The valuation process evaluates the market value of the property. Demand and supply forces operating in the market, as well as other factors like type of property, quality of construction, its location, the local infrastructure available, maintenance, are all taken into consideration before the market value is decided.
- Avoid keeping a TV set in bed-room.
- Avoid keeping any water feature or plants in the bed room.
- Do not use separate mattresses and bed-sheet.
- Arrange the furniture to form a square or a circle or an octagon in
- Place a picture of bright sunrise on southern wall in living room.
- Never put mirror in kitchen.
- Keep the broom and mops out of the sight in kitchen.
- Keep the bathroom and toilet door closed as much as possible.
- Do not keep prickly cactus, plants in the house.
- Place an aquarium in the south-east corner in living room.
- Place a happy family picture in living room.
- Place the computer on your right side on the table.
- One should never hoard stale food, withered flowers, torn clothes, waste paper, waste materials, empty tins, old jars and useless things.
- If there is marble flooring in the house you should see that the old leather shoes are not lying here and there.
- Keep cleanliness and always light in sense sticks.
- Max hinges are fixed in the windows to allow operation at various levels of opening.
- The hinges need to be lubricated every 15 days for smooth closing.
- Use light coloured fabrics for curtains to ensure better lighting.
- Wipe the grills and glass with a wet cloth daily to keep it clean
- Gaps in windows can be fixed with sealant.
- In case of breakage of glass in windows, take the assistance of an experienced carpenter to fix the same.
- Replace hinges whenever it's out of order to avoid banging.
It is important to choose a good housing finance company which can handhold the customer right through his home buying process. Since a home loan is a long term commitment of 15-20 years, several factors like expertise, quality of service, in-depth domain knowledge and the company's level of commitment and transparency right through, the loan procedures, the fine print, quality of services offered and safe retrieval of the title deed are critical.
Non Resident Indians
- Last 3 Months Pay Slips.
- Last 6 Months Bank statement (Salary credit).
- Form 16.
- Latest Photographs with signature.
- Passport copy.
- Processing fee Cheque.
- Personal profile.
- NRI Bank statement.
- WLL 2 Form.
- Work Permit.
- Latest Increment Letter (if any).
- Power of Attorney.
- Check Credit Payment.
- Last 3 Months Pay Slips.
- Latest Form - 16.
- Latest 6 months Bank Statement showing Salary Credits.
- Age & Residence Proof.
- Latest Photographs with Signature.
- Processing Fee Cheque.
- Application duly filled & Signed by the Applicant(s).
- Pan card.
- Self attestation in all paper.
- Last 3 Years.
- Profit and Loss Account.
- Balance Sheet.
- Current Account Statement for Last 1Year.
- 6 Months Savings Account Statement.
- Pan Card.
- Personal Profile.
- Business Profile / Website.
- Loan Details / OD Details.
If less than two year in the
- Relieving order from previous company.
- Appointment order from existing company.
Reserve Bank of India (RBI) Guidelines on NRI Investment in properties in India
PERMISSION FOR PURCHASE OF RESIDENTIAL PROPERTY / COMMERCIAL PROPERTY.
NRIs holding Indian passports - No permission required.
NRIs holding foreign passports - Intimation to RBI via form IPI - 7 within 90 days of purchase of property or final payment of consideration Funds through NRE / NRO accounts.
II. SALE OF PROPERTY
Property held by NRIs in India can be sold. No permission is required from the Reserve Bank of India.
III. REPATRIATION OF SALE PROCEEDS
Repatriation of proceeds from sale of residential property purchased on or after 26th May 1993 is allowed.
The RBI will consider repatriation of the consideration amount remitted in foreign exchange for the acquisition of 2 properties. The sale has to have taken place after 3 years from the date of final purchase deed or from the date of final payment.
Application of repatriation (IPI - 8) has to be done within 90 days of the sale of the property.
IV. INCOME FROM PROPERTY
NRIs can let out immovable property in India. The rental income from the investment has to be credited to the NRO account.
Subject to changes from time to time.
E. & O.E.
V. RETURN ON INVESTMENT
RENTAL RETURNS - The rental returns on an investment in Residential property
in Chennai is 5% - 6% p.a.
VI. APPRECIATION OF PROPERTY
Conservative estimate of appreciation on an investment in property in Chennai is about 20% p.a. NRIs start to gain by investing in Real Estate when compared to the investments on the NRNR / FCNR deposits.
How does property valuation help?
Typically, if a real estate agent is asked to judge the value of a piece of property, he would do so based on information of recent sales or purchases of similar properties in that area.
Though this may give a fair idea of the property's market value, an official property valuation would carry more weight. E.g. if you need to use this piece of property as a security against a loan, the bank's loan approval process would be faster and smoother if the property is certified by an official valuer. Many banks now insist on valuation certificates before issuing loans using properties as security. The value thus certified may also have chances of getting a higher amount of loan sanctioned.
Another benefit of official valuation is that it is a useful negotiating tool when selling the property.
Such certification also becomes essential in situations where the correct value of the property has a legal bearing—such as, a will statement, insurance papers, business balance sheets etc.
What is the meaning of a property's market value? How is its stamp duty decided?
The price that a property can command in the open market is known as its market value. Stamp duty is based on the market value or the agreement value of the property, whichever is greater.
What does the term 'Leasehold Property' mean?
When a piece of property is given or 'leased' to an individual (known as the 'Lessee') for a stipulated period of time, by the owner of the property (known as the 'Lessor'), the property is referred to as Leasehold Property. A certain amount is fixed by the Lessor to be paid as lease premium and annual lease. The land ownership rights remain with the Lessor. Transfer of property requires prior permission.
Are there any benefits in converting a leasehold property to a freehold one?
There are several benefits: if you convert the property to a freehold property, you become a full-fledged owner by getting the sale deed and having it registered. A freehold property has better marketability and can be sold, mortgaged or kept for standing security, which cannot be done with leasehold property.
What is the difference between carpet area, built-up and super built-up area?
The area of an apartment or building, not inclusive of the area of the walls is known as carpet area. This is the area that is actually used and in which a carpet can be laid. When the area of the walls including the balcony is calculated along with the carpet area, it is known as built-up area. The built-up area along with the area under common spaces like lobby, lifts, stairs, garden and swimming pool is called super built-up area.
When there are apartments of different sizes in a complex, how is the maintenance charge calculated?
Legally, the actual area owned by the individual is the basis for calculation of maintenance charge.
Do NRI's require permission of Reserve Bank to acquire immovable property in India?
No. NRI's do not require any permission to acquire any immovable property in India other than agricultural / plantation property or a farm house.