Property Agents

Ø     How to buy under construction property : Ø     Here are the five important things a home buyer must consider: Is property Rera registered? The biggest risk in buying an under-construction property is a delay in completion. Check if the builder can be trusted or not. Builder-buyer agreement. Changes in the building plan. Bank loans. Ø     Is it safe to invest in under construction property ? Buyers get many options on under construction properties. The wait may be longer but it is worth the cost. One should not just buy a property because the cost is less. "Post RERA, there is an added advantage of booking a unit in an under construction project - the buyer is safe and secure. Ø     Should I buy under construction property ? Under-construction property  The buyer has more time in hand to spread the payment, registration charges, stamp duty, etc. Higher chances of gettiong cheated as the property may be sold to more than one buyer. Buyer's due diligence is very important.

Ø     Benefits of buying an under construction property: 5 Advantages Of Buying An Under-Construction Property   §     Lower Prices. The difference in pricing between a possession-ready property and under-construction property can vary from anywhere between 10 and 30%. §     Higher Price Appreciation Rate. §     Flexibility of Payments. §     New Construction. §     Offers. Ø     Is it good to buy under construction property ? Buyers get many options of under construction properties. The wait may be longer but it is worth the cost. One should not just buy a property because the cost is less. "Post RERA, there is an added advantage of booking a unit in an under construction project - the buyeris safe and secure. Ø     What is better under construction or ready to move? The biggest advantage of a ready-to-move unit is that you know what you buy. The quality of construction can be verified by the homebuyer before investion money in a ready-to-move unit. An under-construction home is

Ø     Tax benefits of buying property: If the loan is taken jointly, then each of the loan holders can claim a deduction for home loan interest up to Rs 2 lakh each and principal repayment u/s 80C to Rs 1.5 lakh each in their individual tax returns. To claim this deduction, they should also be co-owners of the property taken on loan.  Ø     Does buying property help with taxes? The main tax benefits of owning a house is that the imputed rental income homeowners receive is not taxed. It is a form of income that is not taxed. Homeowners may deduct both mortgage interest and property tax payments as well as certain other expenses from their federal income tax if they itemize their deductions.   Ø     How much does buying a house reduce your taxes? Property tax deduction In addition to the interest you pay on your mortgage, homeowners can also deduct up to $10,000 paid on property taxes. Depending on the property tax rate where you live, and how much you paid for your home, this could b

Standard rent and fair rent: Fair rent - It is the rent, a similiar property in the same or similar locality can fetch. Standard rent - It is fixed under the Rent Control Act where a higher rent than the standard rent cannot be expected by the owner. Actual rent -  It is the actual rent received/receivable by the owner by renting out the property. What does Standard rent mean? The standard rent is the rent, which would be permissible under the law to be charged to a tenant. The rent Act applies to premises let for residence, education, business, trades, storage, etc. Standard rent is the rent, which would be permissible under the law to be charged to a tenant. What is fair rent value? The amount the owner of property could reasonably expect to receive from a strange for the same type of lodging; generally, the ammount at home with its furnishings could be rented to  similar size family in a location.

Standard rent in house property: Standard rent: The  standard rent is determined under the Rent Control Act. If the standard rent has been fixed for any property under the rent Control Act, the property owner cannot charge a rent higher than the standard fixed rent. Gross Annual Value (GAV): This is the highest of: Rent received. What is standard rent value? Rental value is the fair market value of property while rented out in a lease. More generally, it may be the consideration paid under the lease for the right occupy, or the royalties or return received by a lessor (landlord) under a license to real property. Who decides standard rent? The rent as decided by the landboard and tenant at the beginning of the tenancy either by negotiations or by bargaing is known as contractual rent. Standard rent is the rent, which would be permissible under the law to be charged to a tenant.

Annual Value Of House Property: The annual value of a property is the sum for which a property is reasonably expected to be let from year to year. Hence, the annual calue of a property is the amount of national rent which could have been derived, had the property benn let. How do you calculate annual value of house property?   Computation of ' Annual Value ' of a House Property [Section 23 (1)] As per section 23(1)(a) the Annual Value of any property shall be the sum for which the property might reasonably be expected to be let from year to year. It may neither be the actual rent derived nor the municipal valuation of the property. Is annual value of a home property every year remain the same? As per Section 23(1)(a) of the Income Tax Act, Annual Value of a home is the sum for which the property might reasonably be expected to be let out from year to year. So, is the notional rent which could be got if the property were to be rented .

Determinig the rent: Rental yields of a residential property vary between 2.5 percent and .35 percent of the market value of the property. For instance, if the market value of your property is Rs 30 lakh, its rental value will range between Rs 7,5000 and Rs 10,5000 and monthly values will differ from Rs 6250 to Rs 8750. How rent is determined? Rent is determined by various factors such as location, age of the property, quality of construction and amenities. "Rental values range between 2% and 4% of the property value. For residential properties in most parts of India, landlords can only increase the rent by around 10-11% every year. What does determination of rent mean? Determination: on surrender by operation of law. When a tenant surrenders their lease to their immediate landboard, who accepts the surrender, the lease is absorbed by the reversionary estate and thus determined .

