Every investment field has its ups and downs. Likewise, realty industry in India has experienced many highs and lows in past few years. But, as the present, there has been a number of real estate developer launching affordable residential apartments in different cities of the country. As well as, with the ‘Smart Cities Mission’, this trend has been taking a giant leap as developers now want to take benefit of this new development.
Amidst this trend, the home seekers & NRIs who desire to buy a home in their own Mother Land are overflowing. People living out of the country usually desire to buy a home in India because of the affordability and the simple buying process. No matter if you are Residents of India or NRI’s, our country always welcomes every type of financial transactions. That’s why it is not wrong to say that Indian Real Estate is a haven for the investors. As disclosed by many reports, by 2020, real estate of India is expected to touch the figure of 180 billion US Dollars.
What should buyers look for in coming days?
In residential developments, the most important factor will continue to be the brand reputation of the developers. This represents a thorough understanding of previous track record, the source of funds and a keep an eye on important documents related to the developments. A development that is nearing to the completion date, bounded by world class infrastructure, very near to the commercial developments and has sanctions for the home loan by reputed banks, would be important criteria.
A confirmation on the type of the land title, to make sure that the developer owns the land or has complete development rights for it, will be suggested. Very importantly, investors should continue to bargain for the best price, whether it is a fresh booking or a resale property. As well as, the investment time frame should be as a minimum five years because the days of the fast-churning of investments are thing of the past.
Previous step of Currency Demonetization from the government, cash transactions particularly in the resale market, will take a hit and we hope to see a steady revival of prospective buyer interest in residential markets in different micro markets of India. Affordability in the market and adjusted expectation of the sellers will set a new market-determined value.
With a number of policy changes in the previous year, what’s coming up for the real estate sector in 2017? We look at the regions that may offer utmost possible in the year ahead.
Best micro markets for the residential properties in the major cities
- In Delhi NCR markets, developments along the Noida Expressway, NH-8 in Gurgaon, Dwarka Expressway, extended Gurgaon and new projects in delhi, look promising for the buyers.
- In Bengaluru, Sarjapur, Kanakpura Road, and Varthur are the best choice. These locations are close to many reputed IT companies and will experience constant rental demand.
- Real estate of Mumbai will present striking developments in the Kharghar, Ulwe, Taloja and Kalamboli localities, for end-users and investors. In Thane, Ghodbunder Road and Kolshet will dominate.
- In Chennai, Guindy, Alandur, Avadi, Perumbakkam, Oragadam and Medavakkam look promising.
- In Pune real estate, areas near to the Mumbai-Pune Expressway, like Punawale and Mamurdi, will offer attractive rental returns. Undri and Pisoli look good, as they will continue to see the spillover effects from Hadapsar and Kharadi. Dhanori, Bhugaon, and Pirangut will also offer opportunities.
- End users interested in Hyderabad, should take a look at Gachibowli, Miyapur, Chandanagar, Kokatpally, and Miyapur.
The REIT will be effective by June 2017 and it will offer a mechanism that presents regular dividends at relatively low-risk levels. Even as it may take the first half of 2017 to overcome the full effect of demonetization to be felt by realty sectors and transactions will be slow, the second half should see transactions as the standard resume.
Overall, boosted by the present measures by the Government, Real Estate Sectors of India will definitely experience a healthy growth with rising demand in this year with structured, reputed, trustworthy real estate developers in the field. So we can say that 2017 is a fresh starting for lucrative opportunities in real estate investment in India.
