TRENDS IN PATNA PROPERTY 2013.

www.buysellrentpatna.in

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.

Naubatpur; an ace investment destination for land buyers in Patna

If you want to put your money somewhere and forget about it, buying land in suburbs of Patna like Naubatpur could be the investment vehicle you’re looking for. Think about it: land is a long-term, tangible asset that doesn’t wear out and doesn’t depreciate. If you go into investing in land with the intent of holding the right property for the long-term , it can make a lot more profits than any other investment asset class out there. Buildings can be replaced and demolished, whereas land is a valuable and finite resource , with only limited quantities available. And Bihar has a population of 15 Crores and per capita income of Biharis are increasing in double digits. Land investing is for the patient, smart investor, someone who is willing to hold for the long-term or pass it on as a legacy. It’s for the investor who is looking ahead for 10 – 15 years. Land is a smart long-term hold, allowing you to win the benefits of rising values. Especially if you buy in an area like Naubat

Land Prices in Patna and Patna Real Estate.

Buy Land in Patna It is the rising price of land in Patna that keeps the price of real estate in Patna always increasing because the land price is the most important price factor in the real estate price in Patna. But at the same time land prices in Patna are also dependent or better say partially dependent on real estate developments in Patna. With rising real estate developments the land prices too head northwards. This very symbiotic relationship between land prices in Patna and development in Patna real estate is major cause of real estate bubbles in Patna. Yes, it is interesting to decipher whether it is high prices of houses in Patna that makes the land prices in Patna higher or is it high land prices that makes buying a house in Patna exorbitant. The price of property in Patna is made of material cost, labour cost, intangibles like location & brand, marketing and administration costs (for builders and developers in Patna), registration & stamp duty cost, tax

WHAT IS THE MEANING OF “AFFORDABLE” FOR HOME BUYERS IN PATNA?

A survey conducted by our company on 100 flats’ buyers in Patna found that two out of every three homebuyer in Patna s ank in more than 50% of his total savings into the down-payment itself for purchase of flat in Patna . Flats as investment vehicle is never attractive in Patna as rental yields are very low in Patna and property prices in Patna are elevated in many localities. The ‘ideal flat in Patna’ should provide the convenience without the compromises, be affordable and have great resale value. Since this is an elusive dream, home-buyers in Patna should focus on one or two items on their wish-list. It is important to find a good middle-ground between utility and affordability while buying property in Patna . For a middle class resident of Patna, AFFORDABLE means property in Patna under the Rs 50 lakhs bracket. Because the AFFORDABILITY measure = Ratio of EMI to Monthly income. A middle class family in Patna earns around Rs 75000/- monthly income ( ear

REAL ESTATE PATNA

Search This Blog