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Real Estate Market in Chandigarh

 The union Territory of Chandigarh is the twin capital of states of Punjab and Haryana. Chandigarh has a population of about a million. The real estate market in Chandigarh has both the residential, undertakings, and more than 2,500 small-scale industrial units, that are prospering within and around the city limits. Regarded as one of the planned places in India after Jaipur, Like Noida Chandigarh is divided into around 47 sectors which are an integral part of the entire Chandigarh realty.

 

 Real estate in Chandigarh earlier never was so tempting and profitable as it is today. It is only that the investments are getting strong each day and the prices of homes in Chandigarh are also increasing like never before. According to market experts this trend is likely to continue for some more years before the prices begin to fall. But the interesting fact is that there is always a cap on investments that often limits the soaring of prices.

 

The rental rates are increasing at least 2 per cent more than the ownership home rates. The myriad of options and the excellent housing facilities is the main reason cited for this trend. The rental market in Chandigarh therefore yields more revenue. But, the capital appreciation is low because of the rental market becoming more profitable. Also the sale rates are falling.

 

The two kinds of properties that have steadily been rising defying all laws of escalation are the properties that are located around the industrial area. This includes the shopping malls, factories, processing firms, and the retail outlets. These areas have seen steady growth in Chandigarh. This development took place after the Chandigarh Administration allowed conversion of land use in the Industrial Area. There also has been a sharp increase in prices since then. The plot that sold for Rs 2 to 2.5 crore per acre in these areas currently has a price of Rs 2 crore minimum.

 

Locations Rental rates (per square feet)
Sector 19 Rs 90- Rs 500
Sector 17 and 22 Rs 25- Rs 70
Sector 22 Rs 6-7 at lowest and Rs 500 highest

 

Instead it has been noticed that smaller properties in Chandigarh like the 2 BHK and 1 BHK apartments is getting sold easily even if they are highly priced. However, another contradiction comes when the marketers observe that there has been depreciation, ranging between 15 to 20 per cent, in terms of houses smaller than two kanals over the past three to four months beginning 2010. 

 

Overall, has been a 25 per cent increase in the value of properties larger than four kanals, located in the northern sectors of the city. The posh area homes are now costing huge even on rents. Owning a home in this location is a distant dream for a middle-class family.

 

The new developments in the affordable housing sector in Chandigarh came with the announcement of 13,000 new housing units under different categories in the city. The construction of 160 houses in Sector-26 East (Bapu Dham) has been taken off for low-income households. About 8,000 houses will be built in Dhanas and Maloya-I for the middle income group and another 2,260 houses under the housing scheme.