| Author | Message | ||
     Redbull Side Hero Username: Redbull Post Number: 3269 Registered: 03-2009 Posted From: 94.195.69.49 Rating: N/A |
We sodhi pool news papers anni.. By tomorrow will come up with other article saying.. Don't waste lot on rent ani..jus decide where u want to live ur life buy decent house to live. These assets are easy to pass to ur kin..shares access inkaa desam lo oka 5% ki vundhemo Anthe.. | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34942 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
stocks investment needs more brains and luck. People lost money even in investing in Mfs by Unit Trust of India Real estate comparatively less risk. only risk is occupation by rowdy elements/political leaders etc No Signature | ||
| Xxx Side Hero Username: Xxx Post Number: 7741 Registered: 04-2009 Posted From: 71.75.156.215 Rating: N/A |
Highest return in India are always on Land .. with inflation and deprecation of ruppee you cannot buy more than what you can buy with the same amount of money. There are always exceptions , if you can invest in stocks and gain multiple times, but normal person cannot Gold is now down cycle .. but in next 20 years , who knows where it will be - | ||
| Filmbuff Side Hero Username: Filmbuff Post Number: 5696 Registered: 11-2011 Posted From: 117.198.136.20 Rating: N/A |
Invest in an index ETF, over a period of 20 years, how can you lose money. Unless you assume that India is going to be in a 20 year recession. Gold has lost 30% value over the last 4 years, silver has lost 40-50% value over the last 4 years, many property investors are bleeding across the country. The so called safe assets are just a sham. | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34941 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
Many mutual funds might have lost the money alsoo. u need to factor that tooo. No Signature | ||
| Xxx Side Hero Username: Xxx Post Number: 7739 Registered: 04-2009 Posted From: 71.75.156.215 Rating: N/A |
I don't know all these calculations .. apartments which costed 10 lakhs before 7 or 8 years now are 50 lakhs in guntur .. Independent houses which costed 10 lakhs in 2003 are 1.5 crore in Guntur , most of them are not affordable .. I did buy them when they are cheap , as my thoughts are interest rates are too high to borrow ,now I cannot afford them anyway - | ||
| Filmbuff Side Hero Username: Filmbuff Post Number: 5695 Registered: 11-2011 Posted From: 117.198.136.20 Rating: N/A |
You will have an outgo of around 25000 every month in EMI - you can save on that and you can also invest the 25 lakhs of downpayment in a mutual fund. According to my spreadsheet, assuming a 7% increase in your rental every year, assuming a 15% annual increase in property value, a 13% alternative return for you (on Mutual funds etc) - rental is better for you. In a developed market like Bangalore, it is unlikely that flats will continue to appreciate at 15%. My assumption above is fairly liberal. The 13% i have assumed is fairly conservative for your alternative returns, tax free bonds meedha you will get 12-13%. | ||
| Sesani Side Hero Username: Sesani Post Number: 7829 Registered: 08-2014 Posted From: 173.63.231.224 Rating: N/A |
machigundi kada option... the rent is going towards ur mortgage and when u sell u will make money kada... atleast the 17k is not going waste... | ||
| Xxx Side Hero Username: Xxx Post Number: 7738 Registered: 04-2009 Posted From: 71.75.156.215 Rating: N/A |
just buy it , don't think of anything else .. - | ||
| Newguy123 Megastar Username: Newguy123 Post Number: 24199 Registered: 01-2009 Posted From: 24.44.14.209 Rating: N/A |
aa flat lo nuvvu vundamu anukunte manchi option | ||
| Ferrari Side Hero Username: Ferrari Post Number: 9563 Registered: 10-2008 Posted From: 72.163.217.104 Rating: N/A |
e lekkalu endho naaku ardham avvadu kaani naaku oka sincere advice ivvandi DB peddhalu..ippudu nenu 17K Rent kadtunna...for eg: oka 50 Lakh Flat undhi..dhaniki down payment 25 Lakhs katti migata 25 lakhs loan teesukuntanu..aa loan amount in 17K per month kattukuntu veldham anukunttuna..e option manchide antara... | ||
| Filmbuff Side Hero Username: Filmbuff Post Number: 5694 Registered: 11-2011 Posted From: 117.198.136.20 Rating: N/A |
Forget the TOI math, your math/logic is also wrong. You are assuming a 100% loan from the bank,ideally banks ask for 25-30% of the cost as cash from your end. If you bung that into to the equation, it skews the results totally. You can't put zero equity, assume 100% leverage and then show that all returns accrue to the equity holder. Obviously in such a case the levered returns will be significantly higher than the unlevered returns. Leave aside the logic of whether the banker is making money or you are making money. Fundamentally, apart from micro pockets or some random hits, investing in apartments is in most of the cases going to be suboptimal to renting (and investing the balance in a mutual fund etc). I built a masterpiece spreadsheet a few years back incorporating all details from tax deductions, property taxes, rentals etc etc and unless at property CAGR of around 20% or more, it is difficult for a buy case to make sense over a rent case. | ||
