Which Real Estate Markets are the Best for Investing in 2016?

by Mahesh DS Real Estate Developer

Property prices have seen a drastic reduction in the year 2015. Prices that seemed to make a high for the past few years suddenly started dropping. According to the CREDAI (Confederation of Real Estate Developers’ Associations of India), property prices have dropped somewhere around 15-20% in the last 18 months. It also says that there is no more scope for further price reduction. So, property prices are now going to be stagnant for a while. There is also a lot of inventory readily available in the market. With all this, the year 2016 is going to be the year of revival for real estate. Listed below are some of the top real estate markets you should be looking out for if you are planning to invest.

Bengaluru

In 2015, there were a high number of unsold inventories in Bengaluru. In spite of that, the outskirts of the city have been developed by the builders without any stopping. The city is continually improving in terms of infrastructure. Being the IT hub of India, there are a majority of people who want to reside in the city. If you too are looking to reside in Bengaluru, it is suggested that you look for properties in the outskirts rather than in the city itself. The best option would be an apartment in Electronic City, in any of the three phases. Phase-I alone has more than 500 under-construction properties today. Phase-II and II are also launching a number of spacious and affordable homes. Other preferable areas include Whitefield, Bommasandra, Begur Road and Kanakpura Road.

Hyderabad

With developers investing their money in the real estate market of Hyderabad, the segment is seeing a rapid growth. While other cities witnessed a decline in property launches, Hyderabad is the only city that saw a rise of new property launches in the second quarter of the financial year 2016 by 23%. Today, there are more than 12,500 new projects in the city that are under planning or construction. Developers are coming up with luxurious 4BHK villas in areas like Outer Ring Road, Miyapur and Madhapur, creating a market for luxury buyers. They are also coming up with affordable apartments to cater to the high proportion of middle class buyers who are looking for reasonably priced homes. So, it aims to satisfy the needs of both upper and middle class buyers. And, with the recent drop in property prices, the city will witness a quick sale of upcoming projects for sure.

Pune (outskirts)

There are two main areas in the suburbs of Pune that are expected to emerge as real estate destinations – Viman Nagar and Vishrantwadi. The former having excellent infrastructure and being in close proximity to the airport with good quality connectivity through the BRTS, is one of the most sought after area by residents of Pune. Its proximity to educational institutions and shopping malls is the reason for a 50% price appreciation in the area. Vishrantwadi, lying towards the North, is in close proximity to IT hubs of Viman Nagar, Yerawada and Kalyani Nagar, and is also seeing a rise in property constructions.

Thane

As we all know, having a property of your own in Mumbai is not so easy. And, if you are looking for affordable property, you can as well look somewhere else. But Thane, which lies in the outskirts of Mumbai, provides affordable property for middle class buyers. This area is specially a hot favourite for mid-level executives. Away from the hustling-bustling city of Mumbai, with enough land availability and greenery around, Thane is a preferred spot by many localites. This area has good connectivity with different parts of the city via its suburban railway and Eastern Expressway. More than 2000 projects are coming up in Thane (West) with prices ranging between Rs. 70 lakhs to 1.6 crores.