Investing on Pre launch project

Q: Is it wise to invest on a pre launch properties?

Daksh, Bangalore

25th March 2014

Investment Advice in Bangalore

bangalore real estate

pre launch project

pre launch projects in bangalore

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Replies (5)

How soft launches or pre launch projects benefit the developers?

Daksh, Bangalore

25th March 2014

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As per developers, soft launch is an easy medium bring to pass huge cash flow. Typically, it starts off with bookings from local to old property agents. The discount given by developers is for a short period and limited bookings. Such discounts aid the realtors to gauge the market feedback, before the particular project is formally launched.

Abhijit More, Bangalore

25th March 2014

In addition to the builder, soft launches also bring cheer to the investors and brokers face. With the help of pre-launches, brokers offer apartments to the at easy rates. When the project is formally launched, the investors sell them at a premium rate, hence bagging in good profit in a small span. Builders prefer pre-booking as the ultimate mode of raising funds, since they cost less than the bank loans. However, in the absence of a single-window clearance system, it can take up to 18 months before the construction actually hits off.

Harsha Mahipal , Bangalore

25th March 2014

What are the pros and cons in investing in pre-launch properties in India?

Daksh, Bangalore

25th March 2014

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Hey Daksh, You can click on this link to check the advantages and disadvantages in investing on pre launch projects: What are the Pros and Cons in investing in pre-launch properties in India?

James, Bangalore

25th March 2014

Buying property during the pre-launch phase involves lots of risks such as 1) The project might not have all the necessary approvals from the civic authorities and government departments. 2) It can cause a delay in project completion and 3) In extreme cases there is a possibility of the project getting cancelled if the developer is not able to raise sufficient funds.

Sashmita Nair, Bangalore

3rd December 2015

Pre-booking equips the investors with the golden opportunity to avail of discounts. Before laying the hands on basic approvals, developers initiate marketing and promoting the projects to buyers and brokers at a discounted rate. Such a process is commonly worded as A soft launch in industry parlance. The key purpose of such a move is to rope in bulk investors and agencies which books more than five flats in residential real estate projects.

Abhijit More, Bangalore

25th March 2014

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Investing in pre launch properties often leads the investor in a pit of problems such as rise in construction cost and delay in completion. As per industry experts, pre-launch booking is a lucrative and easy way out for the developers to raise cheaper funds.

James, Bangalore

25th March 2014

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Buying a property in India, before it is launched is tempting enough, however, it involves a series of risks. Given the rising number of obstacles and inordinate delay in procuring building clearances, 8 out of 10 developers sift out pre-bookings, before all the require approvals are in hand.

Harsha Mahipal , Bangalore

25th March 2014

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