As urban focuses in Mumbai are using up new land banks for private improvement, existing structures in the city, which are either flimsy or in an awful condition, are continuously re-created by manufacturers. Anyhow would it say it is a shrewd thought to put resources into such properties where the straight installment is as high as 50 for every penny? Magicbricks discovers
As of late, Magicbricks sorted out a webinar on `West and South India: Know purchaser/merchant assumptions and property patterns` the place one of the clients raised an inquiry about venture prospects in re-created activities.
E Jayashree Kurup, head-content and research, Magicbricks, and one of the panelists in the Webinar said, ``Localities where re-development is taking place usually have a good flow of demand with existing infrastructure. It is like modernisation of the area with new properties.``
However, she adds, ``One should check the background of the developers before investing as several risk factors are involved with respect to FSI, conversion regulations and approvals.``
Zones like Santa Cruz, Khar and Bandra are as of now created and immersed with property costs in a scope of Rs 20,000-40,000 for every sq ft, though, Vashi in Navi Mumbai is as of now creating regarding base, integration and re-advancement in the territory opens new parkways of venture.
``Since City and Industrial Development Corporation (CIDCO) has allowed FSI up to 2.5, new affordable housing stock will be entering the market which will enable a better scope of appreciation for those looking for capital gains as the base value is very less,`` says Ahuja
Other than this, re-developed properties require more initial investment from consumers. ``Builders involved in re-development projects ask for high down payment which can range up to 60 per cent of the total value compared to new projects where construction-linked plans are quite popular,`` informs Ahuja.