Tag: Connectivity

Full EMI vs. Pre-EMI: What works well?

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Since the pandemic, a vast majority of people have started investing in real estate as it shields the future of their families from any uncertainties. The Government has taken noteworthy steps to boost home and property ownership in India. The interest rates of the banks are at an all-time low and are expected to stay the same for another year or so! This has opened a window of opportunity to invest in real estate and cherish the amazing returns as India is predicted to go through inflation soon. Real estate is an amazing asset to hold during inflation. Banks offer flexible EMIs that can be paid off over 30 years in extreme cases. EMIs are an opportunity to pick anything off the shelf without paying for it right away with thorough implications of penalties if delayed.

About Full EMI

Full EMI repayment of a home loan refers to the payment of the principal amount as well as the interest levied on the loan. Installments of the payment begin once the construction of the houseis completed. Some banks also allow the commencement of full EMI payment while the loan amount is being disbursed in stages.

About Pre EMI

Pre-EMI is paid only on the interest rate applicable on the loan. Pre-EMI is paid during the construction of the house and ends once the construction is completed. The amount is lesser as Pre-EMI covers only the interest portion is and the principal amount remains the same. The pre-EMI period is not part of the loan tenure and commences once the phase of pre-EMI ends.

Differences between Full EMI and Pre-EMI

  • After opting for the full EMI, borrowers can seek disbursal of the entire loan amount
  • After opting for the Pre-EMI, the loan amount is disbursed partially
  • The EMI amount paid at the beginning of the full EMI is higher as the installment covers the principal amount and the interest
  • The EMI paid, in the beginning, is much lower in the case of pre-EMIs because it only covers the interest on the disbursed portion of the loan
  • Full EMI interest rates are calculated as per the entire principal amount
  • Pre EMI interest rate is calculated as per the disbursed loan amounts

At TMR Group, we aim to provide great investment opportunities with brilliantly developed plots in Hyderabad. Our remarkable customer executives have excellent communication skills and grasp the depths of your requirements. Our well-planned projects are placed in strategically handpicked locations that hold great potential to boost your ROIs. Visit www.tmrinfra.com to know more about us and our work. 

Can a property be mutated? A beginner’s guide to property mutation!

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Over the past decade, the city of Nizams – Hyderabad has emerged as one of the largest employment hubs of India and has been the center of tremendous developments. Standing strong as the home to the second largest number of SEZs in India, Hyderabad has attracted several migrations from all over the country owing to the vast expanse of opportunities. This massive inflow has generated a demand in the real estate sector. One thing that makes Hyderabad a worthy hub for investment is the presence of properties that cater to everyone, from affordable properties to premium luxury options. The infrastructural development of Hyderabad is top-notch and the developments of the city have taken their spot on the global stage.

About Property Mutation

Mutation of property is the process of changing the title ownership from the original owner to the new owner when an immovable property is transferred or sold. It needs to be carried out in all cases of property transfers, be it by sale or purchase, gift, or inheritance. As land is a subject of the state, each state has a record of all land and property deals that act as proof of ownership and help the common man safeguard their property investments. All the information regarding land records is registered and this minimizes the potential for property-related frauds.

After the process of mutation, the new owner obtains the title of the property registered in the land revenue department. It enables the government to charge property tax. The process of mutation further helps the government in determining the tax liability in the case of a change in ownership.

Process of Mutation

Mutation of land takes place in the Block Land & Land Reforms Office.

  • The applicant must apply for property mutation in the prescribed format and be physically present at the office along with all relevant documents
  • The departmental authority can conduct physical verification of the property as a precaution
  • Once the government departmental authority accepts the land documents, the certificate of mutation is issued after the payment of prescribed mutation fees
  • It can take up to a month for the municipality to update its records to show the changes in land ownership and issue a mutation certificate
  • With the technological developments of the country and the digitization of land records in most states, now the process of the mutation can be done online

Is Property Mutation Mandatory?

