With the steady implementation of strong reforms and policies by the government, the Indian realty market has today become more buyer-friendly and transparent. This has led to an increase in the percentage of NRI investment in the key residential markets of India. Among all the cities, Bangalore has gained the most traction by NRI investors in recent times.
This is because of the fact that the city has the presence of many leading and renowned MNCs, IT companies, startups, etc. Also, good connectivity, feasible micro-markets and steady tenant inflow are some of the other factors that are attracting NRIs to invest in the IT city.
Let’s understand in detail these factors and know the key micro-markets of the city:
In the past, Bangalore was known for its traffic congestion and issues, but in recent years, the state government has focused on the infrastructure of the city and has developed many expressways, highways, flyovers and wide roads that have lessen the above problem to much extent. Also, with the commencement of Bangalore (Namma) metro, all the major areas are now well-connected to each other. Once the construction of all the phase will complete, the suburbs will also get connected to each other. Apart from these, there are many proposed developments in list that will further enhance connectivity in the city.
Being a commercial hub, Bangalore is home to many domestic and global IT companies, MNCs, startups, etc. Professionals from all over the country as well as outside come here to work and earn. This has led to an increase in the tenant inflow too. So if an NRI invests in the Bangalore realty market to earn rental income, there are lots of option for them.
Competitive Property Price
In order to lure NRI investors, developers in Bangalore today are launching many units that are affordable in budget. Although NRI investors have nothing to do with affordability, then if someone wants to invest and earn from different markets, then affordable housing is a good option for them. Also, as per the stats, 2 BHK units are most favourable among NRI investors and most of them are priced between 60-80 lakhs. These units can easily be rented and are easily taken by small families.
Key Micro-markets to invest in
Although, there are many areas where an NRI can invest, in order to earn good ROI and rental incomes, localities near to commercial office spaces are most preferred. Areas like Electronic City, Whitefield, Thanisandra, Sarjapur Road and Kanakapura Road are some of the popular realty investment destinations. All these localities are nearby leading IT parks and commercial spaces and hence offer many benefits to NRI investors.
For instance, Whitefield and Electronic City are well connected via road and flyovers. Proposed metro connectivity will further lift up property price in these areas.
In the same manner, Thanisandra, Sarjapur Road and Kanakapura Road are well connected via NICE road, outer ring road, etc.
While Whitefield and Electronic City are well-established property markets, Sarjapur and Kanakapura Road being newly developed suburbs offers properties in budget-friendly rates and different formats like apartments, villas, duplexes, etc.
The property price in all the above localities hovers between Rs 3800 per sqft to Rs 5400 per sqft.
But, before investing, it is advisable for all the NRIs to take expert advice from skilled property managers that will help them in a hassle-free property buying from start to end.