MESSAGES

MANAGING COMMITTEE 2010 2011

President Sunil Mantri Immediate Past President Pravin Doshi President-elect Paras Gundecha Vice Presidents Vimal Shah, Dharmesh Jain Nayan Shah, Mayur Shah Hon. Secretary Deepak Goradia Hon. Joint Secretaries Rasesh Kanakia, Harish Patel Rajan Bandelkar Treasurer Ashok Mohanani Jt. Treasurers Mukesh Patel, L. P. Bhagtani Co-ordinators Nainesh Shah - President (MCHI Thane Unit) Boman Irani - President (MCHI Mira Virar City Unit) Sukhraj Nahar Committee Members Sandeep Raheja Bandish Ajmera - President (MCHI Kalyan-Dombivali Unit) Sujal Shroff, Parag Munot Sandeep Runwal, Vikas Walawalkar Jayesh Shah, Pujit Agarwal Invitee Members Nayan Bheda Sanjay Chhabria Affiliated MCHI Member Units Ajay Ashar (Secretary - Thane) Shrikant Shitole (Secretary Kalyan-Dombivali) Shailesh Sanghvi (Secretary - Mira Virar City) Rajesh Prajapati (President - Raigad) Past Presidents Mohan Deshmukh Mofatraj Munot Niranjan Hiranandani Rajni S. Ajmera G. L. Raheja (Late) Lalit Gandhi (Late)Babubhai Majethia

SAFE AND SECURE HOME BUYING AT MCHI PROPERTY 2011

MCHI takes pleasure in organizing MCHI PROPERTY 2011. For a home seeker, there cannot be a better option to find housing options which suit their aspirations and their budgets. Mumbai and its extended suburbs are known as the location where all dreams come true and the biggest dream of every resident is to own a house either within Mumbai, suburbs and neighbouring cities or the extended suburbs. Obviously aspects like the location, type of project and home size depend largely on each individual's budget, income levels and fund raising capacity. MCHI PROPERTY 2011 will provide different alternatives, one will be right for you and your family. Most home seekers face the challenge of bridging the gap between 'own funds' and 'cost of the flat'. At MCHI PROPERTY 2011 at BKC, visitors will find housing options which will help them make their dream homes become a reality. In South Mumbai, locations like Wadala Sewree and Parel have been 'hot spots' across the year, and we expect this trend to continue. I also foresee Mumbai's suburbs and extended suburbs continuing to be favoured destinations across 2011 and beyond. Select premium projects in these locations will offer good prospects for potential buyers during this year. Emerging and developing locations like Mira Bhayandar and Vasai - Virar as also Badlapur Karjat Panvel are expected to see high activity levels. Projects in these locations as also in neighbouring cities like Thane, Navi Mumbai and Dombivli Kalyan now offer the MCHI Seal of Safety, which should add to the 'safe and secure' quotient for home buyers. If you look at the options available at MCHI PROPERTY 2011, the one factor that stands out is the greater emphasis on providing a lifestyle that is in tune with the expectations of prospective home buyers. I wish visitors to the MCHI PROPERTY 2011 the very best, with fond hopes that your dream homes become a reality. Sunil Mantri President, Maharashtra Chamber Of Housing Industry

MESSAGES

About MCHI
Maharashtra Chamber of Housing Industry (MCHI), formed in 1982 is the most prominent body of real estate builders and developers in the country. MCHI brings together members dealing in real estate development on one common platform to address issues facing the industry. Members of MCHI account for 80% of development of new residential accommodation and commercial properties in Mumbai and its vicinity. MCHI helps both the Central and State governments in meeting their objectives of providing housing, which is a basic necessity. MCHI works towards raising awareness among the general public, real estate and construction industry while providing them with detailed information on projects and new developments in and around Mumbai. With over 400 well-recognized and reputed member builders and developers, MCHI is affiliated with leading industry associations like FICCI, IMC and CREDAI.

