KOCHI: It seems these are not good times for apartment owners who are planning to put their property for sale. Those who have invested in properties thinking that it would fetch good profits have to bite the dust as few people are interested in buying old apartments. When it comes to buyers who are interested in premium projects, they generally opt for a new property.
“Old projects are in demand only if they are located in prime locations like Marine Drive and areas around Kochi Metro stations. Otherwise, those looking for both premium and budget homes generally opt to buy new projects in the city or suburbs,” an official attached with the registration department said.
Unlike cities like Mumbai or Bengaluru where people from across the country invest in apartments, it is mostly Keralities who prefer to buy properties in Kochi, the official said. “In the current scenario, few consider apartments as an investment and those buying are only for residential purpose,” the official added.
However, the registration department officials said the registration of apartments has considerably decreased in the district. “Earlier on an average, there were 100 registrations per month in a registrar office; now it has come down to 50-55. The situation is almost the same in sub-registrar offices across the district,” said an official attached with the registration department.
The department did not have a system to categorize sale of old and new apartments, he said.
Meanwhile, prominent builders disagreed with the observation that resale of flats have gone down in the city. The projects undertaken by reputed builders who provide excellent service will always find buyers. “There are always buyers for old apartments located at prime locations – a major factor in deciding resale,” said V Sunil Kumar, a Kochi-based builder.
He also said though builders and buyers were equally interested in projects along the side of a lake or a river, “both groups are hesitant to invest in them as they want to stay away from future troubles”.
Government policies, particularly those related to registration, have had an adverse impact on reselling of apartments, Sunil said.
“There should be more clarity in the rules and regulations related to the realty sector ,” he added.
Credits ET Realty