Indian Millennial Homebuyers: The Times Are Changing

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Anil Pharande, Chairman – Pharande Spaces

Everything that your parents may have communicated to you about owning a home may be incorrect if you are a millennial under the age of 35. However, don’t blame yourself for this – your parents operated by a rigid set of values that they have simply passed on to you. It was a simple enough formula – get a good education, get married, have kids and buy a big flat in the city. This is – or was – the quintessential Indian middle-class dream.

This dream – and the formula – may continue to have relevance to quite a few younger people in India, but the way life works for today’s millennials in India is no longer so cut and dried as it was for their parents. In the first place, we have a rapidly evolving and increasingly competitive job market in India.

The career charts of Indian millennials are no longer as predictable as those of their parents were – nor does a sound college education mean that one can actually get the best jobs anymore. Also, millennials are the ‘job hopping’ generation which wants to sample different lines of work and also different companies with varied work cultures before they ‘settle down.’ This is one reason why many Indian millennials initially prefer to rent rather than buy their homes.

Secondly, because their careers are no longer cast in the concrete of limited options like engineer, doctor, lawyer, banker or ‘Government job, young Indians today are marrying later and are not necessarily in a hurry to have children once they do, either. When they do decide on having children, having one child is, more often than not, enough. The typical millennial family of today is essentially nuclear and does not subscribe to the values that drove the much larger and much more complex joint family package.

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They are more flexible and value their freedom, so they are not overly invested in making heavy financial commitments as soon as they are able to (making such commitments was a defining factor of the previous generations of Indians).

What does this mean in terms of their home purchase decisions? For one thing, it means that a smaller flat – even for a dual-income household – is perfectly adequate to begin with. What increasingly matters for the young, smart socially conscious Indian nuclear family of today is not necessarily size, but:

  • Value for money (banks and developers should understand by now that dual income does not equal dual gullibility)
  • Being able to get to and from work conveniently (not because getting to work fast matters most, but because getting home faster leads to better work-life balance)
  • Good public transport connectivity (because using public transport is good for the family budget as well as the environment)
  • Two car parking spaces (because two earning members may need to be as mobile as possible)
  • Fast broadband + Wi-Fi connectivity and other smart home features (because many Indian millennials can and do work from home, or from home as well as an office)
  • Environmental sustainability of the project (because most Indian millennials do believe that the world can become a better place)

Upgrading to larger homes should be an option, but it is by no means the only acceptable path for the Indian millennial to follow. For the previous generations, the ‘upgradation’ route was more or less socially enforced – but that trend is now history.

Strangely, many residential developers in cities like Pune have not caught on to the reasons why their projects are not selling as fast as they used to. They choose to believe that it is because ‘market conditions’ are currently ‘slow’. That may be true, but the larger fact is that housing projects that appealed to their parents may not have the same attractiveness for today’s millennials.

Projects that do not meet the requirements of today’s younger generation of working professionals are not going to work for this buyer segment, regardless of the market conditions.

One truth about the real estate market has not changed, even for millennials – while it is not all about ‘location, location, location’ for them, location is still certainly very important. It’s just that ‘central location’ is no longer the Golden Rule – Indian millennials are far more inclined to purchase their first homes in the suburbs, not in the city centre.

They are also far more likely to buy homes in organized townships with stand-alone infrastructure and their own schools, healthcare and shopping / entertainment facilities. Townships with their own office complexes offering potential walk-to-work or cycle-to-work possibilities and those close to major employment hubs such as IT parks and manufacturing belts are the most preferred.

About The Author:

Anil PharandeAnil Pharande is Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in West Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a diverse range of real estate products catering especially to the 42 sectors of Pradhikaran. The luxury township Puneville at Punavale in West Pune is among the company’s latest premium offerings. Woodsville in Moshi is another highly successful PCMC-based township by Pharande Spaces which is now in its 3rd phase.

Gudi Padwa: The Festival of Renewal and Property Investment

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

India is a country of myriad traditions and festivals that are not only times of celebration but in many cases also major investment decisions. As a result, many market segments are also aligned to these periods. The Gudi Padwa festive season is among the periods of intense real estate market activity, because this period is traditionally seen as one of renewal and forward planning.