YOUR 'DREAM HOME' BECOMES A REALITY AT MCHI PROPERTY 2011

MCHI takes pleasure in organizing MCHI PROPERTY 201, and for a home seeker, there cannot be a better option to find housing options which suit their aspirations and their budgets. Mumbai and its extended suburbs are known as the location where all dreams come true and the biggest dream of every resident is to own a house either within Mumbai, suburbs and neighbouring cities or the extended suburbs. Obviously aspects like the location, type of project and home size depend largely on each individual's budget, income levels and fund raising capacity. MCHI PROPERTY 2011 will provide different alternatives, one will be right for you and your family. MCHI PROPERTY 2011 will also showcase home loan options from leading banks and Home Finance Companies. Across the Mumbai Metropolitan Region (MMR) locations have been 'hot spots' across the year, and we expect this trend to continue. I also foresee Mumbai's suburbs and extended suburbs continuing to be favoured destinations across 2011 and beyond. Select premium projects in these locations will offer good prospects for potential buyers during this year. Emerging and developing locations like Mira - Bhayandar and Vasai - Virar as also Badlapur Karjat Panvel are expected to see high activity levels. Projects in these locations as also in neighbouring cities like Thane, Navi Mumbai and Dombivli Kalyan now offer the MCHI Seal of Safety, which should add to the 'safe and secure' quotient for home buyers.

MAHARASHTRA CHAMBER OF HOUSING INDUSTRY

Maker Bhavan II, 4th Floor, 18 V. Thackersey Marg, New Marine Lines, Opp. Income Tax Office, Mumbai - 400020, India Tel.: 91 22 40020351/ 42121421 Fax: 91 22 40020361. Email: exhibitions@mchi.net/ mktg@mchi.net Website: www.mchi.net

Extended suburban locations have undergone a major metamorphosis with the entry of leading builders and the new projects have helped make the transition to the 'preferred' segment. The best part is that one can find new home options for every category, luxury houses for the upper crust as well as basic entry level residences. From dream 'weekend getaway' homes to investment avenues, there's something to fit every budget, every need and every aspiration. I wish visitors to the MCHI PROPERTY 2011 the very best, with fond hopes that your dream homes become a reality. Deepak Goradia Hon. Secretary Maharashtra Chamber Of Housing Industry

MCHI Hai To Bharosa Hai'

Home buying has always been a high involvement purchase for the entire family. MCHI's Property Exhibitions aim at helping home buyers take the best decision in a much lesser time. PROPERTY 2011 will have a presence of prominent developers along with housing finance institutions and will showcase properties at various price points from across the Mumbai Metropolitan Region (MMR). Our campaign MCHI Hai To Bharosa Hai will ensures that all projects that are sold during the Expo have requisite approvals, thus ensuring transparency. While a home buying decision in a normal course of time takes about 6 months, should a buyer decide to buy a house at the Expo, he will have everything under one roof to shorten this process to less than 6 hours. MCHI is a representative body of representative developers operating in the state of Maharashtra. Since the last 30 years, MCHI has always ensured that all its members maintain ethical code of conduct and practice best industry standards to facilitate transparency in transactions. MCHI Seal of Approval means the participating developer has all the necessary approvals and certificates for the properties that are sold in the Expo. This is to facilitate faster, smoother and transparent transactions. A home seeker can have safe experience while home buying since all the necessary documentation/ credentials of the developer would be disclosed during the time of purchase. MCHI's PROPERTY 2011 is a definitive home-buyer destination. I encourage all prospective home-buyers, including those who are thinking of buying a home in a longer term, to be a part of the Expo and see the kind of developments that make residential projects in the MMR lucrative home-buying destinations. Since the Expo covers the MMR, this is an ideal opportunity for home buyers to come and chose their Dream Homes. Boman Irani, Chairman, Exhibition Committee, MCHI

