The real estate industry has seen a drastic shift in consumer behavior in the last three years. Everything has been impacted by the pandemic, from how people search for homes to what they expect from real estate developers. A key sentiment which has emerged across the board is that consumers not only want to be the centre of attention but also want an elevated customer experience and a good relationship with the brand. Customer centricity, however, goes beyond simply prioritizing your customers; it also entails giving them the greatest possible experience both before and after they buy a home and during the house-hunting and purchasing processes.

Today, there is no one-size-fits-all solution to understand consumer needs. Modern homebuyers have more access to information than ever; they are well-read, well-traveled, and committed to the environment. Some customers appreciate tech-enabled, efficient designs, while some are looking to safeguard their future and have become key contributors to the demand for residential real estate, all of whom have evolving home-buying preferences. With perceptions around lifestyle changing rapidly, the value proposition becomes crucial. Hence, simply delivering ‘exceptional residences’ is not enough. The developer community now needs to adopt a buyer-centric business approach and provide truly differentiated customer experiences as they will aid in making one stand apart from the competition, building a loyal consumer base, and eventually creating brand identity.

Here are some key parameters which could redefine a seamless customer experience in the real estate sector:

Meeting the needs of the consumer

The value that buyers place on community, neighborhood, spatial design, amenities, and services is a reflection of the shift in lifestyle attitudes brought about by the new post-pandemic realities. It is critical for developers to constantly map the customers’ changing needs and develop projects that meet the needs of the customers and their family members. 

Establishing trust

Every real estate success story revolves around trust. Building trust is essential because sellers and buyers approach real estate transactions with conflicting feelings shaped by past experiences. Building trust is built on the foundation of transparent communication. It entails disclosing every aspect of the property, including any potential downsides. A strong foundation of trust is established with clients when they perceive that developers truly care about their needs. Efficient communication reduces uncertainty and facilitates well-informed decision-making, encompassing property specifics and legalities.

Transparent communication

Investing in a state-of-the-art Customer Relationship Management tool (CRM) could do wonders to improve your relationship with your customers. The CRM should be used efficiently to have a seamless customer communication flow. Key details like project completion, status on multiple permissions, slab-wise construction details, etc., are information points that help customers know every possible detail about their dream home and increase their trust. For buyers, transparency means access to comprehensive property information, including pricing, history, and condition. It also entails being forthright about potential challenges and risks associated with a property. For sellers, transparency involves realistic pricing and a clear understanding of the market dynamics. Real estate professionals can build trust and create a more positive client experience by openly sharing information and setting realistic expectations. This leads to successful transactions and fosters long-term relationships and referrals as well.

Conclusion

Developing a reputation for trust and loyalty is essential in the fast-paced real estate industry, where properties influence many narratives. The cornerstones of success are open and honest communication, customized experiences, and regular follow-ups. Real estate agents who invest in excellent customer relations generate a positive feedback loop that benefits them and their esteemed clientele. In a field that is always evolving, these long-lasting connections are assets that endure the test of time and market swings.

CJ Mathews – Vice President Marketing, Ashar Group.

Also Read: RBI Keeps Repo Rate Unchanged

The post Unlocking Success: The Power of Customer Centricity in Home Sales  appeared first on Square Feat India.

The real estate industry has seen a drastic shift in consumer behavior in the last three years. Everything has been impacted by the pandemic, from how people search for homes to what they expect from real estate developers. A key sentiment which has emerged across the board is that consumers not only want to be the centre of attention but also want an elevated customer experience and a good relationship with the brand. Customer centricity, however, goes beyond simply prioritizing your customers; it also entails giving them the greatest possible experience both before and after they buy a home and during the house-hunting and purchasing processes.

Today, there is no one-size-fits-all solution to understand consumer needs. Modern homebuyers have more access to information than ever; they are well-read, well-traveled, and committed to the environment. Some customers appreciate tech-enabled, efficient designs, while some are looking to safeguard their future and have become key contributors to the demand for residential real estate, all of whom have evolving home-buying preferences. With perceptions around lifestyle changing rapidly, the value proposition becomes crucial. Hence, simply delivering ‘exceptional residences’ is not enough. The developer community now needs to adopt a buyer-centric business approach and provide truly differentiated customer experiences as they will aid in making one stand apart from the competition, building a loyal consumer base, and eventually creating brand identity.