Gudi Padwa is a celebration of the coming of spring, during which nature once again delivers its gift of abundance after the largely barren winter months. In fact, this period is celebrated by almost every culture in the world in some form or the other. But probably nowhere with as much joy and fervour as in India, which is a country with very strong agrarian roots. It is no accident that Gudi Padwa coincides with many festivals all over India, from Baisakhi in Punjab, Puthandu in Tamil Nadu, Yugadi in Andhra Pradesh and Vishu in Kerala.

The cross-linkage of Gudi Padwa with real estate purchase is by no means a latter-day phenomenon – this trend has been in evidence since historical times. India is a country where certain times of the year as seen as very auspicious for any activity related to investment and wealth creation. A self-owned home is the biggest and most important investment for most Indian families, and the Gudi Padwa festive period invariably sees significantly increased property purchase activity.

This year, Gudi Padwa coincides with many other favourable market dynamics. Very much in keeping with the spirit of spring which Gudi Padwa celebrates, India has emerged from a prolonged period of political uncertainty and economic doldrums. A strong and resolute government has taken charge, and the Indian economy is visibly reviving. Across the country, Indians have put job insecurity and indecisiveness about their future goals behind them. However, the property market has not yet picked up concurrent pace, resulting in a very favourable scenario for home seekers this Gudi Padwa.

Depending on how the property market is behaving, developers roll out various offers and incentives to encourage buyers during the Gudi Padwa season. This year, such offers are going to be plentiful, but a more important dynamic we will see is that many developers who had refrained from lowering their rates may do so selectively this year under the guise of festival discounts. Without a doubt, the tradition-fuelled upswing in buyer sentiments must be harnessed during Gudi Padwa.

More than ever, home seekers intent on making their purchase this Gudi Padwa need to be guided by the right fundamentals. It is important to understand that when it comes to freebies and offers, the real estate market is no different from any other kind of market – an attractive offer only makes sense if it is attached to the right product. Considering the magnitude of investment one makes into a home – and also the purpose of this investment – it is very important to ensure that one is buying what one really wants and needs.

One of the best ways to maintain a clear focus while buying a home in a festive season is to make a list of the merits and demerits of every option one has short-listed first. Given the specific nature of home purchase, sufficient weightage must be given to location, the reputation of the developer, the facilities and amenities available, and of course overall value for money. If all these check out positively and are backed by an attractive offer or discount, one is on the way to making a good choice.

About The Author:

Anil Pharande is Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in Western Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a diverse range of real estate products catering especially to the 42 sectors of Pradhikaran.

Real Estate Investments Flowing Into West Pune

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

With a consistent track record for delivering the highest value to home buyers and investors alike, Pune’s real estate market has remained one of the most vibrant and exciting in India. By attracting more and more international and IT/ITeS companies to establish their operations, the city has been generating jobs at a scale which is unmatched by any of the other Indian metros.

Though the city ‘s property market has been witnessing fairly uniform growth, there is no doubt that West Pune is now the most vibrant and promising corridor. The primary factor driving growth in Western Pune is the Pune-Mumbai Expressway, which allows convenient and fast access to Mumbai.

Even by itself, this factor alone makes West Pune one of the most important parts of the city – in recent years, Pune and Mumbai have been coexisting in mutually beneficial economic juxtaposition, with capital and other resourcing flowing freely between the two cities.

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The other reason why West Pune is on a tremendous growth curve is the fact that it has the major IT Parks of Hinjewadi, Baner and Aundh in the neighbourhood. At the same time, it enjoys superlative connectivity to the industrial pockets of Chakan, PCMC and Talegaon. Moreover, despite the massive economic activity and growth in this part of the city, West Pune enjoys a high degree of natural beauty.

This combination of factors has resulted in West Pune becoming the most preferred destination for home buyers and real estate investors not only from Pune, but also from Mumbai and various other parts of Maharashtra.

Because of the rapidly increasing demand for residential and commercial properties, West Pune has in the past delivered some of the most attractive real estate locations. With Aundh, Baner and Wakad now almost fully exploited and nearing complete saturation, Punawale has become the hottest new location in West Pune.

