With home buyers now looking for affordable houses following the economic impact of the pandemic, realtors with projects in these areas are witnessing a surge in demand. The momentum had started to pick up in these areas before the outbreak of Covid-19 following the expansion of National Highway (NH) 65.
The highway expansion not only eased traffic flow but also paved the way for new commercial establishments as most buildings have to be constructed since old buildings were demolished for the expansion. However, the pandemic dealt a blow to the real estate sector across the capital region which faced uncertainties over capital. Demand for houses had plummeted as economic activity had come to a near halt as a result of the lockdown.
Now, with activity starting to pick up following the unlock guidelines, satellite villages are among the first areas to witness a rise in demand for real estate. Ch Subbarao, a builder from Poranki, said that they are now witnessing more enquiries than pre-Covid times. Many of these enquiries are even translating into transactions, according to the builder. Realtors said that a drop in prices has also pushed up demand for houses in these areas.
According to P Vamshi, a real estate agent, prices have come down to all-time lows due to the pandemic. “As most builders had to deploy their entire capital in ongoing projects, prices did not go up even after demand began to pick up,” Vamshi said and added that several builders were desperate to liquidate their projects sooner rather than later.
The price difference between areas in the city and those in satellite villages lies in the range of Rs 5 lakh to Rs 10 lakh which has driven many home buyers to choose the latter. With commercial establishments like supermarkets, branded clothing stores, home appliance stores and gyms setting up shop in these areas, many are getting drawn towards these satellite villages as it means they do not have to travel all the way to the city for their needs.