Luxury Real Estate Trends in Mumbai

Mumbai is now not only for famous for its Fashion, Lifestyle and Glamour but also for its luxury real estate. The dominance of Big Builders in Mumbai attracts a lot of non-resident-Indians (NRIs) and corporate Buyers along with residents wanting to invest or buy a home in Mumbai. Buying a home is no longer just buying a mere apartment but it needs to have some character with luxurious features and amenities. Mumbai is the hub of the Indian housing industry and in the news more than any where in the country. Builders with Vision and its young population are taking the city to the next dimension. Real estate agents are promoting the idea of a guaranteed return on investment very heavily and aiming this pitch directly at the relatively-wealthy NRIs.

Indianground.com suggests:

For any NRI returning to India and making a property investment in a metro like Mumbai will be a wise decision as it’s one of the fast paced cities of India and is a haven for India’s wealthy industrialists, flashy film stars and internationally acclaimed artists. With a population of nearly thirteen million people, it’s the melting pot of diverse ethnic background and varied cultures.

The conservative Indian is no longer prepared to be confined to his 40 year old apartment block. The new generation wants to get rid of the old blocks and move into a newer apartment with modern luxurious amenities such as a swimming pool, health club, spa, lounge, Jogging parks, etc. The idea is when you are back home from work you should feel like you are back in the 5 star environment. Apart from this a lot of builders have begun making small self contained townships. Not only this, the builders these days are finding new promotional ideas in the hope of attracting attention.

Having said that, despite aggressive promotions by both the real estate industry and the media, there are less property registrations so far this year and some pundits are suggesting there is a downward trend for luxury property in Mumbai currently.

Property is no longer underestimated; instead it is the subject of gossip among the youngsters’ and college-goers as well. Luxury property is the hot topic even in lecture rooms and corporate office break rooms. Everybody wants to try their luck in property. It is like a gamble, either you win or you lose but the fun of playing it is pleasurable. Such has the property in Mumbai attracted the people to get into it. Earlier it was a subject of boredom and was looked down upon by everyone but now even housewives have started investing in property.

Prices in the luxury rental segment are showing the signs of hotting up even as the registrations and sale prices decrease. Everyone wants a piece of luxury, but overbuilding over the last few years may see a correction very shortly. A lot of occupants are witnessing terminations from their property owners wanting extra rental and this condition is getting prominent not only in belts of Bandra to Andheri but also in central suburbs like Mulund and Thane. Mulund and Thane are the places which were earlier considered as low budget and middle class areas are also seeing a hike in property prices. Large amount of upcoming malls are the reason behind the property hikes in the central suburbs. From Kurla to Sion, Matunga to Ghatkopar none of the suburbs are being left behind. Purchasing a flat in Mumbai is now a burning question among the middle class, as the rise in prices makes it no less affordable - even for the upper middle class. But most of the corporate executives prefer to have these luxurious amenities and hence demand is always there - perhaps not enough to sustain the level of development seen recently, but enough to hopefully stabilize the market.

With Mumbai’s infrastructure undergoing a drastic change we will soon have very little hassle going too and from our luxury residences.