PROPERTY 2011 will help home buyers

MCHI's PROPERTY 2011 is the first pan-MMR property expo in this year by MCHI. While exhibiting different budget properties under one roof, the format is such that it will also guide the home seeker in right direction, by offering best of opportunities to potential buyers. This expo will showcase projects in the MMR by majority reputed developers of the region under one roof. These properties provide a wide range of options catering to the needs of the home seeker. The properties showcased are not only limited to the MMR, but also to other cities like Bengaluru, Pune and Goa which are on the 'radar' of home buyers in the MMR. MCHI PROPERTY 2011 has been organised in a manner so as not just to identifying needs of the concerned home seeker, but also provide them with range of financial alternatives provided by banks and financial institutions to ease the process of buying it. Many housing finance institutions will be present at the Expo, this will ensure that prospective home buyers get the best financial advice and options available in the market at competitive rates. MCHI's PROPERTY 2011 is a definitive home-buyer destination. I encourage all prospective home-buyers to be a part of the Expo. PROPERTY 2011 will not only help the home seeker to identify the best suitable property option catering to their needs, but shall also provide them comfortable home buying experience with number of banks and financial institutions providing best loan offers as well as additional benefit of interior designers, Vaastu Shastra consultants, furniture and interior dealers showcasing their products and service at the venue. To be precise, this expo shall be one stop-shop for home seekers in this region. Bandish Ajmera, Co-chairman, Exhibition Committee, MCHI

Intelligent homes, the new paradigm

Making their dream home come true is what every home seeker wishes, but, making the right choice is all important. Making the right choice is all about having the right sort of options to choose from, and this is where PROPERTY 2011 comes out as the ideal platform: it offers a variety of homes options, across varied locations and different price points, along with housing finance options. For a home seeker, it ends up being a one-stop-shop, with safety and security in-built in the exhibition. The MCHI Code of Conduct ensures that home seekers will get some of the most transparent home buying options in the Mumbai Metropolitan Region. In changing times, we see a new paradigm of housing as well. It begins with the premise that: "smart planning makes for intelligent homes". A home which is planned keeping in mind the wind directions, how the sun moves (i.e. lighting and ventilation) is a good start. It reduces dependence on air conditioning and the need to have the interiors lit up with electric lights, Smart planning also means choosing with care the placement of various rooms in the house, so that one is able to eliminate wastage of space. Most of the aspects that make up the new paradigm are all about intelligent planning. The feeling that one has spacious home is what makes it ideal from a buyers' perspective, this is the new paradigm. Developers first identify what will actually add value to the resident, and then, provide those amenities so that the house actually becomes a home, where the family lives in harmony. It is not just about the amenities and facilities, as a developer, the home should be able to create in the buyers' mind a feeling of having a fair deal when he bought the home, that is an integral part of the new paradigm. The new paradigm, as will be seen at PROPERTY 2011, is homes that are intelligent and utilitarian by sheer strength of creative planning. Mukesh Patel, Co-chairman, Exhibition Committee, MCHI

Indias most successful and trusted property exhibition series

MCHIs Property 2011 is part of an exhibition series which has become a yardstick for property exhibitions across India. As a safe and secure platform, the MCHI property exhibitions aim to give real estate and allied industries a perfect platform to showcase properties, which in turn, ensures for home seekers the perfect platform to get different property options as also interact with home finance companies at the same venue. And, as we reach mid-April in 2011, the exhibition seems timed just right Property 2011, will be inaugurated on 14 April 2011, and will run till 17 April 2011. The property show is an Endeavour to reach the appropriate target audience who are seeking properties within a specific range, providing a common ground for both the Real estate industries and the customers, MCHI will ensure home seekers get a wide array of choices at the Property 2010 show. MCHIs bi-annual mega exhibition has now emerged as Indias most successful and trusted property exhibition series over the period of a decade. The largest exhibition is a perfect platform to fulfill the dream home aspirations of potential home buyers. As many as 100 Developers will showcase apartments ranging from Rs. 15 Lakh to Rs. 5 Crore which would be on display at the exhibition. With a wide array of properties across the MMR as also some prominent cities across India, Property 2011, will offer everything a home seeker would want, from premium, luxury homes to lifestyle homes and budget homes. MCHI is making it easier for home seekers to get maximum options in terms of affordable homes, and the expo being held at BKC is a must visit for the prospective budget home-buyers and probable home-loan seekers, as it offers specific requirements that perfectly match requirements. Zubin Mehta, CEO, MCHI

