2.1 Real Estate Market
2.1.1 Basic terminology
Absolute title: 1. the right ownership of a mortgage deed, which gives the right, in certain specific circumstances, to demand repayment in full, of the outstanding debt than the due date.
2. A clause in a deed or contract which provides for an early termination of an exciting interest in land, in certain specific circumstances, thereby advancing the future interest.
Alternative-for lease/sale: a contract to enter into lease (or sale), which in order to be enforceable either must be evidenced in writing and signed by the person against whom the action is taken for breach of the alleged contract and there must be a sufficient act of part performance.
Assignment: the transfer of a property interest, especially a lease, from one party to another.
Building bye-laws: Local authority control of building standards promulgated to regulate and control the usage of property and areas in cities and town.
Broker: a person or company who acts as a medium of bringing together two parties in a transaction.
Developer: An entrepreneur who has an interest in a property, initiates its development and ensures, that this is carried out (for occupation, investment or dealing) and from the outset accepts the responsibility for providing or procures the requisite funds needed to finance the whole project.
Development control: The power of a local authority to control the development and the use of land, which includes the refusal or grant (with or without conditions) of planning permission.
Discounted cash flow analysis: It is a technique used in investment and development appraisal whereby future inflows and outflows of cash associated with a particular project are expressed in present-da...
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...S$1 billion from private equity funds in the year to March 2012. In a market as large as India, that is still far from impressive, but incoming capital is expected to rise in the following year. If it does, it will represent a significant turnaround for a market that foreign private equity investors have largely shunned since the onset of the global financial crisis. Risks associated with Indian real estate investment are considerable, however. As one interviewee puts it, “It’s like China, but more complex in every possible way, without the infrastructure.” Bureaucracy, ubiquitous delays, land acquisition scandals, and an ongoing national protest movement targeting corruption have all contributed to waning foreign interest in Indian markets, with foreign direct investment and portfolio investment dropping markedly despite economic growth of about 8 percent in 2011.
A freehold covenant is a promise or an obligation made by a land owner to another regarding the use of the land. It is a type of contract within the doctrine of privity and usually the rights and obligations it creates normally bind those that are contracted to it and no one else. A covenant is usually made by deed. A “restrictive covenant” to which the doctrine of (Tulk v Moxhay)1 applies does not need to be created by a deed; it can include “a mere agreement and no covenant”. They are used to preserve some rights of enjoyment or to keep a building or a particular group of buildings to be preserved and kept in a particular way, for example, no erected satellite dishes or fences around the front of the building.
The importance of social context in Land Law and the reforms which have occurred as a result cannot be ignored or their significance understated. In particular is the impact of the shift in the twentieth century to ‘emergence of a property owning, particularly a real-property-mortgaged-to-a-building-society-owning-democracy’. Such growth could hardly have been anticipated when the LPA 1925 was drafted and subsequently became statute. As a consequence of this growth the doctrine of the resulting trust and to a greater extent, the constructive trust became a robust mechanism by which non legal owners could establish beneficial interests in the home. Swadling comments on the ‘complete change in attitude’ between the emphasis on security of ownership of the home in Boland and the free marketability of land which we see in Flegg. He states ‘one wonders what has happened to the demands of social justice which justified their Lordships decision in 1980 (in Boland) over such a brief passage of time’. Did the House of Lords fail to resolve the very practical issue with which they were presented that had evolved over the passage of social change since the drafting of the 1925 legislation?