To a large extent, Punawale owes its fast rise to fame to the fact that it is located very close to the thriving Information Technology parks in Hinjewadi and Tathawade, as well as to the Pune-Mumbai Expressway. At the same time, Punawale offers quick access to Wakad and has a number of good schools, hospitals and shopping malls close at hand.

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With the arrival of superlative residential projects at Punawale by reputed developers such as Pharande Spaces, this area is now the the location of choice for IT/ITeS professionals working in Hinjewadi and Tathawade, as well as from buyers from the MIDC manufacturing hub who are attracted by the better lifestyle options now available there.

 

 

 

puneville_1This combination of factors has led to Punawale becoming not only a hot new investment destination but also West Pune’s newest and most exciting luxury homes destination. Punawale has now seen the arrival of Puneville, a luxury township by Pharande Spaces – a project that has provided Punawale with a 360-degree image makeover on the Pune real estate map.

Like Moshi, Ravet, Spine Road, Wakad and many other highly successful real estate locations, Punawale has the added advantage of being located at the fulcrum of various mega road development projects by this region’s infrastructure-focused town planning authorities.

Backed by the unlimited cash reserves at the disposal of PCMC, Asia’s wealthiest Municipal Corporation, and a diverse and vibrant economy which provides a convincing complement to that of Pune, Western Pune is seeing a steady and growing pipeline of employment opportunities generated by its manufacturing and Information Technology industries.

In Punawale, Western Pune has received yet another iconic location to take this prosperous, infrastructure-driven region’s real estate story to the next level.

About The Author:

Anil Pharande Chairman of Pharande Spaces, the pre-eminent construction and development firm in the thriving, pro-infrastructure Pimpri-Chinchwad Municipal Corporation (PCMC) region of Pune. Pharande Spaces has a number of integrated township projects in Western Pune in high-value locations such as Moshi, Ravet, Punawale and Spine Road to its credit. Puneville, the new luxury township at Punawale, has become the definitive landmark for luxury living in Western Pune

West Pune’s Golden Location Matrix Widens Into Punawale

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

While real estate is a constantly changing and evolving concept, some parameters remain constant – the three success mantras are still Location, Location and Location. In this respect, Western Pune is an important new chapter in the annals of Pune real estate’s success story. One of the most exciting new locations in this corridor is Punawale.

Thanks to massive demand for residential and commercial properties, Western Pune has delivered some of Pune’s hottest real estate locations over the past decade. Punawale is the latest addition to the region’s lineup of strategic real estate development and investment hotspots.

Located advantageously close to Hinjewadi and its burgeoning IT Park and the Pune-Mumbai Expressway, Punawale has now emerged as the location of choice for home buyers from the Information Technology as well as manufacturing segments. Punawale is also in close proximity to Wakad and benefits from convenient access to various hospitals, schools and shopping malls.

puneville

This combination of factors has had a big impact on demand for properties in Punawale, and has led to the launch of many new residential projects. Puneville, a luxury township recently launched by leading developers Pharande Spaces, is one of the most notable examples of Punawale’s massive image makeover on the Pune real estate map.

Like Moshi, Ravet, Spine Road, Wakad and many other highly successful real estate locations, Punawale has the added advantage of being located at the fulcrum of various mega road development projects by this region’s infrastructure-focused town planning authorities. Backed by the unlimited cash reserves at the disposal of Asia’s wealthiest Municipal Corporation.

Backed by a diverse and vibrant economy which provides a convincing complement to that of Pune, real estate growth in Western Pune is backed by a prolific manufacturing sector represented by a number of national and global industry giants. This region is seeing a steady and growing pipeline of employment opportunities generated by its manufacturing and Information Technology industries.

This factor has ensured that areas like Punawale see instant absorption of housing projects across budget brackets. It goes without saying that an employment-driven real estate location like Punawale also receives significant attention from property investors.

In Punawale, Western Pune has received yet another iconic location to take this prosperous, infrastructure-driven region’s real estate story to the next level.