CONTENTS

Enhancing Customer Delight Making dream homes a reality the safe and secure way Making dream homes a reality with a home loan Making the most of home loans

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South Mumbai Homes: The Better Option . . . 52 Western suburban homes attract buyer interest This line's 'Central' to the Mumbai Metropolitan Region City of Lakes takes centre-stage City of the New Millennium Look across the border . . . Hop, skip and jump away from Mumbai Beyond Mumbai and the MMR: Happening Locations

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PARTICIPANTS LIST
Patrons Co-Organisers Platinum Partners Gold Partner Silver Partner C-3 C-6 C-6 C-8 C-8 Premium Developers Banks & HFI Online Partner C-8 C-14 C-26 C-28

: Enhancing Customer Deli Property 2011

What makes MCHI's PROPERTY 2011 so special this year? For one, it promises to be more 'user friendly' - changes in the exhibition format will ensure that PROPERTY 2011 gives home seekers an experience that essentially enhances customer delight, says K Shilpa Like the previous editions of the MCHI Property Shows, this representative body of developers has always kept buyers' interests at the forefront while planning and organising the property exhibitions. As Sunil Mantri, President, MCHI puts it so aptly, it is the difference between a plain, exhibition organising agency, whose relationship with the exhibition visitor ends the moment he or she steps out of the exhibition premises. MCHI partners with the home seeker to provide a safe and secure environment in which to buy one's home, he says, adding that PROPERTY 2011 promises an experience even better than anything till date. As many as 100 Developers will showcase apartments ranging from Rs. 15 Lakh to Rs. 5 Crore which would be on display at the exhibition, he added. For a home seeker, PROPERTY 2011 offers a safe and secure environment, says Deepak Goradia, Hon. Secretary, MCHI. It is all

ght

about creating a feel-good factor, by providing a truly safe and secure environment where one can choose from a vast variety of participating developers, he adds. The MCHI Assurance is what makes all the difference between any other real estate exhibition and MCHI's PROPERTY 2011. The MCHI Assurance, explains Boman Irani, Chairman, Exhibition Committee, MCHI, is very simple: it puts buyers' interests first. All the participating Developers have to sign the MCHI assurance letter, which will have undertaking signed by the MD of the participating company. It means very simply that projects displayed at the exhibition have IOD and CC, and the participating developer will abide by the MCHI code of conduct. MCHI's bi-annual mega exhibition is now emerged as India's most successful and trusted property exhibition series over the period of a decade. The largest exhibition is a perfect platform to fulfil the dream home aspirations of potential home buyers,'' he added. Then, visitors to PROPERTY 2011 will have some sweeteners, inform of gifts for those who book their homes during PROPERTY 2011. Rajesh Prajapati, President, MCHI Raigadh Unit says, There can be

WHAT MAKES PROPERTY 2011 SPECIAL?

The primary factor that makes MCHI's PROPERTY 2010 special, explains Sunil Mantri, President, Maharashtra Chamber of Housing Industry (MCHI), is the fact that a home buyer can be rest assured that the exhibition is safe and secure. The Property Exhibition Series, organised by the MCHI, has become a yardstick for property exhibitions across India, he says. With its innumerable series of undertakings, MCHI has aimed to give real estate and allied industries a perfect platform to showcase properties, which in turn, ensures for home seekers the perfect platform to get different property options as also interact with home finance companies at the same venue, adds the MCHI President.

The MCHI President says PROPERTY 2011 is an endeavour to reach the appropriate target audience who are seeking properties within a specific range. Providing a common ground for both the Real estate industries and the customers, MCHI will ensure a guaranteed and highly lucrative response at the 'Property 2011' show, he says. With a wide array of properties across the MMR as also some prominent cities across India, 'Property 2011' offers 'everything a home seeker would want' - from premium, luxury homes to lifestyle homes and budget homes. MCHI is making it easier for home seekers to get maximum options in terms of affordable homes, and the expo being held at BKC is a 'must visit' for the prospective budget home-buyers and probable home-loan seekers, as it offers specific requirements that perfectly match requirements, says the MCHI President in conclusion.

