Tips To Do Economical Real Estate Investment

whenever you go for real estate investment, one way of reducing costs while building a house is by sticking to simple structural elements using good quality materials. It will not only reduce construction costs, your house will be easier to maintain.
In Real Estate Investment to keep structural design sound, simple and economical, consider the following:

• No Split levels. Ensure that all the rooms in the house are built  on the same level; avoid sunken lounge spaces and split levels.
• Staircases. Spiral staircases cost more than standard ones and take longer to build.
• Windows. Standard windows sizes (measuring three by four feet) are functional and affordable. Larger windows require more material, (e.g. additional cost of grills and frames)/ Similarly, odd shaped windows (e.g. arched or round) are more expensive.
• Ceilings. Double-height and false ceilings, as well as pitched and sloping roofs are more expensive in terms of designing, material and specialized labor.
• Bathrooms and Kitchens. Position bathrooms and kitchens against exterior walls; they will require exhaust ducts and pipes. In double-story houses, make sure that bathrooms and/or kitchens on both floors are above each other; this will reduce plumbing costs in real estate investment.
• Flooring. Keep flooring material consistent throughout the house; this will allow you to buy material in bulk at reduced rates. Porcelain tiles are a good option and easy to maintain.
• Paint. Using the same color will allow you to buy paint in bulk at a discount. Choose standard colors; they are cheaper than custom-made colors, and make repainting the house less tedious, as they are readily available. Invest in a good brand that is long lasting. Do consider textured wall paint as an option; although it is more expensive for real estate investment but it lasts longer.
• Exteriors. Cladding exterior walls with bricks and using weather resistant or textured paint are highly recommended, because although they are more expensive than regular paint, they are virtually maintenance free and long lasting.

Real Estate Investment in Malaysia

A progressive and secure country with modern infrastructure and an attractive business environment, Malaysia is a popular destination for real estate investment and has gained traction over the years among Pakistanis.
Property investment in Malaysia as a foreigner is fairly simple. You must be above the age of 21 and the property you purchase must be valued at RM 500,000 ($ 160,000) or above. However, sale of bumiputra or native properties in certain areas is restricted for foreigners.
Real estate investment can be made either by going to Malaysia, or through real estate agents specializing in overseas property. There is no restriction regarding the number of properties one can buy.
The capital city Kuala Lumpur and the scenic island of penang are popular locations for foreign investors. Freehold condominiums in both these cities have a potential return on investment of eight percent per annum; foreign investors can also purchase vacant plots there.
Foreign investors can secure a property loan from banks in Malaysia. Local banks can extend loans of up to 90% of the property price. The transaction takes between six months and a year to be processed and usually requires a two percent payment on booking followed by another eight percent when the sale agreement is signed. Properties bought by foreigners also require the land office's consent; this process usually takes about three months.
If a property is sold within two years of purchase, a 10% tax is levied on the profits gained; a five percent tax on profits gained is imposed on properties sold two to five years after their purchase. Residential property sold after five years is not taxed for profits gained. Without any doubt Malaysia is one of the best places for the real estate investment in the World.

Taj Mahal: An Example of Real Estate Investment

The Taj Mahal in Agra, also known as "The Jewel of Muslim Art in India", is one of the Seven Wonders of the World. It was built by Shah Jehan, the Mughal Emperor, in memory of his late wife, Mumtaz Mahal. It was no doubt a best real estate investment ever.
Construction began in 1631; masons, stone cutters, in layers, carvers, painters, calligraphers, dome builders and other craftsmen from the Indian Empire, Central Asia and Iran worked together under the supervision of architects Abd-ul-Karim Ma'amur Khan, Makramat Khan and Ustad Ahmed Lahquvi (the principal designer). The entire complex, which comprises the Taj Mahal and several gardens, took 22 years to build at a cost of approximately Rs 32 million at that time.
Shortly after its completion, Shah Jehan was deposed by his son Aurangzeb and was eventually buried in the Taj Mahal next to his beloved wife.
Although the Taj Mahal was built in the style of Mughal and Persian architecture, the use of the breathtaking pure white marble, embellished in certain places with nearly 28 precious and semi-precious stones (including carnelians, lapis lazuli, sapphires and turquoises), was extraordinary and a novel idea at the time.
What also made the Taj Mahal unique was the fact that prior to its construction, most Mughal and Persian buildings, such as Jahangir's tomb, were surrounded by four lawns In a way, the gardens become a procession which culminated in the Taj Mahal.
The Taj Mahal's architectural style was then used in other Mughal structures and remains a very strong architecture, the cost and sheer size make it very difficult to do so. However, we do see gesture in our mosques, particularly those in the Middle East, where the Taj Mahal's architectural style is clearly visible.
Ultimately, the Taj Mahal is an edifice of one man's love for the woman he loved. Never again in history have we seen such a monument built for love.