Pune Real Estate – For The Lack Of A Road…

There are often comparisons made between the infrastructure of Mumbai and Pune. The popular consensus seems to be that both cities are equally challenged as far as supportive infrastructure is concerned. This is inappropriate for two reasons – one, Mumbai’s growth pattern has been very different from Pune’s.

The city has evolved into the country’s financial capital, and the pressures on it are enormous and overwhelming, considering the fact that a significant part of it is an island that cannot grow horizontally to accommodate the growing real estate demands.

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Pune, on the other hand, has an advantage by virtue of the fact that it has been able to add to its borders by means of surrounding villages. This has served to decreased pressure on the central city and encouraged an outward growth pattern.

The challenges on Pune’s infrastructure – particularly its road network – have more to do with the speed of this growth. While there are various proposals for roads and road widening, these have to be translated into real time to be effective.

The pockets of infrastructural under-development are the result of both developers and the Government concentrating on existing growth areas and sidelining those with high future potential. It is a known fact that no area can grow in terms of residential, commercial and retail real estate unless the necessary infrastructure is first put in place.

This is quite a common phenomenon that is the result of the principle of fastest returns almost instinctually followed by both developers and the Government. Bangalore, for instance, was initially not well planned for radial expansion. The approach in this city was simple – where Information Technology projects went, residential projects followed. IT and ITeS, as business lines, are not dependent on a city’s CBD areas and can workably exist in areas where property prices are low.

Once such a project is established, residential, commercial and retail establishments follow. Since this kind of growth in no way follows a master plan, the result is haphazard pockets of growth. This naturally leads to the neglect of areas that have not been so favoured. The syndrome is also evident in the case of other industries such as manufacturing.

To identity another factor that has compromised Pune’s holistic growth in terms of real estate viability – the first masterplan for the city designated a much more progressive ‘roadmap’ for the city’s road network, while the second one is decidedly sotto voce on these. Also, key roads leading to new growth areas are not being put in place with the speed necessary to ensure that these new areas have the requisite connectivity.

In comparison, the Pimpri Chinchwad Municipal Corporation (PCMC) has been proactive in terms of a proper road network. This explains why there have been such spurts in growth and corresponding real estate values in this region. Considering how much the authorities have already achieved, it is distressing that certain pockets in the region still show signs of infrastructure deficit.

A continuing area of concern in this regard is the lack of adequate road connectivity between certain key areas of the PCMC and areas such as Talegaon. Because of the massive potential for industrial and residential development in and around these areas, they have seen most of the road construction initiatives. In the process, road connectivity from these locations to some of the most important growth areas of PCMC has been largely ignored.

Paradoxically, the areas referred to as Phase 2 in the PCMC development plan hold the highest potential for real estate growth. Thanks to the availability of large land parcels at relatively lower prices, residential and commercial realty development has picking up rapidly in areas such as Moshi. In the meantime, Moshi has become a hotbed for property investments because of the International Convention Centre being jointly developed by the Maratha Chamber of Commerce and the PCMC.

Despite this, there is still no sufficient road connectivity between Phase 2 and the larger industrial hubs. This is going to prove to be a huge stumbling-block for the overall growth of the region. The lack of a suitable road network means that people living in areas like Moshi face difficulties in reaching their workplaces in these employment clusters. This issue must be addressed on a priority basis. A city like PCMC must do everything in its power to ensure that its growth pockets are not isolated from each other.

The potential of this key area apparently lacks recognition of its inherent future value. A closer look at its promise for the PCMC real estate market would very likely cause a more fast-paced development of its road network.

There are earlier precedents in Pune, wherein languishing areas were given fast-paced infrastructure upgrades because of an upcoming market catalyst. When the recent Youth Commonwealth Games loomed closer, the enhancement of Baner Road and Pashan Road were put on the fast track.

In the same manner, it is not unreasonable to anticipate that the planning authorities will take cognizance of the fact that PCMC’s Phase 2 is extremely important, and that it must at all costs be enabled with the requisite road connectivity.

