Skip to main content

Buying a second home? Keep in mind climate and connectivity

Namrata Kohli  |  New Delhi


With the real estate market in India in upcycle, one segment that is witnessing rapid growth is second (including retirement) homes. A recent report by 360 Realtors says this segment is likely to grow at a compound annual growth rate of 23.6 per cent over the next five years. 

Goa, Alibaug, Lonavala, Coonoor, Ooty, Kasauli, and Shimla have emerged as the second home hotspots within the country. Several factors are driving this demand. With many companies willing to offer at least some of their employees the option to work from home, many people are investing in a second home in places that offer a salubrious climate. Some are investing for quick appreciation.

Says Dhimaan Shah, co-founder, Isprava, which offers fully furnished second homes priced between ~5.5 crore and ~30 crore: “If you buy with the right brand and invest in the right project, you could get appreciation within a short period.” Goa currently offers the best investment return on second homes. Some are buying a second home, so they can rent them out for long stays. “While in top-tier metros like Mumbai, the rental yield is barely 1 per cent, in a place like Goa, you could get 6 per cent or more with the right property,” says Shah.

Choosing right home 

Besides climate, choose a place with easy connectivity, so you can return quickly in case a need arises. Stick to a branded developer — one who has a track record of delivering quality projects on time. Decide whether you wish to buy the property for self-use, to rent out, or for investment. 

Says Gunjan Goel, director, Goel Ganga Developments: “To earn a high return on investment, go for a popular location. If you are buying for self-use, focus on whether it offers the amenities and infrastructure that suit your lifestyle.”

Buying within a gated community is prudent. Says Shveta Jain, managing director, residential services, Savills India: “Look for an independent home or villa within a gated development. Such developments offer greater security and you can enjoy facilities such as swimming pools, gyms, health centres, and state-of-the-art sporting amenities without having to worry about their maintenance.”

Ensure the area does not suffer from water scarcity. “Make sure there is assured water supply all year round. Water scarcity can be an issue, especially in the hills.” Go for a RERA-registered project, so that you have the option to complain if there are structural defects.

Look for clear land title 

Land title can pose an issue, more so in non-urban locations. If you are buying from a smaller developer, engage a lawyer to conduct a detailed title check. Make sure the seller provides you with documents such as title deed, sale deed, registration papers, pledged property, and encumbrance certificate. Make sure no utility bills, maintenance charges, and property taxes are due. 

Some additional due diligence may be required when investing in certain states. To invest in Shimla, a non-domiciled buyer needs permission under Section 118 of the Himachal Pradesh Tenancy and Land Reforms Act, 1972. But non-domiciled purchasers can buy a plot of land or apartment from a licensed builder who has taken approval under Section 118. Since property laws vary across states, it is advisable to engage a local property agent who can help you navigate through the legal maze

HOME RUN: KEY SECOND-HOME PROJECTS

City/Town

Name of Project and Developer

Approximate unit size

Price (₹)

Kasauli

DLF Samavana

1,500-2,500 sq. yard plot

4-6.5 crore

Kasauli

Tata Myst

4,275–4,915 sq. ft villa

5.5-6.2 crore

Naldehra, Shimla

Auramah Valley, Imperial Realty & Developments

4,000 sq. ft, 5,500 sq. ft (4/5-BHK villa)

3.3-8 crore

Alibaug

Green Park Developers

2,500-3,000 sq. ft built-up and 5,000 sq. ft plot

2.5-3 crore

Alibaug

Mahindra Lifespaces The Serene

3BHK villa 2,000 sq. ft

4BHK villa 2,500 sq. ft

3BHK 1 crore

4BHK 1 crore+

Lonavala

Tata Privé

3BHK 4,500 sq. ft

6 crore

Lonavala

Kalpataru Amoda Reserve

3BHK villa 2,600 sq. ft

3BHK 3 crore

Goa

Veera Developers

4,200-5,200 sq. ft built-up area

4-5 crore

Goa

Casa Del Sogno

3,229-3,500 sq. ft

3.5-4 crore

Goa

Acron Edgewater Villas

3BHK villas

3,500-6,000 sq. ft

4 crore

Comments

Post a Comment

Popular posts from this blog

Telemedicine to the aid of home-bound patients in the time of Covid-19

Telemedicine in covid-19 times: You can get to the doctor almost anytime, anywhere, be it on your screen, via voice or plain text for a lower price than in-person consult Namrata Kohli   |   New Delhi Telehealth is bridging the gap between patient and physicians. The physician can now virtually visit the stay-at-home patient and heal from a distance Telemedicine in covid-19 times:  When 37-year-old Priyanka was down with fever and dry cough, she decided to consult a doctor over a WhatsApp call before giving her blood sample for an RT-PCR test. Based on her symptoms, the physician alerted her that it wasn't a mild Covid infection but a moderate one. His diagnosis was confirmed when the test report showed a viral load count of 20. “The massive benefits of telemedicine became evident during the pandemic,” says Priyanka’s doctor, New Delhi-based consultant physician Dr Arvind Kumar. “Everything is about time and if my patients have complications late at ni...
29 comments
Read more

Why The Heck Not? DLF’s KP Singh Book Sharing His Blueprint For Success

  By Namrata Kohli “Before KP took over an almost dormant DLF at the behest of his wife Indira and sister-in-law Prem, he knew nothing about real estate – zero!” This may sound unbelievable but that’s the absolute truth about a man who is credited with turnaround of Gurugram and setting the gold standard for luxury real estate in India. K.P. Singh’s book “Why the heck not?” is an interesting account of his life’s journey where co-author Aparna Jain variously describes him as “a forever learner”, a “one man army”. His blueprint for success? Shares KP  Singh- "I believe every opportunity is like a train standing on a platform. The train’s door opens for a short while, either you get in or when the door closes the train leaves. Opportunity comes to every human being, it is your smartness how to quickly find out yes or no and then grab it before somebody else grabs it.  Every person should know when opportunity comes. T herefore I say, why the heck not?" Co-author Aparna ...
Post a Comment
Read more

Riders on the storm: Indian biking comes into its own

  With the advent of a slew of foreign makes, Indian bikers are now spoilt for choice, and the growing numbers of riders point to the emergence of a proper riding culture in the country      Namrata Kohli   New Delhi       “Biking teaches us to be a better human. Riding a motorcycle connects you directly to the road, the wind, and the environment in a way that feels thrilling and immersive. We all live in such a selfish world but when biking, you let people into your world .  As soon as I sit on a motorbike and put on the helmet it is my time with myself, and I drop all my worries on the highway and move on, ” says c elebrity motorbiker Dr. Maral  Yazarloo -Pattrick   Indeed, motorcycle-riding has come a long way in India. Until recently something that you saw in American movies, riding now has a clutch of clubs and a dedicated fan base among Indian riders, cutting a cross regions and classes.    Naturally, a hard-core bik...
Post a Comment
Read more