Mail from a Friend!!

When I logged into put up a post on this blog, I got a mail from my friend .........after a little thought .....decided to put it in this blog as a post.

Hi,No PVR Cinemas, No coffee day, No Barista, No S.L.V hotel, No Adigashotel, No theaters ...
(You know where to go and where not to go afterreading this mail...)
between 16-Nov-2006 and 15-Dec-2006.

Its not just a forward.

How many of you are ready to follow this?

(Below email "Save the IT People from Debts" was wonderful and we shouldgo through it and also forward to all our friends)
Real Estate price hike is known open robbery from IT guys by brokers /whoever it is and it's not only Flats / Real Estate, IT guys undergoopen robbery from all rich shop owners / a person who wanted to becomerich as fast as possible...

The salary whatever we get, it's our hard-earned money, most of thetimes sitting in the night, away from family functions, friends,etc...but all our money or most of the money are going to someone whojust takes advantage of our stressful life (both mentally andphysically) and our new western life style.

I do not find anything wrong in having a US / UK life style, but manyopen thieves (starting from Ministers to our local Restaurant owner)just swindling all our "legal money" and as we do not have any otherchoice becoming poor / debtor day by day.

Well most of the price hikes are just unbelievable and there isabsolutely no justification (few examples given below).
Chicken Biriyani - Rs. 65
Today (since last 2 weeks) same Chicken Biriyani (believe me, there isabsolutely no change) - Rs. 78,
there is no justification for such a bigincrease.

Pop Corn (PVR Complex) previously (month and half back) - Rs. 20
Today(almost the same quantity) - Rs. 30 (again, i do not find anyjustification)
Corn in Garuda Mall previously (month back) - Rs20 Small,
Rs30 Medium
and Rs40 High
Now, No "actual" small and real small has become 35 now and 45 forhigh...
[Are they the farmers who have given their blood to grow this.]
(In PVR complex, many price hikes are really too much for no reason...)
Chips packet (Gangotree) previously (three months back) - Rs. 15
Sincelast two Months the same packet costs - Rs. 20
(again, I do not find anyjustification)
Room Clean (just once) - Rs. 200, that's bcos they cleaned IT guys room.
(The moment you say that you are from Software company, the priceautomatically increases...)
We guys already pays big taxes from our salaries and goes on payingother taxes too (starting from Hotel Adiga's "Vada" to Scotch in abar), it's time to think and pledge ourselves that we stop spending justfor one month...
Reason(s) why we should stop spending alteast for a month:
1. 70% of the IT guys occupy the restaurants.
2. 80-90% of the IT guys goes to coffee shop, hang around places,bakeries, etc.
3. Most of the IT guys goes to PVR,Garuda complex for, Movies

If we stop going / spending just for a month, their businessautomatically goes down and they would have no other choice except tobring down the price, that's what happened when IT industry was downthree years back.

Somehow directly or indirectly we are responsible for this unjust pricehike and now, only we could prevent this open robberies, please add yourcomments or experiences and keep forwarding this email to all your knownpeople, I am sure even if 25% of us realizes and acts accordingly, itcould and would make lot of difference to us.

(let's try and prevent unjust price hike)

Save the IT People from Debts*

Property market in Year 2001 -2004 was quiet Ok , People were able tobuy Flats in reasonable rates .
*Year 2005 -2006 , Some of the well known builders started the ratesboom, flat which was at the cost of Rs.900 Sq Ft now became 2200 to2800

Q: Are there any additional facilities?

--> No Same Scheme/Area, Flat sold at 10 Lacks Now selling at 25 lacks.

Q: Why Property increased so High?

--> IT people competition to buy sweet home.

Q: Who is going to Benefit from this Property Boom?

--> Only Builders and some of the Politicians

Q: How is the Bank's support on Home Loans?

--> Last Year, Bank gave the loan's at flexible minimum rate,
Now Banks --> has sufficient number of customers, (Trap) Slowly Banker's increasing interst at % 0.5 every month.

IT People Who bought house for 22 Lacks for 20 Yrs, Now became 23 Yrswith raise of 0.5 %

Q. How some IT people can face the problems in Future?

--> Companies are Project Based; If Projects are not there then Peoplewill not be there.

