Under-Construction Galore At Chennai Property Markets, 800 Units Up For Grabs

Real Estate Regulatory Authority is on its way to become a reality in India, restoring the faith in the Indian real estate sector. There came a time when potential home buyers shied away from buying property in under-construction projects given the uncertainty looming over its timely delivery, but, this has changed now. The home buyers have again started considering the prospects. Once RERA is formed in every Indian state and the rules have been passed, the buyer segment will surely prefer opting for under-construction projects at a cost advantage over the ready-to-move options that are comparatively pricier.

Your options in the Chennai market

Over 800 projects in the Chennai market are either newly launched or under various stages of construction. This includes properties in the price range of Rs 75,000 to Rs 14 crore constituting of plotted developments as well as the luxury apartments.

Also read: Monthly Watch: Homes Sales Increase 39% In Chennai

Plots

Look for plots in Kanchipuram sized within 1,200 sq ft come with a price tag of Rs 1.5 lakh. There are plenty of options available for you in areas such as Arakkonam, Tiruvallur, Avadi, Sriperumbudur Kelambakkam, Guduvancheri, Poonamallee, Walajabad, Mevallurkuppam, Padappai, Mahabalipuram, too. The broad price range is up to Rs 90 lakh in the more established areas.

Luxury segment

Most of the projects in the luxury segment are slated for completion in 2017. If you do not mind setting aside a budget of Rs 3-13 crore, Chennai opens up with choices. Royapettah, Kotturpuram, RA Puram, Egmore, Nungambakkam, Sholinganallur, Anna Nagar, Adyar and Alwarpet boast branded developers offering luxurious 3BHK, 4BHK and even 5BHK units.

Also read: Prime Localities In Chennai Garner More Interest, Rents As High As 1.5 Lakh

Chennai at a glance

Talk about the confidence of developers in the local market, about 300 projects are soon to be launched. In the last 46 months, the city has clocked in about 8.6 per cent price growth which indicates that the investment trend is healthy. Avadi, Medavakkam, Sholinganallur, Vadapalani, Perumbakkam and Navallur are among the most preferred localities in the city. On an average, you would need to reserve a budget of Rs 52 lakh for a 2BHK apartment in Chennai, Rs 1.13 crore for a 3BHK and about Rs 3 crore for a 4BHK in a preferred locality. Check out the best options here.

But, the consistency of the rise in popularity of under-construction projects would depend a lot on RERA. If the rules are diluted, the authority may lose its significance as an authority that safeguards the interests of the buyer class. On the other hand, if it sticks to its stand, we may soon see an uptick in conversion rates.

At a time when the price of under-construction homes and ready-to-move homes had almost narrowed, the cost advantage that will prevail post-RERA is expected to work wonders for new-launch and under-construction homes in Chennai.