[vc_row][vc_column][g5plus_heading sub_title=”What’s Next For Chennai Real Estate Market In Next 10 Years” title=”Why Chennai’s Real Estate Market is Booming Right Now” text_align=”text-center” css_animation=”fadeInUp”][vc_column_text css_animation=”fadeIn”]What’s Next For Chennai Real Estate Market In Next 10 Years
After global recession, the Chennai property market witnessed an almost 10% dip in prices, in second quarter of 2015. However, over the next few quarters these property prices have risen marginally again. Another significant change is that ‹interest rates continue to remain low with the prime interest rate static at 7%. Let’s take a look at what’s happening next for Chennai real estate market in next 10 years and prepare for the best.
Why Chennai’s Real Estate Market is Booming Right Now
Chennai is a booming real estate market with a lot of residential capacities, but that supply has been met and the real estate market may be at a stage when it needs an influx of more homes for sale. In order to keep the demand in balance with supply, Chennai realtors have to make sure that those that still own property or invest wisely.
How the Chennai Real Estate Sector Does Compare to Other Urban Sprawls in India
The future of the Chennai real estate market looks promising. According to Statistics from the years 2007-2012, show that in 2012, there were 900 sq ft residential properties all over Chennai had a price of 5-10 crores (USD 778,000-1.5 Million). As for the price of 2BHK apartments, most metropolitan cities have rates between 250000 – 825000 (USD 29900 – 330000). For education, many people now prefer to move to and settle in Thiruvananthapuram or Bangalore due to the presence of universities and colleges.
What are the Challenges of Growth For Chennai Real Estate Sector
Chennai is continuously faced with the shortage of land for housing projects. This shortage has been aggravated by the socio-economic issues and the millennials who are opting for houses outside Chennai. Infrastructure has become an important factor for people making investment decisions of future property purchases in Chennai. If a project that offers an excellent quality at an affordable price comes up, it might garner investor attention. Chennai’s real estate sector is witnessing rapid growth and will continue to grow exponentially. Challenges such as rising property prices, scarcity of water and building space are growing in tandem with the increase in number of property seekers. These factors have already been driving out buyers who cannot afford or have limited space to renovate their new homes. Chennai, the major IT hub in India, is also one of the most popular residential destinations for investors. More and more investors are shifting their attention to Chennai as they feel that it will continue to grow with the rising trends of technology and its economy. However, this growth is coming at a cost to infrastructure: builders resorting to inferior quality materials and construction methods in order to keep up with demand while reducing overall building time. Furthermore, regular delays in the construction process due to bureaucratic red tape add increased pressure on end buyers who are looking for stable homes.
Even though Chennai may be experiencing growth right now with housing costing about 10-12% more than Delhi; builders have been found using inferior quality materials and construction methods putting these properties at risk.
What the Prospect for Chennai Real Estate Development Looks Like
After a long slump in the Chennai property sector, things are finally on the mend. Led by the considerable interest from foreign investors, property prices in Chennai could now be poised for a rebound. China’s outbound investment into India has been on the uptick as well—spurred by both politics and pragmatism pushed by President Xi Jinping’s “One Belt One Road” initiative. Apart from residential homes, more investments are flowing into commercial properties due to their huge potential in the relatively smaller country market.
Conclusions about Chennai Real Estate Market Prospects
After carefully studying the Chennai real estate market, we have concluded that there is ecently.a steady and significant increase in Mumbai property rates r
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