Reasons for Booming Real Estate Bangalore

Real estate is one of the best-performing assets known to human kind over the long term. Regular fluctuation apart, the long term returns that one can hope to get from real estate is certainly encouraging; regardless if the real estate is in Bangalore or any other part of the country.

Consider the economic laws of demand and supply in order to better under this asset and its performance potential. The population of the planet is on the rise and the chances that it will reverse its trend is infinitely minimal. On the other hand the availability of land for human consumption and utilization has remained static for billions of years and it is not going to change either. So according to law of demand and supply, if supply remains constant and demand increases this will lead to the increase in prices. Fairly simple logic goes to work.

Real estate in Bangalore city like the rest of metros in the country is brimming with people and the fact that the city has exhausted its usable land the trend has been of one that is constantly on the northward direction. Apartments in Bangalore outer which once was considered to be within the means of ordinary folks have now been tagged exorbitantly. All these have led to a booming of real estate sector with seemingly great returns on investment especially in the high rise segment. Apartments in the city in high rises are now a days more sought-after thanks to the flurry of amenities it offers to its inhabitants.

The real estate Bangalore is availability of finances to fund such mega projects on the supply side. Even the home owners, particularly salaried class individuals also find it much easier to get affordable finances for their choice of apartment in the city; this takes care of the demand side of the equation.

Real estate Bangalore Witnessing Intensive Growth

The recent real estate boom in Bangalore is best illustrated by the way homes are rented, bought and sold. 50-60 per cent of bank business is from real estate, in Bangalore.

Real estateBangalore is growing rapidly due to some factors, Such as:

• o  A greater percentage of end users among buyers than in the other cities
• o  A relatively moderate price escalation

The property market in the city has performed well even when other major cities were undergoing from downturn. Since April, 2013 LIC Housing Finance garnered around 15.5 per cent of the total home loan business from the Bangalore region, compared with 13 per cent in the corresponding period last year. The Bangalore property market is leading both in terms of loan disbursal and sanction.

According to National Housing Bank, Bangalore saw a rise of 9 per cent rise in residential properties in 2013, compared to the year-ago period last year. Prices of homes have appreciated three to four times within the span of a decade.

Significantly, the IT revolution has been the major reason for the mindboggling growth of the real estate sector since the major buyers are from this industry—professionals and software companies.

According to a survey, over 50 per cent of housing projects were occupied by the IT professionals. Bangalore is the only metro city in India where consumers can get a quality product with good amenities at prices ranging from Rs 4,000 - 5,000 per sqft.Real estate Bangalore