 million in a fiscal year.

The conditions are:

The property being sold was acquired as per the foreign exchange regulations applicable during that period.

– The amount being repatriated cannot exceed the cost of the sale proceeds from the transaction.

– The sale proceeds from a maximum of two residential properties can be repatriated.

– The maximum amount of repatriated funds from a Non-Resident Ordinary (NRO) account is capped at $1 million per fiscal year.

– Funds can be repatriated only after settling all the applicable taxes and other charges.

If the property was purchased with money received from inward remittance or debit to NRE/FCNR/NRO account, the entire principal amount can be repatriated outside India immediately while the balance must be deposited in an NRO account.

To start the repatriation process, the NRI must get a certificate from a Chartered Accountant (CA) in India, issued in Form 15CB. The form can be downloaded easily from the Indian government tax website. This form verifies that the money acquired was via legal channels and all due taxes have been paid. The CA verifies and signs the form.

The next step is to fill Form 15CA which can also be downloaded from the same website. The form must be filled and submitted online, after which a system acknowledgement number is automatically generated and displayed. The NRI must print out the filled undertaking of Form 15CA displaying the system-generated acknowledgement number, and sign it.

The final step is to take the signed undertaking along with the CA certificate on Form 15CB to the bank where one has an NRO account. The concerned bank will check the forms and transfer the money abroad (up to $1 million in an FY). Apart from these forms, the bank will also ask for a copy of the sale document of the property. If the property has been inherited, the bank will ask for the Will copy, legal heir certificate, and death certificate of the person on whose death the property was inherited.

Apr 11
0

Can a property be gifted, and what are the statutory charges levied on a gifted property?

By | Posts | No Comments

An NRI can gift residential and commercial property to a person resident in India or to another NRI. However, if the property is agricultural land, plantation property or farm house, it can only be gifted to an Indian citizen residing in India.

Gifts received from relatives (as defined under the Income Tax Act) are not taxable,
But when registering, one must pay the prevailing stamp duty and registration fees. Relatives include a wife, brother or sister, wife’s brother or sister, brother or sister of one of the parents, and any descendant or descendant of self or wife.
If the gift is received at the wedding or from a registered trust, it is exempt from tax.

Some NRIs are more interested in investing in Indian real estate through companies they have created on foreign soil, or they may work in a foreign company that is interested in making a footprint in India.

Apr 09
0

Know your EMI Holiday

By | Posts | No Comments

Take advantage of the moratorium period: Announcing major relief to home loan borrowers in the aftermath of the Covid-19, the RBI on March 27, 2020, deferred EMI payments under a three-month moratorium period apart from bringing down the repo rate to a record low of 4.4%. The Reserve Bank of India announced a major relief for home borrowers after Kovid-19, and on March 27, 2020, the EMI deferred payments for a period of three months, except for the reduction of the Remo rate by one month. The record low is 4.4%. Because the the moratorium is from March 1 to May 31, you have two months off.

However, take note of the many catches at this opportunity. First of all, this is not an EMI holiday – you have to pay EMI with interest later. Delayed payments in your credit history are not classified as a default link, but you have two months of relaxation from the Reserve Bank.

Additionally, whether the benefit extends to you is at the bank’s discretion as an invitation to your lender and as an interest charge for late EMI payments.

Suppose your home loan EMI is Rs 40,000. Up on non-payment, this amount will be added to the loan principal. In the next month, the interest will be computed on the loan outstanding, along with Rs 40,000.

For the borrower who has been laid off, not taking this option is not actually an option. “While availing of the moratorium will cost them additional interest cost, it will give them at least a two month window to get a job or arrange funds from other sources, without hurting their credit score,” says Chaudhary.

Apr 07
0

Can an NRI use a Will to bequeath property in India to someone else — either another NRI or a resident Indian?

By | NRI | No Comments

NRIs can of course assign assets to their legal heir / s or any other option of their choice. An NRI is any immovable property in India, be it residential or commercial – and even agricultural land or farm house (which they are otherwise not entitled to purchase).

An NRI is also free to obtain assets from another NRI or resident in India. However, the Reserve Bank’s permission is required if the property is acquired by a citizen of a foreign state and resident outside India.

Apr 01
0

Credai seeks single window clearance, reduction in stamp duty

By | Uncategorized | No Comments

The Confederation of Real Estate Developers Associations of India (Credai) has requested the Government of Tamil Nadu to launch a single window system to build approvals and reduce stamp fees.
In a letter to Tamilnadu Chief Minister and Deputy Chief Minister, Credai Tamil Nadu President S. Sreedharan said the state government should implement the long-awaited single window clearance. He said this would lead to the dynamic and vibrant growth of industry in the state.
The single window system will throw entire building approvals online, including all planning applications, including planning permission and completion certificates, at the click of a button.

Credai Chennai chapter president W S Habib said the government should take immediate steps to reduce stamp duty.

“With amendments to the Tamil Nadu Combined Development and Building Rules, we expect that further measures such as reduction in stamp duty on a par with other states will benefit the revival and robust growth of real estate of the state,” he said.

})
Privacy Policy