From prime posh locations of Delhi like Vasant Vihar to the prestigious Golf Course road in Gurgaon, prices of housing options across the years have witnessed significant escalations.
Micro markets like Vasant Vihar have always been preferred destination for those seeking a posh address, combined with the benefits of a central location. Many residents of this colony are drawn to its accessibility, peaceful ambience and proximity to schools, hospitals and commercial centres. The evolution of Gurgaon and Noida as prominent residential destinations was historically driven by the commercial development, which fed the residential sector in these micro markets. The proximity of these markets to Delhi, coupled with the rising real estate prices in Delhi, drove the residential demand in these markets to a point that, today, these markets boast of posh and prestigious residential options that are being preferred over even those in Delhi, eliciting comparisons with the best in the national capital.
The table above captures the price trends as they evolved since 2003 to the current period, which perhaps was significant for the low housing prices that prevailed across the markets.
The table above captures the price trends as they evolved since 2003 to the current period, which perhaps was significant for the low housing prices that prevailed across the markets.
Vasant Vihar
Vasant Vihar continues to be preferred location for both high-end buyers and investors. Interestingly, independent floors priced at Rs 6,000 per sq ft in the year 2003 are commanding Rs 40,000 per sq ft today. Plots that were quoted at Rs 1,00,000 per sq yard in 2003 are now going for Rs 7,00,000 per sq yard. It is also important to note that these prices till 2006 had only risen marginally and have witnessed the maximum rise in the last four years. Thus, the prices have risen by seven times in the last seven years!
Vasant Vihar continues to be preferred location for both high-end buyers and investors. Interestingly, independent floors priced at Rs 6,000 per sq ft in the year 2003 are commanding Rs 40,000 per sq ft today. Plots that were quoted at Rs 1,00,000 per sq yard in 2003 are now going for Rs 7,00,000 per sq yard. It is also important to note that these prices till 2006 had only risen marginally and have witnessed the maximum rise in the last four years. Thus, the prices have risen by seven times in the last seven years!
Noida
In contrast, Noida has doubled in apartment pricing since 2003. Noida is the only exception to the rule where the prices were higher in the year 2006 and have fallen marginally since then. The reasons that can be attributed to this negative movement in pricing are:
In contrast, Noida has doubled in apartment pricing since 2003. Noida is the only exception to the rule where the prices were higher in the year 2006 and have fallen marginally since then. The reasons that can be attributed to this negative movement in pricing are:
Residential oversupply
Low commercial development compared to Gurgaon
Perception of poor law and order
Significant distance from the Delhi airport
However, to give the market its due, overall, the residential market in Noida has doubled in appreciation for investors since 2003.
Low commercial development compared to Gurgaon
Perception of poor law and order
Significant distance from the Delhi airport
However, to give the market its due, overall, the residential market in Noida has doubled in appreciation for investors since 2003.
Gurgaon
The most interesting market on display is Gurgaon, which has given the maximum returns to its investors today and continues to be a very promising destination. If we evaluate the trend in the market since 2003, we see that the ultra-luxury apartment pricing has gone up by 10 times. Plotted development has seen a rise in pricing by 12 times. Plots that were priced at Rs 11,000 per sq yard in 2003 are Rs 1,30,000 per sq yard today. Thus, Gurgaon as a market has given the maximum return on investment to its stakeholders.
The most interesting market on display is Gurgaon, which has given the maximum returns to its investors today and continues to be a very promising destination. If we evaluate the trend in the market since 2003, we see that the ultra-luxury apartment pricing has gone up by 10 times. Plotted development has seen a rise in pricing by 12 times. Plots that were priced at Rs 11,000 per sq yard in 2003 are Rs 1,30,000 per sq yard today. Thus, Gurgaon as a market has given the maximum return on investment to its stakeholders.
Courtesy by : Times Property Dtd: August 21, 2010
