Date:22/10/2008 URL: http://www.thehindu.com/2008/10/22/stories/2008102256201700.htm

Business

Sub-prime crisis, never mind, go to Hungary to build homes

Indrani Dutta

Hungarian Govt. offers resident visas to apartment owners

Land Solutions teams up with Castlewod
1,200 properties
to be showcased
from Nov. 1

KOLKATA: Even as the sub-prime crisis fells a new victim every day and the Sensex continues to be unpredictable, wealthy Indians have found a new avenue for parking their funds — in houses by the Danube river in Hungary.

Waterfront apartments costing around Rs. 50 lakh are catching the fancy of Indians who had earlier never looked at East Europe either as a tourist destination or as an investment option. However, these apartments located in the business district of Budapest are attracting custom for another reason. The Hungarian Government is offering resident visas which will enable the apartment owner to enter other countries in the European Union too says Akshay Jain, CEO of Land Solutions (India), a professional financial services outfit based in Delhi. Curiously, according to Mr. Jain, it is not only the high net worth individuals and NRIs (non-resident Indians) who were seeking out such properties. Often employees were pooling their resources, say Rs. 15 lakh each, to invest in a property abroad. There is also the option to rent it out with a developer’s guarantee on the rental income. In all, 1,200 properties valued at Rs. 70 lakh each on an average would be showcased at a fair that will be held in various metros in India from November 1.