Young buyers choose EMI over rent for a residential accommodation

“Why should I pay monthly rent for a residential accommodation, when I can invest the same amount of money every month as EMI for a property that will have my name on it?” asked the 24 year old Kolkata-based Engineer at L&T, Bodhisatwa Goswami.

He added, “I would like to invest my money in a residential property that is surrounded with greenery and is situated slightly on the outskirts of the city. There are high-rise buildings, so may be I’d like a floor at a good height. It will be good for both health and romance.”

Young, ambitious and focused working professionals under the age of 30, in the city and outside, look for unconventional choices when they make a decision to buy a property for themselves. Settling for conventional choices for a residential space doesn't excite the under-30 working professionals. 

23 year old CEO of Orbit Enterprise Ankit Gupta, says, “I can think of buying a property having good connectivity with the rest of the city but most importantly, it has to be a residential complex having something different to offer from the rest of the ongoing projects.”

In 2013, the estimated contribution of the real estate sector was 6.3% to India’s total Gross Domestic Product (GDP), which is a parameter of economical stability of a country.

In the same year, Confederation of Real Estate Developers' Associations of India (CREDAI) released the ‘Assessing The Economic Impact of Indian Real Estate Sector Report’.

The findings of the report stated that the ‘real estate sector had a total supply pipeline close to 3.6 billion square feet lined up for completion in the year 2013. About 98% of this was concentrated in the residential segment, including organized and unorganized spaces.’

While the real estate sector is booming with the ongoing residential projects, the younger league of professionals are not just happy with usual living spaces. The residential project developers are now focusing more on innovative designs; eco-friendly environment and infrastructure; and built-in modern appliances that save time and energy of a 9-to-5 working professional. Working couples prefer studio apartments over luxurious duplexes to minimize the energy, time and money in its maintenance.

“Being an individual leading a bachelor’s life, I will go for a 2 BHK apartment with a good view and nearby public transport facilities. And down payment will also be a factor while choosing an apartment for myself,” said 24 year old Biswarup Das, Accounts Manager, Magicbricks.com.

He adds, “In a residential property, though affordability is the main factor but if it’s not in my comfort zone, there is no reason to purchase it then. In the end, it’ll become my home.”

23 year old Debabrata Sen, a Bangalore-based Associate Software Engineer, Accenture, says, “There’s no use of buying an awesome villa in an remote unconnected place. A good society is a necessity. It is not only needed for the social comfort but also the ‘adda’ is needed to soothe the intellectual itch.”

He adds, “It need not accommodate a football team but it should be cozy enough to have my groove going. And, it should definitely have at least a few nice restaurants and food joints nearby.”

It is noteworthy how the NRI young professionals invest their money in residential projects of India. An influx of foreign currency via the real estate sector will be a shot in the arm for the overall economy of the country.

24 year old grad student of University of Kansas, Promit Kundu says,"I would like to have my residence in a quiet neighborhood with lots of greenery around. I would also like to have schools, hospitals and groceries or supermarkets close to my place and also a well knit transportation from my residence to my work place. Between affordability and comfort, I'll try to invest in a residence where I can live with both, enough luxury and comfort."

According to Christiane Brosius, author of the book ‘India’s Middle Class: New Forms of Urban Leisure, Consumption and Prosperity, “Possibly a young family decides to buy property in India now because they want to invest, spend a holiday away from the overseas home, but decide against the ‘conventional’ way of staying with relatives. For many, this could mean an involuntary reduction of their independence.”

Private developers have allured such buyers, to invest in larger modern projects with gated community and world class facilities in Kolkata and surrounding areas. Rajarhat - New Town, Southern Extension of the EM Bypass, Garia and Behala and other parts of North Kolkata have become the most preferred residential areas due to the extension of the Metro railway.

Owning an apartment in a modern housing complex has become both a necessity and an aspiration for the urban youth today thus creating great demand for quality housing.

Within the larger geography of North Kolkata, Kankurgachi area has emerged as the luxury catchment with an excellent social infrastructure, proximity to the CBD, lifestyle Shopping malls and excellent health care centres. Most luxury and premium projects are coming up in and around Kankurgachi, Phoolbagan and pockets off EM Bypass.

Sensing the consumer preferences & aspirations Primarc Group of Companies launched a world class and luxurious project ‘Astitva’ at Kankurgachi.  The project has been an innovation in terms of design and specifications.

A lot of impetus and steps towards a better environment were undertaken and it has been awarded and recognised as the first 'Gold' rated residential green building in eastern India by IGBC. Astitva has also bagged the award for being the Best Green Project at the CREDAI Awards 2015.

Astitva has 3 blocks of B+G+16 towers comprising 115 fully air conditioned apartments of 3 BHK, 4BHK and duplex penthouses. This project is Primarc’s initiative in building a greener environment.Inspite of Astitva being a green project, it is not devoid of facilities like swimming pool, Jacuzzi, spa, temple and a badminton and squash court.

Primarc Realty has recently pioneered the concept of environment friendly green buildings across MIG and HIG segments in Bengal. It has over 4 million sq. ft. of residential projects under development.

Astitva residential project went under construction on November 2011 and is on schedule to handover the project to the residents on June 2015.

Writing by Torsha Banerjee