Chennai: Tough to come by tenants, most posh empty with ECR

Poor demand from expats and a general decline in real estate demand resulting from the COVID-19 outbreak have affected the market for the city's posh villas, most notably along the East Coast Road (ECR).

People invested in the villa mainly to cater to expats working in multinational companies in and around Chennai. As most expats have either left the country or moved to core areas of the city, the badge owners are now struggling to find tenants. As a result, a good number of villas are empty.

This has forced real estate developers to stop new projects as buyers have also become a difficult task. Most of the buyers were NRIs, Realtors.

The premium villa segment, which reached great heights in 2012, is losing its luster without any allowances being cut by expats and companies. According to estimates by real estate agents dealing with rentals for foreigners, the population that comes with ECR has fallen from 2,500 to 500 in four years.

Currently, about 60% of the 3,000 villas between Nilkarai and Uthandi on the ECR are vacant. The rent for properties with elaborate lawns and swimming pools previously ranged from Rs 1.2 lakh to Rs 2.5 lakh per month. Although some inquiries are being made about the demand from the residents of the city to relocate these posh properties, the deals are yet to take place as people are not ready to take up houses for such high rents. Owners do not want to reduce rent because the returns do not justify the investment they make and prefer to deal with a company as it did with expats rather than individuals.

In addition, many landlords prefer expats because there is no risk in vacating tenants and uninterrupted rents.

Mohan Kartha, a real estate agent who has been working with Accent Rentals for a decade, said that the villa market has now become a tenant market. Now, they are ready to revise their rent by 50%, but cannot find expats. Foreigners visiting the city earlier this year are being accommodated in a cheap rented apartment in core Chennai.

Srinivas Anikipatti, Senior Director - Tamil Nadu and Kerala, Knight Frank India said that the current status of ECR ​​has prevented a major developer from starting a villa project of 400 plots at Kovalam.

Which is a better option for investment? Luxury flats or villas..!!

With the increased economic status, everyone wants to lead a luxurious lifestyle, and a well-designed comfortable home is essential for this. As the real estate market is growing immensely, today's buyers get a lot of options to choose from. And, among so many options, they feel confused about buying a flat or villa. Well, we all wish for a grand villa in a great location in the city. But more often, sky rocketing prices of independent homes in home buyers to look for more cost-effective options i.e. luxurious flats. Yet another group of people, especially young couples and retirees, consider luxury residential apartments as more convenient and safer accommodation. There are pros and cons to either option. So, analyze the major factors that should be considered in this regard.

1) Facilities that come along

An apartment property comes with many additional features, such as parking space, power back-up, security guards, and fire protection mechanisms. On the other hand, to enjoy all these facilities in an independent villa, you will have to spend an additional amount. While living in an apartment, all these facilities come at a low maintenance fee. Thus, many people prefer to buy a luxury flat instead of an independent villa.

2) Maintenance costs                        

Repair and maintenance is a never ending process that begins the moment you live in your new home. The cost of maintaining an independent house can be much higher than that of a flat. When you buy a flat, most maintenance is taken care of by the apartment welfare association. Thus, you do not have to try for repair and maintenance. The couple advances a large number of home buyers to take a luxury flat above a grand villa.

 

3) Mortgage

Although millennial are not afraid to be themselves for years, taking a large loan can have many adverse effects. Remember the money you are paying because the interest on your loan can be used in many ways. Therefore, avoid taking unnecessary amount of home loan. In this regard, we suggest that you opt for a more affordable option, i.e., luxury flats rather than buying a grand villa.

4) Location

When deciding between a villa and a flat, location is an important factor. Generally, villas are built in a suburban location. On the other hand, apartments are usually located in a central location. If you are living a comfortable life with all the amenities in the surrounding area, make sure that you purchase a property which is located in the central business district.

5) Freedom of adaptation

If you are someone whose choice continues to evolve over time, it is better to buy a villa instead of a flat. Independent homes provide freedom of modification with interiors and exteriors. You can easily customize it according to your taste, vision or style trends. But when it comes to apartments, exercising that degree of freedom becomes a bit more challenging. It is difficult to renovate or expand an apartment whereas, with a villa, it is quite straightforward. But changing the interiors of an apartment is in your hands. In addition, most interior designers have a plan ready for the interiors of a luxury flat, which means remodeling for any major interior design, so you don't have to wait for months.

