Markets
BSE See NSE See 39,599.19
164.25 (0.42%)
collapse Related Readings collapse

Chennai - The housing paradise

| 2/9/2012 9:30 PM Thursday

The real estate market in Chennai has been flourishing for some time now, with property prices sky rocketing. The Chennai property market has displayed an unsurpassed potential to attract huge investments from the state government as well as from other states. Many developers have remarked that Tamil Nadu has been developing significantly, with real estate market transactions reaching almost Rs 30 billion. The growth in the IT industries and the BPO companies hasmade commercial Chennai properties very popular. To add to this, leading housing companies are coming up with innovative buildings and villas thus augmenting the housing opportunities in Chennai and adjoining areas. Along with the growing demand for Chennai properties, even ready constructed houses have attracted investors. Hence, people from all walks of life are seeking affordable flats and apartments for sale. The sheer number of buyers has made housing companies and builders in Chennai focus more on the availability of flats or apartments. Thus, it can be said that the real estate market in Chennai is on a high with huge investments being made into it and with a lot of professional activities cropping up around it.

According to a report by Property One Asia, the low interest rates and exciting home financing avenues provided by the Home Loans Companies have made owning house in Chennai possible for all even in plush localities such as Adyar, MRC Nagar, Royapettah. Owing to the influx of corporate professionals, houses on rent are available at competitive rates while the serviced apartments in Chennai can be bought by availing appropriate Mortgage Loan. The residential areas within the city are highly saturated and no new supplies are coming up in these areas. The areas include R A Puram, Adyar, Nungambakkam, Chetpet, Poes Garden, Alwarpet, T Nagar, Anna Nagar and Chilpauk.

IT/ITES Sector

The major growth in real estate sector in Chennai is because of IT, ITES, manufacturing sector and SEZs. The maximum number of IT companies and industries are located in the suburb area of Chennai. This has forced people, who are into IT, to look for properties in suburb rather than commercial areas as they would have the advantage of residing nearby to their workplace. As a result, developers are constructing large townships in places like OMR and Sriperambadur where buyers have shown positive response in buying the property. Each day new buyers are emerging and so the new trends in building have come up. With the rising new trend, the multistory apartments are changing the existing tradition of stand-alone bungalows. The city is going through redevelopment phase wherein the single floored and multi-storeyed buildings are ruling the whole city resulting in high sales. In the residential sector, the plotted developments have shown good profits and also the number of sales has increased. Overall, the present market scenario of Chennai is in a state of fluctuation. The real estate, construction, infrastructure and manufacturing have shown an increased movement in the market.

Residential Demand

There has been a change in the preference and demand in Chennai in recent months. The demand for three BHK flats has witnessed an upsurge with the area increased from 1200-1300 square feet during the recession to 1400-1500 square feet in the revival phase. The preference for two BHK apartments has also increased from 850-950 square feet to about 1100-1200 square feet in recent months. Again, the main reason for this upgrade in preferences is increased budgets made possible by improvement in the performance of the IT / ITES sector.

 

Find More Articles on: DSIJ Magazine, Real Estate Strategy, Markets, Market Outlook, Loans, Personal Finance, Home Loans

«« First « Previous |1 2 | Last ››
news letter

More for the early bird.

Get the post-market reports and breakfast news right in your inbox. See latest »

DSIJ Mindshare

Ducon Infra partners with Sterling & Wilson to bid for large GFD projects

Apurva Joshi / Article rating: 5.0

Ducon Infratechnologies Limited has entered into a strategic tie-up with Sterling & Wilson Private Limited, a flagship group company of Shapoorji Pallonji Group, to jointly bid large-sized FGD tenders. Ducon is an emerging technology company providing solutions in the industrial, infrastructure and digital space to multiple business segments across varied industries.

12345678910Last

Tiger Logistics topline to grow by 10%--buoyant over infra sector status to logistics sector

Tiger Logistics topline to grow by 10%--buoyant over infra sector status to logistics sector

Logistics sector will play a vital role in making the concept of ‘Make in India’ a success. This will be further aided by some of the recent steps taken by Government of India such as granting of infra sector status to logistics sector.

Best and worst Performing Sector Funds of Year 2017

Best and worst Performing Sector Funds of Year 2017

As the year-end has approached most of you are eager to know the mutual fund movers and shakers of the year 2017. Read on to find the performance of various sector dedicated funds.

Markets may start positive, but volatility likely due to F&O expiry

Markets may start positive, but volatility likely due to F&O expiry

The start of the F&O expiry day is likely to be in the green, but volatility may creep in with the progress of the session. The SGX Nifty suggests that the Nifty could open at 10,525 with gains of 32 points at the opening bell. 

Pidilite announces buyback of Rs 500 crore

Pidilite announces buyback of Rs 500 crore

The buyback offer comprises purchase of up to 50,00,000 equity shares. The buyback offer size comprises 0.975 per cent of the total paid-up equity capital of the company.

Bank Nifty drags markets to close in the red

Bank Nifty drags markets to close in the red

The late session fall in Bank Nifty changed the direction of the market, leading to a marginal fall in the benchmark indices. Bank Nifty yet again resisted at its multiple point downward sloping trendline level at 25733.

Six major underperforming MF schemes having higher expense ratios

Six major underperforming MF schemes having higher expense ratios

Mutual funds with a large size of assets under management (AUMs) are supposed to have lower expense ratios. However, there are schemes with large AUMs but having higher expense ratios and generating lower returns. 

Nifty Pharma supports market; Sun Pharma at bullish reversal

Nifty Pharma supports market; Sun Pharma at bullish reversal

Nifty Pharma index has come in as the healer in an otherwise sluggish market. Index has given a consolidation breakout at the 9420 level today and if the it sustains 9420, followed by 9628 on the upside, it has a long way to go.

Ten stocks close to their 52-week low

Ten stocks close to their 52-week low

Following stocks are close to their 52-week low as at 12.35 p.m. on December 27.

Ten stocks close to their 52-week high

Ten stocks close to their 52-week high

The markets on December 27 opened gap down. BSE Sensex is trading at 34,068.15, up by 57.54 points and the Nifty is trading at 10,539.45, up by 7.95 points.

Five stocks with selling interest

Five stocks with selling interest

Overall volumes in futures & options currently stand at 62.75 lakh contracts with a turnover of Rs. 5,19,204.72 crore.