As per market experts, Bangalore is set to be the next big hub for affordable housing projects. The city already has several reasonably priced projects coming up like Pashmina Lagoon Residences, Pride Green Meadows, Aryan Golden Arena and Sowparnika Unnathi among others. This is only the tip of the iceberg. Several other affordable housing projects are expected to be developed in the Garden City over the next few years. Bangalore has also been ranked as the 5th cheapest city globally as part of a leading global cost of living survey for 2018. Bangalore is also the 5th biggest city in the country and is one of the biggest commercial, IT, ITeS, financial, education, healthcare and investment hubs in India.
Bangalore witnesses a huge influx of people throughout the year who migrate to the city in search of employment and other job opportunities. There are various residential projects dominating the Bangalore residential real estate market and 2 and 3 BHK apartments are majorly available here. Prospective buyers in the affordable housing category are seeking projects located near major transit hubs and which offer decent amenities. Affordable housing is already witnessing huge demand in areas like Chandapura, Sarjapur Road, Kanakapura Road, Malur-Hoskote and Electronic City.
According to reports, Bangalore offers improved pricing in the affordable housing category in comparison to Delhi and Mumbai. Per sq. ft. prices in the affordable housing category are lower in Bangalore and this makes it an excellent future hotspot in this segment. Unit dimensions are being lowered by real estate developers. For instance, 2 BHK homes are being offered at 950 sq. ft. as compared to 1, 000-1, 200 sq. ft. while 3 BHK homes are being offered at 1, 200 sq. ft. as compared to 1250-1500 sq. ft. Unsold inventory priced between Rs. 40-60 lakh is also getting considerable buyer interest.
Infrastructural developments and other announcements are also sparking real estate growth in several suburban areas which will naturally boost demand for affordable housing projects. Close to 15, 000 apartments are close to completion in Bangalore and a large majority of these fall in the affordable housing category which is priced from Rs. 40 lakh onwards. Government benefits like PMAY are also boosting the growth of affordable housing in Bangalore along with 100% tax exemption on developer profits in case they build affordable homes. RERA has ushered in more transparency and overall accountability for the Bangalore real estate market. The number of new launches is the highest in the affordable housing category and Bangalore should continue witnessing this momentum in the segment for a long time to come.