Here are some key parameters which could redefine a seamless customer experience in the real estate sector:

Meeting the needs of the consumer

The value that buyers place on community, neighborhood, spatial design, amenities, and services is a reflection of the shift in lifestyle attitudes brought about by the new post-pandemic realities. It is critical for developers to constantly map the customers’ changing needs and develop projects that meet the needs of the customers and their family members.

Establishing trust

Every real estate success story revolves around trust. Building trust is essential because sellers and buyers approach real estate transactions with conflicting feelings shaped by past experiences. Building trust is built on the foundation of transparent communication. It entails disclosing every aspect of the property, including any potential downsides. A strong foundation of trust is established with clients when they perceive that developers truly care about their needs. Efficient communication reduces uncertainty and facilitates well-informed decision-making, encompassing property specifics and legalities.

Transparent communication

Investing in a state-of-the-art Customer Relationship Management tool (CRM) could do wonders to improve your relationship with your customers. The CRM should be used efficiently to have a seamless customer communication flow. Key details like project completion, status on multiple permissions, slab-wise construction details, etc., are information points that help customers know every possible detail about their dream home and increase their trust. For buyers, transparency means access to comprehensive property information, including pricing, history, and condition. It also entails being forthright about potential challenges and risks associated with a property. For sellers, transparency involves realistic pricing and a clear understanding of the market dynamics. Real estate professionals can build trust and create a more positive client experience by openly sharing information and setting realistic expectations. This leads to successful transactions and fosters long-term relationships and referrals as well.

Conclusion

Developing a reputation for trust and loyalty is essential in the fast-paced real estate industry, where properties influence many narratives. The cornerstones of success are open and honest communication, customized experiences, and regular follow-ups. Real estate agents who invest in excellent customer relations generate a positive feedback loop that benefits them and their esteemed clientele. In a field that is always evolving, these long-lasting connections are assets that endure the test of time and market swings.

Also Read: Sevenfold increase in MahaRERA website’s traffic

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By Varun Singh

A Homebuyer cancelling their booking, most of the times end up losing exorbitant amount. Maharashtra Real Estate Regulatory Authority (MahaRERA) has come up with a proforma with a table that clearly states, how much amount can be deducted from a homebuyer when the homebuyer cancels his booking.

Recently MahaRERA came up with a circular, that has given a dedicated table with a time line allowing builders to deduct a certain amount when a homebuyer cancels his booking.

The table states that if homebuyers cancel their booking within 15 days from issuance of the allotment letter the amount to be deducted will be nil.

If the booking is cancelled within 16 to 30 days from issuance of the allotment letter; then amount to be deducted is 1% of the cost of
the said unit.

If the homebuyer’s booking is cancelled within 31 to 60 days from issuance of the allotment letter, then the amount to be deducted is 1.5% of the cost of the said unit.

If the homebuyers booking is cancelled after 61 days from issuance of the allotment letter, then the amount to be deducted is 2% of the cost of the said unit.

The circular by MahaRERA further states that the amount deducted shall not exceed the amount as mentioned in the table.

Not only this, MahaRERA has also specified interest payment in case of delay in making payments, by homebuyers.

MahaRERA has states, that the in case of delay in making any payments, the homebuyer shall be liable to pay interest at the rate which shall be the State Bank of India highest Marginal Cost of Lending rate plus two per cent.

This means now builders cannot have their own way and will have to follow these guidelines issued by MahaRERA.

Bombay High Court, Advocate Prakkash Rohira, said, “While most developers have their own method of ‘booking form’, ‘allotment request form’, ‘application form’, we often find homebuyers who sign and submit certain documents being orally misled and in writing have made a misleading commitment. With such order Maharera simplifies and clarifies several grey areas, and makes it binding on the developer for follow such format, or if deviated publish the same.”