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PROPERTY 2011
nothing better than one's dream home becoming a reality, but during MCHI PROPERTY 2011, home buyers, booking their home during the exhibition will find themselves in a 'win-win' situation. Going a step further in the concept of 'customer delight', the exhibition will add to the 'safe and secure' factor when a visitor buys a home at the exhibition MCHI Hai to Bharosa Hai, he says. To allow parents a hassle-free exhibition experience, Property 2011 will also provide for a 'Kids' Zone', says Bandish Ajmera, President, Kalyan Dombivli MCHI Unit. This year too, we have taken into account the needs of children accompanying their parents and we are making arrangements for a Kid's Zone where children can play games and activities. This service will be managed by a professional company, he added. For visitors who drive down to the exhibition, PROPERTY 2011 has a covered parking gangway. Bandish Ajmera points out that a levelled, demarcated parking has been created. Also, a Covered Parking gangway has been created for the visitors and exhibitors to come to exhibition registration, he added. Prominent & leading Mumbai developers like Nahar Group, Lodha Group, DB Realty, Ackruti City Limited, Kohinoor, Kalpataru, Ajmera Group, Nirmal Lifestyle, Rustomjee Group, Hiranandani, Godrej Properties, Seth Developers Pvt. Ltd., Kanakia, Mayfair Housing, Sunil Mantri Realty Limited, Gundecha, Neptune Developers, Dosti Group, Jaycee and many more will display their properties across the Island City, Western & Central Suburbs, Thane, Navi Mumbai & rest of India under one roof. Around 15 leading HFI's & Banks such as India Bulls, HDFC, ICICI, LIC, DCB. DHFL, HSBC, Reliance Home Finance etc. will be at the exhibition to offer Home Loans at their best rates & lucrative deals. This year, the timings of the complimentary bus-pickup services to and from to the Exhibition from Bandra (E) and Kurla (W) Railway Stations have been increased by an hour both, at the start and the conclusion of the exhibition, said MCHI CEO Zubin Mehta. ''Given all these positive changes, PROPERTY 2011 promises to take customer delight to new heights,'' concluded MCHI CEO Zubin Mehta

CREATE A CONCRETE ASSET

Property is one of the safest investment avenues with steady returns and a 'tangible' gain. At MCHI PROPERTY 2011 are sure to find options that fit their requirements, says Ami Pandya Investing in real estate is by far one of the most prudent decisions an individual investor could take. This is because unlike the stock market or mutual funds, real estate is much simpler to understand and track. There are so many sources from which one can glean sufficient details to take an informed decision. MCHI PROPERTY 2011 is among the best options, says Zubin Mehta, CEO, MCHI. ''Perspectives of real estate industry experts can also help deepen knowledge about real estate and how they consider it as an asset class,'' he adds. These are a few aspects to note while investing in property: Rules and regulations with respect to real estate differ from state to state, from city to region. Always get these checked out by a lawyer or an investment advisor. The demand for properties will always pick up in emerging or developing areas. Study the trends and scope for further growth in a location before taking a decision. Ensure the credibility of the developer, his track record, delivery pattern for past projects, features of the buildings and infrastructure, etc. Study growth patterns in surrounding areas of the location you are considering. From Special Economic Zones to IT hubs, a cluster of management or engineering colleges and other key educational options, any or all these can influence demand at your chosen location if it is well positioned to take advantage of those developments. Malls are a key growth driver. With shopping, entertainment and leisure facilities available at a single venue, they ensure the location will gain a higher profile and command higher prices. Leasing capability is equally important. Most people prefer to lease a two-bedroom apartment or one with a larger configuration. One-bedroom flats and studio apartments are mostly for self use. Ensure you provide sufficient funds for furniture and furnishings in addition to your basic purchase. Again, it's much easier to lease out an investment property if it is well furnished and has a subtle but classy interior dcor scheme. Real Estate can be quite a lucrative investment option. The smart thing is to keep rolling over your investment at periodic intervals. When an investment has appreciated sufficiently in value and the property prices in that location have almost peaked, consider booking your profits and exiting that project. If you are looking at substantial capital appreciation, real estate provides precisely that opportunity. By the time you book your profits and exit one particular project, your capital will have grown to the point that you can reinvest it in a larger apartment. If you have limited capital but still want to invest in real estate, don't despair. Book an under construction property with a home loan. The tax benefits will help through the initial period and once you get possession and lease out the premises, most of your repayment will be taken care of by the lease rent and tax benefits together. Management and maintenance are two key aspects to keep in mind. If you want your investment to retain its attractiveness and appreciate in value, ensure you keep the interiors in good shape. Ensure that the project itself is well maintained and managed. Spending a little on professionals will ensure long-term returns.

