“Ghar Aaja Pardesi” – A Rising Trend in NRI Home Buying in Gujarat
Gujarat has always been a favorite place for NRIs when it comes to real estate investment. And most recently it showed an upward trend. Reasons are manifold but to mention – Gujarat has been showing great recovery post demonetization & GST era. Unlike the market sentiment across the country in real estate, Gujarat has shown a rise in residential sales. Also, property prices have seen an upward trend since the demonetization. Thus, we can say Gujarat is doing great in comparison to other states in terms of real estate market & NRIs love it. There has been a significant increase in the number NRI buyers in Gujarat over the past few years. They either purchase high-end spaces for self-use or a residential plot or a commercial property to let it out. With the online process of taxation and well organized financial institution, it is becoming hassle-free for NRIs to meet their property buying requirements.
“Ache Din Aa Gaye Hai” (Booming market condition in Gujarat)
The salient feature of Gujarat is that the end users are the growth driver of the real estate market. Almost 90% of the buyer is looking for buying for their own use. In the current residential scenario, this makes the market more stable. The need is driving the market. There are very few investors in the residential segment in the current setting. Secondly, the state has a very high level of job creation in the manufacturing and industrial segment. People from metro cities are now moving into Gujarat’s micro markets due to job opportunities. Moreover, the impetus of Delhi-Mumbai Industrial Corridor and GIFT City as a measure of infrastructural growth has also contributed towards the rising real estate market in the state. Cities like Ahmedabad, Vadodara, Surat, Jamnagar, and Vapi have contributed towards this growth and are emerging as market leaders. The influx of auto companies, IT and ITES sector in the state has paved a way for a better real estate market. Talking about Ahmedabad, SG Highway and SP Ring Road have become the key node of growth – the main lifeline connecting Ahmedabad and Gandhinagar. In addition to this, GIFT City vouches for strengthening financial sector by on-shoring financial services across assets and creating high volume jobs. Thus, high demand in property prices is a good thing for NRI investment.
NRIs are buying properties keeping in mind the high returns on their long-term investment plans. While 2017 was a year of legal amendments in the property sector, 2018 will be the year of reaping the benefits of the amendments. The implementation of GST, RERA and the demonetization drive has made real estate friendly and transparent for NRI buyers. Also due to oversupply and lesser of new launches – property prices are very competitive. A good chunk of the NRI population is investing in real estate projects. The buyers who were sitting on the sidelines waiting for the opportune moment to invest are now ready to make their move.
Lower Interest rates:
Not only have the rates of interest on home loans reduced, banks and other housing finance institutions are now more proactive. The transparency in deals plus ample unsold inventory in the market will enable NRI buyers to invest in ready-to-move-in projects.
Discounts for NRIs
Developers are coming up with interesting and profitable offers for NRIs in an attempt to sell off unsold inventories. Due to RERA regulations, developers will have to stick to the stipulated time period. The time to buy your dream home is now!
Impact of Smart City
With top-notch infrastructure and distinctive features, GIFT City in Gandhinagar has already carved out a niche for itself and in turn becomes a model for others to follow. Ahmedabad, Surat, Vadodara, Rajkot, Bhavnagar, Junagadh and Dholera region are on the way to grow into smart cities. Looking at the current growth rate of these cities, one can’t deny the potential of smart cities in Gujarat. This will make real estate more lucrative for NRIs.
Along with emotional benefit, affordability is another major reason why investing in India is lucrative for NRIs. India is one of the fastest growing economies in the south Asian region. With the development, the property rates are also catching up gradually. The price rise in India has always been higher than the matured markets of the west. This is the reason why Indian can offer more value for money to the NRI investors, with better returns in less time as compared to other prominent real estate markets of the world. You can invest more due to the gap in currency value.
Know more about Gujarat properties https://www.pacificacompanies.co.in/residential/reflections/