Rental Prices Higher By 13% In Main Cities

After the fresh rise in real estate prices all over India, the reports are coming about rising rental prices in key industrial towns. A current report about rental prices in New Delhi has shown a 13 % rise in rental prices in year 2008.
Global real estate consulting company, Cushman & Wakefield has reported a rise of 7-13% in rental prices during the first quarter of this year. The demand is high and space for further development is limited. While in Gurgaon and Noida, the rentals have grown at 10-12 %.
Rental prices are higher in Bangalore, Mumbai, Chandigarh, Noida and Gurgaon as well. Real estate prices were lower during the first quarter of 2008. The prices had seen a good appreciation and there was a need for correction in the prices of real estate.
Small builders were having problem in selling their existing projects. According to recent reports, many small builders sold stake to real estate majors as they couldn’t bear the diminishing in prices of residential property. Real estate majors have lot of cash and can wait for the prices to stabilize. Home buyers and long term investors were waiting for reduction in prices while speculation based traders have reduced their exposure in most sectors.

2 Comments

Edwin

Posted May 26, 2008 at 7:19 am | Permalink

RENT

Available 4bhk+1study/Office at Bank colony Banasawadi Ring Road on an 80x50sft. site with car park , garden, servant quarter, semi enclosed sit out plus open terrace and a roof terrace with ample water Just off the service Rd .Ideal for MNC’s or Expacts Rent-50k only. Genuine tenants/Authorized company Facilities Managers/Staff may please contact-
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Vikas Bamotra

Posted June 5, 2008 at 5:11 am | Permalink

The transaction level has gone down drastically in various markets. It has resulted in price fall in realty market. This is also because residential capital values in some micro markets in the metros have shown a negative growth in the last 3 months. After tracking capital values in metros such as Mumbai, Chennai, Bangalore as well as Pune and the National Capital Region (NCR), the result was that either there has been a fall in prices of residential values or they have not increased in the last three months. In fact, places like Gurgaon have seen a down of 15 percent, while the plot rates have come down by 20 percent in Noida. In Greater Noida, the plots which were selling at Rs 55000 to 60000 are now available for Rs 40,000 to Rs 45,000. In Indirapuram, rates of flats have come down to Rs 2500 to Rs 2700 per square feet from Rs 3000 to Rs 3200 per square feet.

Even prime areas in Delhi such as Friends Colony, Maharani Bagh, GK I & II, Prithviraj Road and Hauz Khas have witnessed a 5-10 percent fall in the prices.

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