MUMBAI REAL ESTATE: A POPULAR DESTINATION FOR LUXURY HOMES

Luxury real estate has a great marketability in prime metro cities, including Mumbai, Chennai and Delhi. This article talks about the luxury homes segment in one of the most expensive cities across the globe, Mumbai. Read on to know more about the same…

Real estate in India continues to remain the most preferred investment option due to the high returns associated with it. The emerging market for luxury apartments in the country is due to an increase in the demand for modern living in all the parts of the country. Mumbai, known for its lifestyle and culture, is the hot destination for premier apartments. Moreover, such apartments are considered as the reflection of social status for the rich class.

Luxury Home Demand in India

The market segment for luxury homes witnessed the launch of around INR 10,000 crore worth in of such houses across the country 2012.  According to the sources, approximately 5000 luxury and ultra-luxury houses, above INR 5 crore in Mumbai and INR 3 crore in other cities were launched in the major metropolitan cities in India, where absorption rate exceeded the supply rate. Several premium apartments being introduced in cities like Chennai, Gurgaon and Bangalore at a price of above INR 3 crore to INR 4 crore are becoming the major attraction for wealthy and high-end customers.

According to the Executive Managing Director of Cushman & Wakefield, South Asia, the sale of luxury homes in big cities like Mumbai, Pune, Bangalore, Chennai and Gurgaon is recording an all-time high with around 6-23% yearly price rise in the segment. Mumbai luxury realty market alone sold over 789 units against the new launch of 652 units.

Mumbai- The Prime Location for Luxury Apartments

Mumbai, which is the 16th costliest city for luxury homes across the globe, also registered sales that exceeded the supply for the segment. In this segment, to take advantage of the increasing demand, several developers are coming up to offer the best luxury and ultra-luxury apartments. Many realty players are cashing in on the rising trend for premium flats like luxury boutique homes and row houses.

Popular location in Mumbai like Bandra, Chembur, Navi Mumbai, and Juhu are the hot destinations for such premium apartments. Bandra is a hot spot for property buyers as it is home to several celebrities, including cricketers and actors. As per the ‘Wealth Report 2013’, the prime properties in Mumbai are available in Southern parts of the city such as Cuffe Parade, Malabar Hills, and Colaba. Those who wish to buy a house in a location that is not much crowded and yet well connected to the heart of the city, buying a residential property in Navi Mumbai is an ideal option. Navi Mumbai property is the next big realty hotspot in Mumbai city.

Mumbai Real Estate- A Major Attraction for Developers

The luxury and ultra-luxury housing project segment in Mumbai is all set to witness the presence of reputed global realty developers. Trump Organization, a US-based realty player is looking to mark its presence in Mumbai and Delhi/NCR after Pune.

So, Mumbai real estate gives all the reasons to super rich (including entrepreneurs, CEOs, and wealthy NRIs) to rejoice with attractive and well-designed luxury apartments in its high-profile locations.

Property Market Overview – Post Maharashtra Elections

 

The poll results may have been declared in Maharashtra but the new government is yet to take charge. Once it does, it has a mammoth task of reviving the realty market which has been slow for the past couple of months. Till September 2014, demand has been stable in the real estate market while addition to supply has been limited. In the first half of 2014, the numbers of residential units constructed were 17,500.. Roughly 266 files were cleared by the department concerning Floor Space Index and land use policies.

Experts opine that the succeeding Government of Maharashtra would have to review some of the clearances passed by the erstwhile government to make them friendlier for the development of realty in Maharashtra. Infrastructural projects such as widening of roads and expansion of Metro Railway and Mono Rail have to be undertaken. The measure taken to increase the floor-space index for residential properties has met with skepticism from various quarters as the pressure of population is too high and may elevate per square feet rate above Rs 1 lakh for certain areas. Affordable housing should be the mantra of the new government especially targeted towards the low and middle income housing group.

The faster the new government takes charge, the more would be the benefit to the realty Market. There are certain state laws governing realty which, if modified or eliminated, could boost real estate considerably. The combined effect of Diwali and the Maharashtra poll results may help to buoy the real estate market. The festival period is considered to be an auspicious time for people to buy property and favorable poll results would certainly boost buyer interest in the market.

Invest in future. Invest in Maharashtra. The land of opportunities and growth. A promising and stable government will ensure now is the time for you to make your dream house a reality.