Where to find affordable homes in Pune

Pune, an IT hub of India, is majorly preferred by professionals to migrate and settle down. So if you are looking for property here but have a low budget of upto Rs 40 lakh, then the current edition of PropIndex (Oct-Dec 2014), a quarterly report by Magicbricks, brings you areas where you can find such properties. 

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According to the PropIndex, residential properties in the range of Rs 20-40 lakh are in maximum demand across the city, which is contrary to the previous quarter (Jul-Sep 2014), where demand was inclined towards the Rs 40-60 lakh budget category.   

As per data with Magicbricks areas such as Dhanori, Wagholi and Hadapsar offer properties within Rs 40 lakh.

Dhanori
Located on the North-East fringe of Pune, it is a rapidly developing suburb. What makes it a preferred choice is the availability of housing options at affordable prices. It is in close vicinity to premium areas of Koregaon Park, Viman Nagar and Kalyani Nagar. It offers residential properties at Rs 4,350-5,350 per sq ft while prices in the premium areas range between Rs 6,400-11,450 per sq ft. So those who can’t afford to buy in the premium localities can purchase in Dhanori and still be close to these premium areas.

Hadapsar
It is 12 km from Pune city and is strategically located on the Pune-Solapur Highway. The locality is widely preferred by buyers as prices of the residential units are affordable as compared to the nearby areas such as Fatimanagar, Camp and Magarpatta. In the most preferred budget category of Rs 20-40 lakh, one can buy apartments sized 600-1000 sq ft.    

If you intend to live in and around the IT hubs, Hadapsar can be an option. Magarpatta houses over 21 well known IT companies and is 5 km away from Hadapsar. So if you can’t afford to buy an apartment in Magarpatta, you know where to invest.

Wagholi
Located in South Pune, it is one of the fast developing areas. Increasing number of residential developments and availability of housing options in varied budget ranges makes it an ideal choice for many. Majority of builders offer properties within Rs 40 lakh due to rising demand for this budget category.

Buyers who are unable to own a home in Kharadi, the IT hub of Pune, generally opt for Wagholi owing to the affordable housing options and at the same time closeness to work spaces. In the said budget the apartments are available in sizes of 700-1000 sq ft.    

So, buyers with a budget of Rs 20-40 lakh in Pune can now consider the mentioned localities.

The buyers are offering discounts that are attracting property buyers. A new car is offered by developers on every booking! Many cases tax exemption is provided by the developers as additional benefits.

Source - TOI

Luxury, mid-segment houses most demanded in Pune

The affordable alternative to Mumbai’s luxury properties, Pune, has been garnering the interest of buyers for a long time now. Last quarter, the city caught the eyeballs of real estate experts in another parameter.

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As per the Apr-Jun 2015 edition of the Housing Sentiment Index (HSI), a joint initiative by IIM-B and Magicbricks, Pune noted positive sentiments for properties priced in the range of Rs 2-5 crore. It is the only city across the country which has registered the most optimistic sentiments in this price category.

As per HSI, Pune is the best city to invest in, second only to Hyderabad. The main reason can be traced to the fact that a steady housing demand comes from the IT and manufacturing sectors. Also, the relatively affordable pricing compared to Mumbai is also driving Pune’s realty so far.

Mid-segment properties most in demand

HSI indicates that the Rs 40-60 lakh price range is the most preferred category among Pune residents, closely followed by the Rs 20-40 lakh price segment. Over 25 per respondents voted for both the budget segments. However, overall, the sentiments captured for each of these segments remained negative. Thus indicating that despite the availability of affordable residential options, buyers still favour property prices to come down.

As per Magicbricks data, currently, there are over 11,000 property options available that are priced below Rs 40 lakh. In fact, there are over 500 projects offering options in this specific budget range.

Source - ET 

As home demand dips, realtors go flat out

Pune: For the last three months, the exhibition grounds in Pune and Pimpri-Chinchwad have seen back-to-back property exhibitions. With the real estate market witnessing sluggish growth, realtors hoped these exhibitions would attract footfalls which they could convert into buyers.