Q. IT salaries are high in Market, How much actually IT-people gettingin Hand?

--> People, Who bought house of 22 Lacks to 40 Lacks They need to payEMI 15,000 to 35,000 for 20 Yrs. If Bank keeps same interest rates. Suppose Salary is 35- 40 K Per Month, 20K will be the EMI

Q. Is there any "Terms & Condition or Processes to increase rates"?

--> No , Depends on Buiders Greediness . Every builder follows thedifferent strategies Builder sold one flat 1500 Per Sqft in Morning and 1800 Per Sqftin the Evening , There are no records maintained.

Q. Who made builders smart & greedy?

--> Greedy IT people.No body is asking, Flat was sold at 12 Lacks, Why now 24 Lacks?

Q. Is Corporation water & MESB available to all schemes?

--> Some of the area don't have the Corporation water at all, Peoplesurviving on Water Tankers. ** MESB. Under Table, can be managed easily.

Q. What will be the condition If We are not able to Clear the Loan?-

-> Depends on individual capabilities

Q. What wiil be the actual 'area of living' or carpet area if thebuilder proposes 1000 sft?

...> The actual carpet area will be 800-850 sft only. The common area is also included in the proposal. If two flats are in the same floor, then the builder cheats boththe residents by collecting

How do Builders cheat buyers?

... Let us see with a simple example

Builder XXXX proposes a flat in a decent residential area. Rate ( Unit Price ) - Rs. 3500 sft. Registration - Rs. 40 per sft.
EB and drainage - Rs. 50,000
Covered Car park - Rs. 1,25,000
Corpus fund - Rs. 50000.

For a 1000 sft flat ( 850 sft carpet area ), the approximate cost willbe Rs.37,65,000. In the same plot area ( measuring 2 grounds) thebuilder would have constructed 8 or 10 flats.

Let us see how a builder earns his profit

Total sales for the builder - 37, 65,000 *10 = 3, 76, 50000 ( 3.76crores)
Cost of the land - Rs. 40 laks per ground
1) Total cost of the land - 80 lakhs for two ground
-------ATotal builtup area for 10 flats - 10*1000 sft = 10,000 sftConstruction cost per sft ( for normal specification) = Rs. 900 per sft

2) Total construction cost - 10,000 * 900 = Rs.90, 00,000-------------- B

3) Other expenses for the builder - Rs. 20 per sft = Rs.2, 00,000................ CTotal expenses for the builder = A+ B+C = Rs. 80, 00,000 + Rs.90,00,000 + Rs. 2, 00,00 = Rs. 1, 72, 00,000(1.72crores approx)
Total Sales = Rs. 3.76 crores - Rs. 1.72crores
Total profit of the builder = Rs. 2.04 crores.

Let us see the share of each resident
1. Cost of land = Divided share among the other 10 residents
= Rs. 80, 00,000 / 10 = Rs. 8, 00,000
2. Construction cost = Rs.900 * 1000 = Rs.9, 00,000
3. Other expenses = Rs.2, 00,000(approx)

Total = Rs.19, 00,000(Nineteen lakhs)

The total share for each resident is Rs.19, 00,000(Nineteen lakhs only)but he pays Rs.37.5laks for the flat.

Q. How we can stop Builders -Property Boom?
1) IT People should'nt think about buying flats for at least next1-2 Yrs .
2) Once rates are reasonable, with some legal process get theBooking.
3) Check Facilities, Convince, Road Approach, schools & Mainlyco-operation water
4) Ask Questions If I buy 1/2 BHK at 12 to 30Lacks, Do I getresale value in future?
5) Today you are capable for paying 1000 -3000 maintains per month?Will be the same case after 20-30yrs after retirement.
6) In All, Don't stretch more to get the more & more loans otherwise it will create unnecessary pressure and tension.
7) Read the above mentioned calculation carefully, when you areabout to buy a flat please keep this in mind.*

Send it to all you know*

Act quickly*

We can stop the inflation.

a rupee saved is a rupee earned :-)

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