Property mutation is not mandatory, but the process should be completed as early as possible to ensure that the property is in one’s name in government records.

  • A person needs proof of the mutation when the person plans to sell the property in the future and not having mutation papers can affect your chances of selling the immovable asset
  • As the penalty for not completing mutation is very less (₹25-₹100), most people choose to postpone the process
  • It is legally advised and is safe if the property mutation is carried out immediately after the purchase is done from the point of view of the transfer of ownership
  • Property mutation charges differ from state to state but are in the same range
  • Mutation of property is not a one-time duty as these papers must be updated from time to time. A regular update ensures the authentication of your property records.

At TMR Group, we offer well-planned plots in Hyderabad that are strategically placed in great locations with amazing potential to multiply your investments. Our HMDA approved plots in Hyderabad are built with modern infrastructure and quality amenities that are installed for your utmost convenience. Visit www.tmrinfra.com to know more about us and our brilliant projects, and get in touch with us for site visits!

Freehold vs. Leasehold: Which properties fetch the best returns?

Freehold vs. Leasehold: Which properties fetch the best returns?

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Hyderabad has a culturally rich background that is imprinted into each brick of the city. It has now grown to be an ideal and lucrative hub for local and foreign investments owing to three main factors: amazing infrastructure, great environment, and consistency in the development of different economic sectors of the city. Apart from hosting the second-highest number of SEZs in India, it also contributes heavily to the pharmaceutical industry. The boosting developments in different sectors have opened many job opportunities, leading to many migrations into the city, which has significantly impacted the demand for profitable real estate investments, homes, or otherwise.

About Freehold Properties

Freehold or free from hold properties are those where the owner of the property has the absolute ownership and clear title of the building as well as the land on which the building is constructed till the time the owner decides to sell the property.

  • The owner has the freedom to do anything with their property (within the bounds of the law) like sell, renovate or rent it out after permissions from the respective authorities
  • The owner doesn’t need the consent of any third party to make the sale of the property and the owner can will it, or gift it, or even donate it
  • Freehold properties can be inherited by the next of kin or spouse legally. These are generally more expensive due to the permanent ownership and flexibility availed with the sale.
  • The owner has to pay the maintenance of the property and can even lease it to somebody without any restrictions or can be transferred by sale deed registration

About Leasehold Properties

Leasehold property means that the property is leased to you for a fixed period of time and you have the right only to stay for the pre-decided period of time. After the expiration of the lease, the rights to the property go back to the owner. The buyer has no direct ownership of the property and he/she must pay the ground rent to the owner or the leaseholder of the property.

  • It’s possible to extend the lease according to your convenience but at a higher cost. Generally, the lease period is 99 years but can be extended up to 999 years.
  • For any modifications, the buyer requires the permission of the owner
  • It is possible to extend or renew the leasehold according to your comfort
  • The tenure of the lease influences the value of the property
  • They are cheaper than freehold properties due to the rigid structure of operations and bank loans are quite hard to get for the purchase of a leasehold property
  • The buyer is not responsible for the maintenance of the property, but the owner needs to take care of it

Ideally, freehold properties are the better choice as the value of real estate grows over time so your investment is bound to multiply, but in the case of leasehold properties, paying rent is a one-way loss with returns.

At TMR Group, we offer clear title residential plots in Hyderabad that have strong potential to multiply your investments. The locations for our projects have been picked after thorough research of the market in order to provide the best possible returns on your investment. Visit www.tmrinfra.com to know more about us and our work.

How are land loans different from home loans?

How are land loans different from home loans?

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Investing your money in real estate is a milestone in your life and believe it or not, it is bound to change your life right from the next instant. It doesn’t matter whether you are a first-time investor or not, it’s extremely important to know about loans and how they ease the entire buying process for you. Buying a home or a plot of land may not seem different to most and both are usually considered as a home loan but it’s important to consider the differences while applying for the loan. Although the terms and conditions, the application processes, and the tenure of both the loans are quite similar, there are some fundamental differences between home loans and land loans. The most important factor when it comes to home loans is eligibility. Let’s check out the difference between home loans and land loans.

