Mumbai Can Be Affordable Too, Here's How
Affordability and Mumbai realty usually does not go together. But the fact is there are enough options and prospects for buyers with a modest budget. While these options remain suitable for investors who intend to invest to earn through their property in the wake of rental income and capital appreciation, end-users might need to compromise their comfort, especially if they have to commute to far off places for work.
Here's why you could turn to Mumbai realty for an affordable investment-
Number of options
While government is making all the efforts to push affordable housing plan and its implementation in the most efficient way, construction companies, banks, private financiers, developers and all other stakeholders have taken a note of these things and are making possible moves to make this plan more concrete. Of late, several developers have announced launch of affordable projects in Mumbai metropolitan region. Arihant Infrastructures, Sunteck Realty, Arthveda etc. are few such builders who have made these announcements recently. The distant suburbs of Mumbai like Palghar, Dombivli, Taloja are some of the soon to be hubs for pocket-friendly housing.
The motive behind affordable housing is to ensure a house for every family. Rental housing is another way of ensuring a home for everyone. Investors who are parking their money in real estate also consider earning rental income. Since affordable housing options are available for lower rentals, there are supposedly more takers. This is the reason, the rental prospects of affordable housing units are always high.
Capital appreciation speculations are almost real
Mumbai is one of those real estate markets which have witnessed a marked increase in property registrations, despite currency ban. This shows that the investors in this property market are resilient and have kept the demand high and strong even after demonetisation. While this demand is restricted to mid segment units and affordable housing, price appreciation is also most prevalent in this segment as those options available in higher range have less takers and are restricted to South Mumbai.
Enough growth drivers
Mumbai Metro, Coastal Roads, Monorail and now Trans Harbour Link Road, followed by Navi Mumbai International Airport- infrastructure has impacted even the far-flung areas of Mumbai, purely on the basis of smooth connectivity and reduction in travel time. For instance, travel time between South Mumbai and Navi Mumbai will be reduced to half once Nhava Shewa Link Road becomes operational. This has impacted the property market of New Mumbai. Similarly, development of new international airport in Panvel is boosting real estate prices in the area.
Another aspect which acts as a prudent growth driver for any of the micro-markets of Mumbai metropolitan region is its proximity to the commercial or job market. As traveling remains one of the biggest challenges for Mumbaikars, people prefer to live close to their offices, provided rentals are affordable.