Anil-Pharande

 

 

Anil Pharande is Vice President – CREDAI (Pune Metro) and Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

What Pune Real Estate Needs From Budget 2012-13

The 2011-12 budget did not offer much to the Pune real estate sector, and neither home buyers nor developers has any reason to feel enthusiastic. At the time when the Budget for 2012-13 is about to be announced, the city continues to face problems because of such industry hurdes as high lending rates and construction costs, insufficient infrastructure and lack of affordable housing.
Pune Property
The provisions that Pune real estate needs from Budget 2012 are:
  • A higher allocation of infrastructure funds, which should nevertheless be disbursed only if clear guidelines on timely commencement and completion for projects are agreed upon and adhered to
  • Removal of the 10% service tax on residential real estate construction, which increases the cost of new homes by as much as 3%. For a cost-sensitive market like Pune, which has a sizeable lower mid-income segment, this additional cost makes a big difference.
  • More incentives for development of affordable housing, so that more developers are encouraged to become active in this important sector and can increase the supply of budget homes in Pune.
  • Reduction of tax burden on rental income. Since buying a home is still an unattainable dream for many Puneites, renting remains the only viable option. In such a scenario, the Government needs to make rental housing a more attractive option for landlords. More fiscal incentives for landlords would also put downward pressure on rents.
  • Broaden the scope of interest rate subsidy for budget homes. Currently, the 1% home loan interest subsidy is only available for properties costing upto Rs. 20 lakh. This is extremely narrow-sighted, since it limits the choice of budget-constrained home buyers to the smallest formats and the furthest outskirts of the city. Increasing the ceiling to Rs. 30 lakh would help homebuyers to live closer to their workplaces, and to buy decent-sized homes.
  • Increase developers’ access to project funding at reasonable costs. The RBI’s step-motherly treatment being extended to real estate developers in this regard is reducing the supply of affordable housing and increasing the cost of these properties to home buyers
  • Reduce taxes such as excise, VAT and stamp duty on real estate so that home purchase becomes more attractive
India Budget 2012 is a great opportunity for the Finance Ministry to prove that the Government is concerned about the lack of affordable housing for the common man. We sincerely hope that this opportunity will be used with wisdom and compassion.

 

Anil-Pharande

 

Anil Pharande is Vice President of CREDAI Pune Metro and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

 

 

Township Property Mania Hits Pune

In Pune, something very new and exciting is happening on the residential real estate market. Where ordinary flats were once the most sought-after type of residential property, the trend is slowly but surely changing to a demand for township properties. The more discerning Punekars of today says that nothing less than the convenience and ambience of a township property will do.

Pune property

Who are these people? Mostly representatives of the IT and manufacturing sectors. These, along with some other discerning professionals, have apparently become fed up with the congestion of the inner city, and the lack of amenities in the projects there. They are setting their sights on the spacious, green environment of areas beyond Aundh. Pimpri Chinchwad, with a special focus on the booming market in Pradhikaran properties, is especially in demand.

What is it about these township properties in the PCMC area that makes them so different from other available ones on the Pune property market? Well, one reason is that nothing within the suburbs of Pune can match the bliss of living in a township property. The mantra in these avant-garde resindetial projects in Pimpri Chinchwad is still ‘respect and enjoy Nature’. In the township properties in areas like Moshi and Ravet, green environment is carefully maintained and traffic congestion is unheard-of, despite the proximity of the Express Highway.

The environment is absolutely perfect for families to live in. There is so much demand for these properties that many prominent developers have snapped up prime land exclusively for the building of township properties. Other factors also add to the popularity of these townships – the Expressway, of course, is a vital one. The Expressway is the umbilical cord between Pune other major cities, beginning with Mumbai. In many ways, the Expressway is the lifeblood of Pune’s commercial progress. In addition, the nearby Mumbai-Bangalore Highway brings in further commercial growth and intercity connectivity.

With the kind of investment value that localities along these two major highways get, their popularity comes as no surprise. However, the Expressway has also brought about the existence of the Hinjewadi Infotech Park. The professionals that work there need homes close to their offices, and also privacy and peace in their time away from work. This has been another driving factor behind the township properties mania in the Pimpri-Chinchwad Municipal Corporation area. Obviously, another contributing factor is the Pimpri-Chinchwad industrial belt.

