- Hema Rakesh
- For BBC Tamil
39 minutes ago
Image source, Getty Images
The majority of people postponed their new home purchase plan due to the economic downturn after the Corona epidemic. Now the real estate industry is seen to be recovering a little bit. In this situation, is this the right time to buy a house in Chennai? What do the experts in that field say? What are the features to consider before buying a home? This article explains.
What is the situation in metro cities?
People want their savings to be stable after the epidemic. The first option is to buy a home. The idea that having a home of one’s own can overcome challenging times, including epidemics, has also emerged among the population.
As far as metro cities in India are concerned, at present 1 lakh new houses are ready for sale in Delhi, 74 thousand in Hyderabad and more than 35 thousand completed in Chennai. Only in the metro cities of the country, thus 32 per cent of the completed new houses are ready for sale.
In our country, 18 per cent of unsold new homes are in Delhi. In Pune it is 14 per cent. But in Chennai it is only 8 per cent. The reason is that people consider buying a house in Chennai as the best investment.
Especially in South Chennai, the demand for Higher End Flats is increasing and people are starting to show interest in buying them. Especially in South Chennai OMR and surrounding areas the parking is without problem as the infrastructure and streets are wide. And because there are so many IT companies and businesses in these areas, most of the people who work there are interested in buying a home in these areas. Chandakumar, South Central President of the All India Binding Professionals Association, says that people are now considering putting their savings on homes as house prices are likely to rise further next year.
Is It Better To Buy Finished Homes? What do experts say is the reason?
Kumar Rajappa, chairman of a private construction company, says people get huge profits if they buy new houses now being built in Chennai. The reason is that due to the economic loss in the last two years, the increase in the price of sand, gravel, iron, etc. in the construction sector, the increase in the wages of workers, etc. will no longer be reflected in the price of newly built houses. But in the last 2 years the price of houses already completed has already been fixed so the builders are selling the houses by a few lakhs less so as not to incur losses when it comes to sale.
Builders also make various facilities to visit already completed houses. People visit directly and choose the houses that suit them.
Kumar Rajappa says many construction companies in Chennai have sold a number of houses for sale in the last one year from 2013 to 2020.
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Has the price of houses in Chennai increased in the last 2 years?
For Chennai, the value of a piece of land has risen by 20 per cent in the last two years, says Chandakumar, president of the All India South Central Association of Builders Professionals.
For example, he says the value of a piece of land in T Nagar, which was Rs 4 crore in March 2021, has increased to Rs 5 crore by 2022.
Higher end apartments are for sale up to Rs 10000 per 1 sq. Ft. This is likely to increase further next year. The already completed 2BHK houses in OMR areas, which are considered as one of the growing areas, are selling for between Rs 50 lakh and Rs 80 lakh.
1000 sq ft houses now cost between Rs 70 lakh and Rs 75 lakh in Kindi and Rs 55 lakh to Rs 65 lakh in Medavakkam.
80 lakh to 90 lakh in Pallavaram and 1 crore 80 lakh in Adyar.
45 lakh to 50 lakh in the Tirumalisai area.
50 lakh to 55 lakh in Madhavaram area and 55 lakh to 60 lakh in Kalambakkam – 40 lakh to 50 lakh in Red Hills area.
This is all just price in the main areas. Housing prices range from 4 to 6 km around these areas, depending on the infrastructure.
Image source, Getty Images
The reason is that the construction cost of a house has gone up by 40 per cent in the last two years. Experts say this is the right time for people to buy a house in Chennai as the price of new houses is likely to increase further in the future.
Kumar Rajappa, Chairman, Private Builder, says that buying a house in the fast growing areas of Medavakkam, Valasaravakkam, Porur, Perambur, Madhavaram, Moolakkadai, Velachery and OMR will be a great investment in the future.
Even more so as the Metropolitan Corporation of Chennai continues to expand and wide growth is likely to occur in the coming years. So he says this is exactly the moment to buy land and house.
What are the first things to look for when buying a home?
Home loan is available through the bank only if the place of purchase is a DTCP or CMDA approved place. It is therefore imperative to legally verify the full document details given to you at the time of purchase with a lawyer.
Image source, Getty Images
If the UDS (Undivided Share) is more than 50% when buying an apartment house it will give more profit in future.
Your Sibyl score should be at least 700 points to get a bank loan. If it is above 800 points you can get a bank loan very easily. So if you have an unsecured loan, it is a good idea to apply for a home equity loan. Probably a factor as to why they’re doing so poorly – and why they’re doing so poorly. So any loan taken from the bank needs to be completed on time.
Women can get low interest rate benefits if they buy a home loan in their own name.
When buying a home with a bank loan, it is unlikely that the interest rate on a home loan will rise sharply in the near future. Builder Kumar Rajappa says home loan is a boon for middle class families.
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