6) In context of investment

Currently, any real estate property can be great for investment. Villas and flats both provide healthy options for passive and active income generation. But flats offer a better option to rent or lease for a longer period due to their high demand. Conversely, renting a villa is difficult because it is difficult to maintain. Also, for renters, it is difficult to afford the additional amount spent on security.

When it comes to reselling, flats can be sold more quickly. Conversely, to sell a villa, you may have to wait for years.

Both apartments and villas have their fair share of advantages and disadvantages. But if you prefer a classy lifestyle in an entire social setting, then flats is a better option. Additional amenities that come with a flat are one of the major reasons for preferring it over a villa. Also, it requires low maintenance costs. Also, from an investment point of view, it is a better option as it can be rented and sold easily.

Bachelor's Faced Challenges While Looking to Rent a Flat

For most of us, bachelorhood is probably the best phase of life. Ultimately, we are free from major responsibilities. In addition, we get freedom to spend our time and money. But there are many challenges in the lives of single people. While there are hundreds of apartments available for rent in every city of India, finding suitable accommodation is one of the most difficult parts of living as a graduate.

Many landlords in India feel that singles have a tendency to remain unwell and rent a flat for them can be detrimental to property. In addition, there is a common bias about landlords that single men and women have a tendency to booze, party, and listen to loud music, which in turn creates a problem for others in society.

1) Higher rent

While the rent of a flat should be the same for a family or graduate, the fact is that a graduate has to pay more rent. Landlords feel that if they are renting their house to a single man / woman, they are allowing them to misuse their premises. Thus, they charge a higher amount to meet the maintenance fee. Another reason that makes landlords more expensive is that graduates change their housing more often. Therefore, they have to find a new tenant every time.

2) Huge deposits

The fact that unmarried people change their accommodation very often is like a nightmare for landlords. Thus, they want them to pay a large deposit for their house. By keeping a security deposit with them, the landlord ensures that tenants will not leave their flat without serving notice period.

3) Restriction on food habits

Many times, single occupants fail to find a flat due to following a specific eating habit. While this sounds ridiculous, it is true that landlords question their family background, race, and many frivolous questions about whether they eat non-vegetarian food, smoke or drink. While many landowners avoid renting non-vegetarian people, another broad-minded people tell them not to use the kitchen for cooking.

4) Enquiry

If you are a single man or woman, landlords can ask you hundreds of questions about their personal lives to ensure that you are fit to live in their home. The many questions that a landlord may ask you can include whether you have a boyfriend or girlfriend, will you bring your friends home often, etc. The landlord may be prohibited from being a guest, listening to music, or coming to the flat at the time of mugging.

5) Deep-rooted biased

If you are looking for rented accommodation, then you should work on your looks. Landlords can judge you for tattoos, ripped jeans, very short hair, spikes and other fashion trends. You should look well cultured and cultured.

Today, single rent hunting games are being lost due to the conservative vision of the landlords. So, if you are looking for a single male / female flat, make sure that you be patient while searching for your accommodation. Alternatively, you can take help from a real estate company that will offer stylish, serviced and well maintained flats for a single man / woman.

Surprising truth about villas you may not have known before...!

Villas were originally houses that belonged to the upper echelons of Rome. In ancient times, they belonged to the kings and nobles of Rome. These houses were designed to provide all the creature comforts to the inhabitants. After the fall of the Roman Republic, the royal villa was reused as a monastery. During the middle Ages, villas were large country houses, consisting of vast farms all around. Over time, villas became the first choice worldwide and their designs evolved greatly. In modern practice, villas can be referred to different types of homes, but the basic concept is still the same, namely, well-designed independent houses with open spaces at all locations. Unlike their traditional counterparts, modern villas do away with intricate designs, high ceilings and broad columns, but luxury is still the major focus.

