Right Time to Buy A Property in Goa

“Is it really the right time to buy a property particularly in Goa.”  

The real estate agents and builders never fail to speak this line every time you check on the property prices with them. They would also of course add with pride that the prices have in fact gone up since you last checked, and it is the last chance to buy a property within the city limits. The current scenario is not any different. The  prices quoted are up by 10-20 % Whereas there are wide spread delays in completion of the on going projects and there is talk of prices going up further owning to rise in input costs. Actually there are hardly any sails taking place since last six months or so. As same flats are still in resale. However new or under construction flat are still getting some limited response. Obviously, you are confused.

“The current market scenario is not too conducive for investment in properties. Overall, the market has been behaving erratically with no sign of endusers’ enthusiasm returning soon. Investors are looking out for sweeter deals as many developers are offering such bargains due to liquidity crunch,  “the advice to end-users is to hold on for an impending correction, whereas investors should look around for distressed deals.”

“This is certainly not a good time for speculative investment in under-developed areas lacking infrastructure and sufficient market drivers. However, it is the opinion that for end-users with a genuine need to buy a home the right time is always now, subject to the availability of a good deal that meets all their needs.

LOOKOUT FOR PROMISING DESTINATIONS

However, if you are feeling adventurous and wish to bet on property as an investment, you need to carry out a thorough research. The first step would be to identify locations likely to see appreciation in the future. So, which are the cities and towns that fit into this bracket at the moment? “Mumbai is always a good city to invest for the mid-to-long term, though the price points are certainly still prohibitive for smaller investors, special emphasis on Navi Mumbai and Thane. Areas in Navi Mumbai like Ulwe and Kalamboli are very promising.

“Pune, Bangalore, Chennai and Delhi NCR are also good options, but one needs to research the available options thoroughly. A blindfold approach will definitely not work.” This apart, you can also scan opportunities in emerging locations, especially the ones that are seeing action on the infrastructure development front.

“There have been economic growth initiatives taken by central and state governments like dedicated freight corridor, industrial corridors, special investment regions (not to be confused with SEZs, which are grossly mismanaged) among others. Accordingly, the locations that meet the criteria include Manesar in Haryana, Neemrana in Rajasthan, Dholera in Gujarat, Dadri in UP, Pitampur in Madhya Pradesh and Nashik in Maharashtra.

MOVE CAUTIOUSLY

You can certainly follow these recommendations and look at opportunities within these specific destinations, but you would do well to remember certain thumb rules while zeroing in on a property for investment. “The area should have good potential as an employment ‘catchment’. Above all other things, it is job creation which drives demand for residential real estate.

“The project itself should be undertaken by a builder with a good reputation for quality and meet all the requirements of a normal family. Finally, all the documentation for the project should be in place.” As mentioned earlier, infrastructure facilities should play a pivotal role in your decision as they hold the key to price appreciation in future.

“Physical infrastructure facilities like roads, public transport, water and electricity should be in a state of improvement. In addition, the social infrastructure framework including education and health care facilities alongside retail infrastructure, like malls and markets, should also be sufficiently present in close proximity.