Greenery all over, nature, country side smell of earth and a lucrative promise by second home developer to give exponential increase in capital value i.e. increase in value of a second home or a piece of plot whether NA or not without any reasonable aspects may you have purchased the stock and the promises. But biggest headache is maintenance.
In a open for theft region, that is country side village or farms or second home, security is biggest concern. Developers pay heavy security bill during the development. The onus is on you when you have security in your hand. A 24 hours security will cost you some where around Rs.12000 to Rs.15000 per month. A Gardener (Khedu) will cost you some where round Rs.3000 to Rs.5000 per month. and a home maid to clean and cook some Bhajias and tea will cost you Rs.6000 to Rs.8000 per month. This is when your property belongs to some society and scheme of plots or second homes aggregations. In all you need to pay approximately Rs.5000 per month for groceries and common maintenance. Plus visiting the property atleast twice is needed so that encroachment do not keep and eye on your property requires Rs.3000 to Rs.4000 petrol and car services. In all you need Rs.40,000/- per month to up keep your second home besides your time and energy to up keep the home.
Mahindra Holidays week can be purchased for a lakh of rupees or more but the maintenance bill of Rs.15000 to Rs.25000 comes every year to maintain your one week holiday home of time share.
Lets come to Corporation limits. Capital value system is now in place and Mumbai Municipal Corporation have given example to Pune, Nashik, Aurangabad, Nanded, Kolhapur and other corporations in Maharashtra to go for such goldmine scheme to loot the citizens on basis of Stamp Duty Ready Recknor rates, which do not have basis for calculations.
In Kandivali, Kight Frank was charging Rs.4 per sqft. per month in 2004 as a facility manager to up keep building complex of Evershine Nagar. Which did not included the property tax. In 2013, many high profiled buildings in South Mumbai and extension of South Mumbai are charging Rs.25 per sq.ft. per month as maintenance and property taxes. In Western suburbs, the charges are varying from Rs.3 to Rs.15 per sq.ft. month without property taxes.
Many home loan borrowers have shifted their residence to Mira Road, names includes CEOs, MDs and Directors of MNC and MNC advisories, for want of whoopingly high cost of maintenance in new buildings. Old buildings are still enjoying somewhat relief from BMC but new construction cannot escape the verse of highest maintenance cost in the world, well almost.
In the name of maintenance, the recurring cost of keeping the properties is a difficult task. A sharp fall in investor’s acquisition is likely in next few coming months.