Also Read: Remaining absent for two hearings can lead to disposing off your MahaRERA complaint

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By Prakkash Rohira

Always remember to differentiate between what’s told to you orally and what’s identified in writing, and that writing must be from a reliable source as well.

Following is an encounter of a situation wherein several homebuyers were incited, offered properties at reduced prices, asking intended purchasers to forward such letters, without fully explaining to the homebuyers the consequences and the title of the property.

A homebuyer buying property through bank loans or mortgages, does happen to get a good deal, but in some cases comes with riders. There are several judgements and orders with regards to bank auction and sales, for which reasons it’s always recommended to consult a legal professional before entering into the same. 

Before going forward, ALWAYS remember that it is wholly untrue that if the bank has granted a loan on a property, the title must be clear. Banks always take personal guarantees and assurances from borrowers to secure themselves in case they have a defect in the title or may need to exercise any other route to recover their money lent to the borrower.

However, such sale of the bank through a sale certificate can be questioned and challenged. However, one must understand that banks are not concerned with your title and transfer you property on an “As is Where is Basis”.

Such draft as shared here, was recently shared by a lending institution marketing the encumbered property, offering properties in a posh suburb at near 40% its clear title value, exciting the homebuyer, asking them to express their intent to purchase a property in a nearing completion building in Western Suburbs only in this format, which was to be given along with Earnest Money to the financial institution.

With such a letter, the bank or Financial institution would transact with the homebuyer in a manner to relieve itself from the defaulting borrower, however leaving the homebuyer subject to claims and litigation from other individuals.

In this letter it was evident that:
1. Though the homebuyer was informed that he was being a part of an auction, but on paper what he was depositing money with the bank was for a “Private Treaty Sale”. 

2. The format referred to several “banks” having issued sarfaesi notice, making the homebuyer admit to the knowledge of more than one bank having issued notice.

3. The advanced monies would be held in an interest free account if and until the sale is completed.

4. There is no surety or binding from the bank, hence the homebuyer was made to prepare such a letter.

5. No assurance of refund in case sale does not complete, rather a line to refund “that part” of amount if the homebuyer is not the “highest bidder” that too in a private treaty sale.

6. Banks’ possession was symbolic, did not have physical Possession to hand along with the flat.

However, if things didn’t go your way, the bank would be off with its dues, unable to recover from the borrower, leaving the homebuyer parted with their hard earned money, and without the actual property in hand.

All such information remained concealed from the Homebuyer as more than the Financial institution, it was the homebuyer convincing himself to the oral arrusances of the Financial institution, as they remain attracted to the price. The letter consists of only smartly worded concealed terms implying the buyer having knowledge of the same, however refusing to actually divulge it to the buyer, and oral comfort was given to the buyer that the said flat shall be given to them at such amazingly reduced rate.

Surprisingly it was later learnt:
1. Of the said flats mortgaged, most of the flats were allotted to third parties and there were pending RERA complaints.
2. The Landowner Society had terminated the Developers Agreement recently.

Always remember that a homebuyer is still required to do his due diligence before purchasing a property. A property being mortgaged with a bank or NBFC does not mean that the title is clear.

ALWAYS:
1. Investigate the title and possession properly before participating in an auction / Private Sale with the bank.2. No one can “do setting” and make you win the auction of the flat.3. check for pending litigation.
4. Check for sanction plans, occupancy certificate of the project.5. Understand Society or condominium related issues with the property.

Prakkash Rohirai Advcoate, Bombay High Court, the views expressed in this article solely belong to him.

Take note this article is not intended to question the title or denigrate any bank, project or developer, but is in good faith to only generate homebuyer awareness.

Also Read: Wish To Buy A Bank Auction Property Read This First

The post Read This if Dealing with Bank Properties appeared first on Square Feat India.

By Varun Singh

If you are worried that September 1, being Visarjan Day the registration offices in city are going to remain shut or open, then here’s the answer.

They shall remain open on September 1, which is the day of Visarjan of Mumbai’s favourite Lord Ganesha.