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According to consultants, the first quarter saw three major property exhibitions in the city that attracted good footfall, thanks to discounts on the offer. Industry insiders say this was one of the easiest methods to set the buyer interest in an increasingly despondent market. “We believe that once the buyer sees various projects that are going on, there are chances of them zeroing in on one,” says a builder.

 

That the property market in Pune is anything but good is borne out by the first quarter report published by consultants Cushman and Wakefield. According to the report, the city saw a 17 per cent dip in the number of launches during the first quarter of the current year as compared to the corresponding period the last year. A total of 3,300 units were launched during this period.

 

With core sectors like automobile and IT  witnessing sluggish growth, home buyers are playing it safe. Industry watchers also say that the marginal reduction in the home loan rates post the Reserve Bank of India’s reduction of repo rates twice this year has not been enough for home buyers. However, realtors flatly refuse to do any rate correction to boost sales.

 

Shantilal Kataria, member, governing council, CREDAI, says high property rates are due to soaring prices of building material and various taxes to be paid to the state and local bodies. “The prices will remain intact and will only get higher,” he says.  Kataria says while high-end projects might have piled-up inventories, demand for houses in middle and lower segments remains high.

 

Another realtor, D S Kulkarni, rejected the claim that the Pune market has unsold inventory. “Actually, the reason why people feel that builders have a large stock of flats or inventory, as we call it, is because many of them sell flats by the dozen and then these investors wait for the rates to go up,” he said.

Source : The Indian Express

Buying a home in Pune unlikely to get cheaper, suggest realty studies

PUNE: Recent reports have suggested that residential property prices in the city are unlikely to see any major correction in the next one year. This may come as a disappointment to those planning to buy a house, but waiting for the prices to drop.

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A Jones Lang Lasalle (JLL) India Residential Realty report stated, "Unlike in Delhi-NCR, where residential real estate prices saw a massive drop during the last two years, Pune has maintained its status as a safe property investment destination with just a marginal drop in investment returns - capital value appreciation." 

 

The 'sweet spot' for buyers in the mid-segment lies between Rs 4,500 and Rs 5,200 per square feet, the report stated, adding that while there has been an increased interest in the properties on the western corridor, including Aundh, Baner, Balewadi, Bavdhan and Hinjewadi, the sales went down once a price level of Rs 5,500 per sq ft was reached.

 

Sanjay Bajaj, managing director, Pune, JLL India, said those waiting for the prices to go down are waiting in vain.

 

"However, they would definitely be able to negotiate the prices in the current scenario, depending on the inventory levels with the developer and the location of a project," he said.

 

Another report by Knight Frank Research on India Real Estate in 2014 stated that lesser number of new launches helped the city avert any depreciation in prices which, on the contrary, rose by 5% across the city.

 

"The slowdown rate in Pune has been lesser when compared to other cities. It is still one of the best markets to invest in, after Bangalore," said Shantanu Mazumder, director of Knight Frank India, Pune branch. While no increase or decrease is expected in the next 12 months, an improvement in sales is expected, he added.

 

Experts have attributed the rise in prices to continuous migration of people from other states to the city. "Being an industrial hub, the city witnesses a lot of people coming here for better career opportunities. This migratory population could be attributed to the rise in demand which eventually pushes up the realty prices here," they added.

 

Sanjay Dutt, executive managing director for South Asia at property consultant Cushman and Wakefield, said, "Although the percentage of people investing in Pune residential market is not as much as in Delhi or Mumbai, and there are more end-users here. Also, while there has been a drastic increase in prices in Pune since last 10 years, the increase has been marginal in the last one or two years."

 

To enhance sales, developers have launched new schemes which require the customer to pay up to 30% of the total amount while booking and the rest after possession, he said, adding that these schemes were not available in the city earlier.

Source : The Economic Times (ETRealty.com)