Mira Road – A Good Option for Investment and Rent
Mira Road, part of Mira Bhayandar Municipal Corporation and the northern suburb of Mumbai, is one of the fastest growing real estate markets in Mumbai today. This is primarily due to its good connectivity to key business hubs as well as its affordability. As such, Mira Road attracts several middle class home buyers. The lower rentals and good rental yield also make the area a good option for both tenants as well as landlords.
Following is a snapshot of Mira Road’s rental market.
Mira Road area profile
– Mira Road has excellent connectivity to different parts of Mumbai Metropolitan Region (MMR) such as Mumbai, Thane and Navi Mumbai.
– Mira Road is connected to Mumbai via Western Express Highway (WEH) while it is connected to Thane and Navi Mumbai via Ghodbunder Road. The area is also well connected to Mumbai via local trains.
– There are already plans to extend the Dahisar metro line up to Mira Road. The Mahim-Mira Road bus corridor, which is part of Mumbai BRTS is already implemented in the area.
– There is a proposal to upgrade the Gorai-Bhayandar Road to a 4-lane stretch along with other road widening projects.
– Has a good social and civic infrastructure. This includes a new sewage treatment plant, two new fire stations and planned storm water drain systems. It has several malls such as Maxus Mall, Rassaz Shopping Mall and Orchid Ozone Mall. Vardhman Fantasy Park is situated in the area.
Rental trends
Property availability: Most units available in the area for rent are multi-storeyed apartments. The area is dominated by 2BHK units, followed by 1 and 3BHK units. This indicates that most tenants are small middle income group families.
Approximate monthly rentals: According to latest research by CommonFloor, monthly rentals in the area are very low compared to those of expensive suburbs such as Goregaon, Powai and Andheri. The approximate monthly rent of a 1BHK apartment is about Rs 6,000-12,000, while that of a 2BHK apartment is about Rs 11,000-16,000. The approximate monthly rent of a 3BHK unit is about Rs 15,000-23,000.
Gross rental yield (%): The approximate rental yield, calculated by dividing the total rent of the property over 12 months by the total cost of the property, is about 3 per cent in the area. This is very good, considering the national average to be 3 to 4 per cent.
Hence, if you are planning to either rent an apartment or rent out at an apartment in Mumbai, Mira Road is a good choice.
