Chennai witnesses now an increased demand for resale properties. Along with the surge in the demand for resale properties in Chennai, the prices between the new and the resale ones are narrowed.
There is a higher demand for resale properties in Chennai. Lack of fresh launches in the key areas of the city is, though said to be as a major reason for the tendency, there are many other reasons behind the surging demand for resale properties.
Those resale properties which are located close to some top schools, hospitals, etc. are hotly sought after. The demand for those properties which are close to any of the commercial hubs of the city also is higher. Connectivity is another factor which drives the demand for such properties.
Some top realtors of the area have reported that this is mainly due to the cut-throat competition among the buyers which causes the property prices rise unpredictably.
Areas near to the city center such as Alwarpet, Adyar, Boat Club Road, Besant Nagar, Mylapore and T Nagar experience higher demand for resale properties. However the demand for the resale properties in suburbs also is not any less than that of the city center areas.
Adambakkam, K K Nagar, Nanganallur, Saligramam and T Nagar are also facing higher demand. Home buyers in these areas are approaching the realty agents for getting things done.
This higher demand for resale properties cause a situation in which the price difference between the new launches and the second hand properties are not over 20%, report property agents of the area.
Prices of resale properties are reached after computing the facilities and amenities of the property. Though the price of the land is estimated at the market value, price of the building is decided after analyzing the value of furnishing, car parking and other amenities available with the property.
There are many investors who have investment in the resale properties. However the price is always determined in proportion to the demand and so the properties which generate good demand, enjoy better price appreciation.