| Newguy123 Megastar Username: Newguy123 Post Number: 24198 Registered: 01-2009 Posted From: 24.44.14.209 Rating: N/A |
wrong message quote chesanu. naa vuddesam US lo settle avudam anukune vaallu ,india lo real estate lo invest cheyatam waste.. aa money trigi teesuku ravalante drool teeripoddi | ||
| Jalsa Megastar Username: Jalsa Post Number: 27637 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
enti yup, rupee depreciate ayithe bokka ga manaki...you cannot get the money back here. | ||
| Newguy123 Megastar Username: Newguy123 Post Number: 24196 Registered: 01-2009 Posted From: 24.44.14.209 Rating: N/A |
yup.. nenu india lo chesina investments anni around 40 appudu.. min 50% perigithe avi just break even annattu | ||
| Gotcha Hero Username: Gotcha Post Number: 18080 Registered: 02-2008 Posted From: 50.179.11.96 Rating: N/A |
yes nri's tarupuna its always better investment. so anam already 6 lakhs save chesam. lets look at another angle. say u have 30 lakhs and now u have two choices 1. u can payoff bank loan and save 10% interest which can be saved ur saving 2. u invest this 30 lakhs in RE in places like vja and vizag where growth rate is at any time minimum 25%. if u wanited till u save 30 lakhs if u pay the loan then RE market might have increased to 37 lakhs so u lost 7 lakhs. 3. next scenario inflation is 7.5%, interest is 10.5% so actual money u r paying to bank is 3.5%. 3.5% is less than us lo interest u pay for home. This Andhra real estate is for sale. | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34937 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
10 years back HYD lo apartment konna when dollar rate was 40 by sending money. appatlo 35-40 emoo price Ippudu aa apartment 50 lakhs ainaa koodaa seppalante pedha profit ledhuu India prakaaram ok return but based on US not much becos of rupee depreciation No Signature | ||
| Jalsa Megastar Username: Jalsa Post Number: 27636 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
kiki, only NRI gurinchenaa... | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15671 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
annai... confuse kaaku... nowhere he talked about nri's dumping money into re....  keka link: fikileaks, | ||
| Gotcha Hero Username: Gotcha Post Number: 18079 Registered: 02-2008 Posted From: 50.179.11.96 Rating: N/A |
inko calc miss ayadu say we take 30 lakhs few years back. dollar rate was 50, now it is 60 ante when u tokk the loan few years u need to pay 60k us dollars now u have to pay 50k us dollars, so instant saving of 6 lakhs rupees. This Andhra real estate is for sale. | ||
| Inquisitive Junior Artist Username: Inquisitive Post Number: 35 Registered: 09-2014 Posted From: 24.251.165.177 Rating: N/A |
TWO GLARING MISTAKES IN THE TIMES OF INDIA ILLUSTRATION! 1. He used an investment horizon of 5 years. The average investment horizon of an investment in property is probably more than 30 years. 5 years is too unrealistic and unfair towards apartments as an investment avenue. Notice that the stamp duty paid is denting the prospects of property investment. If investment horizon were only 1 year, stamp duty itself would lead to a huge loss. For 5 years, it's not that bad, but for 30 years, stamp duty paid on day one hardly matters. 2. Property gives returns in the form of rent before the end of investment horizon, this money can be reinvested. So the returns on investing the rent should also be taken into consideration. The author failed to do that. | ||
| Jalsa Megastar Username: Jalsa Post Number: 27635 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
Yeah, I mean, principal repay chestuntey interest taggudhi, so in case (a) the investment will bring more money assuming 100% flat price appreciation. | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34935 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
appreciation entha avvuthundhi anedhi allways gamble. Ikkadaa intha low interest rates lo koodaa market padappudu home rates padipoyi people walked out of loan agreements. so interest rate is only one of the factor and not only factor
yepp. idhi almost bootheee. 2003 time lo pettinavaatiki aindemo kaani not now No Signature | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15670 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
ippudu 1.5 + 1.5 anukunta, revised in this year's budget keka link: fikileaks, | ||
| Mandharam Comedian Username: Mandharam Post Number: 1774 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
