By Soniya Gaonkar on Aug 9, 2019 2:57:51 PM
The last 15 years have witnessed remarkable growth in IT/ITeS, Telecom, Banking, Financial Services and Insurance sectors in India. It has not only increased the demand for residential properties but has also have been a reason for the flourishing demand in commercial properties.
The top 8 cities in India include Pune, Hyderabad, Bengaluru, Ahmedabad, Nagpur, Indore, Jaipur, and Chennai. The growth recorded in these past few years act as the rationale to choose these eight cities. Let's have a closer look at each of them to understand why they have become the most friendly real estate investment hotbeds of the country.
Pune has adopted significant changes since 1990. With major IT and automotive industries spreading their arms on the city's borders, Pune has gone under a complete makeover in the last three decades. And now, the merger of 23 villages, materialization of the visionary Pune Smart City project, and flagging off of Pune Metro by 2021 will cause a significant facelift.
Several areas in Pune have witnessed a steady increase in the number of home buyers as developers come up with affordable as well as upper mid and high segment projects, coupled with enticing offers to lure them.
Pune offers properties catering to end-users as well as investors at various price points. Prices start at Rs 15 to Rs 30 lakh in the affordable segment. The premium segment starts at Rs 1.3 crore, and luxury projects can cost upwards of Rs 2.5 crore.
Balewadi, Whagoli, Wakad, Hinjewadi, Ravet and Tathawade are some of the best areas to scout for new homes in Pune.
According to a report published in ‘The Hindu’, in the past few years, the Hyderabad real estate market registered a 30 per cent increase in the residential sector. Plus, property sales have also increased significantly by 16 per cent over the previous years.
Appa Junction, Gachibowli and Kukatpally are the top three localities in Hyderabad which draw most investors' attention.
According to the data available on 99acres.com, a 2 BHK in Appa Junction can cost you anything between 25 to 50 lacs, earning you a rent of anything between Rs. 15,000 to 20,000 per month.
Where the rates of properties in Gachibowli are around 40 lakhs and can fetch you a return rent of Rs.15,000 per month. A 2 BHK in Kukatpally can also make a return of Rs.10,000 to 18,000 per month for a 20 to 25 lakhs investment.
Bengaluru is known for being a perfect blend of modern-day culture and traditional touch. If we look at the recent real estate developments, then we can say that Hennur, Indira Nagar, KR Puram and Narasapuram are the four areas which are the most flourishing in real estate.
Hennur, located in the northern part of the city, is an upcoming residential area promising high returns.
Indira Nagar and KR Puram are the most appreciated residential and commercial area till date in Bangalore.
Narasapuram is the place where most of the IT professionals would like to reside as it is very close to the office spaces and IT companies.
Ahmedabad is the largest city of Gujarat, which is also known for its industrious spirit. Thousands of migrants join the city to earn a living here thus, considerably driving the demand for housing in Ahmedabad. New development projects such as the GIFT City and the Golden Quadrilateral have significantly contributed to the investment climate in the city.
Plus, friendly neighbourhoods and government support have made, Ahemdabad a favourable place to invest in real estate.
Nagpur has appeared in the list of top global cities where prices have grown considerably. Authorities expect the population of Nagpur to double by 2050. Developers are seen launching new projects, to supply the increased demand in future. With the Nagpur Metro getting operational this year, connectivity in Nagpur has improved manifold here.
Wardha Road, Wardhaman Nagar and Hingna Road are some of the rapidly growing real estate centres in Nagpur.
The only city in India, comprising an IIM and IIT, Indore is one of the fastest developing cities of Madhya Pradesh and of India. The city has a keen pharma and auto industry presence, which also influences its real estate market. Prices in the upcoming areas are primarily driven by investor demand and currently is in a state of oversupply.
According to industry reports, upcoming luxury residential projects in Indore are offering 2, 3 and 4 BHK apartments in 35 Lac to 70 lacs price range.
For an investment of 5 to 8 years, plots/ flats on Bypass, Bhicholi Mardana and Kanadiya can result in good returns. But if you are looking for a long term (15-20 year) investment then Dewas, Pithampur and areas near Hatod and Depalpur will be a few good options.
It is not only the beauty and historical significance of the city that is attracting homebuyers. Jaipur is also turning into a top choice for IT giants.
Besides, the capital value of the property is affordable and in the range of Rs 3,000 to 6,000 per sq ft in established areas. The upcoming Delhi-Jaipur Express Highway is another growth indicator. The two cities will be linked, leading to a spurt in business and job opportunities.
Mansarovar and C-Scheme are current hotspots for real estate investment.
To invest in Chennai, first, you have to understand its geography.
North Chennai is predominantly industrial, while central Chennai is the most developed part of the city with established commercial and residential markets.
South and West Chennai are rapidly turning into commercial zones and hosts a large number of IT and financial services companies.
The main thing to remember is, investing in a city’s real estate depends on ROI. However, buying a home based on the business environment and neighbourhood would result in a wise decision. Either way, if you invest in any of these 8 cities and are looking at a horizon of 10 to 15 years, you are getting a sweet deal right now!
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