The trend of NRIs’ preference for the Indian real estate market is a well-known fact. Their investment capacity in luxurious houses in India has been growing tremendously year after year. It appears to be a renewed consumer interest in the real estate market. The government has given a green signal to the various housing projects by announcing a variety of schemes and reforms. As a result, the real estate sector is booming due to the NRI demand of purchasing luxury apartments in Chennai, Bangalore, and other metropolitan cities.
What encourages NRIs to buy a house in India?
Many property agents, real estate developers, and banks are undertaking distinctive marketing campaigns that are organized in the localities of UK and US where the Indian population resides in high numbers. NRIs living abroad are showing a keen interest in purchasing luxurious houses in India primarily for two reasons:
The crucial rupee movement
Potential buyers prefer to purchase a luxury apartment in Chennai, Bangalore, and Hyderabad. According to industry experts, the stability in housing prices along with the favorable rupee movement is directing the NRIs in a big way to the real estate market. Due to the sluggish market conditions, NRIs could benefit substantially from some attractive options available in the market. The depreciation of the rupee offers psychological triggers to boost profits for both NRIs and developers. With each depreciation cycle, NRIs will find it cheaper to invest in real estate in India.
The emotional connect
More than just investment, these non-residential Indian customers feel a sense of nostalgia and emotional connection with their country of origin. It gives them another reason to purchase a home in their motherland. Security is another key feature that is considered by the NRIs. As many professionals shuttle between India and countries abroad, the safety of their homes becomes a challenge. In gated communities, residents can leave their house for months without the fear of burglary or damage. This concept, which is already popular abroad, is making a foray into India as NRIs returning to their roots are looking for the conventional security. The upscale and posh amenities make the cash-rich professionals hooked on to these communities.
How much do NRIs contribute to the growth of the real estate market?
Property consultants believe that even though the market is volatile, it continues to have a strong foothold among the NRI segment of the consumers. NRIs significantly contribute to the total housing sales volumes in India. The investments done by them have gained momentum over a period, and the market prices are either stable or fluctuate. Potential investors have the opportunity to choose from a variety of options ranging from affordable to luxury developments.
What efforts are being taken by real estate developers to target NRIs?
Developer and real estate organizations have introduced various marketing schemes that focus on NRIs. It is believed that with the introduction of the Real Estate Bill, the investor confidence in the market can be increased further. The construction of residential complexes, in the form of gated communities, encourages non-residential Indians to invest wisely in these potential markets. They are characterized by high fences, controlled entrances for pedestrians, surveillance of those entering the premise, and clean streets. In fact, these townships serve as a perfect getaway from everyday civic problems. They offer the latest amenities and have their independent power, water, and maintenance departments.
It is now easy to buy a holiday home or luxurious house in India at affordable prices. There are plenty of that provide brilliant investment opportunities to NRIs as well as local buyers. They offer impressive long-term returns on investment and benefits to the consumers.