If you want a property solely for investment purpose, the time horizon is one of the most important considerations. It is always good to have a longer time horizon for investment, say 3-5 years. Records show that investment in young and growing cities has always been fruitful. You should invest in places, the development strategy of which is already on papers.
Noida and Gurgaon stand as the two relevant examples of the same.
15 years ago, Noida Sector 15 and 18 were in the initial stages of development. Properties were available at an average rate of Rs 2,000-2,200 per sq ft. Now the average property price in these locations is as high as Rs 8,000-12,000 per sq ft. Prices have multiplied manifolds. Commercial properties in Sector 18 have witnessed an appreciation of 15-20% in the last 15 years.
In Gurgaon, localities like Manesar and the belt from sector 81-95 were the least developed. Manesar was considered a separate city. But with rapid developments in the last decade, plots that were initially launched for Rs 7,000 per sq yard are now available at Rs 70,000-80,000 per sq yard. Those who invested Rs 10 lakhs, the value of their money is now more than a crore.
If the pure motive for your property purchase is investment, the best option is a property in Yamuna Expressway. The locality possesses all five characteristics that make a place a logical investment destination, i.e.,
1- Infrastructure- Yamuna Expressway will boast of a world-class infrastructure after 3-5 years. Roads, highways and expressways, metro connectivity and local transportation services have already been planned. The new international airport at Jewar is an added advantage.
2- Industrial Development- The proposed Delhi-Mumbai Industrial Corridor (DMIC) would pass through Yamuna Expressway which would attract more development around the area. Also, the construction work for Yamuna SEZ has already started.
3- IT Sector- A city’s tech zone is really important for the growth of its real estate. Yamuna Expressway already has a 625 acres Tech Zone. NIIT has its own campus within the Tech Zone.
4- Tourism- The tourism industry also plays an important role in promoting the visibility of a city. The Formula One Race Track, Cricket Ground inside Jaypee and the upcoming Night Safari are a few attractions that would boost tourism around the area.
5- Educational Institutions- Yamuna Expressway and Greater Noida together have 1,400 acres covered by educational institutions and the area is growing as India’s third largest institutional area.
Having enormous growth potential, Yamuna Expressway is the best locality to invest in if you have a time horizon of 3-6 years.