The Concept of Low Cost Apartment in Nepal

Whenever, we see an advertisement in daily newspaper referring to Apartments available in 13 Lakhs to 14 Lakhs, we do not try to understand more about it. People rush to the Apartment office or the site office. I myself was very surprised, when I went to the Mero City Apartment office in Hattiban. The site was packed with visitors cars, as if a wedding reception was going on. Inside the office were around 20 Sales girls. All were busy explaining their apartment features to the customers. In fact, when I asked for the brochure, the number of brochure also had finished. The hall was packed with customers and I could see some bookings were done.

The model apartments and the computer aided 3D movie were in display. People were busy viewing it.

The price range of the Apartment was amazing. The price range of the Mero City Apartment varied from Nrs 1,500,000 for 1 BHK (386.45 sq.ft) to Nrs 4,000,000 for 3 BHK (1013 sq.ft)

Similarly Eastern Apartment by Aayusha Developers a subsidiary of Oriental Builders Pvt. Ltd in Kaushaltar also was a huge attraction for Apartment buyers.

The builders have opened the booking for only 348 of the total 448 apartments. However, they were able to sell 50% of the total booking in just first 5 days. The huge response from the customers surged the developer to call all the 448 units on booking.

Due to the huge demand, the developer requested the interested buyers to fill up an application form along with a cheque of NRs 10,000. The applicant would get the apartment on first come first serve basis.

These are the basic strategies for Developers which was already been implemented by Guna Colony for their sale of their Bhaisepati Apartment. Then, they had opened booking for the Bhaisepati Apartment price starting from 13 Lacks. There was huge respondent to the Apartments in Bhaisepati which was organized in the Real Estate Expo in Bhrikuti Mandap, Kathmandu.

Most of these apartment sizes is ranging from 386.45 sq.ft to 548 sq.ft. The apartment size of 300-500 Sq. ft is very small for a family to live in and are similar to Studio Apartments abroad. These kinds of Apartments can adjust 1/2 people in a family to live in. The Rooms are very tight and no space for adding more luxury items.

The customers must not just make their decision by viewing the 3D Modeled video. The actual room and the customers view before buying the apartment might actually just not match.

Another important factor to decide before making the booking is that the customer must check the background of the Apartment Developers. Normally, we must only trust experienced Apartment Developers. These low cost apartments that are coming up in the market have been raising huge amount of funds from the market for the Proposed Apartment/Housing. The delivery and execution of these apartments is a real challenge and we must wait and see, if they can really develop these projects and their handover to their customer. So far, the construction of any of these low cost apartments has not started yet.

Some established developers claim that the price the low cost apartments are offering is suspicious. Some claim that these low cost apartments are very expensive if one calculates the rate per sq ft. Such small apartment size is not feasible for a family to live in.

The Eastern Apartment is the least expensive with price per sq. ft of Nrs 2,890 followed by The Sun City. The most expensive is the Imperial Court. However the target market for both the apartments is completely different as Imperial Court is a Luxury Condominium.

And when we compare the different apartments, all has different facilities. Some important comparison factors of the facilities for different Apartments are as following:

1. Location of the Apartment
2. Number of Lifts
3. Size of the Balcony
4. Project Land Site Area
5. Size of the swimming pool
6. Open Area
7. Distance from the city
8. Quality of finishing goods and specification
9. Developers profile & Construction company associated

The Apartment buyers must also think in mind the extra facilities the Apartment has. Normally, these apartments will have very poor infrastructures and facilities. They might actually come up with a very small swimming pool & very less open space.

And not to forget is the fact that these low cost apartments come with hidden cost. Mero city Apartment comes with cement flooring. If you want a Parke ting or tiles on the floor, you will have to add all the internal decorative items for the Apartment.

Mero City offers the following features:

* Kitchen: Tiles, Sync

* Flooring: Cemented

* Wall: Distemper

Things you have to add by yourself

1. Mostly, the modular kitchen
2. Bathroom sanitary items
3. Electricity bulbs
4. Flooring Tiles or Parke ting

This will at least cost you Nrs 400,000 to 500,000 for the completion of the Apartment. So the Total cost for the 391 sq.ft Apartment is now Nrs 2,000,000 which actually brings the price per sq.ft for the Apartment to Nrs 5115.

Similar is the case of the Eastern Apartments. The Eastern Apartment comes with no finishing in the bathrooms. The buyers will have to finish the bathroom costs & Tiles which will also cost them minimum extra NRs 400,000 to 500,000 for their flats. This will cost the buyers of Eastern Apartment an average cost per sq ft of Nrs 3,608.

