Experiences of My recent trip to Hyderabad

makepaisar2i · Post by **makepaisar2i** » Wed Mar 14, 2007 12:54 am

Moderator Note:

Members are requested use this thread to share their experiences during the recent visit to Hyderabad or other cities of Andhra Pradesh.

You may write about what you observed, positive things, negative things, how they affect or help your r2i plans.

What has changed and what hasn't ?

Share Travel Tips with other travelers

How are your old friends, social network, good people experiences, festivals, food anything..

It does not need to be a lengthy post, If you prefer, it can be just few lines....

RRK

I went to India for a month and came back last week.
Went around in search of a property (first to rent and later to live there) and
came back without buying anything. Here are my mixed thoughts:

1) I saw a couple of ventures of Medchal/Narsapur highway (15 Kms to Hitech city) and did not like them. I did not feel like paying that much amount of money what has been offered.
I cannot image paying Rs. 50/55/62/80 Lakhs for 200 to 250 Sq yards with a 2000 to 2500 SFT house.
Looks like I became too old for this game..... -:)

Plans shifted and thought of buying a flat.

2) I saw a couple of flats (still under construction) in kukatpally (near Malaysia township) and Miyapur (next to the main road). I was amazed that it costs around Rs. 3000/- to Rs. 3300/- per SFT. There were lots of vacant flats around but the builders are not willing to reduce the price.

Here is my another thought:-
The astonishing prices around Hitech city is due to heavy traffic and the horrible commute at present. But what would be the scenario if the Outer ring road comes up (Phase 2 could be completed by 2009 or 2010)?
With a decent commute from Secunderabad (where I have my house) to Hitech city, why would I want to pay that money for a small piece of land?

Apart from sound/air pollution, Apna Hyderabad is great and rocking.... as usual.

Share your thoughts......

makepaisar2i · Post by **makepaisar2i** » Wed Mar 14, 2007 1:02 am

Just thought of adding one more thing which supports my thought process about interest rates and rents:

http://www.cyberabadtimes.net/2007/03/exclusive-when-unreal-growth-hurts.asp

http://indianeconomy.org/2006/12/13/is-there-a-bubble-in-indian-real-estate/

ashMan · Post by **ashMan** » Thu Mar 15, 2007 9:10 am

lemme add my 2 cents, i have returned to india after 9 yrs in '05 sep. i was also in the same mindset as urs, land was talked about in 30,000/sqyd to 50,0000/sqd, apts were mentioned at 3k/sft. i balked and till date i haven't been able to catch up, prices kept rising month on month. i have looked for land in acres, villas, plots and more. even if some of them were affordable, the papers were not right or they was always the fear of some problem brought abt by the govt., huda, mch etc. villas always made me wanting for more. ideally i would like to have a 1000 sqyd plot with a 5k sft home in it, in j hills, that would put me back by 10 crores, in any place else where i can get the land cheap for 5k-10k/sqyd, the clearances r not there. There is GO 86, there is GO 111, HUDA approvals, DTCP approvals, gram panchayat approvals. how should one buy RE in this scenario?

Keshav · Post by **Keshav** » Sun Mar 18, 2007 11:40 pm

The upcoming MMTS should further strengthen your analysis.

makepaisar2i;12310I went to India for a month and came back last week.

Here is my another thought:-
The astonishing prices around Hitech city is due to heavy traffic and the horrible commute at present. But what would be the scenario if the Outer ring road comes up (Phase 2 could be completed by 2009 or 2010)?
With a decent commute from Secunderabad (where I have my house) to Hitech city, why would I want to pay that money for a small piece of land?

Apart from sound/air pollution, Apna Hyderabad is great and rocking.... as usual.

Share your thoughts......[/quote]

Keshav · Post by **Keshav** » Sun Mar 18, 2007 11:50 pm

Your thought is well explained and easily understandable. I think you are one of the first generation internet age NRIs who has R2I. This deluge should retract or slowdown and will not sustain for long since the real attainable growth in Hyderabad is far from comparable with Delhi and Mumbai considering the realistic population and infrastructure growth. I think if you hang in a little while and play diligently your patience will pay off.

