The ongoing pandemic situation has not only paused the world and confined us to our homes, but it also has stalled our dreams. The dream of higher education, career growth, starting or expanding a business, or buying a home. But all is not lost.
Although your home search has been pushed back for a few months, the online availability of property information, the government’s decision to reducing GST, and reduction on the normal stamp duty on real estate have opened new avenues for home buyers.
Is this a good time to buy a property in India?
Some might argue whether one should invest in property in such uncertain times. Let’s see what the market trends say.
- Growing market demand
The growing urbanization and increased incomes in the past decade have been driving more investment in the real estate market making residential as well as commercial properties attractive investment options.
- Interesting opportunities
The real estate sector has well adapted to the demand and diverse interests of property buyers in India. Segments like affordable housing, weekend homes, farmhouse concepts, warehousing, hospitality, and second home concepts have created wider opportunities making real estate a preferred investment.
- Government policies
The ambitious initiative of ‘housing for all by 2022’ launched in 2015 by the Government of India gave a much-needed boost to real estate. Further came another government policy in terms of RERA (Real Estate Regulatory Authority) in 2016 that brought more transparency and trust for the customers to invest.
All these factors contributed to the surge in the real estate market attracting over $2.6billion of cross-border investment. This made India rank 19th out of 73 countries in 2017 for their cross-border investment in the respective property market.
What do the latest market statistics say?
According to the latest statistics by ibef.org property market in India has seen growth since 2015 and the predictions are that the trend will continue in 2021 as well with 11.5% CAGR. All the statistics and the latest trends highlight the current time as a great opportunity to buy property in India.
Where to start searching for buying property in India?
Location is among the major factors that decide whether the property is worth buying from the future perspective. Let’s see some of the best locations in India to invest in property.
Mumbai: The city of dreams, Mumbai has remained investors’ favorite when it comes to buying a property. As one of the fastest-growing cities in the world makes the city more worthy of investment. Moreover, localities such as Juhu, Bandra, Worli, and South Mumbai are regarded as the creamy area of Mumbai. Since these are expensive localities in terms of living one should be ready to spend from Rs 50000,000 to Rs 10,000,000 and above when considering buying a property in Mumbai
Navi Mumbai and Thane: Considering investing in properties nearby Mumbai? The city’s exceptional growth in the past decade has attracted more opportunities in nearby suburbs bringing locations like Navi Mumbai and Thane on the map of the buzzing property market. If you are dreaming of living in Mumbai with your family Navi Mumbai and Thane are the locations to find moderate homes in your budget.
Pune: What was once known as the pensioner’s paradise Pune has emerged as the IT, education and engineering hub of India, which has accelerated the development and infrastructure of the city. With builders now focusing on low-cost projects along with luxury properties, the real estate market in Pune has attractive investment opportunities as well as end-user properties. Locations such as Kharadi, Kalyani Nagar, Koregaon Park, Baner, and Hinjewadi in Pune have grown to some of the best real estate investment locations in India and are popular suburbs to buy in Pune’s close proximity to Mumbai, with the 4 lane expressway. cheaper investment opportunities and great work-life balance make it India’s number second no. of place to be in. It was also voted one of the best city to live in in 2020.
Bangalore: The start-up capital also known as Silicon Valley of India Bangalore has affordable opportunities in real estate making it perfect for home buyers searching for properties for housing purposes.
However, the experts see this trend changing in the next 2-3 years. With the booming IT culture, several new infrastructures, and amenities such as Bangalore Metro new routes and housing projects in the Bangalore Airport area will be affecting the property prices in the city.
For housing purposes, one should think of buying a property now in Bangalore while for investors the time will soon come.
Buying property in India: Checklist
Once you have decided on a location based on your goal, budget, and other factors the property search begins. While you search for your dream home or perfect investment option keep in mind these points:
- Better connectivity to the workplace, school, hospitals, and other essential places
- Safe neighborhood
- Basic amenities and nearby markets
- Possibilities of further development
These are the essential points one should check while buying a property whether for housing or investment purpose. But with the surge of residential projects and new brand names entering the market how can you find the perfect property for yourself?
Let’s check out the easy steps to buy property in India.
- Plan for your future: Not only for present market value but also consider the future growth in terms of return on investment. Decide for what purpose you will be buying a property. End-user homes and investment homes will have different buying options.
Do you want your new asset to act as a side income? Are you planning on putting your property on rent? Will you consider reselling when the property rates increase or convert it into a family home? Answer to these questions will help you decide on the right type of house and locality to invest in.
- Choose the best locality: Once you have decided to invest in one of the best real estate locations in India the next step is to narrow your search to the best locality. Now, this could vary with your needs and preferences. If you don’t know where to start taking the help of our ‘Buying Property in India Checklist’ mentioned above that will help you find the right locality with ease. Remember in Real Estate Location matters!
- Search for a property: Once you have pinned 2-3 preferred localities next comes searching for properties within that vicinity. Now you can find properties through online portals, reputed broker websites, social media, newspapers, and by engaging the services of a trusted real estate agent.
- Hire a real estate agent: Hiring a real estate agent will make your property search a lot easier. Experienced realtors through their industry connections get access to the properties listed by other agents. Moreover, their updated knowledge of properties in the market, current trends, locality trends, latest laws and regulations and experience will come in handy during the process of buying a property i.e., documentation, signing contracts, and agreements.
Legal aspects: Final steps before you buy a property
After going through the hustle of finding the perfect location and localities, searching, and visiting several properties, holding a tough negotiation, finding the right property that fits your budget, needs, and preferences is pure joy. However, the next step, that is the legal aspect is equally important.
Your realtor or property advisor will assist you in the final step of collecting required documents, creating agreements and contracts to protect you. However, it is prudent to engage the services of a reputed lawyer who will ensure that the property has a clear, free from encumbrances, marketable title.
Finally, welcome home!
Once you have settled the legal aspects and streamlined the loan and payment procedure, signed sealed and registered your sale deed, now the time comes when you can let the joy of finding the perfect home for your needs and dreams settle.
Now might be the time to get your imagination wild and start thinking of interior and other changes to mould your house into your dream home with your personal touch.
Happy house hunting!