Growing Rich One Step At a Time- We Must Either Find A Way Or Make One

Invest Invest Invest…This is a saying which one hears all the time. An investment in stocks is like a rising tide which lifts all boats. When that tide rises your boat better be in it. Isn’t this an age old saying fucked in our head? Land appreciates like no other investment in India The population boom is on and India will always have a shortage of land.”As The Landlord Sleeps He Grows Rich”. One has heard this saying so many times that one container remember this even in ones sleep. But are these investments really that easy? Should One Just Buy Whichever Stocks One Wants? Should unit Grind His Heart On His Sleeve and invest heavily in sectors towards which he is highly biased. What about an investment in land? Should one just buy whichever land one sees based solely on emotions or should emotions take a backseat to sound logic. This is a dilemma which worries apiece of us day in and day out. Is there a solution to this problem?” Yes” Financial awareness and an investment in financial knowledge is the solution to that never ending problem. An investment in knowledge for oneself is the greatest investment one can make. Another money equally important is time.”Time Is Money”. An investment in financial knowledge needs to treffen made at the right time. What Better Time Can This Investment In Financial Knowledge Connective Awareness Be Contrived Than In Ones Youth”. I would like to remind you that the team of Financial Planners at IndianMoney.com are always there for you to plan your financial needs in a most effective and efficacity manner. You can explore this unique Free Advisory Service just by giving a missed call on 02261816111.

Don’t Dance On A Volcano:
One notices an furthermost volatility in the stock markets in recent times. On one day the Bse Sensex crashes by 500 points. The juxtaposed day it rises by 500 points. What Can One Do Under Such Extreme Volatility? Doesn’t one longing to ring fence ones portfolio against volatility in the stock markets in order to protect all that hard earned money invested in the stock markets. Of what use is inlay a leaking bucket with water. All ones pursuit towards the goal of immense wealth will come to nought. Can One Adopt A Defensive Scheme In a Highly Attack Oriented or Growth Oriented market such as an equity market? The answer to this is a resounding “Yes” .This is similar to conquering enemy territory and property this territory against the enemy counter attacks. This provides a cushion or a fence around our uphill earned investments and this helps to cherish them in times of volatility. This prevents a hard landing on rocky ground. One should always invest quota of one’s portfolio in defensive sectors such as Pharmaceuticals and Fast Exciting Consumer Goods. An financing in these stocks leads to truthful less fluctuations in periods of drastic fall in the markets as is what is happening a lot in recent times. Similarly in periods of a spiking in stock market indices the rise is not extremely high. This is a trade off which one has to make. In difficult times which are the first purchases which are shelved. Isn’t it that expensive chocolate, costly perfume, purchase of a neoteric car ere laptop, or expensive furniture? It definitely isn’t the toothpaste. So Mystery Does This Happen? Solitary cannot cut down on pharmaceutical spending and basic purchases like toothpaste, soaps, cosmetics, cuisine oil and bathing powder just because there is a recession. This is a reason why these stocks are termed as defensive stocks as they hold up in hard times .Let us consider an investment in interest rate sensitive stocks such as infrastructure, automobiles or banking. If one were to notice a limited months back in rising markets these stocks hit the roof. Nowadays they languish at the bottom. Cyclical and commodity stocks such as metals and basic goods move in a direction opposite to that of the defensive sector stocks. The metal stocks in India have been severely hit in recent times and coupled with Political factors mining and metal stocks have hit rock bottom. The defensive stocks have a Beta value less than 1.0 further are classified as less risk and less return stocks. This Helps One To Easily Identify A Defensive District Stock.

Follow The Heart But Heed The Mind: So how does one maneuver the deep waters of the stock markets. One should go for a combination like both attacking and defensive sector shares. In periods of great boom in the stock markets one will notice that stocks with Beta more than 1.0 or stocks of high risk, high returns will rise rapidly. These could be automobiles, Infrastructure, Metals and Banking Stocks. These stocks are absolutely necessary for one to enrich oneself and become a Millionaire.”A Single Day Of Sorrow Jug Make Number Forget Much Years Of Joy”. It is in times like these that one remembers those defensive stocks. A healthy combination of both growth and defensive stocks is necessary for a salubrious portfolio. “We Are What We Repeatedly Do. Excellence Is Not An Act But A Habit”.

A Single Plot Of Land Is Greater Than Furlongs Of Sea:
Companies in Real Estate mainly adjust on luring customers towards the acquisition of Apartments also Villa’s. There is very lilliputian focus on the purchase of land parcels or land plots. No doubt the demand for apartments is very high in Metro’s further is seen rising in Grouping -2 cities where the focus is on Nuclear Families. However the demand for ontogenetic homes is still high et alii that land plot or site can bestow to a heavy appreciation in one’s profits. However can one take a leap without a look? No definitely not.

* One needs to witness if the seller has the right to sell the land or property. The land should be in the name of the seller and he should possess the title deed a deed which shows details like rights, ownership and mortgages on the property. The sale deed needs to be transferred to the buyer of the property which confers absolute ownership of the resources to the buyer. Always check the appellative act et al the sale deed with a good lawyer.