2.5 lakhs per yr | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15669 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
undav... but just for clarity cheppadu.... India lo bare minimum 20% down payment.... and vary;s based on many other factors (existing loans, salary range, co ownership etc etc) keka link: fikileaks, | ||
| Jalsa Megastar Username: Jalsa Post Number: 27633 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
\ you are assuming 100% appreciation bro!!!! this is applicable only in few areas and flats ki 100% appreciation common aa 5 yrs lo? | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15668 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
yess... idokati ignore chesaadu.... principal can be claimed in the 1.5 lakhs of 80c investments category and interest can be separetly claimed for 1.5 lakhs (both per year amounts)... so, rough gaa (assuming you are in 10% category), you can save 30k/year keka link: fikileaks, | ||
| Jalsa Megastar Username: Jalsa Post Number: 27632 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
India lo ee option undadhu. Plain vanilla untai anukunta ga unlike in US. | ||
| Mandharam Comedian Username: Mandharam Post Number: 1773 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
Very simple.. For simplicity lets not consider taxes and rental income. (a) Home Loan Suppose you bought a house for 50 lakhs. Assume loan taken is also 50 lakhs. You did not put a single paisa from your pocket. You pay only interest and not planning to pay for pricipal at all Interest paid for 5 yrs @10% interest rate = 5x5 = 25 lakhs for 5 yrs 10% of 50 lakhs = 5 lakhs per year At the end of 5 yrs , you sell for 100 Lakhs Net profit = 100 lakhs(sale value) - 50 lakhs(loan) - 25 lakhs(interest) = 25 lakhs (b) you did not buy a house. you are not having a penny in your pocket. so you don't get any interest. You make a profit = ZERO in this case. (c)But still lets consider that an amount of 25 lakhs (equivalent of interest amount) is being invested in FD. This 25 lakhs is your input. Only the interest earned on this amount is your profit. Assume 10% interest on entire amount 25 lakhs .. It comes to 12.5 lakhs. This proves investing in realty even with 100% amount as loan is profitable. | ||
| Jalsa Megastar Username: Jalsa Post Number: 27631 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
India lo interest paid on home loan is tax deductible or not? If yes, how much is deductible? | ||
| Jalsa Megastar Username: Jalsa Post Number: 27630 Registered: 02-2008 Posted From: 47.20.5.96 Rating: N/A |
5 yrs lo flat ki 100% appreciation aa? ridiculous | ||
| Bunty717 Moderator Username: Bunty717 Post Number: 41564 Registered: 02-2008 Rating: N/A |
yes.. investment ki ee rule follow avaali.. max short term loans tho investments ante.. primary house ayite diff .. | ||
| Chikitha Side Hero Username: Chikitha Post Number: 9956 Registered: 01-2008 Posted From: 170.148.132.135 Rating: N/A |
outer ring best option in this aspect ..  | ||
| Chikitha Side Hero Username: Chikitha Post Number: 9955 Registered: 01-2008 Posted From: 170.148.132.135 Rating: N/A |
thumb rule.. enni yrs repay ki prolong sethe antha bokka.. liquid cash untey. buy it.. sell it for 20 to 25% extra in an yr.. chala mandhi ila kuda profit chesukuntaru.. | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15666 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
blr lo travel cheyyadam antha easynaa babu moshai... repu morning office ki eee roju night ey start avvali..... keka link: fikileaks, | ||
| Bunty717 Moderator Username: Bunty717 Post Number: 41563 Registered: 02-2008 Rating: N/A |
banks enduku anta charage chestaaro kaadu q.. manaki profitable aa kaadaa ani.. | ||
| Chikitha Side Hero Username: Chikitha Post Number: 9954 Registered: 01-2008 Posted From: 170.148.132.135 Rating: N/A |
blr lanti places lo.. travel sesina parledhu anukunta 20 to 25 lkh lo oka plot.. inko 25 lo illu kattukoni loan kattukovassu.. land value appreciation veruga untundhi.. dheenemma.. BDA thappa inkekkadaina konalantey ussapadudhi yedho money spinning ki aithe ok.. kani BDA antey 40 lkhs min aipoindhi.. chass | ||
| Blundersucks Comedian Username: Blundersucks Post Number: 1956 Registered: 02-2013 Posted From: 49.205.111.41 Rating: N/A |
of course.. ee desa charitra choosina emunnadi garva karanam, Nara jaathi charitra samstam , parapeedana parayanatvaM | ||
| Newguy123 Megastar Username: Newguy123 Post Number: 24195 Registered: 01-2009 Posted From: 24.44.14.209 Rating: N/A |
aa flat lo vundakapothe aa interest rate tho konevaadu emi theliyani amayakudu ayi vundali | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15664 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
yepp... netthi meeda shelter kosam konukkodame thappa.... investment lekka choodakoodadu keka link: fikileaks, | ||
