An investment in Bangalore Real Estate

Published: 28th March 2012
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In year 201, witnessing the significant developments that impacted the Indian economy by rising interest rates, global uncertainties, declining foreign investments dip in GDP et al. Investment options in Residential property in Bangalore abound but the yield varies from 4 percent and above depending on the location, specification, type of development and amenities offered in the residential project. The investor should look at other options as well like row houses, town houses and villas as they accompany with more land areas that enhance the overall return on investment in residential apartment.

Today majority of investors are invariably looking at North and East Bangalore for real estate investment options, untapped potential exists in West Bangalore with proximity to city areas. Bangalore the commencement of the Metro will give the commercial and residential real estate market a fresh growth prospect. Bangalore being the largest real estate markets of the country with increased infrastructure initatives around them are going to become the new growth corridors and will witness stronger demand and price increases. Thus, from an investment standpoint one can expect good returns in the future.

As an investor, one needs to observe the planned initiatives and enter at an early stage and stay invested for the long-term. Many Bangaloreans are now opting to buy large-format apartments. These residential apartments cost crores of rupees which also means that they can easily afford to buy villas too. With the high prices of the residential property in the central business district (CBD) areas, the suburban and peripheral locations are favoured by investors. The scope for capital appreciation during the projects' implementation period is high in such cases. With more land available, improved connectivity and proximity to IT corridors, the suburban and peripheral locations are witnessing the emergence of a number of residential projects at competitive prices.

Prices of Property in Bangalore are bound to turn dynamic with an upward bias in the near term. Location is a key issue. An emerging residential catchment near a planned commercial hub in a suburb will turn a prime locality as the facilities come up and more people look for housing options in the belt. Bangalore now having the improved connectivity, the demand for residential units in the vicinity of IT/ITes companies is likely to go up including the scope for rental accomodation. As a result, investors are looking at suburban and peripheral locations for the right option to derive maximum yield. Investment in residential property in suburban and peripheral areas offer immense scope for price appreciation due to prevailing competition, attractive prices and the growing demand for residentail apartments.

Bangalore “The Silicon Valley of India” features being the home to the Information Technology Companies and the Information Technology Enabled Services. Many multinational companies and corporate brands have established their retail stores and finally the commercial Real Estate Development of Bangalore started flourishing. In year 2011 Bangalore witnessed significant developments that impacted the Indian economy. In the fast changing scenario, real estate investors are invariably faced with a dilemma as where to put their money to get maximum yield. Investment in plotted development is a better option for those who do not need housing in the coming years as price appreciation will serve as an hedge against inflation.

Some property analysts believe Bangalore is possibly the safest location for investments in the world. Here the price of the property do not skyrocket or get hyped and they don't even go downwards too like they have in many other prominent location in India. Bangalore is a market where most of the property purchases are by end-users and not speculators. They treat it as a pure investment for financial gains. A Property in Bangalore has attracted all the times to be a portion of Real Estate in Bangalore. As the average raises the real estate growth has resulted in the development power achieved by the garden city. As Bangalore distinctively experienced the most preferred destination for the leading housing companies to express the latest housing projects known responsible for the growth of the city in general.

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