Get Hotel Retail Space: Business Retail Space For Lease

Business retail space in hotel complexes are a popular choice for brands due to their location and ambiance. In addition, they enjoy the benefit of a customer base made up of high net worth hotel guests, which include foreigner dignitaries, delegates and tourists and even celebrities.
In Pakistan, until a decade ago such retail spaces for lease were coveted by the most exclusive brands, but today due to the security situation, hotel occupancy rates (and thus customers) have declined, while together security measures have discouraged local visitors. However, despite the lower turnover, these spaces remain popular and most leading hotels in Pakistan maintain an occupancy rate that exceeds 70%. Tenants also find it a hassle-free arrangement because maintenance issues are usually the hotel management's responsibility.
Here is a detailed look:

• Hotel complexes have a limited number of shops, ranging between five and 30; they are usually not open for sale and can be rented.
• Shop sizes vary between 75 and 250 square feet.
• Larger hotels have dedicated shopping arcades within the complex, thus the size of these shops can be customized according to the tenant's requirements.
• Rental contracts are usually valid for a period ranging between one and three years.
• Average monthly rental rates range between 100 and 250 per square feet. A six-month advance and a security deposit are required in most cases.
• Most rental contracts include maintenance and security as part of the package, at no extra cost, while electricity bills are the tenant's responsibility.
• Apart from top-end brands, other businesses located within hotels include handicraft and souvenir stores, fine carpet and rug merchants, florists, patisseries, bookshops, Jewelery, designers, beauty saloons, pharmacies and general stores.

International Real Estate: Escapes from the Mayan Prediction

Until recently, the Mayan Calendar's dire prediction that the world would end in December 2012 had affected only the paranoid and the easily spooked. However, the international real estate industry has crashed in on this hype and is taking the term "safe investment" to a new level altogether.

A number of international real estate developers are constructing hideouts aimed at investors who would like to attempt to ride out the impending global destruction. These "survival condos" are designed to be self-sustaining and completely cut off from the outside world. Similar to the hideouts from famous fiction such as War of the Worlds, these high-end condominiums are almost always subterranean and are becoming increasingly luxurious.
Here are few options to consider for international real estate, if you believe in the Mayan predictions and want to beat the end of the world:

• Survival Condos, Kansas, USA: An old Atlas "F" nuclear missile silo is upgraded with luxurious fittings and fixtures, such as granite counter-tops and expensive flooring. These condos cover half a floor of the silo and come complete with a home theater and five years worth of food reserves -  for a cool two million dollars. A key feature are the virtual windows, which give international real estate homeowners the option of customizing the view; for example, an underwater scene.
• 20th Century Castles, Ohio, USA: A decommissioned missile site is subjected to an extreme makeover and transformed into a secure luxury residence. Every apartment is accessed via an elevator and has a personal gym, swimming pool and Jacuzzi. The blast proof doors are L-shaped hallways will help keep Armageddon out at a mere cost of only $ 1.5 million.
• Private Fallout Shelter, Devon, UK: Touted as Britain's strongest privately owned bomb shelter, this complex with its 32-inch thick, steel reinforced walls, will withstand a one megaton nuclear blast. For pound 350,000 you get six bunk beds, a Swiss-made ventilation system, plywood lined walls, a diesel generator, and for entertainment, a few board games.

Footnote: Ironically, the mythical Mayan city if Xibalba, or "City of Fear" also lay underground.

