Residential property trends in India

The Indian real estate sector is a promising investment option for those who want to make the investment of a lifetime! Since the country is undergoing a rapid transformation and developing at a fast pace, thousands of investors from all parts of the world are flocking to their dream investment destination which promises them real estate and construction of international standards at Asian prices.

The realty prices are rising and in the past two years there has been a 100% to 300% rise. The liberal FDI (Foreign Direct Investment) rules are attracting a host of companies and investors. The foreign companies are predicted to invest another 30,000 crores in the coming years. NRI’s are also investing in residential property that gives them a home away from home. Their main preference is luxury apartments followed by land and shopping complexes.

The Indian residential real estate is growing at an annual rate of 30%. The growth has been tremendous in metro cities like those of Delhi and Mumbai and also in other cities like Noida, Hyderabad, Jaipur, Gurgaon and Pune. The concept of luxury living is fast gaining ground. Earlier only the bigwigs were associated with it but now the upcoming townships and complexes are satisfying the cravings of the middle class too.

The Delhi residential real estate is falling short of the demand and so, the prices are shooting. Keeping this in view, the Delhi Development Authority has planned a density of 600 housing units per hectare so that urban housing becomes more cost efficient. The residential real estate in Mumbai, the commercial capital of India, is also on the upward curve. Thane and Navi, Mumbai are among the areas in Mumbai where all the action is taking place. The infrastructure in these cities is being revamped, thus promising to invite further growth of the real estate sector in the future.

The population of the country is increasing and it is estimated that in a few years the demand for residential units will reach the mark of one billion. In the next five decades there will be a requirement of an additional 3000 townships. At present real estate constitutes 5.8% of the GDP but the recent trends show that this figure is likely to increase in the future.