Affordable Homes In Mumbai's Suburbs Woo Buyers
Mumbai suburbs have witnessed major changes in the past few years in terms of infrastructure and residential spaces. A decade ago, places like Ambernath, Badlapur were only known for the rapid presence of small and medium industries and now that these businesses have flourished, the city has been witnessing job creation. The industrial hub has now turned into a residential hub.
With developing infrastructure, builders and developers are now investing more in residential spaces. The suburbs boast amenities such as technologically advanced hospitals, highly experienced doctors, premier educational institutions, entertainment and hangout spots like malls, restaurants and multiplexes.
People migrating to Mumbai for a job or higher education choose to live in the suburbs, since owning a house anywhere in the western stretch is difficult for amid-income segment. Hence a solution to this is looking out for residential spaces that are not only affordable but convenient. Redundant mills are now getting converted into residential spaces anareis an important market influencer in the years to come.
Homebuyers who have homes in various parts of Mumbai look out for suburbs to invest as a secondary option. The key factors attracting the homebuyers are connectivity, employment opportunity, pollution-free environment and healthy lifestyle at a budget-friendly price. Property prices are reasonable, on an average of Rs 15 lakh to 30 lakh, one can buy an apartment, either a 1BHK or 2BHK unit. The future of Mumbai suburbs look promising and bright with the current momentum in the real estate market.
Luxury apartments are considered as one of the best investment, but for a developer, it is quite a task to sell. Real estate developers these days step back from launching new projects in the segment due to scarcity in demand owing to the subdued property market. Generally, it takes approximately two to four years to properly execute a project depending on the location. It is during this period that builders strive to sell most of the flats. However, South Mumbai – known for high-end homes tell a different story altogether. This particular region has a higher inventory period which is approximately from 40 months to 70 months.
Affordable housing, on the other hand, brings a number of opportunities for builders and buyers. It is not only easier to sell these homes since they belong to the affordable segment but it also provides good returns in the longer run. The affordable segment is also supported by Pradhan Mantri Awas Yojana (PMAY) which has played a pivotal role for the sector.
Recent surveys and studies have proved that the affordable segment is blooming like never before. There has been general buoyancy in the market after structural changes like demonetization and implementation of RERA and GST. Consequently, confidence is coming back; the maximum pent-up demand existed in the affordable segment. It is now resulting in transactions after the supply has come into the market. Moreover, urbanisation is an unstoppable trend in the Indian market. That creates demand for budget homes. So going forward, the affordable segment will continue to thrive.
The author is Managing Director of Poddar Housing and Development Ltd.