Whereas a few years ago, most house buyers preferred to buy flats due to low capital investment and high security, today people's choice has changed. Now, they prefer to buy villas as they are a good option for exclusive, spacious and long term investment. But many people still feel doubtful about buying a villa because they take into account many misconceptions. In this blog, we have discussed some great truths about villas.

1. Reasonable

While we often think that a villa is a highly expensive option, it is not. You can buy an affordable villa in a suburban location and it will cost you approximately the same amount that would be required to buy a 3BHK apartment in the city center. The best thing is that the former option is much better because it will become the property of your family. But ownership of an apartment only lasts for 60 to 100 years.

2. More amenities than apartments

Many of us think that staying in a villa is not a good option because unlike apartments, one does not get all the community services like clubhouse, swimming pool, yoga center and gym. But if you like all these benefits, you can buy a villa in an integrated township project or gated community. The best thing is that it will cost less than an independent standalone villa.

3. You can enjoy living a community

While many feel that apartments provide an opportunity to socialize more, the fact is that as many people are living in the same building, people feel claustrophobic and tend to live more isolated. Conversely, by staying in a villa, you get to socialize with limited families, but they are of a similar class. Therefore, there is more scope for a healthy relationship.

4. Enjoy the lifestyle of your dreams

When you buy a villa, you get space for everything from terraced gardens to your king-size bedroom, gym. It comes with the freedom to design and redesign your space as you wish. In addition, you can upgrade it according to the needs of the developed family. Also, you don't need to get society's permission for petty things like petting an animal and parking your friend's car.

5. Complete Privacy

Staying in the villa comes with complete privacy. You don't have to worry about the neighbor listening to all your family conversations from next door. Also, when you are in a destructive mood, you do not need to confront a troubled person. And, in addition to all this, you can give wings to your hobbies such as playing music and dancing without fear of disturbing your neighbors.

Luxury villas are a great way to ensure that you have the space to live the life of your choice. A luxury holiday villa is a great way to enjoy private life while escaping the bustle of the city. At the same time, it provides an opportunity to socialize with your limited neighbors. When you live in a villa, it appears that there is endless variety of things.

Things should know about before BUY or RENT house for student…!!!

Student housing is the new thing which is becoming popular day by day. We all like to live in nice and comfortable accommodation. Many students usually move from their home town to big cities to pursue higher education or to pursue a career. Thus, student housing is becoming popular these days. There are many things that are demanding such accommodation for students and working professionals.

We start learning from the time of our birth and this process of learning keeps us alive as long as we are alive. According to research, a common man spends about half of his life learning new things.

When we are born, we start learning in our homes and then we join educational institutions like schools, colleges to learn more about various things. To study further or find a job, students move to new cities or countries and that is why they need best accommodation.

Major cities in India provide many education and job opportunities for students and working people. Therefore, the demand for rental space like PG, hostels, single apartments etc. is increasing very much today. Not even in India but worldwide there is a high demand for such rental housing. Finding a home is the first and foremost concern for those who are relocating to new places. Previously, it was difficult to find accommodation because we knocked on every single door in an area to find a flat or apartment. But now, the internet has become a single solution as we can find many accommodations with their photographs and other details for further processing.

Students can find different types of accommodation according to their needs as well as their budget. Most universities and colleges enable students to stay in their hostels. In addition, you can stay in PG or rent a flat where you can share your rooms with your friends and save money. So, you need to plan your stay, and then start hunting for a rental accommodation meeting with your needs. With the increasing demand for such housing, many people have converted their properties for rent a flat and apartments. To attract tenants, they provide many facilities so that students can contact them and stay there.

According to expert real estate investors, such housing is very profitable and gives high return on investment. Student housing is growing rapidly in the real estate sector and investors are sure of their faithful returns. The trend of converting a house into a flat or apartment is getting bigger and that is why you can find such rental accommodation options in every city corner. And its demand will increase continuously in the near future.

Student housing is the new term in the real estate market. Those who migrate to new cities seek rental accommodation meeting their needs as well as budget for the first time. They ensure that the apartment should be filled with all the important facilities and should be available under their budget. To find a suitable and comfortable apartment in every city, it is advisable to check online first, where you can get enough accommodation options and pick the right one.