The emerging property trends of the year 2015 again predict that Bangalore would perform at par with expected performance. Last year, most of the prime territories of the country failed to meet end user expectations. The markets for residential accommodations did not take off. However this year the situation would undoubtedly change. The relaxed FDI norms and the improving economy will both be the drivers of residential property sales this year. The slowdown had caused the change in trends and numerous territories started to focus on the development of affordable housing. Many such new projects under development during the slowdown phase would also see fruition in 2015 and hence the markets would remerge; although not quite as before. This is the ‘norming’ stage of the markets where the growth has tapered off and the investors have to come up with property development strategies that are sustainable, in the long run. This is true for all the territories including PG in bangalore.
Therefore, if an end user is looking for flats in Bangalore, then what kind of price trends should one expect for purchase of a house in the city?
Demand In Bangalore
Bangalore is an end user-driven market. The city has managed to survive the onslaught of the slowdown which gripped the country a few years back. 2013 is being touted as the worst year for reality, however, 2014 did not fare well either. Only the “City of Gardens” was able to keep the sales ticking and also emerged as the territory with the highest number of new projects unveiled in 2014.
Currently, there are approximately forty thousand units in the city which remain unsold. These units have prices which keep them out of the reach of the lower income group. The prices are above the middle-income price bracket in most of the cases. The successful reception of the Tata Value Homes launching its maiden affordable housing project in the city has shown that people are ready to opt for low-cost flats for sale in Bangalore. The prices of such flats are acceptable to the range of Rs. 20 lacs and Rs 35 lacs. The higher the prices are above this bracket, the lesser are the takers.
This is the reason why many builders from across the country have chosen Bangalore as their property investment destination.
The Investment in Properties in 2015
According to a report, there was $4.8 billion investment in the property sector in India. Bangalore received the second highest chunk of this investment- focussing on the development of commercial properties. This means that there would be a rise in the employment numbers of the city in the near future. As a result, the demand for homes is going to be all the more robust. Even now, there are buyers who are looking for villas and independent accommodations in the city. There are numerous builders who are offering such properties apart from apartments for sale in Bangalore. The price range of all the property categories, therefore, can start from under Rs. 30 lacs and can easily go in multiples of crores in the times to come.
An end user wishing to learn about the prevailing property trends in the city can also view the DSL page of housing.com to learn more about the prevailing purchase prices in different localities of Bangalore.