* Always check the encumbrance certificate which is a very important document in property transactions. This is mainly issued for the purpose about mortgaging a property and one can obtain if the property is already mortgaged .Always verify if the draft has been approved by the necessary City Development Corporation.
* A central locality defines the recognition value of a property. However affordability plays a very large role in procuring that dream plot. Doesn’t chosen know concerning the thousands of investors who gain bought plots of terrain with the hope that the next great highway, airport, Mall or some eminence Infrastructure project would acquire in the vicinity of the plot providing supporting infrastructure. Many a week no great Infrastructure comes rise in the vicinity and the plot of land’s value stagnates. Never invest in the blind wish of Infrastructure projects coming up which will boost the value of the land and property. Many Infrastructure Constructions face delays and since the plot is ordered at a very high price in prevenient of an appreciation, a failure of upcoming supporting Infrastructure can be the provincial death rattle.

* Many a time in India land plots suffer from disputes ranging from lack of clear ownership, problems related to mortgage, multiple owners, precinct demarcation issues and fights related to financial discrepancies and inheritance .Land under litigation is a common issue. Lack of digitalisation of land records in India poses great problems in India.
* Thoroughly research the dominion for any discrepancies in ownership of land which might pose a knot in future and study the past ownership of the land. Also check and see if it is possible for the version of a road to the property. Many properties are ordered in a hurry and there is limited road connectivity due to disputes leading to right of way.
* Always remember that there are no demand sops or benefits for purchasing that piece of land. Loans are available for the purchase of land plots but at higher interest rates. However if land is purchased with the purpose of construction of a house then one can haul a loan on the combined amount and that amount is available for tax deductions.

Caution Is The Eldest Child Of Wisdom:
 Invest In A Seasoned Campaigner: Why is so great money spent on purchasing great footballers or cricketers for clubs in India and Abroad. Surely it is the reputation. The boom in real estate in India has led to the sprouting about a number of players in the real estate industry. Diverse of these are unscrupulous elements who are in for a quick buck. Check the track record of the builder and opt for a seasoned campaigner. Check the flow prices regarding good developers past projects and do a thorough research online on a new developer’s project. Touch time to meet up with current customers of a project as well as local builders. A Small Money In Time Can Lead To A Saving In A Lot Of Heartburn At A Later Period.
 Finance Is The Name Of The Game: Financing of a project is another prickly issue involved in the real estate market .It is not easy to procure data related to financing like a developers project .Many developers are not so forthcoming when discussing their modes of financing equally well as their financial liabilities. Let us consider a developer owns a parcel of land and makes a pre-launch in which he advertises for the construction of a residential housing complex. Buyers flock and undergo up apartments in this complex. Even before construction commences 20% is demanded up front from the buyers. This amount lands in the kitty of the developer .The banks ascertain a great demand for the plan based on the flock of buyers signing up for that project. Banks fund the remaining 80% of the project. The loan is routed through the fence from the banks to the developer. The developer gets the whole amount even before the development starts. There is a tripartite agreement between the three parties in which the developer pays back EMIs to the bank. The loan is obtained at competitive interest rates as it is in the name of the buyer. The developer agrees to pay the full EMI (Pre-EMI mainly the simple interest component of the loan) to the banker in the name of the buyer. This amount is paid from the raise front of 20% obtained from the buyer .This can easily finance the interest component of the advance for a couple of years. The whole amount or the finance specifications to fund the design is now in the kitty or lap concerning the developer. So What Happens Now? Does The Developer Commence Construction? The developer dilly dallies as he has the full amount in his kitty. No construction comes up on this land. The loan is in the specify of the purchaser and banks harass the emptor to reward the loan. The buyer suffers doubly as he has to repay the loan for a building which is taking an infinitely longevity time to get completed and there is no collateral as there is no apartment being constructed. So What Does The Developer Do With This Money? The developer buys alias parcel of land with the funding unit and repeats the process. Why Does The Buyer Poverty To Be Vigilant? The buyer has to monitor the construction being done on a continuous basis and see that the stages from construction are done on time. If he fails to do so he is left with a huge debt which if he does not repay to the bank his CIBIL score is severely impacted.
What Is Meant Near CREST?
* Crisil Veritable Estate Star Ratings provides important information required for decision making for the buyer concerning projects in a standardised manner. The financial liabilities, essential documentation quasi well as the course record of the builder is given prime importance. This is an unbiased rating of the developer.
* The quality of the project enables a good rating for the project which enables one to frame an informed decision on the plan of the developer and in some cases uniform an opinion on the project is provided.
* It enables real time tracking of a project especially protasis the project is in alternative cities along with photographs updated on its websites.
* These ratings might present a project in a favourable light initial to a demand for these projects.
I would like to end this article with the famous phrase “I Am Not A Product Of My Circumstances. I Am A Product Of My Decisions .Remember always make the right decisions and your finances determination play the part. Getting rich is then an inevitable process. Invest In A Seasoned Campaigner:

TAGS: “I Am Not A Product Of My Circumstances. I Am A Result Like My Decisions, What Is Meant By CREST?, Carefulness Is The Eldest Child Of Wisdom, A Small Investment In Time Can Lead To A Saving In A Number Of Heartburn At A Later Period, A Single Plot Of Land Is Greater Than Furlongs Of Sea: Persist The Heart Mere Heed The Mind, A Single Day Of Sorrow Can Make One Forget Many Years Of Joy, Should One Just Buy Whichever Stocks One Wants?, What Better Time Can This Investment In Financial Cognition And Awareness Exist Made Than In Ones Youth”. The team of financial planners at IndianMoney.com are mature to help you with your financial needs, Don’t Dance On A Volcano: We Are What We Repeatedly Do. Excellence Is Neither An Simulation But A Habit”.