High demand witnessed in the affordable housing category in NCR

With a high number of working professionals migrating to the zone from other Indian States and rapid urbanization, NCR is steadily becoming a hotspot for affordable housing. The demand for affordable housing has steadily gone up over the years. The abundance of employment opportunities has contributed to skyrocketing growth in the NCR (National Capital Region). The NCR is the country’s biggest urban agglomeration and more than 28 million urban residents or 7.5% of the urban population of India is housed here.

This is behind the rapidly growing affordable housing demand in the region. As per reports, the NCR tops the list in terms of the housing unit volumes newly added for the affordable home category over the last couple of years. These are homes priced lower than Rs. 40 lakhs and contributed a whopping 26-30% of the total supply of the affordable housing category in major Indian cities. The contribution of new affordable category launches has increased to 71% last year from 21% in 2012.

The entire NCR can be a major affordable housing hotspot in recent times. There are several zones which may qualify as good choices in terms of affordable housing in the National Capital Region (NCR). These include Rajnagar Extension in Ghaziabad, Sohna at Gurgaon, Greater Noida West, Yamuna Expressway and Bhiwadi. These five zones together contributed a whopping 48% of the total supply of affordable housing in the NCR. Approximately 1.3 lakh units were added between 2012 and 2017 in the affordable housing segment in the NCR. The prices are also lower in these zones as compared to the average property prices in other areas.

There are several options available for mid-segment and affordable home buyers in these areas and there is major appreciation potential for the future. Sohna should be an emerging satellite destination on account of easy proximity to Gurgaon and other NCR regions in tandem with major developments nearby. It contributes a whopping 1/3rd of affordable housing supply at Gurgaon. In the logistics and industrial hub of Bhiwadi, more than 80% of affordable housing units fall in the affordable housing category.

There is great connectivity to Delhi and Noida along with excellent commuting options which make Rajnagar Extension a great affordable housing option. Greater Noida West was earlier called Noida Extension and is also well connected to Delhi, Noida and Ghaziabad, three of the most established NCR locations. Yamuna Expressway is one of the rapidly growing affordable housing markets in Greater Noida over the last couple of years, contributing approximately 43% of affordable housing supply till the third quarter of 2017. The upcoming Jewar Airport and easy access to eastern areas in Uttar Pradesh will also boost future growth in this zone.