To bring bargaining strength to home buyers, Pune-based Home Buyers Combine (HBC) is bringing a novel home buying model to Bangalore and will soon be expanded to Chennai and the South, says Nitin Degaonkar, Managing Director, HBC.
It has been associated with more than 500 apartment purchases across half a dozen projects over the last two years and enabled substantial savings to buyers. The concept is the tried-and-tested method of building bargaining strength through numbers, he says.
The Combine puts together a group of buyers and mediates with developers to either launch a new project or picks up properties in an existing project. When a ready market is available, there is savings on cost to the developer in advertisement and marketing, early sales, and cheaper cost of finance which is shared between the buyer and developer. HBC takes a commission.
HBC has brought this concept into Bangalore. Buyers register on its website www.homebuyerscombine.com and give their choices for location, specifications and budget. The e-commerce platform clusters the buyers based on common factors either initiates projects along with developers or approaches upcoming projects that suit the needs of these groups.
Involvement of buyers at a nascent stage of the project allows developers to offer a good price against a sizeable down payment. Further this provides the builder with a clear project configuration, lowers market risks and provides him with upfront funding from the buyers.
The savings facilitated by the group buying are extended to the individual buyers within the group as substantial discounts. It further helps buyers in reducing the home loan amount by similar margin (Rs 5 to 10 Lakh) leading to further savings, he says.
HBC has launched its concept in the southern market with Solaris project in Bangalore at Bannerghatta Road.