Anurag Maheshwari, after working for ten years in Dubai, planned to settle down in Mumbai. Being a nature lover, he always went for long treks on weekends to places where he could relax and rejuvenate. After conducting ample research for second home destinations around Mumbai, he bought a bungalow in Karjat.
With globalisation and greater exposure to international trends, many people are looking for homes with larger spaces, fancy facades or super-luxury amenities. Rajeeb Dash, head, marketing, Tata Housing says, “A growing HNI population and its requirement for periodic retreats away from the city, have spurred the demand for second homes. Moreover, the second home market in India has displayed certain immunity to larger market forces.
The real estate market in India is experiencing unprecedented advancements in technology, design and variety in living choices whether theme-based, or sea-faced or villa homes and there is no better time to buy a second home than now.” Ashish Raheja, managing director, Raheja Universal Pvt Ltd agrees, “Though, the market is slightly low-spirited and tough to invest, it is still a favourable time to buy a second home. Considering how rapidly the social infrastructure is developing currently, a second home today, if invested with a little bit of a research, actually has the potential of gradually being converted into a first home too, which would mean a steep rise in the property appreciation.”
Majority of the second home-buyers are people of the upper-income segment between the age group of 25 and 50 years and this includes NRIs, retired government officials and High Net Worth Individuals (HNWIs) having large disposable incomes between the brackets of Rs 20-40 lakh. These people look at a property as an investment option to park their surplus income.
Mahesh Agarwal, chairman and managing director, Regency Group feels, “Second homes are synonymous with relaxation and rejuvenation, which make a person bounce back with renewed vigour and vitality. Spacious and luxurious homes, close to nature and above all, a reason to go for a holiday every weekend, are the major reasons why people invest in second homes today.”
Punit Agarwal, CEO, Nirvana Realty, shares,”The additional benefits of buying second homes are, weekend getaways away from pollution and hustle bustle of the city; you can spend your vacation with your family; you can nurture your hobbies like farming, gardening, trekking, etc.”
According to John Mathew, director, Charms Group, “People from different backgrounds are investing in second homes. For some, it might be a retirement option, while for the others, it may be a luxury place to unwind. Today, a large percentage of first home buyers are also opting for such destinations as they cannot afford a property in the metros.”
Property consultants also inform that the monsoon period between June and September is considered as one of the best periods to invest in second homes mainly because people do look at a getaway, which is far from the hustle-bustle of day-to-day city life, so that they can enjoy the calm and beauty of nature in the luxury of their second home, along with the company of theirs friends or family.
Destinations such as Karjat, Lonavala, Alibaugh, Khandala, etc, have witnessed a rise in the number of second home projects. Several projects are offering villas in the range of Rs 1.5-5 crore. Other upcoming locations for second homes include Shahapur and Igatpuri along the Nasik highway. These areas house affordable homes starting from around Rs 40 lakh onwards. Most of the second home options are located between the cities of Mumbai and Nasik or Mumbai and Pune.
Parth Mehta, managing director, Paradigm Realty, while talking about the upcoming destination around Mumbai says, “Wada is emerging as a second home destination due to the improved connectivity and infrastructure development. Apart from its close proximity to Bhiwandi, the Wada Manor Highway also connects to Mumbai-Nasik Highway. The tranquil environment, coupled with a scenic landscape view, makes it an ideal destination for investment.” Any project that is easily accessible from the city premises, coupled with lifestyle amenities, is a good investment opportunity.
Other than the natural beauty of the place, most of the buyers look for connectivity, which is one of the major factors why people are investing in second home projects. Manju Yagnik, vice-chairperson, Nahar Group advises, “Primarily, the buyer should check the credentials of the developer and the seller and the ownership of the land on which it is developed. A clear land title without any claims should be preferred. Apart from this, it is important to check whether the property falls under any government reservations. The property should have regular water and power supply, so as to make the weekend stay pleasant and memorable. Security around that place should also be looked into.”
One should also check for the property card, 712 extract, 612 extract and the fact that the project has the home loan approval from all the major banks. Other factors that Kavita More, who bought a second home in Khopoli, cautions the buyers, are about amenities such as electricity, water and sewage that must be thoroughly checked before zeroing down to a specific location, as anything missing in these aspects, can ruin your stay.
Credits ET Realty