This is actually expensive than some of the other Apartments with better facilities. So the customers must be aware of the concept of the low cost apartment that is coming in the market and not be fooled by the price they are offering. One should always calculate the Rate per sq. ft.

Tips To Find The Best Apartments for Sale in Colombo

Understanding The Market For Apartments For Sale And How To Decide On The Type Of Property You Would Want To Own In Colombo

Popularity Of Apartments For Sale
With the growth of the economy in Sri Lanka, there has been an increased focus on the real estate market within the island as well. Due to the higher concentration of development occurring closer to the capital city Colombo, it has also increased the demand for property either for purchase or rent in the vicinity. But such rapid developments and increased demand has also led to a scarcity of free land available. Since the need to buy home properties has to be provided with a solution, many leading apartment builders have begun several projects to provide potential homeowners with viable solutions to choose from. This sort of developments is supported by statistics that indicate that the entire Western province covers only 6% of the country’s land areas but close to 28% of the population seek to make their homes in the area.

Since this trend has been on the rise during the past few years, now you can find many apartments for sale and also apartments for short term rent that can be chosen according to your requirements. There are also several good houses for sale available in nearby areas but due to the high prices, they are not suitable for many interested homebuyers. In terms of apartments there are broadly two categories, namely, luxury apartment projects and micro apartments available for consideration.

Types Of Apartments For Sale

Popularity of luxury apartment projects
In previous times, real estate agents and property developers focused more on offering stand-alone houses for sale. But now, with the limitations highlighted above, these developers have looked to offer those who want to buy home units the option of choosing from luxury apartments. It has been found that the demand to buy apartment that fall into the luxury category comes from the Sri Lankan community as well as foreigners. Such investments made in relation to own properties in Colombo area have also shown high increase in popularity. As per the statistics gathered up until 2015, there have been close to over 2600 luxury apartment units and it is further estimated that this number could reach close to 6000 units by 2019. Such luxury units are also found to be available for those who wish to rent an apartment, giving rise to more and more apartments for short term rent being offered.

Potential for micro apartments in Sri Lanka
Another alternative to houses for sale is the availability of real estate in the form of micro apartments. Many apartment builders have also invested in such projects that have been in high demand among those who want to buy apartment space in Colombo. The target market for this type of property has actually found appeal among the affluent customers who might even want a luxury apartment as well as middle-income individuals who want to invest in such a home for them. Similar to the above category, this type of housing solutions are also available as apartments for short term rent for those who are unable to buy home units by making an outright purchase and therefore look to rent an apartment instead. This opens up the possibility for more home seekers to get closer to their dream of owning a home in a prime city location.

Choosing Between Apartments And Houses For Sale
When you consider purchasing such properties you should be prepared for making the investment. The main decision you would need to make would be in relation to whether you actually want to buy apartment space or you still would like to look out to buy home in the form of a separate house. As a primary consideration when you invest in real estate you would need to decide on the space or size of home. Normally houses in Sri Lanka tend to cover about 2700 sq ft while an apartment would generally fall in the range of 1000 to 1500 sq ft. In addition apartments tend to offer additional services such as security, cleaning, waste disposal and other recreational facilities that are normally not available with separate housing units. But on the other hand, you might want to consider the following that are normally not available with apartments.

  • When you buy apartments you will get a limited parking slot allocation
  • Modifications are not possible
  • Most apartment complexes have restrictions on owning pets
  • Your possibility of engaging in gardening activities is very minimal

Considering When To Rent An Apartment
Due to the various requirements of homeowners there are several other options made available in terms of being able to rent an apartment. Many individuals who would be looking at living in small living spaces for short periods of time can consider finding apartments for short term rent. Since there is a high portion of the population that need to find accommodation to travel to work and for other arrangements in the city limits, this has become more of a financially viable option many prefer. Depending on the requirement you could even arrange to extend the rental period once agreed with the renter. This is also a great way to check whether you can adjust to an apartment style living. If the lifestyle appeals to you, with time, you could also consider owning an apartment of your own.

To cater to much of the demand to wanting to buy apartment properties, there have been several investors and developers who have taken interest in developing projects which are in demand for this market. Among these companies there are several reputed apartment builders operating in the island that have produced several leading apartment projects and have several others lined up as future projects.

How to Find the Perfect Buenos Aires Rental Apartment – And What to Avoid

Luckily, Buenos Aires is a city full of temporary rental apartments. This is great for the tourist because you can rent an apartment for a week for the price of one night at a hotel. Also, apartments have full kitchens so you can save money by cooking your own meals. In addition, the apartments are much larger than hotel rooms, and you have more privacy then staying in a hotel.

