Real estate investment tips – india luxury housing update

1. Real Estate Investment Tips – India Luxury Housing Update

2. The Unique Indian Scenario Akin to other emerging markets, work and leisure are rarely divorced from each other in India. The fulfilment of lifestyle aspirations is not viewed as separate from the source of the revenue that enables it - be it driven by salaries or business turnover. This has led to a rather unique concept of luxury housing in India - homes with high lifestyle quotients as close as possible to the workplace. This naturally brings with it some limitations in terms of locational ambiance, especially in business-driven cities like Mumbai and Delhi.

3. There is less scope for large estate settings, and the onus is on the aspirational quotient and inherent importance of the location, apart from the luxurious specifications of the homes themselves. Because such luxury homes are invariably centrally located, real estate prices tend to be rather high.

4. The Action Is In Mumbai And Delhi Location continues to be the key factor for luxury housing in India. This creates considerable and focused demand for luxury housing in certain areas, leading to scarcity of available supply in geographically limited cities like Mumbai. The supply that exists in high-profile locations such as South Mumbai tends to be held by institutions rather than individuals, who release their holdings at certain times.

5. Interestingly, luxury projects in India are now going vertical. While this is a function of the city and micro market rather than of the popularity of a configuration (for instance, in Delhi's Lutyen's Zone, bungalows are the only option) going vertical is the only option in cities like Mumbai. High rise luxury projects optimize the limited space available, and also bring with them a sense of modernity; therefore, they wield their own kind of aspirational value.

6. Infrastructure Is Cause For Concern There are issues that will need to be addressed in terms of infrastructure. Unlike in developed countries, enforcing strict norms with regards to structural safety, disaster, environment and fire safety in high rises presents quite a challenge in India. If we take the intense urban sprawl of financial capital of Mumbai as a reference point, it becomes evident that such parameters cannot be over-emphasized. The same can be said for other large cities, albeit to varying degrees.

7. Apart from the fact that support infrastructure is a huge challenge in most cities, we do not have the benefit of facilities such a helicopter evacuation in India. Another factor affecting the increase of high-rise buildings in India are the FAR (Floor Area Ratio) norms. FAR parameters vary from state to state and are governed by the respective city development authorities. Allowing high-rises indiscriminately in certain city areas is definitely asking for trouble, and will result in an infrastructure deadlock and eventual fall in prices.

8. Tips For Luxury Home Buyers • Determine whether you are buying for self use or investment • Calibrate you budget according to your actual need and long-term spending power • Reduce your dependence on a bank loan for such high-ticket real estate by using your own resources as far as possible • Determine both the existing and future importance and inherent value of the location • Pay only for what you get, not what you are promised.

9. Contact Us Head Office Solitaire Corporate Park, S-14, 7th Floor,Andheri-Ghatkopar Link Road, Andheri (E)Phone: 022-2491 8181/8282 On Site Sales Office Satellite Elegance, Film City Road,Pankaj Shah Marg, Goregaon (E).Mumbai, 400063Phone: 9619224444 Kindly refer to the link to know more: www.elegance.groupsatellite.com