When luxury becomes affordable
With consistent price corrections in past five years, luxury housing options within the price range of lakh to lakh have widened
In the past five years, owning a house became cheaper with home prices in the Chandigarh tricity falling by 10% to 50%. Consequently, the options for the home buyer in the price range of lakh and Rs 80 lakh have increased.
In the cities of Chandigarh, Panchkula and SAS Nagar, options are still limited in this price range but in the periphery, the buyer has larger supply base to choose from.
Zi r a k p u r, De r a Ba s s i , Mullanpur (New Chandigarh), and new sectors coming up on the Kharar-Banur-Landran road offer wider supply base, particularly built-up properties. Before the slowdown, prices of most of such properties started at around 90 lakh.
For the buyer in this segment, the price situation is more favourable in the secondary market than in the
Rprimary market – developers are still reluctant to openly declaring price cuts in this segment. “Most of the active demand is concentrated in the below lakh price segment, and then in the lakh to lakh segment. The brunt of the slowdown impacted the demand in the mid-price and higher-end segments. Most developers in the segment entered the market during the boom years of 2005-07 and now some are sitting on large unsold inventory. In the secondary market also, most of the supply was cornered by the investor, who is now desperate to exit the market and salvage his investments. So both in the primary and secondary markets in this price bracket, the buyer can easily dictate the terms,” says Manoj Goel, 47, a Zirakpur-based real estate consultant.
Relatively larger-sized plots are available in the Greater Mohali area. On the KhararLandran-Banur road axis, plots of 300 sq yard to 400 sq yard are available. In Zirakpur, a majority of the plot supply is in the secondary market. In this budget, the size ranges from 250 sq yard to 350 sq yard. As one moves to Dera Bassi, in this same budget, the plot size increases – one kanal to two kanal plots (500 sq yard to 1000 sq yard). In Panchkula, in 150 sq yard to 250 sq yard plots can be explored in this price range in the new Sectors of 25, 26, 27, and 28.
But the problem with the plot segment is that these are a bit deceptive when it comes to the cost of owning a house. “When one buys a plot he has to spend on the construction of the house. Construction costs on an average starts from Rs 1,200 per sq ft and the upper limit depends on the owner’s pocket and discretion. So, buying a plot of lakh to lakh does not mean one would own a house in this amount; it would cost lot more than this,” says Gurinder Singh, 32, an SAS Nagar-based realty consultant.
Built-up independent floors, starting from 250 sq yard (around 1,350 sq ft builtup area), are available in the Greater Mohali area with additional amenities like airconditioning and modular kitchen. In the same size segment, floors at cheaper rates are available but developers do not provide additional amenities with such units.
Local realty experts suggest if a buyer prefers the plotted segment then he should explore the built-up houses in the price segment. These are generally available in the secondary markets. For instance, in Chandigarh, a buyer can expect to get first and second floors in a five-marla house. Similarly, say local realty consultants, the top floor in an eight-marla house is available in the price range in the city.
Apartments are a good option to explore in this price range. The three cities and the periphery offer a number of attractive options in this price range.
In Zirakpur, apartment sizes vary from 1,700 sq ft to 2,600 sq ft in this price range. Options are available both in the primary and secondary markets. Buyers can explore the Chandigarh-Ambala road and the Zirakpur-Patiala road for apartments in this price segment.
“The Zirakpur realty landscape is changing fast. We have explored this market for the last couple of years. At present, the supply is more than the demand and a buyer can get price cuts, particularly in this price segment,” says Randeep Singh, 42, a Chandigarh-based entrepreneur and a prospective buyer.
In other parts of the periphery such as on the Kharar-Landran road and other upcoming sectors in SAS Nagar, sizes of the lakh-plus units vary from 1,500 sq ft to 2,600 sq ft in the 3BHK (bedroom-hall-kitchen) and 4BHK configurations. “In this price bracket, the buyer can demand high-end ameni- ties in the apartment. There are options with a number of local and national level developers offering apartments in this price. A buyer can find high-end health, recreational and educational facilities, and supermarkets in such projects,” says Goel.
Options are available in cit- ies too but most lack luxury facilities and amenities. In this budget, a buyer can explore the MIG (medium-income-group) segment in Chandigarh’s southern sectors, especially 2BHK units of 750 sq ft to 800 sq ft. In Panchkula, 1,200 sq ft to 1,350 sq ft apartments in different configurations are available in the price range of
lakh to lakh. You can find such units in Sector 20 and Mansa Devi Complex. Both areas have a sizeable supply of smaller 2BHK apartments in the secondary market. Prices vary depending not only on size but also on the society and the floor, say realty experts.