However, finding that perfect tourist apartment in Buenos Aires can be challenging. At first you might be saying to yourself, well as long as it had a bed and it is clean what do I care? While that may be true for some people, if you are planning on staying in Buenos Aires for more than a few days you will want to avoid some of the mistakes I have made in the past when renting an apartment there.

After renting several apartment in Buenos Aires I now know what to look for and what to avoid. Below are some tips that will help you find that ideal apartment and make your stay in Buenos Aires more enjoyable.

Neighborhood – Make sure to ask exactly where the apartment is located. This might sound strange but many people renting out their apartments market their apartments as being in the desirable neighborhoods of Recoleta and Palmero when they actually are not. In fact at first glance you might think that those are only the two neighborhoods in Buenos Aires! But this is just real estate agents and apartment brokers tricky efforts to falsely expand the borders of the most desired neighborhoods in Buenos Aires. Recoleta and Barrio Norte (these two neighborhoods are usually used to denote the same area, with Barrio Norte being closer to subway stops) is the best place to stay while in Buenos Aires.

Palermo is also nice with cool new restaurants and hip bars, but for me the barrio still has a way to go before it is as nice and established as Recoleta/Barrio Norte. There is too much graffiti and dog crap (watch your step while walking on Palermo sidewalks!) for me to suggest staying there over Recoleta. While some parts of Palermo can be quite charming it is just too big of a neighborhood to recommend it as a whole. Unless you know the specific location in Palermo is what you are looking for, it is best just to stick to Recoleta.

Noise – I read once that Buenos Aires is the noisiest city in the world. After a night trying to sleep in an apartment on the street side of a busy avenue you will agree. Loud buses and scooters with no mufflers will keep you up at night or annoy you during the day if you aren’t careful about your apartment choice. The most important factor is make sure the apartment is not located on the street side of a building. For more quiet you want an apartment in the back side of the building or “contrafrente” as it is sometimes listed in spanish. Secondly, it is preferable to be on a low traffic street. But, I have stayed in apartments on a busy street before but the building was so large and the apartment was so far in the back it was actually very quiet. Finally the higher up the apartment the better, so look for an apartment on a high floor. However, I stayed in an apartment once that was on the 11th floor but it was still very noisy because it was on the street side. Therefore, the most important factor in having a quiet stay in Buenos Aires is look for an apartment on the back side of the building.

Rooms – In Argentina a one bedroom apartment is called a two room apartment. So don’t be shocked when you arrive and the “two room” apartment you rented is not a two bedroom, but an apartment with a living room and a bedroom. Likewise a studio apartment is called a “one room” apartment or “monoambiente” in spanish. Just make sure you are getting the right number of rooms you want when you rent, or ask for a floor plan before you decide to put down that deposit.

Bed(s) – The eyes can be deceiving is what I learned when I rented what I thought was a perfect apartment. I even went to see the apartment before I decided to rent it. But I was fooled by the queen sized comforter covering up two single beds pushed together. Now some people might prefer this if you are two people traveling together and you want your own tiny bed, however there were queen sheets on the bed so you would have to ask for two sets of single sheets and more blankets to have two beds anyway (which in Argentina may or may not happen). So make sure your check under the covers or ask what the bed arrangement is before you book the apartment because waking up in the crack produced when the two beds push apart in the night is not a fun experience.

Refrigerator – Many Buenos Aires apartments are small and sometimes the kitchen only has space for a small “dorm-style” refrigerator with a “freezer” the size of a text book that takes three days to make ice. This might not be a big deal to some, but I prefer to have a full sized fridge to make ice for drinks, and for longer stays to keep frozen food frozen.

Internet – Many apartments in Buenos Aires offer “high speed” Internet. But what that means to some people may be different to you. I rented an apartment once that claimed to have high speed internet and when I arrived it was slower than dial up. The owner was in Spain and wouldn’t increase the speed so I had to spend many afternoons at Internet cafes just to check email. Be sure to ask what the speed of the Internet is and if you don’t know what is fast and what isn’t usually a connection of 512 Kbps will be fine if you are just checking email occasionally, but if you are planning on downloading files and working online while you are in Argentina, then I would recommend at least a 1.0 Mbps connection or faster.

English – If you don’t speak Spanish, be sure to ask if the representative that will be meeting you at the apartment speaks English. Usually this isn’t a problem, but I have had instances where I had to conduct business in Spanish and while it went OK, if you don’t speak Spanish it might not go as smoothly for you.