Home loan interest rates will begin to ease once the high inflation rate comes under control. Vikas Agarwal explains the effect of inflation on interest rates
Inflation is a buzzword you hear almost everyday. In India, the broad-based inflation rate is published every month, based on the Wholesale Price Index (WPI). The WPI measures the prices of a basket of goods and services, and the inflation rate is the percentage rise in the WPI during a given month. The other major index that is regularly tracked is the food inflation index. The food inflation rate is reported every week based on the prices of a basket of commodities.
The high inflation rate is not just specific to India. Inflation has been ruling high in all emerging markets ever since the global economy came out of recession last year. There are several factors that resulted in the high rate of inflation in the markets here including demand-led factors, supply-led factors and the price rise in global commodities.
Bangalore: Every sqft in Bangalore is set to get a new and pricier tag, with a revision of land guidance values in the offing.
Coming after four years, it is not likely to be a small rise, but a drastic jump, ranging from 20-30% within the city to a mindblowing 100-150% in the suburbs, which were recently added to the metro.
Land in the outskirts — now included in BBMP limits, and where land developers are designing villas and high-end apartments — was considered affordable, but will no longer be so.
The draft landlord-tenant agreement safeguards the interests of both parties Ashish Gupta
Disputes between tenants and landlords have often ended up in courts.
The issue may be related to vacation of premises or increase in rent. Recently, the Supreme Court drafted a model landlord-tenant agreement.
The Supreme Court stated that in most landlord-tenant disputes there was no written contract and the tenant took advantage of the situation because of the slow process of rent control laws and the process involved in eviction.