The crowd at registration offices on Tuesday September 1, is going to be huge at least that is what real estate industry experts say.

The reason behind the crowd is being attributed to the first day for people to take benefit of the reduced stamp duty rates.

Plus from September 2, Pitrupaksha starts, during which many do not carry out important work including registering homes.

No wonder, that Inspector General For Registration (IGR) has announced that offices including those in Mumbai city and Suburban Mumbai shall remain functional.

When asked IGR Omprakash Deshmukh, he said, “It’s (Anant Chaturdasi) is a local holiday in 8 districts in Maharashtra. We have instructed that all offices will remain open and functional tomorrow (September 1).”

On August 26, 2020, the state government announced a stamp duty rate cut for the state of Maharashtra.

According to it, for the period between September 1, to December 31, the stamp duty shall be reduced by 3%. The same will be reduced by 2% between January 1, 2021 to March 31, 2021.

Which means if one buys a flat worth Rs 1 crore, in Mumbai he would pay stamp duty (till August 31, 2020) at 5% which would be Rs 5 lakh. Now till December 31 from September 1, the stamp duty will be Rs 2 lakh and the same would be Rs 3 lakh between January 1, 2021 to March 31, 2021.

Explaining the reason why there could be a rush and the government deciding to keep registration offices open on September 1, Developer Arvind Goel says, “Since last one week, many have kept on hold the registration because they would be saving a lot of money. Also from Wednesday Pitrupaksha starts, during this period, people mostly avoid registering properties.”

Goes says many would rush to the registration offices on Spetember 1 and get their properties registered.

Even Deepali Gupta Rathod a homebuyer who had kept her registration on hold, spent her entire Monday only to find out that whether the offices are functional or not. However, finally it is relief for her and also for many others who wish to register their property on Tuesday.

For them this move by government will come as a huge respite, as the offices are open and they can register their documents.

Also Read: Stamp Duty Reduced Read How Much You Will Save

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By Varun Singh

Yes heard it right, a developer was held liable by the Maharashtra Real Estate Appellate Tribunal (MREAT) for the promise made by its channel partner to the home buyer.

The case is that of Rekha Navani a home buyer who booked a flat in Lawns and Beyond Phase 2, Omkar International District located at Andheri for a total consideration of Rs 1.36 crore.

While booking the flat at an exhibition, the channel partner of developer allegedly promised that in case she is found ineligible for housing loan, the amount paid will be refunded. 

At the time of booking she paid Rs 1 lakh towards expression of interest (EOI) and Rs 6.95 lakh towards application fees. A Letter of Allotment was executed on December 5, 2017 following which a demand notice was also issued to Navani by developer to pay further amount as agreed.

However, as Navani could not procure loan from banks, she requested the developer to cancel the flat and refund the amount she paid. The developer returned Rs 1 lakh only and forfeited Rs 6.95 lakh.

Post which the home buyer approached MahaRERA where the matter was disposed off, the buyer then appealed to the appellate tribunal.

At the appellate tribunal, the developer’s advocate pointed out clauses from application form filled by home buyer. He stated, in the event of withdrawal/cancellation of booking or non-payment of balance application fees, the amount of application fees paid shall be forfeited. 

Further the counsel stated that in case of termination of allotment due to fault of buyer, builder is entitled to recover/forfeit amount equivalent to 10% of the total consideration of flat. 

The counsel stated “Accordingly, on account of cancellation of booking by Appellant, the builder was though entitled to actually recover Rs 13.6 lakh (10% of the total price) yet as against the said amount, only Rs 6.95 lakh have been forfeited as only that much amount was paid so far by the buyer.”

Further about the promise made by the channel partner to the buyer, the counsel for the developer stated, that the email sent by the channel partner was addressed to homebuyer and not the builder and hence has no relevance.

The appellate tribunal held, “The fact that channel partner was appointed by Respondent (developer) for booking the flat has not been categorically denied by Respondent. Therefore, Respondent cannot brush aside its liability arising out of the said promise.”

