Bangalore attractive for real estate

Bangalore continues to be an attractive market for real estate, with growth rates being maintained at 20 per cent, according to Balkrishna Hegde, President Karnataka Ownership Apartments Association.

"The real estate market in India and especially Bangalore is on a high. The market has seen some stabilisation in the past seven to eight months," he said while announcing the city Realty Expo 2007, to be held in the city on December 8-9.

"Today the market has matured, with compositions being skewed towards actual users, rather than investors in the earlier years. This, along with interest shown by NRIs and reduction in loan rates, is showing a positive movement in the market during the last few months," he said.

Karnataka's growth in software exports and the creation of jobs is leading to increase in demand for housing and this increase is poised to fuel the growth in real estate market in future, said Hegde.

The cosmopolitan outlook of the city, coupled with weather advantage and huge talent pool, is what is holding it in good state, he added.

On the potential growth in budget/mid-segment and high end luxury segments, he said there is huge potential yet to be tapped. As far as mid Rs 35-50 lakh segment is concerned there should be more than 50,000 units in the next one year.

The high-end bracket in India is the fastest growing segment as compared to anywhere in the world and therefore the demand for this segment will be on the rise in the coming days, he said.

(via Economic Times.)