Last week, 3 Big Hoardings caught my attention "NO EMI For 24 Months", "Book Your Dream Home at Just 8% Interest Rate" and "Book Now Pay Later". It seems to be some divine intervention which is helping / supporting me to fulfill my dream of owning a flat. "HOLD ON" signals my mind to my heart. Remember the Golden Rule of Finance "There are No Free Lunches in this World". This divine intervention is named as "Subvention Scheme". Word Subvention is derived from Latin word "Subventus". It means Monetary Help or Support. Subvention Schemes were banned by RBI on 3rd September, 2013. These schemes ... Read More
Possession Linked Payment Plan
In my previous post i discussed Why Under Construction Projects get Delayed? In continuation of same, lets find out how Possession Linked Payment Plan help to reduce the risk of project delay. Currently the most popular payment plan for property purchase is Construction Linked Payment Plan in which certain % of payment is released as the project progress i.e. at every stage of construction. Construction Linked Payment Plan is mutually beneficial for both buyer and the builder. In my opinion, It favor builder as 90% payment is released when super structure is ready. Possession Linked Payment ... Read More
Why Under Construction Projects get Delayed?
The biggest worry of any buyer in Under Construction Project is delay in Possession of flat. Lets take the case of one of my reader Mr. Rupesh Shah from Ahmedabad who sought my advice in this regard. He booked a flat in 2008 from very reputed builder in Ahmedabad. Builder promised possession of flat by 2010, when Mr. Shah was planning to get married with his childhood love. The couple wanted to start their new life in new house. In 2014, the couple is blessed with 2nd child but still they are awaiting possession of their dream house. Mr. Shah's case is not an isolated case but very common ... Read More