Establishing new real estate identity: Navalur
Navalur, is a quaint suburban township, located in Kancheepuram district, in the south of Chennai city. What used to be a small village is a new age township bustling with activity and development. The place was suddenly catapulted into the limelight, because of Software majors, BPO giants and other ITES companies rushing to set up campuses here. Renting a 2 bhk flat in Navalur is the choice of many professionals associated with these technology companies.
The rapid development of Navalur is another example how MNCs can shape and develop small and quiet areas into a real estate hub. The township, located exactly between Sholinganallur and Siruseri, comes under the Thiruporur taluk, never imagined this kind of growth in infrastructure and real estate. As rapidly the area has grown, so has the need for houses for employees working with international companies. With realty touching the sky here, and a 2 BHK flat in Navalur costing around Rs 50 Lakhs to Rs 74 lakhs (Jan 2013-Mar 2013), the future is bright and it’s the time right to invest here.
Rentals in the area
The realty became a hot property with a growth in demand by professionals working in the IT companies located in the vicinity needed to buy or rent houses here. Also, they are aware about the property boom here and that the future is perfect even if they want to sell off the property bought here in next two three years’ time it would fetch good money.
The rental rates for a 2 BHK flat in Navalur can vary from Rs 9000 to Rs 20,000 per month ( Jan 2013- Mar 2013 figures) depending upon the size of the flat, locality, type of construction, amenities provided by the builder, facilities like malls, multiplexes, shopping arcades, schools, hospitals and other recreational places.
There are lots of options in terms of choice of rented flats in the area and one can get a 2BHK, 3BHK, 4BHK or a builder floor type of construction according to their choice. The differentiation comes in terms of the quality of construction and its distance from the professional hubs. Those apartment located near the MNCs offices have high rentals and better facilities as compared to those which are far away from the campuses. The crowd is basically cosmopolitan and it is hard to imagine that this place was a small ordinary village craving for attention.
Real mixed bag
Real estate in the area is at the moment a mixed bag of sorts. With some areas witnessing a growth in property prices while other areas are looking at a drop. The growth is not very significant but is always better than stagnation in prices and saturation. The climb in cost of property ranges from as low 1 percent appreciation to 8 per cent increase for the last three months (Jan 2013-Mar 2013). With an assured annual growth of 6-8 per cent as far as prices of property go.
Now, a look at the rental rates and their difference is mind boggling as most areas are seeing a downward spiral from 8 per cent to a mammoth 52 per cent (Jan 2013-Mar 2013). This may be good news for the individual looking for a rented accommodation in Navalur.
But the whopping figures are the increase in the rental rates of some of the areas seeing slump in prices, these areas are witnessing as much as a 171 per cent of increase in their rentals over the last quarter (Jan 2013-Mar 2013).
Hence the some areas experiencing a growth in prices have to do with lessened rental rates and those witnessing a slump in prices are seeing an increase in rental rates. But this proposition can be reverse too in some areas and certain areas are witnessing increase and decrease on both fronts. It is therefore advised to check and cross check the rentals prevailing in Navalur before renting or buying a property there.