Lease hold vs Freehold properties

When we talk about investment of our savings there are many options open to us. We have as options, equities, Mutual funds, Debentures, Bonds or financial institutions like banks and real estate. Amongst all these options investment in Real estate is considered to be the safest and most prudential investment because of the returns it fetches. The safety factor is greater as the risk of the investment just crashing or being a total loss is very minimal where as the rewards can be very substantial.

Before the appearance of the pandemic real estate was the fastest growing segment of the Indian economy. The net value of the sector was calculated at 180 billion dollars and it was predicted that the value of the real estate segment in India in the next ten years will be around 1 trillion dollars. This is considered a phenomenal growth and it was also predicted that the share of India’s Real estate market to the GDP of India will be around 17 to 18 percent by the end of the next decade. The reason for this growth is he growth of incomes of the upper middle class segment of the population due to the coming of the Multi National Corporates and the hefty increase in salaries.

The primary step in understanding an Investment in Property of real estate is to understand the type of property it is. Whether it’s a leasehold or Freehold property. What is the difference between the leasehold and freehold? A lease hold is a property in which the holder or true owner of the property has signed over a long term lease in favour of the lessee or the tenant. In the case of government owned property it is the President of India who is acting through the Land and Development Authority of India in granting a long term or permanent lease to the Lessee. The lease hold properties are not freely transferable and the prior permission of the Land and Development Authority is required to transfer the lease to another.

Freehold properties are those properties in which the owner has transferred the full rights to the purchaser by means of a sale deed with total rights to resell or transfer the rights to the property to another purchaser without let and hold. The only condition is that each time the properties rights are transferred the purchaser has to pay stamp duty to the relevant authority for the transfer rights of the property. The records of the ownership can be ascertained from the registrars office of the competent authority. A freehold property is always a better investment as its rights can be sold or mortgaged freely by the current title holder without any interference or hinderance from the previous title holders.

Investors are mostly scared of the authenticity of the title while entering into a transaction. The title in this case means the ownership of the property and there are two terms which are often used with this regards. One is the “ good Title” and the second is the “marketable title”. What is the difference in these two terms. The good title is one that is free from any defects and chances of any legal issues. The marketable title is one which is free from any reasonable doubts in the ownership which will not make the buyer liable for any legal action in the future after the purchase of the property.

In India it is always better to purchase property after the verification of the title of the property and for this purpose the best title is the good title. The Good Title is always a Marketable title but not all marketable titles need be good titles.

There are a few things each buyer should check before buying a property viz:

To check the chain of title deeds with receipts
To get the NOC if property is in a joint name
To be sure that there are no provisions which hinder you from further transferring the property.
To check the power of attorney if the seller is not personally present
To check occupation certficates
To ensure there are no legal proceedings pending against the title.

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A Demat Account allows traders and investors to hold the shares and securities in an Electronic format. Moreover, it replaces the old-fashioned trading and holding in physical shares with an innovative way of electronic form. A lot of paperwork is reduced due to it being in an electronic form and almost everything is done online. A Demat account will make investing and trading very convenient for any investor. Additionally, the shares are stored in dematerialized form and all the stocks once entered into the Demat account are converted from physical to electronic form.

What are the benefits of a Demat Account?

Less Paperwork: All your investments are stored in an electronic form that eliminates almost all documentation and reduces paperwork.
Reduces Cost: Trading in physical shares will reduce the higher transactional cost. Moreover, all the extra expenses like stamp duty and handling charges are eliminated by using a Demat Account.
Instant Transactions: As all the shares are in Electronic Form, a Demat account makes the transactions faster and results in quick credit for investors.
Safe and Secure: Trading in physical share format has many risks associated with like damage, loss, and misplacement of shares. Additionally, when you open a Demat account all these risks get eliminated.
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Some Facilities offered by Demat Account

Multiple Access
Easy Transfer of Shares
Freezing of Demat Account
Quick Dematerialisation and Rematrialization
How does an Online Demat Account Work?

An Online Demat Account is like a bank account only difference that exists is that a bank account holds cash and a Demat account holds securities and shares. Moreover, when you buy shares the DP or Depository Participant credits your Online Demat account with the particular shares you want to purchase. After the shares are credited, it is reflected in your statement of holdings. If you trade via the internet, you can view the holdings of yours in an Online Form.

When you go for a sell transaction for selling your shares you need to give instructions to your broker. Moreover, your account is debited with shares, and the money is received after the shares are sold. If you are trading via Online mode through the internet the debit transaction will directly be reflected in your account with credit of the amount of money.

Types of Demat Account

Regular Demat Account: A regular Demat account is appropriate and used by traders and investors who reside in India. SEBI has introduced an Account type that is called BSDA (Basic Services Demat Account) for investors with holdings that do not exceed Rs. 2 lakhs. The maintenance charges of this type of Demat Account are low annually.
Repatriable Demat Account: A Demat account type that is appropriate and used by NRIs or Non-resident Indians under which the funds can easily be transferred abroad. A Demat account of this type requires an NRE bank account in association with it.
Non-Repatriable Demat Account: A type of Demat account that is generally used by NRIs in which funds cannot be transferred abroad. In addition to that, a Demat account of this type will require an NRO bank in association with it.
What is a Trading Account?

Trading Account is usually used for buying or selling equity shares in the Stock Market. Moreover, the stock exchange previously was functioning on the open outcry system. In such type of system, the traders used verbal communication and hand signals to convey their decisions of buying or selling a particular stock by mentioning the quantity. Additionally, later the stock markets totally adopted the new and advanced electronic system.

Everything is now available in online mode where the buyers and sellers do not have to be present at the stock exchange in order to place a particular order. In addition to that, they even open a trading account for you with a registered stock market broker who conducts the trading. Every trading account has a unique ID for trading and that can be utilized to perform all the transactions online.

What are the benefits of a Trading Account?

Reliable Information: For going into the field of Equity Investing, you need to take the right decision at right time. Moreover, Online trading provides services like research reports and knowledgeable professionals. These reports provide the investors with reliable information that makes the investment decisions well-informed.
One-point Access: There are multiple exchanges in the country of India that help the investor to trade in a variety of commodities and securities. Some of the leading exchanges are NSE, BSE, MCX, and NCDEX. Moreover, having a trading account will enable Wealth creation in just one click.
Flexibility: The trading platforms provide flexibility as there is the facility of web-based and application-based platforms. You can have easy access to many devices from which you can trade.
How does a Trading Account Work?

A trading account acts as a mediator or link between the bank account and the Demat account of the investor. Moreover, investors can place his order through this type of account when he wants to buy shares. Additionally, when the buy order is placed the transaction is later processed in the stock exchange. The shares are credited into his Demat account and the proportionate amount of money is debited from the Bank account.

If a similar process takes place for the sale of shares. The investor should choose to sell a specific number of shares suppose 50 Shares. The transaction is processed in the stock exchange and the 50 shares (Example) are debited to his Demat account and the amount of money of those shares is credited to his bank account.


To sum it up, a Demat account will help keep your shares and securities in an electronic form, and a Trading account will help you trade in the stock exchange. Additionally, there are many benefits of a Demat like safety, instant transactions, less paperwork, and cost reduction. Moreover, the benefits of a trading account include one-point access, flexibility, seamless transaction, notification, and much more. Having Demat and trading accounts will make your trading journey simple and hassle-free.

4 Simple Steps to Find a Buyer for a House in 2021

Selling a house is an art and doing it yourself would be quite troublesome if you haven’t done it before. First of all, you have to find out the motive behind selling, because usually when you want to sell off a property quickly you end up selling it cheaper. So, if it is not an emergency it is highly recommended to hold on to that property until you get the right buyer. If you are a businessman and looking for profits, then the following steps can help you do it faster.

