Modern city, smart prices
Noida offers homebuyers enough choices in the affordable range of 45 lakh to 55 lakh. As this modern industrial city with great connectivity to the Capital, is also vying for the smart city tag, the real estate market here is all set to grow
oida has it all. Residential units in this market are available within the affordable price range of ₹ 45 lakh to ₹ 55 lakh in both the primary as well as the secondary market.
What, however, has ruined buyer sentiment in this market is delay in delivery in many cases. Things could look up for the city as it is probably one of the first in NCR that’s expected to be converted to a smart city, which definitely bodes very well for its residential real estate market. Experts believe that Noida has the potential for this transformation because not only does the city have enough land available for its expansion, its strategic location, connectivity and existing infrastructure also make it an attractive destination for homebuyers.
According to current trends in the region, most affordable units command a price of ₹ 45 lakh to ₹ 55 lakh. Some of the sectors which offer properties in this price range include 70,
N₹ 71, 72, 73, 74, 76, 77, 105, 108, 109, 110, 120, 121, 132, 133, 137, 140, 143 and more.
“Noida in the past few years has emerged as a planned, integrated and a modern industrial city that is well- connected to Delhi. If the government decides to convert it to one of the 100 smart cities, real estate prices in the market are bound to escalate further. I think it’s a very good thing for this city and I firmly believe that Noida deserves it. It’s virtually on the Capital’s doorstep and that’s the main reason why buyers from all price categories are attracted to this city,” says Pradeep Mishra, CMD Rudrabhishek Enterprises Pvt Ltd, an urban planning firm based in Noida.
Property experts say that upcoming projects offer excellent features such as power back-up, greenery, good location, latest security systems and designated parking space, among other things in an affordable price range. “There are parks, jogging tracks, gymnasiums, power and water back up, ample car parking space and much more,” says Ashok Gupta, CMD, Ajnara India Ltd.
Realtors try and provide the best and latest facilities to homebuyers as most of them aim at “enhancing customers’ lifestyles - at reasonable prices”.
In the ready-to-move-in category, Noida Authority’s 1 BHK LIG flats measuring 550 to 750 square feet in sectors such as 55, 71, 73, 82, 99 and 135 are available in the secondary market for ₹ 5,200 to ₹ 7,000 per sq ft.
“If we calculate the purchase cost, including registration and transfer, these flats will cost anywhere between ₹ 35 lakh and ₹ 40 lakh, depending on the number of floors and their location. This is the best you will get for a small-scale budget,” says Alok Tyagi, CMD, ATN Group.
One good thing about these LIG flats is that in many sectors they are located in the same complex as other high-end properties such as HIG flats and duplex houses. Thus, they share many f acilities such as shopping complexes, parks etc. Besides, they are well-ventilated with balconies on both sides. Many home-owners have covered the balcony area and converted it into another room, informs Tyagi.
However, despite so many housing projects, delay i n delivery is one of the major concerns for homebuyers as even well- known developers have faltered and missed deadlines by more than two to three years. Some property experts blame the developers for the slow pace of construction.
“In the last one- and- a- half years, hardly any possession has been offered for projects. Some well-known developers are way behind their delivery schedule. This is why there are very few new buyers in the market. Noida has a number of end-users and if these homebuyers start getting delivery on time, they will consider investing in new projects. But that’s not happening,” says Rajeev Dubey, a local property dealer.
“I have been dealing in the property market for the last ten years and based on my experience, I can say that prices will not go up in another year. So, homebuyers need not hurry. They can take their time to make a decision. In fact, my advice to homebuyers is to always buy a ready-to-move-in apartment and not to invest in any upcoming projects. There is a lot of uncertainty in the real estate market and no one knows how long it will take to get your dream home,” Dubey adds.
Pawan Jasuja, director, Finlace Consulting Pvt Ltd, says, “The reason for price stagnation is the economic slowdown and demand-supply imbalance. Huge inventory pile-up has led to oversupply. Less demand due to economic conditions has also led to an imbalance which in turn has led to prices stagnating. As per estimates, markets will recover by the end of the year due to a stable government at the Centre and economic policies of the government.”
Agreeing with Jasuja, Amit Modi, wholetime director, ABA Corp, says “Not just Noida, the whole of the NCR has seen a drastic drop of 37% in home sales in the first six months of the year to nearly 28,500 units compared to 45,300 units a year ago.”
Other experts blame the Uttar Pradesh government and Noida Authority for turning a blind eye to issues such as the NGT order on the Okhla Bird Sanctuary and land acquisition.
“It’s the homebuyer who is affected by the NGT order. Many developers have stopped construction work and blamed the NGT order for delays even when their projects don’t fall in the 10 km buffer zone area around the sanctuary. Such developers are very happy with the NGT order because they think they have a valid excuse now,” says Ashish Kaul, an RTI activist.
Many realtors, however, are hopeful of an improved scenario in the coming months. “We agree that the realty market is going through a bad time because of several reasons, but the recent Budget announcements have sent out a positive message. Once those measures are implemented at the ground level, the market will take a positive turn. We expect the market to pick up by the first quarter of the next year by the time the proposed changes would have been executed,” says Aniel Kuumar Saha, CMD, Saha Group.
Agrees Rajesh Goyal, MD, RG Group, “The sector is looking forward to a correction and things have started moving in that direction. The market is likely to stabilise in a few months because of the steps taken by the new government.”
Most affordable units in Noida command a price of 45 lakh to 55 lakh and are located in sectors 70, 71, 72, 73, 74, 76, 77, 105, 108, 109, 110, 120, 121, 132, 133, 137, 140 and 143