The tribunal further said, “Iin view of the obligation of Respondent to honour the commitment made by its channel partner on its behalf, the forfeiture of amount paid by appellant (home buyer) is erroneous and against the object and purpose of the Act which is enacted as a beneficial legislation to abate hardships of flat purchasers’.”

Finally the developer was directed to refund the balance amount of Rs. 6.95 lakh to the buyer, on or before August 31, 2020 failing which an interest @ 2% above SBI’s highest Marginal Cost of Lending Rate shall be payable w,e.f. September 1, 2020 till realisation of the amount.

Also Read: TATA housing directed to refund money to homebuyer

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By Varun Singh

Your dream home may further be delayed, this is what the apex body of real estate CREDAI fears.

CREDAI has written to the central government seeking their intervention. The letter is addressed to Hardeep Singh Puri, central minister for Housing and Urban Affairs

The letter is a request for immediate intervention for controlling the steep hike in prices of cement and steel amidst COVID 19 crisis.

According to CREDAI, amidst this unfortunate situation, all industries are combatting the crisis and real estate industry is no different.

Real estate is the second largest employer in the country, and the industry desperately wants to start the construction activity across the country.

The letter states, “We would like to bring your attention to the cartelization by the cement and the steel manufacturers by imposing a sudden increase in their selling price.”

CREDAI states that across various states, there has been an increase of Rs 100-250 per bag of cement. Steel prices they allege has increased by Rs 2,000-2,500 per metric tonne.

They say this will ultimately lead to home buyers being effected as the construction prices will go up.

“Given the current crisis faced by real estate industry because of COVID 19 or even otherwise, such an abrupt increase will be a bolt on the blue for the developers and will lead to increase in construction cost and overall project cost, hurting homebuyers.” CREDAI said.

Developers claim that with wafer thin margins many developers may be constrained to stop construction work, thereby impacting delivery of the projects. Thus leading to penalties under RERA, and other authorities and so on. “Needless to say, this will have a cascading effect on the home buyers also,” reads the letter.

The builders body also feels that the increase in prices of cement and steel is abrupt and highly unethical. They also claim it amounts to unfair and restrictive trade practices.

They have urged the government to control the price rise and requested the minister to take the matter with the concerned relevant ministries.

Also Read: Shahid Balwa In Uddhav Govt’s Crucial Committee.

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By Varun Singh

Thousands of Home Buyers who had invested their life savings in buying a home with Amrapali Developers may feel good reading this. The Law has caught up with them and their properties, vehicles, hotels and even nursing homes are being auctioned. The e-auction of properties will be held on January 8, while that of vehicles on January 7.

The minimum base price of nine commercial properties, is above Rs 352 crore. The biggest property that is being auctioned is a Precast Factory located in Greater Noida spread over 1 lakh Sq Mt, will be sold at a minimum price of Rs 161 crore (base price).

The other property of which base price is Rs 72 crore is a semi furnished hotel with 222 proposed rooms located in Greater Noida. The auction includes Nursing Home, Leisure Valley, of which the base price is Rs 58.85 crore. A property adjacent to the Nursing Home is being auctioned at Rs 23 crore.

Amrapali Hospital comprising of 42 beds located at Greater Noida will be auctioned at a base price of Rs 21 crore. Amrapali Corporate Park at Sector 62 of Noida will be auctioned at a base price of Rs 8.25 crore, while Amrapali Corporate Tower at Sector 62 is being auctioned at Rs 5.50 crore. Another Corporate Tower located at Sector 63 is being auctioned at Rs 3.25 crore.

The auction also includes seven residential properties which are located at Amrapali Castle and Amrapali Eden Park. 15 cars which includes Audi, Porsche, and BMW are also being auctioned.

The auction of high end vehicles, residential flats, commercial and industrial properties of Amrapali Group is being carried out by state run company. It is being carried out on behalf of Ld Court Receiver, Supreme Court of India. The auction is pursuant to Orders of Supreme Court of India in a Civil Writ Petition filed by Bikram Chaterji and Ors. Versus Union Of India and Ors. in the matter of Amrapali Group.

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