Over the last two years or so, real estate prices in most metros have seen a sharp rise, with annual return of 30 per cent being quite common. Though there seems to be some steam left still, some experts predict that prices will either stabilise or fall in 2007.
If you plan to invest in 2007, remember that it is a high-risk game, requiring you to stomach up to a six-year price downturn. Next year, go for long-term bets, basically areas that will surely appreciate in the next 4-5 years courtesy infrastructural developments such as metros, roads, bridges and airports. We map the areas with great prospects for price appreciation in the six metros of Delhi & NCR, Kolkata, Hyderabad, Chennai, Bangalore and Mumbai.
1. DELHI & NCR
Infrastructure development in Delhi is giving access to places where even now people grow two righteous good crops a year. And those are just the places to grow your money.
Delhi Metro: In Dwarka in west Delhi, the connection has pushed up prices by about 75 per cent and a further increase of 15-20 per cent is expected in 2007, especially in sectors 2, 6, 7, 9, 10, 11, 12, 13 and 14. The eastern extreme, adjoining Noida, which will get connected by 2009, is seeing property prices along the Metro shooting up. In sectors that will house stations — 15, 16, 18, 32 (city centre), the botanical garden and the golf course — expect a rise of 20-25 per cent.
Says vice-president of Delhi-based Majestic Properties Abdul Bari: “The prices are Rs 4,000-5,000 per sq ft as of now.” Sectors 19, 26, 39, 40, 41, 47, 50, 51, 61 and 62 are also expected to gain. “Once the Metro reaches Noida, the connecting corridors will see a rise of about 25-30 per cent,” says S.K. Sayal, CEO, Alpha G Corp. Source (http://kaaju.blogspot.com/2007/01/real-estate-prospects-in-six-metros-in.html)