Trivandrum is a rapidly growing city because of the emerging IT sector in the city. Being cost effective in terms of operations and a source of talent pool, a lot of companies are looking to relocate to Trivandrum. Real Estate Trivandrum is expected to grow quickly.
Here are a few insights that property experts have come up with about the realty market in Trivandrum.
Real Estate Trivandrum is poised to grow from Vizhinjam Sea Port
The signs of interest and growth of real estate Trivandrum can be read from the Vizhinjam project which was announced in December of 2013. The trans-shipment terminal which is coming up at Vizhinjam is worth Rs 4000 crores.
Till 2013, Technocity and Technopark were the prime growth areas with developer and consumer interest focusing on highly paid software employees. The number of employees would cross 1 lakh in a couple of years. Properties in the city shall continue to witness manifold increase in capital values with localities like Vattiyoorkavu, Vazhuthacaud and Sasthamangalam experiencing the highest capital gains possible.
When the question arises about Vizhinjam, localities by Neyyatinkara have witnessed increased in the last couple of month for villas and land and other residential property. There are quite a few apartments available in this area still. Developers have already started scouting for property in the localities that fall within a radius of 3 square kilometres of Vizhinjam. Not only are developers interested in residential properties but also commercial ones. The new port shall bring with it quite a few marine jobs on the docks and a lot of service and finance companies shall begin their operations. This kind of a growth story was witnessed in Singapore, where the shipping industry led to the country’s growth and subsequent development.
Villas are being much demanded over apartments
Surveys conducted by real estate firms among directors of companies, IT employees and other members of the service sector have revealed that villas are being demanded over other forms of real estate Trivandrum such as apartments.
There are quite a few reasons for such a phenomenon:
- Appreciation of land’s value- If you own a few cottahs of land for a villa rather than undivided land share in flats, you can get high appreciation for villas.
- Villas offer a lot of privacy and space for movement- If you are seeking privacy and ample space for creating walking areas and gardens, then villa communities may be the best options for you.
- Delays in apartment projects- Most of the apartment projects in Trivandrum have been delayed compared to villa projects. The apartment complexes take around 2 to 3 years to be completed whereas villas can be completed within a year, two tops.
- Villas are more affordable- Buyers who approach the property market prudently stand to find cheaper villas. No matter how much prudence you exercise, you cannot achieve the same feat in the apartment real estate Trivandrum market because flats usually sell for Rs 50 lakhs for a 2BHK property, at least.
Gainers shall be separated from losers based on information
We live in a fast paced world where information is supreme and most use information as assets. The residential market is nowadays experiencing a boom of information where prices of the properties being sold, movements of the realty markets, housing figures released by the RBI and other details can be availed on the internet.
Firms are nowadays taking a special interest in the real estate market and are using analytical tools and big data information for drawing inferences before advising property buyers about the realty market movements happening in Trivandrum.
Despite being bombarded with information, most people make the decision about property buying based on instincts and gut feelings after which they begin hoping and praying that these gambles pay off. However, this is a situation where winning is entirely random. By using the analytics information, buyers can make better decisions rather than leave everything to God or luck.
Commencement of Township and Luxury Projects
Not too many township or super luxury projects have come up in Trivandrum. Projects which can be classified as super luxury or township ones usually have schools, hospitals, club houses and other amenities. A lot of the spacious township projects may have amenities like Golf Courses as well.
In the Siberian ends of the town such as Neyyatinkara, which are near Vizhinjam port, developers of townships are beginning to exhibit interest. This is a good sign because townships would offer people in a neighbourhood with quick access to different facilities and there would be high growth in the region’s economy and numbers of jobs available.
Value Developers would rule the roost in the market
Another trend that is affecting Trivandrum’s economic situation currently is the slow growth of GDP and levels of income. For instance, the real income of employees in the software sector has grown barely in the past few years because companies retain bargaining power over employees. Simultaneously, higher inflation rates have indicated that disposable incomes have come down. India’s GDP is currently in the range of 5-6 percent with no signs of it being hiked to 7 percent or more in the coming six months. Developers who are coming up with projects near Technopark are targeting software employees primarily.
The ascent of the new government post the Lok Sabha elections in 2014 has improved growth slightly and it seems as if the country is gearing up to go into a new lease. Early 2015 may show some marked improvements in the economy. The lacklustre growth has ensured that value developers shall give a tough competition to the bigger names of the market.
Bigger property developers are charging almost Rs 1500 has a premium on the prevailing property price per feet compared to what is being charged by smaller developers, because of the brand name. This trend shall be challenged in the coming few years. This also indicates that there is much opportunity for medium and small developers for showcasing their customer service and quality to potential buyers who are seeking proper investments which would not waste their hard earned money and provide high returns as well.