In the not-so-distant past, township properties were a residential genre reserved exclusively for the ultra rich. This has changed drastically with their rising popularity. The fact is, owning a township property in Pimpri Chinchwad has now become a feasible option for Mr. Everyman.

Anil-PharandeAnil Pharande is Vice President of CREDAI Pune Metro and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

 

 

Green Building Initiative At PCMC

(Source: Daily Bhaskar)

Pune: The Pimpri Chinchwad Municipal Corporation (PCMC) launched its ‘Green Building Initiative’ on Saturday. The initiative was inaugurated by PCMC commissioner, Ashish Sharma and mayor, Yogesh Behl at the Auto Cluster, Chinchwad.

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On the occasion, Behl said buildings had a major impact on the environment in terms of depletion of natural resources due to building materials, enormous energy consumption and wastage of water during and after construction and pollution of urban air. Thus emerged the need for green buildings to benefit the environment and to provide a better place for the occupants to live and work in.

Sharma said, “The PCMC has always been proactive in taking steps towards better living environments for urban dwellers. It is now the first municipal corporation to make a conscious effort towards its responsibility towards natural resources and the impact on society by incentivising green rating for integrated habitat assessment — Griha — rating system in their jurisdiction.”

The Energy & Resources Institute (Teri) developed Griha jointly with the Union ministry of new and renewable energy, which is suitable for all types of buildings. This rating system not only takes care of energy conservation, but also looks into water and waste management. Association for Development and Research of Sustainable Habitats (Adarsh) is mandated to promote development of buildings in India through Griha.

By this initiative of incentivising Griha-rated green buildings in PCMC area, there will be savings in potable water usage, waste water treatment and solid waste management.

Property owners in green buildings will be benefited by reduction in pollution related to air, noise, soil and water. There will be savings in energy consumption. The developer will get the discount in premium amount of building permission charges as per the rating awarded by Griha. There will be a discount of 10% in property tax for end-users. The developer can seek fast track environmental clearance through Griha pre-certification, added PCMC environment department officials.

http://daily.bhaskar.com/article/MAH-PUN-green-building-initiative-at-pcmc-2311533.html

Buying Investment Property In Hot Markets

Investing in real estate is a time-honoured method of achieving financial success. Throughout the ages, investment property has helped a lot of people make a great deal of money – sometimes quickly, sometimes over the long term. Those who invest for the short term are generally known as property speculators, and they play a dangerous game. Long term property investment is for forward thinkers who have an investment horizon of at least five years.

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The objective of a long-term property investor is to buy a property at a low price and sell it at a higher price. To be successful at this, one needs to know what is going to happen in a certain location over the next few years. You will need to invest in a growing location, not an established one. This is especially true if  you are a middle-class person living off a middle-class income. There are two reasons for this.

First of all, properties in established locations cost a lot of money. At the same time, their long-term investment value is lower. The reason for this lies in the nature of the real estate market. The costly (or ‘prime’) areas gained their value over a certain period of time, but what goes up will eventually go down. Real estate gains value because of new infrastructure projects, shopping centres, public transport facilities, etc.

If you look at central locations of Pune such as Bund Garden Road, KoregaonPark, Kothrud, Deccan Gymkhana and Laxmi Road, you will see that nothing more can happen there. These areas are saturated. In many of them, residents are facing a lot of problems because of overcrowding, lack of parking, open spaces, playgrounds for their kids, pollution and traffic clogging. Even with the best of intentions, the city planning authorities cannot do anything to make life better for them – there is simply no space left.

Though the property rates in these areas of Pune are high, they cannot rise further because the future has nothing to offer there. Long-term property investment in Pune means buying real estate in an area while it is on the rise – not when it is in saturation or decline mode. Buying investment property means buying it where people are going, not where they have already been for generations.

A hot property market is one where there are upcoming changes in the infrastructure, and where homebuyers are headed. Infrastructure can include things like major highway construction and shopping and entertainment facilities. Look for areas that have a lot of employment options, because people always want to live close to where they work.

Also keep your eyes open for areas where large corporations are relocating or already exist and have room to expand. When this happens, the real estate market in that area will boom due to demand for housing and small businesses. Business is one of the most reliable drivers for real estate prices.

