Property Prices and their Future trends: An Expert Advice
Live chat with users hosted by Mr Aditya Verma, CEO, Makaan.com on Moneycontrol.com. Please have a look at the chat transcipt below -
Q: Sir, I need your opinion regarding Aashiana Aangan project in Bhiwadi. Is it a wise investment? What price appreciation can be seen in the near future? Also, overall, what scope of appreciation do you foresee in Bhiwadi area. Thanks.
A: As a company we do not comment on any specific developer or project. However, in my view Bhiwadi is likely to emerge as a good city for investment because of 2-3 reasons1. It falls on Indo-japanese corridor and that is likely to get substantial investment over next 10 years 2. It has very good industrial setup that will keep people attracted 3. If your budget is under 40 lac, there is no option available for you in Gurgaon, Manesar or Delhi, so the logical choice for all those investors will be Bhiwadi Overall a good investment option. Hope it helps.
Q: Please let us know some areas (preferably in Delhi-NCR) where you expect good price appreciation in the near future? Also, any specific projects which you are tracking?
A: There are many areas in Delhi NCR that have given decent appreciation in past 1 years, they are Noida expressway (8% appreciation in past 12 months), Yamuna Expressway (again 8% appreciation), Sector 77, Noida (7%). In Gurgaon you can look at Golf Course extn (20%), Sector 67 & 68 (11%). In Ghaziabad Bhopura (12%), Shalimar Garden (11%). For more you can check pricetrends.makaan.com.
Q: Dear Sir,In chennai is right to invest in Keelambakm plot?my budget is 15 Lacs.
A: In Chennai, you can look at OMR that has given an appreciation of 6.8% over the past 1 year. For other areas for investment you can look at www.makaan.com/invest
Q: Sir, Dwarka Expressway area has seen a sharp vertical rise over the past few years. Do you feel that there is still scope for a major appreciation in this area, or you feel the price bubble is just about to burst from here on?
A: Dwarka Expressway is coming up essentially as a residential development zone. For a area to appreciate meaningfully it needs a good balance of residential and commercial activity.I feel this area will continue to under-perform in the near future (2-3 years). There is also a huge gap in the prices in primary and secondary market which is not a very encouraging sign.
Q: I have purchased a 2 bhk in tatahousing at boisar and i have paid upfront 2 cheques of 3 lakhs each in the year nov 2011 balance on completion and posssesion at a rate of3800 whatarethe chances ofappreciation andwhat isthe current prevaling rate should i hold it rent it orsell it out? Your valuableadvice would beappreciated
A: As a policy we do not comment on any specific developer or project. The prime purpose of affordable housing projects (like the one you mentioned @ Boisar) is to make people buy houses for self occupation. I think affordable housing should not be looked upon as a tool for investment, as that will defeat the whole purpose. Sorry to dis-appoint, but this is my person view.
Q: Is it right time to buy a flat in Mumbai?
A: As per the latest release of Makaan.com Property Index (MPI) property prices have started to increase from April-June quarter. Out of the 9 cities that were covered in the research, 6 showed small rise in property prices. Based in this, I feel it will be a correct time to invest in property. For more details you can track Makaan.com Property Index (MPI).
Q: sir I am a retired person and have a plot in Gurgaon.One of my friends has informed me that it is better if you sell this residential plot and purchase a pre rented commercial property for monthly income as the plot is not giving any income. Pls advise
A: The prices for PLOT have appreciated at a very handsome rate in Gurgaon. In certain areas the prices are in range of 100,000 to 220,000 p.s.y. So depending on your purchase price, you may be already sitting of huge gains. With regards to your query on pre-rented commercial property, I will advice you to stay away, purely considering your age. These are good investment options till the time you have a tenant. The day the tenant vacates the premise, you will have issue in getting a new one and making the property ready as per their new requirements. My personal view will be that you are better off holding on to your plot.