Affordable housing was given the much-coveted infrastructure status, and the very definition of affordable housing has been tweaked to accommodate more inventory under this key category. Moreover, the previously highly speculative markets of NCR and MMR have been tamed and are, in fact, leading the thrust of affordable housing today.
The share of mid-market houses costing INR 20-50 lakh in the overall residential sales in the country has been progressively rising, touching an all-time high of 42 percent of total transactions in the second half of the current financial year 2018-19, according to data released today by India’s largest marketplace for new homes Square Yards.
This growth is witnessed across five major cities – Mumbai, Gurugram, Noida, Bengaluru and Pune, where 4000 homebuyers were surveyed by 360 Realtors to understand buying trends. One of the key driving factors for the increase in investor interest is the impact of policies such as RERA. Assured rentals and EMI payouts after possession, offered by developers have also significantly boosted investor confidence.
The Jaypee buyers question the devaluation of assets by bidders.They do not believe that any new builder will be able to do justice with these projects.
Peninsula Land Limited has forayed into the affordable housing segment with the launch of its new project `addressOne` located at Gahunje, Pune. Spread across 50 acres, addressOne is strategically located on the Mumbai-Pune expressway on the Pune side, next to the MCA cricket stadium.
Kumari Builders and Developers is planning to invest INR 500 crore over the next five years in building villas. The Bengaluru-based developer plans to expand its property portfolio by 1.8 million sq ft in the villa segment.
As home buyers rise up the economic ladder and get more exposed to the lifestyles of the rich in other countries, they demand similar services here in India as well. This phenomenon then becomes a ‘brand driver’ for developers who possess the skills and resources to cater to this segment.
Coercing the buyers at the project Victoryone Central in Noida Extension to pay arbitrary demands, the builder is flouting all business ethics, established market norms and his own one-sided Builder Buyer Agreement (BBA).
When Gaurav Choudhury, a journalist by profession, bought an apartment in Noida Sector 137 along Noida-Greater Noida Expressway, he was confident to invest in an organized property market where the master plan being rolled out by the Noida Authority could tell him about the present and future developments.
There is a growing debate within the realm of second home market as to what is the psychograph of the buyer. Whether they actually go for affordability or location or amenities, or all these factors collectively drive the second home buyers. These are the emerging market realities and till recently the property investment pattern across the country in general and Mumbai in particular suggested that there existed a symbiotic relation between the second home and an affordable home.