“We have witnessed a 35% growth year-on-year in the investment of NRIs in Indian residential real estate. This burgeoning trend is especially evident in their preference for gated communities, which offer a host of amenities.”
— Saurabh Garg, Co-founder and Chief Business Officer at NoBroker
NRIs might not be returning to their homeland but have started buying property in the country, reported businessinsider.in. In an interview to Business Insider, Saurabh Garg, Co-founder and Chief Business Officer at NoBroker said, “We have witnessed a 35% growth year-on-year in the investment of NRIs in Indian residential real estate. This burgeoning trend is especially evident in their preference for gated communities, which offer a host of amenities.”
Gated communities are a hot favourite amongst not only NRIs but affluent Indian residents as well. Sometime ago, a Hyderabad-based construction firm launched a Rs 3,000 crore gated community project claiming that it was the biggest in the city which has steadily seen a rise in rentals in the past few years.
Garg pointed out that these gated communities provide not only enhanced security but a host of modern lifestyle resources, all of which contribute to an elevated lifestyle and “high returns on investment (ROI) should they decide to rent out or sell later”.
The increased investment in Indian real estate by NRIs can be attributed to the ease of investment, owing to technological changes, especially as things are now online. The increased demand from NRIs is especially from the Gulf countries, followed by Singapore, the United States, and Australia, says the NoBroker research.
Chennai, Hyderabad, and Mumbai have seen maximum demand, but no surprises there.
Parallel to this trend, NRIs are also showing interest in senior living real estate projects for their parents or grandparents.
On average gated society properties get rented out 30% faster than non-gated society properties, says the report. 52% of the surveyed in Delhi mentioned that their properties got rented out within a fortnight. This was 46% in Mumbai
These properties usually have healthcare facilities or partnerships with nearby healthcare providers. Thus, their elders can have easy access to medical assistance within the comfort of their homes.
“A substantial 65% (of the interested NRIs) are opting to purchase properties for personal use, either for themselves or their parents,” Garg added.
The NoBroker half-yearly report pointed to some changing patterns in the Indian real estate market, especially when renting is concerned. Potential buyers from Bangalore, Chennai and Delhi-NCR prefer 3BHK units over the earlier favourite 2BHKs. The primary reason behind this is the hybrid work culture as there is a need for a larger space to work as well as live.
Also, for the first time in many years, property owners are getting the “asking price” for their properties. The report said that 40% of landlords are considering investing in a new property.
On average gated society properties get rented out 30% faster than non-gated society properties, says the report. 52% of the surveyed in Delhi mentioned that their properties got rented out within a fortnight. This was 46% in Mumbai.
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