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Making dream homes a reality the safe and secure way

For a home seeker, apart from selecting the right property, there are a few basic issues where caution is necessary, and 'due diligence' is the watchword. K Shilpa explains how MCHI offers a unique 'safety net' which makes a home seeker's task that much easier Making one's dream home a reality is a challenging task due diligence is a major issue. Buying a home for actual use or investing in property is a major decision, and involves with spending one's hard-earned money. For the buyer who will make the property his 'home', usually quite a few sacrifices have been made and then, if it is not the best possible option, it doesn't make sense to put down anything into a 'dream project' which may give 'unexpected' results. ''This is where a safe and secure environment while buying a home becomes important,'' says MCHI President Sunil Mantri. In the present-day scenario, the best possible option to select your dream home is visiting property exhibitions' that brings a lot of known and some new developers all under one roof, says MCHI Hon Secretary, MCHI, Deepak Goradia. ''And, when one visits an exhibition which is organised by an industry body like MCHI, one definitely does not have to worry it is a safe and secure platform to evaluate, consider and actually invest in given the inherent advantage of buying from an exhibition organised by MCHI,'' he adds. Sunil Mantri points out that the developer-members of MCHI follow a code of conduct which ensures transparency for the home buyer. We want it to be a win-win situation for the home buyer, says the MCHI President. It has to be an environment that is secure, so that home seekers can buy their homes without any worry or fear. Deepak Goradia points out that as a premier body of real estate developers, MCHI has always safeguarded buyer interests. The basic difference between buying from any other exhibition and one organised by MCHI is that MCHI property shows are planned to provide a safe and secure environment for the home seeker to buy. MCHI has built a reputation of trust, credibility and transparency that invites several homebuyers to book their dream', says Boman Irani, President, Mira Bhayandar Vasai Virar Unit of the MCHI. Bandish Ajmera, President, Kalyan Dombivli Unit of the MCHI concurs, and adds that a home seeker is always safe at any MCHI event, but now there's an added layer of safety, what is referred to as the MCHI 'Seal of Approval'. Rajesh Prajapati, President, MCHI Raigadh Unit points out that the biggest factor that makes purchasing from an exhibition organized by MCHI more safe and secure is the ethical code of conduct for its members, who are major developers/builders across the MMR. MCHI encourages and supports the developers/builders to increase their efficiency, disseminate data, statistics and other related information and educates them on the best practices as also encourage research in construction and real estate development. This means a home seeker at MCHI Suburban Property 2011 has the advantage of buying homes from developers whose working methods are in sync with best practices, says Prajapati. Boman Irani explains that at MCHI PROPERTY 2011, all on-going projects to be showcased will have an Intimation of Disapproval (IOD) and Commencement Certificate (CC), which will facilitate transparency in transactions between potential homebuyers and developers. A buyer at MCHI PROPERTY 2011 can rest assured that his/ her investment at the exhibition is safe and secure. In the unlikely event of any dispute, the consumer is welcome to approach MCHI to assist them in resolving the same, added Boman Irani. The planning of the MCHI PROPERTY 2011 at BKC has been done so as to provide a perfect platform, facilitating direct interaction between home seekers with leading developers from across the Mumbai Metropolitan Region (MMR), offering them a bouquet of properties to choose from, said MCHI Hon Secretary Deepak Goradia. We have seen the great demand from these extended suburban regions, and we now wish to take the trust, credibility and transparency of MCHI and invite several homebuyers to book their dream homes, added the MCHI Hon Secretary. Despite the multitude of housing options available, physically checking out all the sites may pose a bit of a problem - not to mention the fact the time and effort spent may not turn out as fruitful as desired, says Sunil Mantri. The MCHI PROPERTY 2011 will be a safe and secure option for home seekers,' concludes the MCHI President.

