Housing in India

Real estate market in Bangalore has bounced back. And this is evident from the reports which suggest that 3 important real estate players in the city namely, Sobha developers, Brigade Enterprises and Purvankara Projects Pvt. Limited recorded marked improvement in the sale of their projects.

 

As of February 2010, Purvankara Projects recorded net profit of 75% for Q3 that ended on December 2009 at Rs 30.49 crore. Brigade Enterprises and Sobha Developers were not far behind.

 

One of the main reasons why Bangalore has witnessed a jubilant time in the real estate is the fact that several IT as well as ITES companies have come up. This has given rise to demand not just for residential property (to accommodate professionals) but commercial real estate (office space, shopping malls etc) too. Demand for rental property has shown an upward trend too.

 

Despite minor snags that the Bangalore’s real estate market faced during the recession, it has managed to leap back. And this trend is likely to stay for quite sometime. In fact it will only improve further. This is because the growth of real estate market in Bangalore is closely associated with the growth of the city known as the Silicon Valley of India.

 

The reason for the real estate market in Bangalore doing well can also be attributed to the improving standard of living of the common people. People are ready to pay a fortune for buying a house as they are aware that the entire amount is not required to be paid all at once. In other words, home loans have made life exceedingly easier for the consumers.

 

The fact that the housing finance companies have designed home loans for the Lower Income group as well has made life easier. Consumers who didn’t dare to dream of a home previously are becoming proud owners of an apartment or a house. As such the housing projects that are coming up in different areas in Bangalore are finding many takers for the same.

 

It is a well known fact that the Bangalore’s population has increased by 35% in the last 6-7 years. This has created demand for not just housing projects but schools, colleges, educational institutes, training centers etc.

 

Several commercial projects are coming up in the city. In fact you will find many commercial projects that have been completed. And the areas that once lay vacant now have tall towers housing offices, shopping plazas etc.

 

Some of the areas in Bangalore that have become favorite for the real estate developers and builders include the following places –

 

 

Some of the well known real estate developers in the real estate market in Bangalore include the following –

 

 

Consumers are reaping the benefits of the FDI relaxation. Investing in real estate market in Bangalore has now become easier than before. And if a particular area assures of greater returns, it will undoubtedly attract more real estate builders and developers.

 

Reports suggest that residential property has registered property value appreciation by as much as 70%. Not only this cost of lot or land has shown appreciation by more than 100%. Commercial real estate has shown appreciation in property too.

 

As far as rental property is concerned, rents have also escalated. It has been observed that rentals usually range between Rs 50,000 to Rs 1, 000, 00 for an apartment with 2 bedrooms. This is in addition to the cost of electricity and water bill.