Find out the estimated value of your house
If you are thinking how can I find someone to buy my house quickly? Then the first thing that you should do to find a good buyer quickly is to find the actual value of your house. Because if you don’t know the current market value of your house you will not be able to negotiate it and you would never know whether you are selling it for profit or a loss.

Remodel or fix the structural issues
One of the biggest reasons that people can’t find good buyers is that they just want to get rid of the property in the present state. Now, just imagine would you like to buy a house that is filled with structural issues? Probably not, then how can you expect someone else to buy your house when it is not in a presentable condition. So, hire a local contractor to fix all the issues before selling it.

Talk to a local realtor
Whether you believe it or not the realtor is your quickest ticket to sell a house at a good price. The reason for that is a realtor is a well-connected person and above all he’s a businessman, he can do it a lot faster than you. Like you go to a realtor to get a good deal quickly, similarly, a person that needs a house quickly would go to the realtor as well. So, talk to our trusted realtors in Coral Gables FL for quick results.

Place an ad outside your house
This is a simple trick that has been working for centuries. You might have seen several homes with an ad pasted outside for selling. Sometimes a realtor also resorts to this method to grab the eyes of every passing by. Because someone that is passing by might not be interested in buying your house but he’ll surely tell it to many people and a chain is formed that will eventually lead you to a good buyer.

You can also try the latest methods where you use the internet for the publicity of your house. You can try on your own and your realtor can do it for you as well. You just need to put an ad on some listing website with your property details and the interested people will contact you. However, if you are doing it yourself, then get ready to receive a lot of calls because everyone calls for info before visiting the location.

3 Tips to Choose a Market Research Consultant

How To Choose Your Market Research Consultant

Of all the qualities and best practices that help turn good businesses into great ones, market research analysis is perhaps the trickiest. It’s also the most frequently overlooked. We’ve already seen how important an effective market research consultant is, but how do you go about finding one?

In a lot of ways, finding a good market research consultant can be like shopping for a good pair of jeans-on the surface they may all look very similar, but finding the perfect fit takes a little scrutiny, a little familiarity with yourself, and sometimes a little magic.

Here are a few things to keep in mind.

Get Specific

There are a lot of ways to go about doing market research analysis, and a lot of folks who will be willing to do it for you. One way to quickly narrow your search is by searching for consultants with industry-specific experience and strategies. If you’re a consignment-clothing store, look for a firm that has worked with either clothing or consignment stores before. If you do food, find someone who specializes in restaurants.

In addition to this, make sure to mention your industry up-front when you call. That way, you won’t be wasting valuable time.

Do Your Research

While searching for the right consultant can be stressful and time-consuming, it’s important not to sign up with the first one you speak to, or even the second. Take your time. Shop around. Remember: you’re the customer here; they should be asking for your business.

When they do come to you (and they will), ask questions. Ask more questions than you think are necessary. Ask to see their portfolio, ask for the contact information of their past and current clients, ask them to prepare a presentation for you. If they’re experienced, they’ll be able to do this for you, no problem.

Keep It Local

This one may not apply to every situation, but we think it’s important. With internet connections getting faster by the day and smart phone technology in more and more pockets across the world, it’s easy to forget that most of a brick-and-mortar store’s sales still come from local patrons. Keep this in mind when looking for a market research consultant. Find someone who has expertise in your market and your area.

Buddy Up

The difference between a good fit and a perfect fit is in the intangibles. Sometimes it can seem like magic, but I’ve never been one to ignore a hunch. If you’ve done all of your research, asked all of the right questions, and you still can’t decide, trust your gut. Pick the team or person who you can see yourself getting along with best.

In these types of situations, a good relationship goes a long way. And don’t fret. It can take a little bit more time, but the effort will be worth it. After all, it’s the future of your dream and passion. Your attitude should let your potential consultant know that.