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HOME FINANCE

Making dream homes a reality with a home loan

For the home seeker, there usually is a gap between the cost of property and own funds. Home Finance options help make a 'dream home' into a reality. How best can home loan borrowers get better home loans terms? Ami Pandya finds out Home loans offered by financial institutions and banks go a long way in bridging the gap that usually arises between own funds and total cost of the home. Although availing home loans has become easier over the years, with HFCs and banks going the extra mile to assist customers in applying for a home loan, it is equally essential for a home buyer to carry out due diligence before signing on for a loan from any institution, says MCHI President Sunil Mantri. ''From a time a decade back when availing of a home loan was a tough task, HFCs and banks promise easy and hassle-free loans with minimal documentation,'' he adds. Deepak Goradia, Hon Secretary, MCHI says, ''At the MCHI PROPERTY 2011, home seekers can expect a good platform to help succeed in their search for a better home loan deal. At property shows, MCHI offers home loan options that include spot approval, and freebies as also sweeteners for the home loan applicant,'' explains the MCHI Hon Secretary. At the MCHI PROPERTY 2011, we expect the same situation for all visitors, which should help make their 'dream home' a 'reality', with a home loan taken during this twin property event. Rajesh Prajapati, President, MCHI Raigadh Unit says home loan options at the MCHI PROPERTY 2011 will be too good to resist. Boman Irani, Chairman Exhibition Committee, MCHI concurs, and adds that home seekers at the twin property shows will make the right choice when it comes to home loans. While Interest rates for Home Loans depend on the loan amount one is looking for, the tenure, the purpose and the applicant's profile as also credit rating largely determines the rates charged on home loans, which may vary from bank to bank. This makes it is necessary to understand the options available, as also compare them, so as to

negotiate a good home loan rate, as also find out which type of home loan would be ideal to opt for. Here are some pointers to help a home loan applicant make an 'informed' choice: The best way to avail a home loan with minimum interest rate is to check out as many banks or housing finance companies as possible. This not only ensures a good interest rate but also gives you a fair idea as to how much is your loan eligibility amount. A home loan is a large purchase decision; 0.2% knocked off your interest rate over a 20 year home loan can typically save you half a lakh. Apart from interest rates, a home loan applicant should also look out for various fees and charges - processing fees, pre-payment charges, legal fees, valuation fees and other hidden costs. It is always better to first decide which property you want to buy first and then apply for a home loan. Look out for banks that reserve the best deals for immediate disbursement cases, which helps applicants negotiate the interest rates. In some instances, it might be advisable not go in for pre-approved loan before finalizing the property, as the situation may lead to disappointment if the lender cannot fund the property due to other issues. Read the fine print before signing the type of loan you opt for. A "fixed rate loan" may remain fixed only for a certain period of time, as the bank may have the right to arbitrarily change even the so called 'fixed rate'. If opting for a floating rate loan, make sure that the floating rate loan is the transparent floating loan and that the lender offers the rate in tandem with the industry rates. It is important to understand that the type of interest rate may also vary. Whether to opt for a fixed rate or a floating rate on your home loan is a question one must definitely pre-decide. There is also the third type of interest rate 'the mixed interest rate' available in the market other than the Fixed and Floating loan options. So, go ahead and make your 'dream home' a reality with help from a home loan but do it the right way.

