Bangalore
  • Bangalore
  • Mumbai
  • Delhi
  • Pune
  • Chennai
  • Hyderabad
  • Kolkata
  • Ahmedabad
  • Home
  • Blog
  • Chennai real estate in 2013: Challenges and Yields

Chennai real estate in 2013: Challenges and Yields

antone

Chennai realty talksChennai is any developer’s choice who is expecting a fast return. This is due to the appreciating price of the residential units. One of the main feature of real estate market in Chennai is its stable price trend. The past few years the micro markets in the city didn’t have any abrupt huge fall in prices. There is a gradual price appreciation throughout all the quarters of the year in most of the micro markets.

The Challenges:

Chennai faced several challenges in the year 2013. Lack of workers, Shortage of building materials, Cost of Labour and Unskilled workers and numerous other shotcomings were laid in the paths of real estate advancements. One of the main Crisis chennai faced is the rise of price of Sand.. There is a huge demand for sand still in Chennai. The price has gone over double what it was few months ago. These throttle the development of the real estate market. All this leads to the escalating of price of the apartments.

Affordability:

The prices of apartments have escalated to an extent where the salary of an individual is not enough to afford it. To compensate this apartment sizes shrunk lowering all the expectation. The developers offered discount and ten percent upfront payment while rest in the later period for marketing strategies. None of these helped in the increasing the sales. The sales of apartments keept depreciating. Yet small developers remain unaffected by this dip. The medium and large scale developers are still trying to make up for the loss and make the units affordable for the end users by reducing the size of the apartments.

New rules and its impact:

The new rule that came into existence in October 2013 was also least favourable towards the developers. It required 2% additional registration fees increasing  the overall cost of the residential unit more. The buyers have to pay 1% of stamp duty and 1% of construction cost adding to the 8% of registration fee. The lack of infrastructure in the suburbs are also another reason for the slack of sales.

Reader’s take:

To summarize, Every developer is proceeding cautiously over new projects to avoid incurring any loss. Even though the price seems to appreciate considerably the overpriced raw materials and the slack of sales are still being a negative impact. Apart from this the micro markets still see positive price appreciations.
The infrastructure in the suburbs is on the development phase and seeing a rapid development pace by the steps taken by the Chennai corporation. People still invest in this region due to the proximity to the IT hubs and hoping the infrastructure will develop soon faster. Hence there is still a heavy demand which is the main reason for the price appreciation. As a conclusion investing on an already built apartment is a better choice than buildings that are being built which has a fluctuating rates at this point.

Tags : marketing strategies micro-markets property in chennai real estate in Chennai Registration stamp duty

Related Articles

How to Choose the Right Service Apartment for a Long-Term Stay

service apartments near me
Amrish Kishore

When planning an extended stay in a new city, whether for work, relocation, or leisure, service apartments offer the perfect blend of home-like comfort and hotel-like convenience. Unlike traditional rentals, service apartments come fully furnished with essential amenities and flexible lease terms, making them ideal for long-term accommodation needs. Understanding Service Apartments: Beyond Traditional Rentals […]

Top Localities for Ready Possession Apartments Near You

ready to move apartments hyderabad
Amrish Kishore

Finding a ready-to-move apartment in Hyderabad can be a game-changer for homebuyers who don’t want to wait through lengthy construction timelines. The city’s real estate market offers numerous options across diverse localities, each with its unique advantages. Why Choose Ready-to-Move Apartments in Hyderabad? Ready possession apartments in Hyderabad eliminate the uncertainty and delays associated with […]

Top Localities for Ready-to-Move Apartments in Hyderabad in 2025

ready to move apartments hyderabad
Amrish Kishore

Hyderabad’s real estate market continues to evolve rapidly, offering excellent opportunities for homebuyers seeking immediate possession properties. As we move into 2025, the Pearl City presents an impressive array of ready-to-move apartments across diverse neighborhoods, each with its unique appeal and advantages. Whether you’re a tech professional looking to minimize commute time, a family prioritizing […]

A Neighbourhood-Wise Guide to Ready Apartments in Chennai

ready to move apartments chennai
Amrish Kishore

Chennai’s real estate landscape offers a diverse array of ready-to-move-in apartments across its vibrant neighbourhoods. Whether you’re a first-time homebuyer, an upgrader, or an investor, the city presents numerous options tailored to different lifestyles and budgets. Why Choose Ready-to-Move Apartments in Chennai? Ready-to-move apartments in chennai eliminate the uncertainty and delays associated with under-construction properties. […]

Trending Article

Top Localities for Ready-to-Move Apartments in Bangalore in 2025

Posted on July 25, 2025 By Amrish Kishore

How to Choose the Right Service Apartment for a Long-Term Stay

Posted on August 4, 2025 By Amrish Kishore

Top Localities for Ready Possession Apartments Near You

Posted on August 4, 2025 By Amrish Kishore

Top Localities for Ready-to-Move Apartments in Hyderabad in 2025

Posted on July 25, 2025 By Amrish Kishore

A Neighbourhood-Wise Guide to Ready Apartments in Chennai

Posted on July 25, 2025 By Amrish Kishore

Latest Properties - Flats

Latest Properties - Villas

Luxury Properties

Sell your property 3x faster

POST FREE AD

Log in to your account
Thank You!

Your details has been submitted successfully.