Home Loans 

Home loans are availed to the eligible people for the purchase of residential properties that are to be constructed in the future, or for under construction, or for ready-to-move-in properties.

  • You can get a home loan to any type of residential property in any location of your preference
  • Any resident of India and NRI’s are eligible for home loans
  • The maximum tenure of the home loan can be 30 years
  • If both the husband and wife have separate sources of income are co-owners of the property, both can claim an income tax deduction on the loan separately
  • Tax deductions can be availed for both the principal and interest payments
  • The loan-to-value (LTV) ratio is between 75% and 90% of the total cost of the property, depending on the lenders
  • Interest rates are at an all-time low ranging between 6.65%-8.00% depending on the lenders

Land Loans

A land loan can only be used to buy a plot of land that has been earmarked for residential real estate construction.

  • The location for the plot should be within the limits of the municipality or the corporation or in industrial or rural areas
  • Only residents of India are eligible for land loans
  • Land loans cannot be used for the purchase of agricultural land
  • The maximum tenure of the land loan is 15 years
  • No tax deduction for the purchase of the property, the tax deduction is only eligible for construction of the property on the plot and can only be claimed after the completion of the construction
  • The loan-to-value (LTV) ratio is up to 75% which means that 70%-75% of the total value of the property will be provided as a loan
  • You can avail of a plot loan to purchase a plot through direct allotment or to buy a resale plot, depending on the respective lender
  • The interest rates are about 0.75%-1% higher than the home loans

At TMR Group, we aim to bring promising ROIs in the shape of RERA and HMDA approved plots in Hyderabad. Our projects have precisely designed layouts in the most sought-after locations of Hyderabad that have a great potential to multiply your investments in the upcoming future. Check out www.tmrinfra.com to know more about us and our work. Get in touch with us!

Digital Land Survey in Hyderabad

Digital Land Survey in Hyderabad

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Unresolved and decades-old land disputes on ownership have been crowding before the government and in courts. To make Telangana a land disputes-free state, the Telangana government is all set to launch its pet project – ‘Digital Land Survey’ from July in the state with a primary motive to fix the land coordinates and thereby provide total security and protection to legal owners of the land by using high-end technology that is being used by Australia and some European countries to generate 100 percent tamper-proof land records. The government of Telangana has sanctioned INR 400 crore for the execution of this project. The land survey initiative is part of a portal launched to maintain integrated land records for agriculture and non-agricultural lands and ensure transparency in the registration process.

Evolution of Land Survey Techniques

During this digital survey, every inch of land would be measured and boundaries will be fixed to avoid land-related disputes in the future and the government would allot latitudinal and longitudinal coordinates and create geo-coordinates. After completion of the survey, the land records would be tamper-proof and it is predicted that it would take at least one year to complete the survey. The government is conducting frequent talks with private agencies which have expertise in the conduct of digital land surveys at the international level and plan to launch a pilot survey and based on the outcome of the pilot survey, the digital surveys will be extended later to the entire state. After the successful completion of the digital survey of agricultural lands, the survey will be undertaken in all urban areas to improve the security of land ownership.

How the digital land survey in Telangana can boost development?

Total digitization of the land records eliminates land disputes and will lead to transparency in the land ownership records. Here’s how it will boost the development:

  • Transparent land record management
  • A single platform to handle land records that includes maintenance and updating of maps, surveys, and registration of properties
  • Hassle-free online approvals of plans and occupancy certificates
  • Clarity over ownership status
  • Greater ease of doing business in the sector, by simplifying it for the developers and buyers
  • Easy and flawless checks on the authenticity of the land or the property

At TMR Group, we aim to be thought leaders of the real estate market and educate our audience about the latest developments in the sector. We offer a variety of HMDA approved plots in Hyderabad that have a strong potential to multiply your investments. Visit www.tmrinfra.com to know more about our projects and get in touch with us!