Homebuyers these days are smart enough and quite dogged about search of their perfect home which not just suit their budget, but also assure of best of living. Such demands of the end users have largely driven the real estate current scenario now. Despite global economic meltdown, homebuyers are still flocking different projects in search of that perfect home. Such a trend is quite popular in cities like Kolkata too.
Some of the reasons why realty market did not receive response from the homebuyers as expected, include lower economic growth, lower rates of job creation, high capital values and high interest rates and delay in delivery of projects. Developers and authorities seem to have come up with proper solutions to tackle the prevailing issues and play a big part in keeping prospective homebuyers positive about the market over the past few years.
Keeping other factors apart and talking about the current scenario here, Kolkata is indeed a late entrant into the realty game, if we compare it with other metro cities, but the rate at which it has picked up the growth is impeccable. Non-Resident Indians (NRIs) are targeting to invest in the real estate market here, thereby boosting the demands further. Capital values appreciated remarkably in Kolkata, having invited more and more developers to come with bigger projects here, resulting in increased investments in the market.
Booming Property Market
Demands for properties or even house for rent in Kolkata have gone up, and residential segment has been largely benefitted with this. First few months after Durga Puja have always been critical for the property segment, which has till now, witnessed a sign of demand revival. Such a rapid increase in demands is mainly attributed to slow economic growth and property transaction rates.
Builders have now cut down their profit their margins, which has certainly gave the sales volume a boost. Properties are available at comparatively lower prices, where buyers can grab the desired ones at a discount of no less than 5-10%, which includes mainly cash discounts, flexi-payment plans, free parking spaces, gifts like gold coins, air-conditioner, among others.
Builders have taken a cue from the realty markets of other metropolitan cities like Delhi, Mumbai, Chennai and Bangalore, and have come up with similar business models. Earlier being a less buyer-friendly market, both residential and commercial segments of Kolkata are more interested to fetch buyers’ attention by offering them with free cars to the first few buyers, free air-conditioners, and modular kitchens, among others.
South Kolkata has been quite a crowd puller if we talk about property demands. Localities like Baruipur, Kalikapur, Garia, Rajpur and Sonarpur have witnessed the maximum demand from both investors and the end users. With some clean roads, extensive green cover and metro connectivity, and a planned flyover, which will be connecting the old EM Bypass to EM Bypass Extension for improving the local connectivity, these locations are quite popular among homebuyers.
Other areas like Ballygunge and Jodhpur Park have marked 100% hike in capital values in just three years. They have been benefitted a lot with the launch of some of the integrated developments, including infrastructural developments such as roads, flyovers, schools, multispecialty hospitals, shopping malls and other recreational facilities. Property prices are still under control are thus the demands are up. For luxurious properties, the city’s business families have acquired the market and have posed demands for some more such premium and low density projects.
In a Nutshell!
Kolkata real estate is booming and there is no looking back for the city. Markets are all set to herald new customers and are mainly driven by investment instincts and not sentiments. Weak infrastructure and underdeveloped localities are the things of past in Kolkata now. Realty market holds bright prospects and soon capital values are expected to be at par with cities like Delhi and Mumbai.