What five to ten million rupees will get you in Hyderabad:Real Estate Investing

The second largest city of Sindh, Hyderabad stands at a significant geographical, economic and cultural junction. It is no doubt a best place for investment in Pakistan. A developed urban center in its own right, Hyderabad has several universities, the institute of Sindhology and Asia's longest bazaar, the Shahi Bazaar, and a real estate market experiencing renewed activity.

Here is a look at residential areas in Hyderabad priced between five and 10 million rupees, which are attracting investment in Pakistan:
1. Cantonment is located in proximity to some of Hyderabad's well-known residential areas such as Latifabad and Qasimabad, and is a few minutes away from Hyderabad Railway Station. Easily accessible from Hyderabad's major arteries, this well-maintained residential district is undoubtedly Hyderabad's most upscale; there are several recreational facilities in the vicinity as well as shopping options. The famous Bombay Bakery is also located there.
Plot Size (sq yds)          Purchase Price range (Rs)
250                                  9.8-10 million
325                                  9.9-10 million

2. Latifabad is one of the Hyderabad's largest residential areas. It is a well planned suburb divided into 12 units. Each unit includes a hospital, educational institutes and commercial area. Latifabad Units 7 and 8 are famous for Anarkali Bazaar and Siddiqui Centre, a popular shopping plaza. An upscale residential area, it is considered to be one of the best in the city, and it is a best opportunity for investment in Pakistan.
Plot Size (sq yds)          Purchase Price (Rs)
150                                 5-6.5 million
200                                 6-6.7 million
250                                 7.5-7.9 million
300                                 7.7-8.2 million

3. Qasimabad is located adjacent to Cantonment and Government Officers Residences (GOR), and is easily accessible via the NS Motorway, Thandi Sarak and Wadhu Wah. It is a middle-class residential area and comprises several prominent societies inculding Anwar Villas, CItizen COlony, Faraz Villas, Gulistan-e-Sajjad, Nasim Nagar and Waqar Town. Qaismabad has several reputable educational institutes, hospitals and recreational avenues.

Plot Size (sq yds)           Purchase Price Range (Rs)
125                                 5-5.5 million
225                                 6-6.7 million
300                                 6.8-7.6 million
400                                 7-8.5 million

Here lies best opportunity for any investor to investment in Pakistan.

What is Property Insurance: Limitations & Benefits of Property Insurance: Mortgage Property Insurance

Whether your property is residential or commercial it should be property mortgage insured to provide financial protection against damages. Insurance companies charge an annual premium after evaluating the building's value and risk exposure by conducting a pre-insurance survey.
There are two main types of mortgage property insurance available:

1.Buildings and fittings (including electrical, plumbing, glass and wooden fittings).
This usually covers the damages/losses to the property caused by:

• Fires or explosions.
• Natural disasters (earthquakes and atmospheric disturbances such as storms, flooding and lightning strikes, etc)
• Plumbing or electrical problems (burst water pipes, short circuits, etc)
• Property damage (due to malicious acts, riots, strikes, car/aircraft crashes etc) 

Limitations: Properties are not insurable against damages/losses due to illegal possession. Additionally, some insurance companies provide conditional or no coverage for buildings located in earthquake zones and/or storm-susceptible areas.
Annual Insurance Premium (fee charged by the company) is usually 0.18-1% of the building's estimated value.
2. Building and fittings plus contents: Along with the structure and fittings, this also covers specified contents within the building including crockery, cutlery, furniture and fixtures, as well as valuables such as jewelery, paintings, antiques, electronics and home/office appliance etc. The home/office owner is required to provide the insurance company with a list of all the building's contents and their estimated value, based on which the insurance company proposes a premium.
Limitations: Electronic items such as laptops, cell phones and gadgets etc. can be insured, but damage/loss occurring to them outside the premises is not covered. Jewelery and cash must be specifically declared along with their value. In some cases, instead of inuring of property mortgage insurance the full value of expensive jewelery, the insurance company may decide to insure only a percentage of the stated value.
Annual Insurance Premium is 1-2% of the total value of building fittings and contents.