The Delhi NCR has evolved into an end-user market as only people who wish to own a home are now buying in this market. Earlier, the NCR was mostly an investor driven market and a large amount of black money was finding its way into the real estate sector. Now that the government has put a dampener on the black money real estate sales have slumped.
Vasundhara is located on the Madan Mohan Malviya Marg, which is the road linking the Anand Vihar interstate bus terminal (ISBT) and Mohan Nagar. This 1000 acre township falls in Ghaziabad in Uttar Pradesh and is well connected to New Delhi via Wazirabad Road and Anand Vihar ISBT. The closest New Delhi metro rail station is Vaishali which is 2 km away and the nearest railway station is Anand Vihar. The going rate for apartments here stands between INR 4500 to 6000 psqft.
There are a few pointers for people wishing to invest in Ghaziabad, where there are some excellent options in township projects and budget homes. The price increases are largely depending on the industrial and economic growth of this area. But how good a residential locality it is will depend on how fast the infrastructure develops around it.
One of the major factors which developers tout is the proposed six-lane expressway. It must be remembered that this expressway will take easily five to six years to build. At present there is major congestion in Indirapuram. So if you plan to live in this house, you have to factor in the traffic congestion and whether you can face it day in and day out. Again, if you are investing in a place then be prepared to wait awhile as price appreciation will take time.
The last year has been particularly bad for the real estate sector and there has been a dip of about 50% in sales by June 2015. New launches also dropped by over 65% during this period. Crucial lessons for both the builder and the buyer have emerged after this bad phase.
The Delhi NCR market has been quite a booby trap for prospective home buyers and there are some things that can be avoided.
1. Home buyers have to find out how long it would take to get possession of the apartment
2. Double check documents to see if they are original
3. Do a background check on the builder
4. Don’t get impressed by lofty commitments
5. Do some research on the locality and check out the infrastructure
A mid 2015 research findings on the number of unsold homes in the NCR revealed that there were about 1.7 lakh units unsold while there were another 90,000 housing units under construction which will most likely be delayed. Apparently, some of the unsold apartments in the NCR are tangled up in litigations and other legal red tape while some others are caught up in snarls with clearances and permits.
Another reason for the large number of unsold apartments is that the prices quoted are unrealistic and the apartment sizes were too big. Many builders who have projects under construction have since corrected the carpet size on the apartment to bring down prices.
Research further revealed that the speculative buyers are staying away from the market and the end users are also getting picky about what and where they buy. Realtors said that even flats which were ready to move in, were not finding buyers. It is estimated that the demand for properties in the NCR has come down by more than 30%, even though the prices have softened in some key localities.
Nina Varghese for IndiaProperty.com
Image: By Superfast1111 (Own work) [CC BY-SA 3.0 (http://creativecommons.org/licenses/by-sa/3.0)], via Wikimedia Commons