BDA site for sale in BSK 6th stage

[jackalbda]

very well said...

~JackalBDA

[manjunathbs]

ntvid - Thanks a lot for the detailed explanation. That really helps to make a wise decision.

[kiranR]

This is from our experience and we leave it to you to make your own conclusion.

1. When you want to buy your first land and you are in desparate need to have your own house
2. When you have decided that a site and house is what you need and not flat(for various reasons)
3. Being the fact that BDA sites are best bet for a new comer into realty
4. There is no standard monitoring agency for rates and it is upto seller to decide what he wants
5. With current and past trend the prices of bda land never goes down.

Given the above, there would be only a trend price you can go with. Currently the trend looks like around 1500+ in bsk 6th stage based on site direction, location, elevation, proximity to developments etc.
Say you decide that your budget is 1500 and you like a site that is quoted at 1800 after all your bargains.300*1200=3.5 lakhs approx.It does sound big, doesn't it?

Now consider, in 10 years time when the prices go beyond say 4000(common for all bda layouts), the 3.5 lakhs you invested extra doesn't even count.

The jist I'm trying to make here is, if you need a site to have your primary house, plan for a buffer price +- trend price. Don't bother about people suggesting you would have got for lesser blah blah. Go by your instincts and analysis. Tomorrow there will be few more layouts coming up for lesser price, then the same people will suggest that it is too far. Yo will end up never buying.

Consider a scenario: People have bought sites at 2100 in 4th block. My friend bought for 2100-X in the same block and he was happy. I bought for 2100-x-200 and i'm happy. Now people say i could have got it for 2100-X-1000!!! Who is right? My guess is we have all got our primary houses and we are all fine

Disclaimer: This is our experience and is with people wanting to have their primary abode. For realty experts and speculative buyers the above may not be true.

I completly agree on the above, sad but true that the prices are hiped bcos of the above facts.

[chandra]

ntivid,
I don't completely agree with your comments, though it makes sense for few people who would like to go extra mile to buy the site.

There are basically two reasons to buy a site. To build a house (usually first site) and as an investment option.
But going beyond the market price may set a bad precedent.

For ex. the reasonable value for the site is 2000/sft and you paid 2200/sft as you don't have patience to bargain or wait (only bcoz u have some extra money to spend to buy the site you wished for ), then the bench mark value ( or current market price) becomes 2200/sft, and this is how the rates keep increasing even though the real value is much more less than the market price.

May be spending extra money on your favourite site might satisfy you. but it has its own negative effects. It affects all those people who have very tight monetary status to buy their dream plot and becoz of few people ready to shell out extra money, others have to become the victims of this unavoidable price rise as well.

[ntvid]

I do understand and empathise your analysis. I have been on the otherside of the fence.

A person earlier tried to form a union of the buyers. The union would boycott any sale that is beyond market price(as per their expectations). Did it work? I don't have an update. One point I can make here is, if a owner wants to sell at a fancy rate, no one can stop him. If nobody buys today, the owner would wait for several years before he gets his rate. Either the owner blinks at some rate in between or he finds a buyer for his rate. That is what sets the trend.

So can the trend for Bsk 6th stage go beyond say 2500/ sq ft for now? According to me no. I can say that rates in BSk 6th stage would have to follow JP Nagar 8th phase. Bsk 6th stage cannot overtake JP nagar 8th phase. Bsk 6th stage cannot overtake Bsk 5th stage. So at some point of time the price stabilises. At this point you maynot find many sellers and find a lot of buyers. That is a trend you would see in JP nagar 8th phase. This is the time when the layout is getting into next stage of development.

So who ever is investing in BSk 6th stage at a "premium" rate are doing so out of fear for the stabilisation phase which would see very few sales. The people who fear this phase want their first dream house. These are not people who have a lot of money and can spend lavishly. These are very common normal people who can't risk waiting while temporarily investing in places like airport road or sarjapura.

