What Chennai has that other Metros don’t when it comes to Real Estate?

There is something about luxury apartments in Chennai that makes its demand distinct and proliferating. Although, luxury comes at a price; there is a good demand from a substantial segment of population to invest in such opulent properties especially in the recent times. Earlier, luxury apartments and lavish villas were concentrated in specific areas of Chennai like Boat Club road, Adyar, Besant Nagar, Cenatoph Road and the likes. Today, almost every area in the city is characterized by opulence in some form or the other. While a larger part of investing community continues to prefer more affordable real estate; the demand for luxury residential apartments in Chennai is slowly making its presence felt.

Real estate in Chennai vs. other metros

Chennai has suddenly emerged as a place where the affluent and well-to-do have the means to buy and the city has the space to offer. And as the demand for housing and purchasing power increase in the city, more and more luxury apartments in Chennai are characterizing its landscape. These high-end homes have a number of substantial amenities that render a taste of urban living. The real estate market in the country has faced its fair share of ups and downs. Other metropolitan cities have faced severe decline in demand but there has not been much of a bad stir in Chennai and there are profound reasons for this.

Residential apartments in Chennai, regardless of price continue to face an upswing in demand when compared to other metros and this is because of two important reasons.

• Space

  Chennai has considerably more space when compared to other metropolitan cities. Today, real estate investors prefer lung space when it comes to living. Chennai is a growing city economically, geographically and technologically. The sudden spurt of growth has thrown up vast expanses of land for the purpose of real estate development. Builders in Chennai are today conscious of the dearth of land in other cities and hence have constructed larger homes and apartments both within and a little further from Chennai. Luxury apartments in Chennai have a lot of lung space and urban amenities for comfortable living.

• Price

  Price often is one of the most important determinants of property purchase decision. The price of residential properties in other metros is alarmingly high. But residential apartments in Chennai are relatively more affordable by most sections of the city. And differential pricing according to location helps to cater to all budgets.

The Important 3Ps of Real Estate in Chennai

There is a lot that has been said and read about real estate in Chennai. The city has been considered one of the best places for commercial and residential real estate investment in the country. While, there may be a number of reasons that promote Chennai real estate; every investor must meticulously consider three important Ps before arriving at purchase decision. Real estate is often an alluring market. It is important and yet has many inherent traps that can decline buying experience and enable a bad purchase. So, what are the 3Ps?

• Place 

  Location or place is one of the most important factors when it comes to real estate investment. Regardless of rental or purchase; location of property is of prime significance. Place does not just pertain to current yields but also in terms of obtaining higher return on investment on a future date. There are different pockets of Chennai that carry a higher price tag than many others and this is primarily the reason why location plays a huge factor when it comes to property or rental gains. However, your choice of location is also dependent upon your budget and finances.

• Price 

  Price is sometimes the first or second important factor when it comes to make a real estate investment. Real estate in Chennai has today scaled newer heights with steep increase in price and even bigger increase in demand. Price and returns have a simple correlation. Most often than not, price put in determines the price you are likely to take home today or tomorrow. This means bigger the input gets, greater the returns are likely to be. However, your budget plays a very important role in facilitating a purchase decision.

• Purpose 

  Isn’t that the most obvious of factors? Some people invest in real estate because they want to buy a home to live in, some purchase for re-sale, many others for letting it on rent and few others buy them for investment purposes. The purpose of purchase also is an important determining factor in arriving at the right choice of investment.

Real estate in Chennai is a large and vibrant market filled with abundant possibilities and innumerable opportunities. How it can be made of use to every investor is largely dependent upon certain factors and the 3Ps play a significant role in arriving at a purchase decision. Commercial real estate investment is not a far-fetched chapter in this regard.

Why should Chennai be an obvious choice when it comes to Real Estate Investment?

Chennai represents the breed of fastest and prominently growing cities of the country. The city is as old as the most ancient cities of India. However, the quantum of development the city is witnessing today especially in the real estate market can be observed in the flats for sale in Chennai. The high demand for property in the city has emerged due to several reasons and escalating demand indicates increasing prices. Property investors are reaping rich profits with their investment decisions in Chennai. Chennai is all poised to witness strikingly bigger increase in property demand thereby making the city an obvious choice in real estate investment. So, what makes Chennai so appealing?

• Industrial development 

  Chennai was once a conservative market with traditional industries doing extremely well. But this scenario changed a few decades ago. Chennai’s IT/ITEs corridor has been responsible for eyes to turn towards the city. There is an abundance of employment opportunities the multinational organizations have to offer. Besides the Information Technology sector, Chennai also received a wave of automobile and manufacturing companies. The biggest names in the world today have a plant and manufacturing unit in this city. Population is bound to follow when there is massive industrial development focused in any destination. 

• Prices 

  Metropolitan cities like Mumbai and Delhi have several prestigious properties but are largely afforded only by the affluent. Flats for sale in Chennai are relatively more affordably priced when compared to the properties in other metros. Hence, a larger segment of the population finds interest in properties of Chennai. 

• Expected returns 

  Residential and commercial real estate in Chennai may have prices that are accessible today but are expected to reach the levels of those in the other metros in a few years. Hence, investors who have made the wise decision of investing in Chennai real estate yesterday or today will sit on large sum of profits tomorrow. Also, rental properties are following close. Even those regions that were once considered remote are yielding high rental returns. And this number is only expected to go up.

Flats for sale in Chennai are great investment options not just when the market does well but also during economic slowdown. Because even in the case of the latter, people are bound to choose real estate for investment rather than other trade securities that are risky.

Has Industrial Slowdown deterred Chennai’s Real estate market?

