Everything you need to know about buying a house in Bangalore

- by Karishmah Siingh (VP Sales & Marketing, Sattva Group)

What do people look for in real estate investment?

The main purpose of any investment is profit. Real estate investing is no different. There are a lot of factors people consider while making a real estate investment, and these factors often determine the profitability of the investment. Location is the most important consideration these days when people invest in real estate. A good location is well connected to different parts of the city, has good transport links, and is in close proximity to good schools, hospitals, and major commercial areas. Having essential amenities like departmental stores, shops, and restaurants also play a key role in a location’s desirability.

The type of property is also an important factor while investing, as under-construction properties are usually cheaper. Ready-to-move in properties may be more expensive in comparison. But the timeline is also considered in this case, as people who need possession of the property sooner might prefer ones that are readily available.

Prospective buyers consider the value of the property carefully. This is essential, as the cost and the worth of a property may often be very different. A fixer-upper may be profitable if it is located in an up-and-coming neighbourhood.

Will Bangalore real estate come down?

If the pandemic taught us anything, it was to expect the unexpected. Now that the pandemic is over, the “new normal” is not new anymore, and people who had left for their hometowns during the WFH phase are returning to Bangalore. This has led to a drastic increase in the demand for accommodation.

Bangalore is also the largest commercial hub in India, and IT employees have also seen robust salary increments. The steady increase in employment for IT professionals combined with salary increments for IT employees and best-in-class affordability have made Bangalore a top choice for real estate investments.

Bangalore has been one of the biggest Indian cities to have withstood the impact of the pandemic and the consequent lockdown. Life never came to a standstill in Bangalore, giving it major credibility in the real estate market.

Is it good to buy an Apartment or an independent house in Bangalore?

There was a time not too long ago, when apartments were considered “premium” over independent houses. These days, the reverse is true. Apartments and separate houses have their own pros and cons. A major advantage of an independent house is the privacy it offers. Living in an apartment means sharing common areas like lifts, the lobby, the garden, and play areas accessed by other residents in the building complex. Apartments score higher in the affordability department. They are more reasonably priced as more units can be built on the land and the builder can make more profit. Because of this, an independent house may cost significantly more than an apartment. Maintenance costs also vary depending on whether it is an apartment or an independent house.

The maintenance and upkeep of a building complex are taken care of by all the residents collectively, but when it comes to independent houses, the occupants have to bear all the costs. Also, a key factor would be the prestige value. Independent houses, especially in posh neighborhoods, offer a higher prestige value compared to premium apartments.

According to the reports, the housing trend in Bangalore clearly favours apartments as around 75 percent of the available residential inventory in the city is in the form of apartments, and just 25 percent is available as independent houses, villas, or builder floor units. At the end of the day, the buyer’s requirements and preferences determine if they should opt for an apartment or an independent house.

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