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The recent trend in Mumbai realty shows a surge in compact housing projects. According to experts, it’s a segment that will grow further
Despite realty rates reaching the skies, Mumbai remains the dream home destination for many. For many residents, having one’s home within the city limits, is far more important than having a bigger apartment farther up in the distant suburbs, as they can save time in commuting to and from office every day. Compact homes promise them all this, within their budget.
Developers are trying their level best to find the right price and size for their house on offer which will match the requirements of the end-user.
Some developers in the country have been launching projects with small unit sizes ( 800-1,200 sq. ft). The trend is especially catching on in cities such as NCR, Bangalore, Mumbai and Chennai, where the market is gradually opening up and trying to solve its large unsold inventories.
The Compact Concept
While the non- availability of land and the high costs are driving the demand for compact homes, another major reason for the trend is the conscious effort by developers to create affordable projects for middle and lower middle-income groups. The aim behind launching such projects is developers trying to improve their own cash flows, as there is a lot of latent demand in this category.
A big draw for youngsters
Compact homes are an attractive proposition for the youngsters who have recently started working. As most investments are funded by home loans, smaller apartments mean that EMI outflows are manageable. Smaller homes also have lower maintenance cost which works well for the young buyer.
Not just the outskirts, compact housing is making its presence felt in the precincts of Mumbai too. Recent projects launched in areas like Goregaon, Malad, Kandivali, Kanjurmarg, Chembur and Mulund, point towards this emerging trend. Also interesting is the fact that prominent builders have also entered into this segment recently like Godrej, Gundecha and Nirmal Lifestyle to name a few.
We list a few localities that offer affordable but compact homes to the mid-segment home-buyers of Mumbai Metropolitan Region (MMR).
You can find projects like Lodha, Runwal and D P Homes. Since industrial growth is going hand-in-hand with its improving infrastructure, the locality is also gaining much investment attention.
Property in Dombivli:
Properties in affordable range and mushrooming of commercial destinations around the area have brought this place into prominence. There are residential options from Godrej properties, Nirmal Group etc.
Its strategic location which connects to a number of popular destinations is the main reason why Shilphata is a desired locality. Rate for the above ranges between 3,500-5,500 per sq.ft.
Properties in Shilphata:
A well-developed civic infrastructure and post becoming a part of Vasai-Virar Municipal Corporation, its real estate market has shown impressive price appreciations.
Though high in demand for its residential units, it still offers some affordable options. Its well-connected to the city and has a good rental market.
Particularly, the Mira-Bhayandar road is what attracts investors attention. Good road and rail connectivity, developed social infrastructure and affordability contribute towards its real estate growth. Rate for the above ranges between Rs 4500-6500 per sq ft.
Properties in western suburbs: