Growth and the Future of Real Estate in Chennai

Posted by Anamika Thomas on June 7th, 2021

The real estate industry is one of the most well-known in the world. The expansion of this industry is aided by the expansion of the business world, which has increased demand for office space as well as urban and semi-urban lodging. In terms of direct, indirect, and mediated impact in all sectors of the economy, the real estate industry ranks third among the 14 major sectors.

Future of Real Estate in Chennai

Residential, commercial, retail and hospitality properties are all types of real estate. In the near future, demand for all four categories of real estate will be high in Chennai. Chennai is a rapidly expanding metropolis with a steady influx of new residents. As a result, there will be an immense demand. This can be seen in the increased demand for luxury and residential plots in Chennai.

Study the following key points keenly:

Huge Demand

There is a high demand for real estate in Chennai because of the city's growing population. Chennai offers a plethora of employment opportunities, not just in IT but also in manufacturing. According to numerous surveys, Chennai is the safest city in the world. Nearly 10% of the 10 million people who live in Chennai are from other parts of the country. This contributes to the city's real estate market. In today's real estate market, OMR and ECR are two big players. As a result, South Chennai has become a popular residential real estate destination. It is the best place to buy residential plots because of its outstanding infrastructure development and excellent connectivity.

The effect of information technology on commercial and residential real estate:

Due to the rise in IT, urbanization, and affordable housing, Chennai real estate has thrived and will continue to thrive. A rise in demand led to a rise in supply. Due to the high demand, several different aspects of real estate are flourishing in Chennai. As soon as Chennai became an IT hub, the commercial real estate market exploded.

IT growth generates a large amount of cash and increases revenue. This, in turn, encourages people to purchase residential properties. This, in addition to other factors such as government policies. The government provided many tax breaks to first-time homebuyers. The PMAY (housing for everyone by 2022) is a credit-linked subsidy program for first-time homebuyers.

Development-related investment

Chennai is attracting a lot of foreign investment as a result of its real estate growth. Apart from Chennai's status as one of India's top cities, the rental returns in Chennai are another justification for NRI investment. Many people travel to Chennai for higher education and jobs. They don't want to buy a house here, so they rent one instead. On the other hand, they invest money in buying land here. The high appreciation in Chennai is another justification for NRI investment. If you invest in a property in Chennai with a reputable promoter within the city or in the suburbs of well-connected areas, it is likely to appreciate within a few years.

Appealing possibilities

When it comes to residential real estate, Chennai has a lot to offer. One of the reasons for the property sector's growth is the group plot's all-inclusive existence. The idea that drove growth was having all of the requisite facilities in one place. The introduction of luxury plots in Chennai is another significant aspect.

Help from policymakers

RERA and PMAY are two policies that have made a significant difference. RERA (Real Estate Regulation Act) was passed in 2016 to remove the stigma associated with real estate. It increased accountability and safeguarded the rights of buyers. With the aim of providing housing for all, the PMAY (Pradhan Mantri Awas Yojana) provided a variety of benefits to first-time home buyers. As a result, the middle class began to purchase houses.

Rental prices are rising

As previously mentioned, Chennai is not only a technology hub but also has a thriving manufacturing and industrial sector. Chennai is also home to some of India's most prestigious educational institutions. After Mumbai and Delhi, Chennai has the country's third-largest population and the highest number of migrants. Some parts of the state account for 62% of the refugees, while other parts of the country account for 34%. These are the main contributors who aid in the multiplication of rental real estate.

Chennai's suburban areas are rapidly gaining steam

The city is growing in size. This occurs as a result of a lack of land, increased population, urbanization, and other factors. Because of the government's improved infrastructure, which has resulted in greater connectivity, real estate in Chennai's suburbs is gaining traction. ECR, OMR, and sholinganallur have a lot of plots for sale since these are some of the areas that are going to be the main hubs of Chennai.

There is no doubt that the Chennai real estate market will continue to improve in the future. If you're looking to buy plots in ECR, Chennai, now is a great time to do so. Don't know which option to pick? Visit our website today to learn more about your choices.