Although the country is witnessing an economic slowdown that has direct impact on its real estate market, Chennai continues to showcase an upswing in realty. Flats for sale in Chennai are constructed in different parts of the city owing to high demand despite the slow economic progress. One important reason for realty investment during this period is because during economic slowdown, other instruments of investment face slow progress but people invest in real estate because they are expected to offer assured guarantee since they are long term in nature. Several studies show that over 75 percent investors are end users. 2 and 3BHK apartments continue to face great demand over other residential options. Properties to rent in Chennai continue to do well since employment rates are still high in the city.

Industrial slowdown and Chennai Real estate Market

Although there has been a definite industrial slowdown in the country, it continues to be good news for flats for sale in Chennai and the real estate market in the city.

• Several companies and industries are selling their land pockets because of a slump in the industrial market. This indicates the availability of land parcels in the city for the construction of residential units.

• Lands are available not only in the suburbs as was the case a few years ago but also in the Central Business District and other important regions within the city since location continues to be a growing preference with a large percentage of real estate investors.

• Chennai is today characterized by several kinds of realty projects. Properties to rent in Chennai are emerging successful since more and more migrants to the city seek up-market rental properties in the city.

• A lot of high-flying investments are happening in the city. Many industrial lands have made way for the construction of modern flats for sale in Chennai.

• Several builders are buying lands in different parts of the city and this indicates the growth prospects of residential and commercial real estate in Chennai. Construction ought to be propelled by high demand. Hence end users dictate the terms in the real estate market, property prices and choice of locations.

Chennai will continue to observe great prospects in residential real estate. Properties to rent in Chennai will grow as much as properties for sale.   

Luxury apartments in Chennai - Where Comfort meets Style

When it comes to residential apartments in Chennai, the city’s population has had diverse demands and preferences over the years. Today, luxury in residential spaces emerges as one of the primary choices. While increased purchasing power is one of the clear reasons why luxury reigns supreme, upmarket choices and changes in lifestyle are attributed as other factors. Chennai is a prime commercial, economic and educational hub of South India. In the recent years, changes in real estate have made the city one of the most sought after destinations for real estate investment. Real estate projects in several locations of the city bring high resale value and greater rental prospects thereby encouraging investors to choose the city for investments.

Premium real estate builders have entered the flourishing market and constructing luxury apartments in Chennai owing to increased demand. Contemporary and luxurious amenities and comfort of living are two important factors that investors are looking for in properties to invest.

How luxury makes a difference in real estate

• Luxury apartments indicate the presence of contemporary amenities like swimming pool, sports courts, medical centers, schools, integrated retail hubs for shopping and entertainment, fitness centers and the likes so the urban population does not have to search or travel far to complete the circle of urban living. Modern apartments are self-sufficient paradises of lifestyle living.

• Living in upmarket residential apartments in Chennai means that you are leading a higher and more sophisticated lifestyle thereby boosting levels of confidence and influence.

• Luxury apartments in Chennai have better resale value since they are constructed with the best of materials and resources and hence are more durable and enjoy better longevity than budget apartments. Moreover, they are maintained in great condition since they come with a price.

• Interestingly, most luxury apartments in the city are focused in areas that are commercially abundant. These residential units are located in close proximity to the IT/ITES corridor and manufacturing hubs thereby encouraging professionals working in these technology and manufacturing parks  to invest in properties here and cut down on travel time and cost.

• The economy of a city is many a times evaluated by the number of luxury homes it houses. In that order, luxury apartments in Chennai have transformed the perceived economic value of the city dramatically. 

Modern residential apartments in Chennai are thus all set to create landmark changes in the city.

What can Investors look for in the Real Estate market in Chennai today and tomorrow?

Real estate of Chennai has been observing continuous and rapid growth in the last two decades. And the forecast with the new residential projects in Chennai is also big. There are different factors that contribute to this kind of upsurge. Demographic attributes represent one of the segments that are responsible for the colossal change the city has been witnessing. Demographic factors include age, occupation and income of Chennai residents that trigger the development of real estate in the city. A few decades ago, when Chennai was not characterized by new age industries had a different community of people compared to the ones now. Traditional occupations are replaced by the more contemporary kinds. Salaries have grown larger and so is the residents’ purchasing power. With an overall increase on several factors, it is only but natural for lifestyle changes to become larger than life.

New residential projects in Chennai have undergone a transformation from small independent homes to large green buildings, integrated townships, luxury apartments and opulent villas much like other metropolitan cities of the country and other parts of the world. So, what caused such a mammoth change?

• Chennai has nurtured a strong economic base with several industries becoming a part of its economy. Financial services, automobile and hardware manufacturing and Information Technology have grown in large proportions thereby making Chennai one of the most sought after cities for industrial growth. The realty sector is fuelled by large scale industrial development.

• Business Process Outsourcing (BPO) is another industry that has contributed to the boom of diverse sectors in Chennai; the real estate market included. Real estate boom in Chennai has developed primarily because of the working population in the BPO and software services industries that have big employment rates and handsome salaries.

• Purchasing power is a direct result of good salaries. The working population today can afford a lot more luxury and hence luxury apartments and villas are meeting high demand today. Both residents of the city and the migrant population have developed interests in Chennai’s real estate market.

• Consumerism is growing rapidly into a big culture in the city. This kind of development in retailing is because the purchasing power of people has increased and thereby accounting for better lifestyle and seeking better options and choices. The hospitality sector is also growing dramatically with several up-market international hotels choosing Chennai as their next destination.

New residential projects in Chennai today have innumerable reasons to grow.

The Belvedere- Luxury Apartment in Chennai

The Belvedere- Luxury Apartment in Chennai from Akshaya-Homes from Akshaya Private Limited