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HOME FINANCE

Making the most of home loans

Home loans require a basic understanding of money matters and regular monitoring to ensure you always get the best deal. Visitors to the MCHI PROPERTY 2011 are sure to find home loan options that fit this definition, says K Shilpa Buying a home is usually a challenge of bridging the financial gap, but working out which Home Finance option is best suited to the home seeker is more of a challenge. Sunil Mantri, President, MCHI says MCHI PROPERTY 2011 is ideal for this situation. '' Competition among banks and Home Finance Companies (HFCs) leads to competitive interest rates on home loans, which makes it possible for most 'home seekers' to go ahead and get a house of their own. For those still waiting to make their 'buy' decision, it is important to understand the implications of various home loan options before taking a decision, the wide array of choices will make a visit to MCHI PROPERTY 2011 a win-win experience.' Home loan options don't just help bridge the gap between 'own homes' and 'cost of the flat' - a family looking at a spacious onebedroom hall kitchen flat could consider a compact two-bedroom flat instead, thanks to a home loan. Stretching yourselves or taking a joint home loan could increase eligibility to upgrade your apartment size during the first transaction itself rather than scale up in installments over the years. This enables you to save on the stamp duty and registration charges and other such expenses that would be otherwise have to be borne while upgrading to a larger flat later on. The home loan eligibility of a home seeker is determined by two aspects, the loan repayment tenure and your income levels. If one expects a substantial increment within a few months by all means mention this while discussing the home loan. Similarly, people at the initial stages of their career can take a longer tenure home loan as their repayment capability is much longer, says Sunil Mantri. If you need to take a personal loan to cover up the deficit if any, ensure the amount is not too high. Pay it off quickly as the interest rate on personal loans is much higher than that for home loans. If need be take a home loan for a longer tenure but avoid personal loans or raising money informally at 'market' rates, says Deepak Goradia, Hon Secretary, MCHI. The home work to be done for buying a new home has increased substantially. The smart thing is to opt for a lending institution or bank that does not charge a pre-payment penalty. If that is the case, start
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putting aside a specific amount at regular intervals and clear the loan within a shorter timeframe. One could also opt for a higher quantum of repayment during the initial years and then reduce it after say, three or five years, when you need to divert more funds for household expenses, says Deepak Goradia. Installment to Income Ratio is generally expressed as a percentage, says Bandish Ajmera, President, Kalyan Dombivli MCHI Unit. ''This percentage denotes the portion of your monthly installment on your Home Loan,'' he says. This figure is normally pegged at 40% but can vary on the basis of actual salary details, qualifications, employer / business, years of experience, growth prospects and sources of other income. HFIs take into account all the fixed obligations that you pay every month, not including statutory deductions like PF, Profession Tax, etc. and deductions for investment like Voluntary PF, LIC Premium, etc, explains Boman Irani, President, MCHI Mira Virar Unit. Home loan repayment consists of a portion towards the accruing interest, with the remainder being applied to the principal. Initially the repayment is more towards the interest and less towards the principal amount. Over time, the interest portion decreases as the loan balance decreases, and the amount applied to principal increases so that the loan is paid off (amortized) in the specified time. An amortization schedule is a table which shows how much of each payment will be applied toward principal and how much toward interest over the life of the loan. It also shows the gradual decrease of the loan balance until it reaches zero, adds Boman Irani. In case if the home loan installment is easily manageable for you (typically less than 40% of your post tax earning - this is mainly applicable for self-employed people), take a floating rate but whenever the financier increases the rate and gives you the option of increasing the installment, do so. This way, you know for sure that the loan will get over in the original contracted period of time, explains Deepak Goradia. If you do not see this to be your final house (typically salaried people in private service) and look at upgrading your house after four to five years, then it is advisable to take a floating rate, says Sunil Mantri. Under normal circumstances, the upside in the property price will more than compensate for the upside in your interest rate.