To Buy or Not to Buy

With the economy picking up slowly, at least in the papers and TV, it is only natural that real estate prices are expected to grow after hitting the rock bottom. From the eyes of an NRI, unsure of how much the prices have dropped, a big dilemma creeps in whether or not this is the right time to purchase property in Chennai/India.

This is the situation: The government is trying its best to increase the confidence in buyers by decreasing the interest rates for loans. Banks are putting up stalls and kiosks on streets selling home loans like fruits. There is a property fair happening every other weekend at some corner of the city. And guess what, all the developers are present there with their brochures and pamphlets. Most builders have shifted to low budget projects where each apartment costs somewhere between 10 Lakhs and 25 Lakhs addressing the consumer power in this financial situation.

The buyer knows deep down that this is indeed the right time to buy property but he is still doubtful. We can't blame him because more than him/her being worried about whether or not this is the right time to buy, he/she is unsure about the completion of the project. This notion has developed in the last 2 years after reading news articles on buyers asking for their money back due to the delay in completion. The delay is due to the many cancellations of previously booked apartments, which turned out to be expensive suddenly for some buyers who had gotten hit by the crisis.

This is exactly why low budget housing makes sense because the consumer is not blocking much of his capital on purchasing these properties. From what we have seen so far in the industry, there's a lot of demand for low budget housing in and around Chennai and hence it is a good time to buy. In conclusion, the entire country's confidence in Real Estate has to pick up if Real Estate has to pick up.

Some Low Budget housing projects

Unitech Unihomes - http://metroplots.com/project/view_project/?project_id=43
Puravankara Cosmocity - http://metroplots.com/project/view_project/?project_id=18
Vasavi Majestica - http://metroplots.com/project/view_project/?project_id=24
India Bulls Greens - http://metroplots.com/project/view_project/?project_id=37
Vasavi Magilam - http://metroplots.com/project/view_project/?project_id=23