Reasons to buy property in NCR

With astronomical property values, owning a house in Delhi has become a distant dream for denizens. And with the revenue department collecting much below what was expected, the situation only seems to get worse. In the financial year 2013-14 , the revenue target was Rs 3,800 crore. However, it could collect only Rs 3,000 crore. Thus, as per the Delhi government’s Revenue Department report, up to 20-30 per cent hike in circle rates were recommended for lower categories and a 40-50 per cent for A and B categories.As price correction is nowhere in the radar, housing demand from Delhi is making a shift to the National Capital Region (NCR).

And interestingly, in addition to the budget conscious, even investors are making a beeline for areas such Gurgaon, Noida, Ghaziabad, Greater Noida and Faridabad. So, what are the reasons for this? Well, the tag of affordability tops the ladder. When compared to the capital city, NCR offers properties to suit varied budgets. While Noida, Greater Noida, Faridabad and Ghaziabad have affordable properties ranging from Rs 20-60 lakh, Gurgaon properties command little higher, where the range is Rs 40-80 lakh. And these properties come decked with best-in-class amenities.

As per data with CommonFloor.com, Greater Noida has maximum supply of affordable properties (less than Rs 40 lakh), while Faridabad has maximum supply of economic properties. However, if you are looking for a property in luxury and ultra-luxury segment, Gurgaon may fit the bill. (Consider the table below).

Further, the metro connectivity has made NCR popular among mid-segment home buyers. In addition, as several people work in Gurgaon and Noida, in order to avoid daily traffic snarls, they prefer a house closer to their workplace.

That’s not all! Even government is leaving no stone unturned to boost realty market in these areas. There are several infrastructure projects in the pipeline aiding this realty boom. Recently, the UP government sanctioned nearly Rs 3,500 crore for Ghaziabad, out of which Rs 750 crore was dedicated for infrastructure development. Under this several projects are envisaged, which include intercity connectivity through Metro and Mono rail, rapid metro services, water treatment plant, and rainwater harvesting facilities, hospitals, schools and colleges. The metro link between Noida and Greater Noida will further boost the realty market of both the areas.

Restriction on General Power of Attorney (GPA) and sale agreement has also contributed to this shift in demand. “A major reason is restriction on GPA and Agreement to sell that has worsened the overall scenario. After a verdict of court, Government has stopped sale and purchase of property through power of attorney and sells agreements in Delhi. Thus, buyers are avoiding property purchase in Delhi to avoid any legal hassles in future and waiting for Government’s positive nod,” informs Pawan Jasuja, director of Finlace Consulting.

Last but certainly not the least, NCR boasts of availability of better options. There are a plethora of options to choose from. From multistorey apartments to builder floors to independent houses, all these areas have a lot to offer. As space in the city centre shrinks, even realty giants have started tapping areas in NCR. Thus, if you have a restricted budget, don’t hesitate to give these areas a try. And who knows, may be your home search will end in Noida, Greater Noida or in Gurgaon!