In terms of the Pune property market, Pimpri Chinchwad has all the above ingredients of a hot property investment destination. This is the reason why more and more Pune developers are now concentrating on projects in this boom area. If you want to know more about this thriving property investment location, you are welcome to contact us to learn more about the various lucrative residential property investment options in Pradhikaran and other areas of Pimpri-Chinchwad  available.

Tips On Buying A Home In Pune

Every Indian dreams of having their very own home, and most people work all their lives to save up enough money to purchase it. In fact, this is the primary driver of the Pune property market, since this city holds to the traditional concept of homeownership as a gauges of security and success. And, of course, a new home is the best gift you can give yourself and your family.

Because of the recent economic crisis, a lot of Pune property buyers have begun thinking twice about purchasing a new home. The major reasons are increased interest rates and the rather unfriendly Pune property rates. While a number of banks are offering to help out families in Pune who want to buy their own home, there are still clouds of doubt that hover above the decision makers.

It is true that buying a home is a huge investment, and that you need to maintain it for a lifetime. For a middle class homebuyer in Pune, buying a residence is literally putting all the chips on the table. Here are some tips that are worth considering before you proceed with buying a property in Pune:

  • Location

Location is perhaps the most important factor to consider, because it will say a lot about your purchase. Do not forget that its location dictates the price of your new home in Pune. For example, a 3 BHK flat in the middle of nowhere will cost you a lot less than a 1 BHK in the middle of the city’s commercial district. Some areas are called prime because of their central location. They are close to the places that we need access to, such as schools, healthcare facilities and shopping centres. These places cost a lot more because they offer all of these.

However, the new concept of township properties has created an entirely new paradigm. The new townships in Pune allows property buyers to avail of all these facilities even if the location is not in the centre of the main city. Some of the best townships in Pune are coming up in the Pimpri Chinchwad area – for instance, Woodsville in Moshi and Celestial City in Ravet, both being developed by Pharande Spaces. These are integrated townships that offer every convenience of modern living in Pune’s flourishing sister city.

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  • Price

The cost of your flat in Pune is obviously one of the most important considerations. As already stated, certain properties in Pune cost more simply because they are centrally located within the city. It is significant to note that despite the higher pricing, the homebuyer has to put up with traffic congestion, air pollution, lack of greenery and inadequate parking facilities.

Those who are looking for a reasonably priced flat in Pune will only find it in the further locations. Many of these new areas do still have some greenery and less traffic congestion and pollution. However, in time these areas will also succumb to the hammer of indiscriminate development which has been the hallmark of the Pune real estate market.

Again, Pimpri-Chinchwad township properties offer the perfect alternative. The real estate development in the PCMC area is strictly controlled. This means that infrastructure keeps pace with property development at all times. In other words, these Pune township properties will never be strangled by over-development and traffic snarls. They are the perfect alternative for Pune property buyers who are looking for a clean, green environment to live in – not only for the current generation, but for all generations to come.

  • Security

Security is a major concern in a fast-developing city like Pune. Your choice of location for your new home also reflects on the safety of your family as well as your property. Security is definitely a very important consideration when you purchase a new home. It makes more sense to buy a property in a township project which offers round-the-clock security than in a urban city centre with a high crime rate.

  • Appreciation

While central location is a big driver for property prices, central locations are also the most volatile in terms of price fluctuations. This is because the property market in city centres is more often than not driven by investors rather than genuine end users. On the other hand, there are no other price drivers in a congested, overdeveloped city. Very little can be done to enhance the infrastructure and therefore the lifestyle quotient of property owners.

Though prices stagnate in the city centre for these reasons, property valuations for township properties in developing areas such as Pimpri Chinchwad increase because of the better infrastructure, more wholesome environment and the steady – yet controlled – addition of value-adding projects such as office complexes, malls, schools and hospitals.

While buying a flat in Pune, it makes a whole lot of sense to consider the purchase from all angles. In short, keep in mind what kind of standard of living you wish to enjoy in your lifetime and also pass on to your children.

Posted by: K. D. Nagarkar