| Chikitha Side Hero Username: Chikitha Post Number: 9953 Registered: 01-2008 Posted From: 170.148.132.135 Rating: N/A |
em seppadhalsukunna antey.. aa rent ki 15/20k thagalettedhani badhulu 25lk loan ettukuni 40 lkh lo illu set seyadam better ani decide avutharu ani kavi bhavam.. | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34934 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
adhe anedhii. 50 lakhs apartment ante Hyderabad lo easy gaa oka 15K per month vasthundhi rent. ante 18 lakhs for 10 years. Ika interest on 40 lakhs ante loan interest will be around 14-15%. 6 lakhs interest for 1st year. am In right. No Signature | ||
| Chikitha Side Hero Username: Chikitha Post Number: 9952 Registered: 01-2008 Posted From: 170.148.132.135 Rating: N/A |
rent min 15k avudhi decent area lo undalantey.. 40 lkh budget lo machi space lo flat dhoriki .. oka 6 to 7 yrs lo repay chesukogaligithe good deal anukutnunna.. with age .. flat ki appreciation undadhu.. oka rakanga chusthu.. oka rakamaina savings chusukodam thappithe profit antu emi undadhu flat konukkuntey.. 40 khs liquid untey bokka flat kone vallu 20% untaremo.. sakkaga 1200sft site konukkuni illu kattukovachu decent area lo | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15663 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
in general, apartment values depreciate brother.... unless they are in good areas..... depreciate ante tagguthai..... but this doesn't apply to areas which are growing fast.... anyway, basic assumption, investment purpose kaithe never invest in an apartment.... even if you are, you need to have a concrete plan.... keka link: fikileaks, | ||
| Mandharam Comedian Username: Mandharam Post Number: 1772 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
opening the puzzle now The author's depiction of returns with FD/RD is goofed up. The net outflow will include only the interest amount (=b+d) . It is 11,79,798/- only and not 44,41,919. | ||
| Mandharam Comedian Username: Mandharam Post Number: 1771 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
1 lakh rental income ante..Rs 8,500 per month. Please ..naku oka house rent ki set cheyyu anna | ||
| Mandharam Comedian Username: Mandharam Post Number: 1770 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
depreciate ..ante ee yr 50 lakhs ki konna flat ..next yr 49 lakhs antara? blore lo 5 yrs old apartment : 2013 lo quoted 65 lakhs now in Oct 2014 ..the adjacent flat they are quoting 75 lakhs.. idhi appreciate/depreciate aa | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34932 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
Also 50 Lakh apartment ki rental per year not even one Lakh . That's another boothu Appurtenances chesthe investments will not work No Signature | ||
| Thikka_sankara Hero Username: Thikka_sankara Post Number: 15661 Registered: 02-2012 Posted From: 122.164.83.60 Rating: N/A |
andulo oka pachi boothu undi... value of a flat (not land, remember, flat) appreciate avvadam anedi boothu.... flat values depreciate avvadame tappa appreciate avvavu (exceptions untai, but thumb rule).... flats meeda investments ante avi kaadu..... flats are for residential purpose, or for renting purpose (normal/commercial)..... flats meeda investments ante.... manchi (potential to grow) areas lo paduthunna ventures lo very initial stages of the project lo bulk booking of flats chestaaru.... at very low per sqft rate.... and then, towards end of the completion of project, when price appreciates, individual owners ki ekkuva rate ki ammesukuntaaru..... keka link: fikileaks, | ||
| Andhrawala Legend Username: Andhrawala Post Number: 34931 Registered: 03-2008 Posted From: 71.65.224.202 Rating: N/A |
India lo inflation ki aa rate is ok Akkadian Manama bank lo vesukunte deposit ki we get between 9-10% per year Secondary market lo 15-25 or or 30% kooda nadusthuu vuntaayi Bank has to service depositors, pay salaries and other expenses and show some profits Also so e provision to bad debts Here mana deposit ki say 1-2% per year on 5 year deposit So these people are able to give for 4% housing loan No Signature | ||
| Bunty717 Moderator Username: Bunty717 Post Number: 41562 Registered: 02-2008 Rating: N/A |
idi TOI vadu enduku cheppatam.. naaki mundee telusu.. aa intrest ki loan workout avadu.. max oka 2yrs loan tesukoni repay cheyaali.. ledu ante waste.. | ||
| Mandharam Comedian Username: Mandharam Post Number: 1768 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
homeloan theeskunna vallu BP raising avuthundhi emo | ||
| Mandharam Comedian Username: Mandharam Post Number: 1766 Registered: 02-2008 Posted From: 122.167.105.109 Rating: N/A |
http://timesofindia.indiatimes.com/business/india-business/O nly-builders-banks-gain-when-you-take-loan-to-invest-in-real ty/articleshow/34712813.cms |
