Emerging winners in present realty scenario - Tier III cities

  1. With constantly rising disposable incomes and correspondingly growing aspirations, more and more people in Kerala are looking at buying not just their first, but in fact, a coveted second Kerala flat. The motive for buying the second property might differ — some might buy it as a holiday home away from the city while others may buy it purely as an investment.

    As Indian economy experiences the boom in all sectors triggered by its economic and investment policies, the metros or the Tier I cities are the ones that are inundated with burgeoning investments in the industrial and the services sector. Along with large-scale investments has boomed the realty sector creating congestion, arising out of an increasing demand for residential and commercial properties. This congestion in realty structures has forced the respective governments and many investment companies to seek out for alternative smaller cities leading to a demand for Tier II and III cities.

    One of the basic reasons for investments flocking in to the smaller cities is available properties and affordable prices. The investing companies ranging from pharmaceuticals to financial institutions, automobiles to the IT & ITES sectors; to the retail and real estate sector are opting for the smaller cities transforming them into India's fastest growing cities in a matter of few years.

    The large scale investments by the corporate sector in the smaller cities apart from creating economic prosperity and job opportunities has also created demand for realty spaces. While developers from all the nearby areas flock in to cater to the real estate demands, the property markets in these smaller cities are witnessing along with a changing skyline, an unprecedented hike in real estate prices. While the realty trend in Tier I cities have reached a saturation point and Tier II cities following close behind, the emerging winners in the present real estate scenario of India are the Tier III cities, which offer greater yields

    This rising prices and promising future of these cities are driving investors to buy properties predicting long-term gain in years to come. Recent trend also shows that due to lack of availability of business equipped infrastructure and exorbitant property prices in the existing metros, the IT, ITES and the BPO companies are vying for the smaller cities where they are promised better infrastructure, state-of-the-art office spaces and also skilled manpower. Now it is the turn of the Tier III cities or the smaller cities like Jaipur, Kochi, etc. to make it big into the realty business as the government and the corporate sector target them as 'India's Next Destination Cities'
  2. :confused1:Odd first post.....
  3. I love Indian food...fyi