TRENDS IN PATNA PROPERTY 2013.

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The year 2012 can best be described as a lackluster year for Patna real estate sector. There were several headwinds that prevented Patna’s real sector from delivering to its full potential. High property rates in Patna and home loan interest rates kept the home buyers away from the property market in Patna. Property buy sell rent in Patna were down by 20-30% for the year. As we move into 2013, it is important to gauge the mood of home buyers in Patna in terms of their desire, aspiration and fear for the upcoming year, 2013. We (www.buysellrentpatna.in) have tried to capture the upcoming buying trends in the Patna Residential Real estate sector.

Although the exponential jump in property rates in Patna is a prevailing trend since 2009, but now in 2013 it will act as a hindrance in buying apartments in Patna. It seems most buyers are not able to justify high prices of flats in Patna. The other concern of home buyers in Patna is connectivity of the new residential projects in Patna. There is apprehension among them that the infrastructure development around these projects will take much longer than advertised or estimated. Home buyers are unable to find their dream home in Patna closer to their preferred location in their limited budget and are forced to compromise with an area away from the main city. However, when it comes to choosing between available options, projects with economical budget and superior location & connectivity will win the race in 2013 in housing in Patna.

Speculators and Investors in Patna housing, who were riding the property market in Patna from 2009 to 2012, will make way for end users in 2013. Majority of home buyers want to purchase a property in Patna for self use as they are currently staying on rent. Others want to buy property to meet the demand of a growing family. An equivalent number of people want to purchase a home for long term investment in Patna. This is a very positive shift from the earlier years and will bring in the much required stability in the property market in Patna.

Majority of home buyers in Patna are out in the market looking for apartments in Patna or flats in Patna. Residential plots emerged as the preferred choice for rest of the buyers in Patna. A lot of people in Patna desire of options for independent houses and villas in Patna. Though, apartment remains the preferred choice for vast majority of people in Patna.  This may be because of the security and community living benefits that only an apartment in Patna can offer.

Owning a house is a priority for most Biharis today. Affordable housing in Patna i.e., housing below 40 lac continues to be a preference for majority of home buyers in Patna. It brings out the disparity in the demand – supply equation in Patna housing. Whereas most Biharis are looking for a home under 40 lac the availability in this price bracket is limited leaving demand far in excess of the supply in Patna. The supply in over 50 lac bracket is huge where-as there is limited demand in this segment, leading to unsold real estate inventory in Patna. Real estate developers in Patna and policy makers will have to come to grip with this mismatch and take corrective action to solve this issue.