In the essay “The Mansion: A Subprime Parable,” Michael Lewis unfolds the real face of the American dream. He talks about his own personal experience in his look out for a house and his struggle with the house he rented. Most Americans have bought houses they cannot afford. Banks offered loans, they have lent mortgages that many don't have enough financial resources to pay them back. Agents have falsely guaranteed that real estate prices will be in constant rise, they promised them that there will be no declination in prices.
in which property is owned by the state or group, to be shared in common
“The housing market will get worse before it gets better” –James Wilson. The collapse of the United States housing market in in 2008 was one of the most devastating moments for the world economy. The United Sates being arguably the most important and powerful nation in the world really brought everyone down with this event. Canada was very lucky, thanks to good planning and proper preventatives to avoid what happened to the United States. There were many precursor events that occurred that showed a distinct path that led to the collapse of the housing market. People were buying house way out of their range because of low interest rates, the banks seemingly easily giving out massive loans and banks betting against the housing market. There were
Have you ever noticed that while you’re driving around Austin that the homeless have become a common casualty to exhibit. I know the first thing that comes to mind is, “How ridiculous, why don’t they just get a job!”It perfectly acceptable to wonder, whether your money would go towards feeding a starving stomach or a drug addiction, therefore your generosity would be put to better use through a charity foundation or simply by offering a meal. The reality is that the majority of people who are homeless are unable to work due to certain disabilities. In other words, the best response is compassion. There is only so far we can do as a community, the major change has to come from a superior source, which is why I propose that the City of Austin ought to step up and diminish this problem. The City of Austin should build more affordable housing and assistance programs because it will help reduce homelessness.
Discounted cash flow is a valuation technique that discounts projected cash inflows and outflows to evaluate the potential value of an investment. There are three discounted cash flow methods: Net Present Value (NPV), Profitability Index (PI) and Internal Rate of Return (IRR). The net present value discounts all cash inflows and outflows at a minimum rate of return, which is usually the cost of capital. The profitability index refers to the ratio of the present value of cash inflow to the present value of cash outflows. The internal rate of return refers to the interest rate that discounts cash inflow projections to the present to ensure that the present value of cash inflows is equivalent to the present value of cash outflows (Brown, 1992).
value of that property to be much lower. Since the property was a dilapidated building in a bad
Gentrification is a term that has come to be associated with today’s modern culture. Gentrification is the process whereby wealthier people settle into a struggling neighborhood to evict existing residents. Justin Gomer states in their article that “[t]he most common feature of gentrification is the rise of property prices as well as house rents, thus pushing out poor residents who are unable to cope with the high prices” (Gomer, 2017). Therefore, gentrification is a term that is synonymous with the displacement of the poor communities that have inhabited an area over time, sometimes over several generations, due to arrival of richer new residents. The act of gentrification causes the displacement of lower income
Economic Theory and Housing Market The core of economic theory is based on supply and demand. Demand is what consumers are willing to buy at any given price. Supply is what suppliers are willing to sell at a given price. We can then relate this to the housing market.
This allows the property owners to increase the rent legally to any amount they
This is an expression of willingness to contract made with the intention (actual or apparent) that it shall become binding on the offeror as soon as the person to whom it is addressed accepts it.
Land is a valuable asset, always in demand and it promises good price appreciation. These are the factors that attribute to an upward trend of people investing in land in India. Mr. Dinesh Babu K, Marketing Manager of ABI Estates states that land is an asset that only appreciates with time and does not have instability of gold. One can find 1000% appreciation in land, irrespective of the location, making it a top investment choice. Nowadays, buying a plot has become a trend as people have a better investment capacity as well as information.
A stock broker is an agent that charges a fee or commission for executing buy and sells orders submitted by an investor. Stock brokers can either independent or part of a brokerage. If you are a stock broker you will be trading stocks that your clients have purchased or you purchased for them. A broker is a job where you are trusted with others funds to make more funds by either selling or buying. To be a stock broker you will need to be a great problems ...
...m real estate left over after they've built tower blocks, to build lucrative shopping malls and office blocks for the middle classes”. This way, the poor can get home and the companies can make money and everyone wins at the end. When he applied the idea, he found opposition. The problem was that India will lose its slum aspects which is very important in bollywood. Second, they slums’ residents found it difficult to do handy works on a high small flat and it will be difficult to sell their work. Third, when thet start the project it will be illegal for the residents to sell their free flats. After that people were convinced that the benefits of such project over weighed those trivial oppositions. In a nut shell, investment can do magic to those people. We can make out huge projects here in Egypt using these areas where the slums are and everybody wins at the end.