Good luck. Please share your latest proceedings if possible.

ashMan;12711lemme add my 2 cents, i have returned to india after 9 yrs in '05 sep. i was also in the same mindset as urs, land was talked about in 30,000/sqyd to 50,0000/sqd, apts were mentioned at 3k/sft. i balked and till date i haven't been able to catch up, prices kept rising month on month. i have looked for land in acres, villas, plots and more. even if some of them were affordable, the papers were not right or they was always the fear of some problem brought abt by the govt., huda, mch etc. villas always made me wanting for more. ideally i would like to have a 1000 sqyd plot with a 5k sft home in it, in j hills, that would put me back by 10 crores, in any place else where i can get the land cheap for 5k-10k/sqyd, the clearances r not there. There is GO 86, there is GO 111, HUDA approvals, DTCP approvals, gram panchayat approvals. how should one buy RE in this scenario?[/quote]

upendora · Post by **upendora** » Mon Mar 19, 2007 5:50 pm

I visited Hyd this week after 3 years. I too expect better deals in future than now. New areas opened due to ORR will increase supply of land and may turn this market into buyers hands.

1. The traffic situation is worsed by increased number of autos and cars. Traffic jams made the public buses unpopular and I found very few "metro" buses on roads. Autos are worst polluters.

2. People are expecting the traffic situation will be solved with the new flyovers. But I dont. There will be increase in traffic by the time of completion of these. The resultant frustration may dampen the current positive thinking.

3. Even the rich are unhappy with the "unhealthy and abnormal" rise in RE values. I guess most of them are focussing on lost oppurtunities.
4. Even poor old women carrying vegetable baskets are talking on cellphones :)

I expect "city life" to hit big in places like Vijayawada, Guntur and Tirupati.

vijay · Post by **vijay** » Mon Mar 19, 2007 11:17 pm

smart move on your part not to buy in a rush. However, we have been waiting of a Correction for over 1 year. Not sure what is going to trigger the correction.
my belief is that Indian RE market is different from say US RE market in that:
no pressure on property to generate annual property taxes (this is usually rolled in at pruchase by buyer) So even if property sits empty its okay
prepayment penalties by banks: Indians want to pay off karza asap, typically indian consumer will never be overextended and has access to liquid finds,so foreclosure rates are lower
Empty flats are locked up during downturn: Previously indian RE market was biased in favor of renter so owners kept flats locked up rather than rent em out. Some of this still exists in parts of india increasing pressure on demand

hyderabadi2006 · Post by **hyderabadi2006** » Thu Feb 07, 2008 11:38 pm

eyesofpassion;79266Hello Everyone:

It may not be right forum or thread. But ..
[/quote]

Oh boy!!! you do you have lot of passion. You posted about 12 threads with the same information. You weren't sure which one is the right forum, yet you were able to find this thread which is almost a year old -:)

We get it and appreciate the information.

ILuvHyd · Post by **ILuvHyd** » Thu Feb 07, 2008 11:42 pm

eyesofpassion;79266From the agreement point of view they are 100% correct and it was written favorable to them and I did not pay much attention to it, coz I trusted a brand name 'Satyam'. But now they are showing their real colors.[/quote]
The agreements are always written in their favor. I fell into a similar trap by Jana Chaitanya some time back. They were supposed to do the registration in 6 months but not done until now. They have clauses that free them of any responsibility due to change of Govt. policies and actions etc. If one starts questioning those, they will stick to their standard argument "This is a common agreement for all buyers and we cannot change it just for you. Our legal department doesn't allow". The only option left to us is to walk away from the deal if they are not flexible.

mahipalc · Post by **mahipalc** » Sat Feb 09, 2008 4:08 am

hyderabadi2006;79292Oh boy!!! you do you have lot of passion. You posted about 12 threads with the same information. You weren't sure which one is the right forum, yet you were able to find this thread which is almost a year old -:)

We get it and appreciate the information.

Looks like admin deleted all his posts. I think his intention was to help, but he ended up spamming the board.