Chennai real estate market is a
robust market that is always on an upward growth. Its real estate has developed
to a greater extent and provides a myriad of choices to potential home buyers.
The real estate in Chennai is remaining steady among other sector in the city
as the demand for residential and commercial real estate never declines.
Chennai contributes a greater part in the Indian realty market with several new
project launches and growing demand. The absorption rate in residential and
commercial sector is also high in Chennai allowing investors to start many new
project launches. Though the real estate market in Chennai is not doing so well
as compare to the previous years, it is doing a good job when compared to the
other major cities of the India.
When you consider other major
cities in India, the real estate market is very moderate due to exorbitant
prices of properties in the cities. But the property prices of Chennai are not
too costly for people to invest. Though certain areas of Chennai still have
skyrocketing property prices, many areas offer affordable housing projects for
majority of the population.
But people always prefer flats
for sale in Chennai that are in the price range between 20 and 45 lakhs. Hence
the apartments that are above this price range are not absorbed completely by
end users. The inventory pile up in Chennai is mainly contributed by these
projects that are out of the affordable budget range of majority of populace.
The main driving force of real
estate is the IT companies and manufacturing industries. Chennai houses several
popular IT and ITES companies employing more than lakhs of professional
population who has shifted their base from several part of Tamil Nadu and India
to Chennai for their work. Chennai is known for the mix of people following
several cultures. Hence to cater to the housing need of such high population,
several new residential projects are launched across the city.
Another main factor that has
enhanced the real estate market of Chennai is its infrastructural developments.
With several popular educational institutions, high-end hospitals, number of
shopping malls, entertainment centres and more, Chennai has always been a perfect
place to live in. The State government has also launched several
infrastructural projects, metro rails, flyovers and more.
Certain real estate markets are
driven by builders while others are driven by end users and Chennai real estate
market belongs to the second category. Hence the price appreciations of Chennai
properties are moderate and do not rise to much greater extent. The price range
increase only by 5 to 7 % every year and sometimes the increase is just 2 to 3
% in certain central business districts.
Real estate comprises apartments,
row houses, villas, gated communities and more. Though City finds its own place
in Indian real estate, there are certain factors that hinder the real estate
growth and pushing Chennai to third place after Bangalore and Pune. High
property prices in certain areas, delayed projects, and lack of reputed
developers.
I agree, there are places like OMR which is offering a lot of properties and thus too many builders to choose from. There are variety of real estate companies like Radiance by Varun Manian which is providing great living options at affordable prices making the real estate market still one of the top most selected ones by the people.