[chandra]

Rightly said..."The FEAR" within some buyers is making the whole market a hell for genuine buyers.
Those few Price "FEARING" buyers who have bought sites in bsk 6th stage or JP nagar 8th phase are yet to construct their own house. this shows their prime purpose is to buy the site and not to construct the house. They bought these plots for the investment purpose with a permium making the scenario seller friendly and setting a bad precedent. This is really hurting the "needy" category.

How to stop this trend is the biggest question???

[Hesh_Mysore]

All the rates for everything is due to the need and supply and capacity.
Just because some(me included) cannot get to the rates the seller wants cannot make him a genuine buyer nor does the fancy rates by a seller make him a bad seller.
If I was a seller I would also expect good money for my asset. Whether I get that price or not is a different issue.

It dont think its right to say that because of some buyers the whole market is becoming a hell for genuine buyers. The so called some buyers are also genuine buyers. For that matter anyone who buys a site is a genuine buyer whether he buys it for building or for investment.

Dont we just switch jobs as and when we get a better offer just because our current employer is not ready to pay as much as the new employer. So does the company go on saying that people like that are making hell for genuine employers and so they must be not be called genuine employees? I dont think so. So its all in the market and supply versus demand.

By the way I do not have any piece of land in Bangalore, the places where I want to stay are out of reach for me and the places where I can reach is not where I want to stay.

Just my 2 paise, nothing personal.

[ntvid]

Good analysis Hesh_Mysore. Wonderful description on the terms genuine buyer and genuine seller. "I want a site in HSR at 3000 per square ft. No body sells at that rate. So will I become a genuine buyer? I want to sell my plot in Bsk 6th stage for 3000 per sqaure ft. No body is willing to give me that rate. So am i a fake seller?"

For some reason my "premium" word in above paragraph has been misunderstood even though I put it in quotes. I exactly concur with Hesh_Mysore and my paragraph is to be read in that background. "premium" has to be within quotes because it is a relative term for Banashankari 6th stage. Additionally, I know of a lot of "fearful" buyers who are planning to construct soon. So my terminology "fear" was just to describe a group who cannot afford to risk waiting and finding the rates have gone beyond their reach.

[chandra]

Genuine buyer doesn't mean that a buyer asking for a "lesser" price, but a reasonable price.
There is a difference between "hyped" price and "reasonable" price. If we go by Hesh_mysore then you need to agree upon current ONION prices also. Because people know that its an "hyped" and "artificially created " one , and they oppose it.

These same people who use " demand & supply" phenomenon, start crying when their home maid ask for salary hike!!
If the government use the same phenomenon while alloting sites next time does anybody agree? Not at all.

When a person hop the jobs for a better pay, the same person doesn't want to get fired when there is less or no work & wants his company to take care of him even during recession.

Everybody wants reasonable school fee, reasonable petrol price, reasonable rent...vegetables at reasonable price etc..etc......but no body wants to sell their land at reasonable price !!! apart from brokers, few such buyers are also helping in "alarming"price rise of the land.

[kiranR]

ntivid,
I don't completely agree with your comments, though it makes sense for few people who would like to go extra mile to buy the site.

There are basically two reasons to buy a site. To build a house (usually first site) and as an investment option.
But going beyond the market price may set a bad precedent.

For ex. the reasonable value for the site is 2000/sft and you paid 2200/sft as you don't have patience to bargain or wait (only bcoz u have some extra money to spend to buy the site you wished for ), then the bench mark value ( or current market price) becomes 2200/sft, and this is how the rates keep increasing even though the real value is much more less than the market price.

May be spending extra money on your favourite site might satisfy you. but it has its own negative effects. It affects all those people who have very tight monetary status to buy their dream plot and becoz of few people ready to shell out extra money, others have to become the victims of this unavoidable price rise as well.

@ Chandra. i am in the same frustration as u r and i m sure every lookgin to purchase their dream plot are also in the same boat. but this is the reality that if u want to buy u have to shell more ofr its unfortunately this industry is a sellers side almost 95 % of time. in the recent past only during late 2008 and 2009 was the buyers period where they could demand (thanks to global recission) hope it happens again .
but reality is same weather u agree or disagree. realty is no more a reality.