All most all private banks when they reached the target to get assured interest return they behaved in different way.For them govt.also helped by announcing high inflation blah.blah.etc and who bothered about calculating the inflation.The govt & RBI are favoring banks to increase the interest rate by announing unrelistic inflation rate.My advise would be if you have a house to stay dont go for homeloan right now for investment purpose because the real estate prices are already reached to mount everest level which will never come down.
I observe many buildings in Bangalore, of which, 50% were not even sold out, but the builders were not ready to reduce or negotiate the price. They have huge supply of black money of politicians and other corrupt govt official. Government can easily track them and book them. The recent incidence of ACP Rajbeer assassination brought the fact under light. But govt does not take action, because all the builders are supported by congress leaders.
RE:All are congress Agent
by Sun on Apr 07, 2008 10:04 AM Permalink
Yes even I noticed so many high rise buildings empty for a long time. I was also wondering if the builder can make his money if they lie vacant for such a long time
When ever there is s rise in the home loan interest, ICICI, the so called ' premier lending bank in India' are first to rise to the occassion to raise the interest rate. When the rate is lowered, they ar the last one to lower the rate.
ICICI asks for hordes of documents which is not returned, if the loan sanction is delayed or withheld.
Then there is another killing at the end. If a lumpsum amount is paid in between to escape from this 'Loan Shark', there is a penalty which is more then the EMI. Instead of appreciating the loan taker for releasing the Bank from all these rigmoroles, the loan taker is penalised.
They are of the habit of visiting the locality 2-3 times to find out the current running rate, even though any neighbour has taken loan a fortnight ago. The bargaining for more than what is alloted, leads to calling of the loan sanctioning.
RE:ICICI -SAY NO TO THEM
by Madan Kumar on Apr 07, 2008 10:49 AM Permalink
M Thomas - Yes You are right. Because of corrupt practice only icici bank could made tremendous profits. but one day it will collapse like Harshad Mehta.
Property Prices are hiked too much.... People asking Rs 1 crore and above for two BHK flats in average areas of Mumbai... Kab tak chalenga yeh... Bank has to take such measure and its not one but all.... its instruction from RBI.... as such hike increased bad loans and then bring recessions....like we see in US
RE:Real Esate are unnecessarily at high
by kumar saha on Apr 07, 2008 09:40 AM Permalink
Ask MNS to arrange agitation against all NON-Marathi living in Bombay, U will see sharp drop in property price. Even business houses will also shut their office .... So, the only hope is MNS.
In my opinion govt is totaly responsible for rise in housing cost.they are taking it from farmers at very less price . and insted of giving land to housing co-operatives they are selling it to big land devlopers and then they sell it to public at very high cost .and govt fails to check prices of cement and steel which are now doubled every two year.govt is working like profit making company they have forget their motive .
RE:EXPENSIVE HOUSES
by rajesh chauhan on Apr 07, 2008 09:54 AM Permalink
Do you understand anything about the economy. Before you say anything do your home work properly and then say government is responsible. Do you think government has any control over the RBI.
RE:EXPENSIVE HOUSES
by Mallikarjuna Rao on Apr 07, 2008 07:39 PM Permalink
You are totally naive, may be just a new grad who has bookish knowledge only, try come in real life.
Banks use various methods to pinch the borrowers without their knowledge; they issue fixed rate and flexible rate loans. But fixed rate loans also be made 'flexible' by an increase in the repayment period.
Already, home loans are provided on the basis of guideline value of the local administration. If it is so, what Mr.Rajeev Sabharwal is trying to say. But surely, restricting money flow to the housing sector will help bring in a matured real estate market in the country, which is just going beyond the definition of a fair market. For people like me, who expect a valcano to burst out of the real estate -> mafia -> politician (and of course the hand-in-glove bureaucracy)in the form of a huge scam this is really a solace.
Yes, I would also fully agree with comments passed .Never Ever take a ICICI Bank home loan.They are first to write when there is a Interest Rate hike and when there is a downward revision they say they will get back at the appropriate time which never comes !!