Benefits of owning rental property: Rental properties can be financially rewarding and have numerous tax benefits, including the ability to deduct insurance, the interest on your motgage, and maintenance costs. What does it mean to own rental property? A rental property is any property you own where you rent the peoperty out to tenants. If you own a house and rent it to a family, or you own a condo that you rent via Airbnb, you own a rental property . Are owning rental properties worth it? Owning a rental property in addition to your primary residence can be a way for you to build welth, especially if you may be averse to investing in the stock market. You can eventually own a physical piece of property outright that also produces income. However, rental property investments aren't always a sure thing.

Importance of Rental Property : It is not uncommon for investors to treat rent as an important source of income. However, given the practice of annual review of rent in most markets, and the low rates of return on annuities and other secure financial products, rental income offers a market-determined stream of income that is also inflation adjucted. Is it good to have rental income ? Rental properties can generate income, but the return on investment doesn't typically happen right away. Rental property investments are also risky because of how many variables can affect its performance, like the housing market or your ability to keep it rented. What is the main benefit of renting ? The main benefits of renting a place of residence is having fewer responsibilities than homeowners since they do not have to deal with maintenance and repairs. It also offers mobility when a location change is necessary or desirable. Taking possession of a rental house is cheaper than buying a home. 

Exempted income from house property: The annual value of one self-occupied property for own residence is exempted from tax under Section 23(2). Income from property used for one's own business or profession is also tax-exempted under Section 22. In which of the following cases the house property income is exempt from tax? Cases where house property income is exempt from tax Section 10(1) - Income from any farm house forming part of agricultul income. Section 10(19A) - Annual value of any palace in the occupation of an ex-ruler. Section 10(20) - Income from house property of a local authority. How amny house properties are exempt? Two house properties As per the new provision, if an assessee owns more than two houses, then he can claim the annual value of any of the two house properties as nil. Thus, a person will be not required to pay tax on the market rent of the second house property.

Income under head house property: While computing income chargeable to tax under the head "Income from house property" in case of a let-out property , the taxpayer can claim deduction under section 24(b) on account of interest on loan taken for the purpose of purchase, construction, repair, renewal or reconstruction of the property. Is income from house property a head of income? Income from House Property definition: The 'income from House Property' is one of the five heads of income that is taken into account for calculating the gross total income (GTI) of an assessee during the year. What are the bases of charging income under the head income from house property? Basis of Charge [Section 22]: Income from house property shall be taxable under this head if following conditions are satisfied: ...b) The taxpayer should be the owner of the property; c) The house property should not be used for the purpose of business or profession carried on by the taxpayer.

Ø   Documents required for selling property: Ø    If you are planning to sell a property , the documents are very important. A property with clear documentation and title commands a higher price in the market. Ø     These are the documents you need to have in order: Letter of allotment Sale deed Sanctioned plan Society documents Encumbrance certificate Sale agreement  Ø    What documents do you need to sell a property in India? Ø     Checklist for selling property in india Encumbrance Certificate Latest Property Tax Receipt No objection Certificate Completion certificate and Occupancy Certificate Power of Attorney

Property Sale: Sale is a transfer of ownership in exchange for a price paid or promised or part paid and part promised. The transfer by way of sale of tangible immovable property of the value of less than one hundred rupees may be made either by a registered instrument or by delivery of the property. What is property sale law? "Sale" defined. - "Sale" is a transfer of ownership in exchange for a price paid or promised or part-paid and part-promised. Delivery of tangible immoveable property takes place when the seller places the buyer, or such person as he directs, in possession of the property. Contract for sale. What is the process of sale of property? Sale agreement is signed and executed by the seller and buyer on a non-judicial stamp paper. The agreement between the buyer and seller is the document in which the sale deed is drafted. Every document acting as evidence of transfer of property b sale is preceded by an agreement to sell.

Income from house property: Income from House Propety in India: The income arising out of a house property either in the the from of a rental income or on its transfer is reffered to as 'income from house property'. In essence, any property such as house, building, office, warehouse is treated as 'house property' under the Income Tax Act. How income from house property is determined? The property owner cannot charge a rent higher than the standard rent fixed under Rent Control Act. Net Annual Value (NAV) is the value calculated as Gross Annual Value minus Municipal taxes paid. These are deducted to ascertain the Actual taxable income. What is taxable income from house property? Homeowners can claim a deduction of up to Rs 2 lakh on their home loan interest, if the owner or his family resides in the house property. The same treatment applies when the house is vacant. If you have rented out the property, the entire home loan interest is allowed as a deduction.

Investment Property Definition: An investment property is real estate purchased to generate income (i.e., earn a return on the investment) through rental income or appreciation. Investment properties are typically purchased by a single investor or a pair or group of investors together. Is a house considered an investment? Many people don't think of their home as an investment vehicle. But the truth is, your home is an investment in many ways. You'll be putting a lot of money into the property - and its value can rise or fall with the economy. Plus, unlike renting, a house helps you build wealth. What are examples of investment property? Examples of investment property are land held for appreciation and a building held for current or future leases third parties.

Renting property: Rental housing refers to a property occupied by someone other than the owner, for which the tenant pays a periodic mutually agreed rent to the owner.   What property type is rental property? Virtually any type of real estate property can be a rental property. Even space can be considered a rental property if you're renting it out to people who want to park in it. What does having a rental proeprty mean? Residencial rental property refers to homes that are purchased by an investor and inhabited by tenants on a lease or other type of rental agreement.