Archive for April, 2015

Buying Experience Idea to Simplify Your Real Estate Investment

Purchasing or renting residential properties involves significant financial commitment. Diligent investigation is important to sign contracts and can save you from unwanted surprises. There could be several ways in which threat can lurk around. In this article, we try to demonstrate a few. Flats for sale in Mumbai requires quite a lump sum amount of financial promise and in many cases, probably a lifetime of savings.

  1. The general and target market conditions
  2. Physical inspection of property
  • It’s not always a good time to investment in a property asset. Weather you intend to hold or flip the property too is a consideration.
  • Location of the property. Is it close to shops, transport routes, parking, etc?
  • The crime rate in the neighborhood. You certainly wouldn’t want to move in with your family into an area where burglary is a common thing.
  • A real estate agent can be of great help in providing this information.

Physical inspection actually determines the soundness of the investment. An Apartments in Mumbai>may look fabulous from outside but it may have several dissatisfying features. A closer examination will reveal the actual worth of the property and help you propose a suitable deal. The physical inspection should consider:

  • Engineering inspection – plumbing, foundation, electrical and mechanical systems, lead paint asbestos, underground tanks, etc.
  • Environmental inspection – proximity to roadside, jungles, sea, and other physical aspects.
  1. Proof of expenses

It is strongly advisable that you take a look or even procure a copy of a property’s tax history before paying the price for it. Taxes are a major expense of ownership. Checking the papers will let you know I there is a tax grievance or tax abatement pending.

  • Further ask for bills paid for electricity, sewer, water, oil-gas for the period of last one year
  • Review the insurance information including risk assessment, riders and claims history.

All of this could be critical information to buy property in Mumbai

Realize if the Mumbai real estate, you are interested in has residential tenants. Have they been agreed upon by leases? If it is so, determine when the lease period would end and the renewal options for it. There could be a better use a property can be put into instead of having tenants. In that case, you must determine whether the tenants could be moved and their agreement ended. Another important thing here is to consider DHCR registrations. This would include important information upon rent arrears, security deposit listing, unit mix information, existing leases and lot more. Examining rent rolls and fair market values will further provide insights into the revenue potential of the property. The local municipality will have all the records of an investment property including occupancy certificates, open permits, property survey, violations, completion certificates and other files. The officers will be able to guide you with the legalities of new occupancy, actual dimensions of property in Mumbai, floor plan, history of constructions and subsequent data.


Is your business heading for an energy driven profits squeeze?

The lifeblood of business is energy. The transition from manufacturing everything by hand to using power to produce goods transformed the world of commerce and transport in the 19th century and has led to the global industries you know today.


From using water to power weaving looms, through coal to fuel trains and ships and on to oil and gas for the development of the motor industry and for industrial and domestic heating, energy is the one constant you cannot do without.


Finite fossil fuel


Energy prices fluctuate, rising and falling, and it can be hard when you’re looking at how profitable your business is going to be when you’re uncertain about what you will have to pay for the energy you use. You can try to buy futures on the market, setting a price to be paid for future supplies, but you can get caught out as well as hedging your bets successfully. If you have bought high for the future and the price plummets – as it has done recently for oil – you could find yourself in an unpleasant energy driven profit squeeze.


It’s generally accepted that fossil fuels – oil, natural gas and coal – will run out sometime in the future, though nobody can really predict when. As a finite resource, fossil fuels need to be replaced with new sources of energy that are reliable and, above all, affordable for businesses.


Unconventional oil and gas


There has been an upsurge in discoveries and the development of extraction processes for natural gas held in shale formations – so much so that the US is using transport and shipping facilities to export rather than import – and unconventional oil is found in unconsolidated sandstone. These fossil fuels can be difficult to extract, pushing up costs for the companies that mine them that are passed on to businesses that use them, potentially having an impact on profits.


However, businesses using fossil fuels already have the infrastructure in place. In which case, your profits may not be under as much threat as you may have thought in this scenario.


Alternative energy sources


The two major alternative sources you have probably come across are wind and solar power, both with great potential but they need the wind and the sun to make them operate effectively. You can’t completely rely on these sources and they are costly to develop and install. However they are an essential part of how alternative energies need to fit into strategic thinking for how economies will be powered in the future.


Developing knowledge


The impact of carbon emissions from fossil fuels has led to a general acceptance that these contribute to the warming of the earth and thus to climate change. Energy expert and Pulitzer Prize winner Daniel Yergin has written extensively on the history of climate change so you can benefit from his wide knowledge and experience.


Alternative energies will have to fit with conventional and unconventional sources as governments develop strategies that will ensure that businesses benefit from uninterrupted supplies and prices that will not squeeze profits unacceptably.