Subvention Scheme Benefits That You Couldn’t Afford To Miss
September 8, 2017
Now own a Sobha Home by paying just 10% of the total amount and pay zero EMI for the next three years.
Sounds too good to be true, but it is. Sobha for the first time in Delhi NCR, is offering this delightful deal under Subvention Scheme (10: 75: 15). Under this scheme you pay just 10% initially and 15% after 3 years, rest 75% is paid by the housing finance company (HFC) through a construction linked plan for which the EMIs start only after the 3 year period.
‘Subvention’ is the new buzzword in real estate these days with almost all reputed developers offering or has offered this pro-customer scheme. Under this scheme, the customer pays the initial amount to the developer, the rest is arranged through a bank, for which the customer gets an interest holiday for the time specified by the developer. During this period, the interest cost is borne by the developer. It is only when the specified period ends, does the customer starts paying EMIs. Also since the release of payment from the banks is linked to construction, the construction happens at a timely pace. By the time the customer starts paying his dues, the building is almost ready. Although, this is not an issue when you are dealing with top real estate developer like Sobha Limited.
Subvention, because of its riskless nature is the current best thing in real estate market. Here are the benefits of the Subvention Scheme analyzed:
Low initial investment
By paying only a limited percentage (say 10%) of the total amount you get an opportunity to be a part of a beneficial deal. It gives you more time to plan your cash flows and prepares you for the EMIs that you will incur after a certain period.
Benefit of Entry Price
Since the project is not developed yet, the customer gets a premium project at a lower price as compared to the price he will get once it is developed. This might translate into higher ROI with manifold appreciation. For e.g., if a property worth Rs. 1 cr. gets an appreciation of 5% within 1 year, the initial investment of Rs. 10 Lakh will appreciate by 50%, giving windfall gains to the customer.
You don’t have to defer your plans for buying your next car or going on a vacation. With no EMI burden for a limited period, one has sufficient time to enjoy life, while getting ready to afford the EMIs when the time comes.Existing investments & benefits from them may continue and one can keep building the savings till the time to pay EMI arrives.
One can be rest assured of the timely construction of the building, as the builder gets the fund from HFC only on the basis of the construction done. This ensures that you get timely delivery and start paying again only when you see the structure in front of you. Also with RERA already in force the builder cannot direct the funds to the other channels, ensuring further protection of your investment.
With all these benefits, subvention scheme is clearly one of the most promising things in real estate today. Currently Sobha Limited is offering this scheme till 30th September2017, and this might be a perfect opportunity for you to buy your perfect home.More over with Sobha’s current interest rate of just 16.65% for three years, there are huge savings on the interest cost, which ranges from Rs. 16.4 lakhs for a 2 BHK unit to Rs 31.6 Lakhs for a 3 BHK unit.