by aartiIs Buying Property Near Metro Stations a Smart Move?
Let us say you have two flats with the same price and size in Pune, and one flat is located near a metro station, while the other is not. Which one would you choose?
Most savvy buyers today would choose the flat that is located near the metro station, and the numbers indicate they are correct. Properties that are located near metro stations provide excellent public transport options and connectivity. In addition to making, it easier for commuting to work daily, being located near a metro station will also allow for a better resale value and a higher rental income for the future. But is purchasing a property near metro station always the best option?
In this blog, we will discuss everything you need to know about the impact of metro stations on property values.
How Metro Stations Affect Property Value: Metro Impact on Property Prices
The metro impact on property prices is well documented in Indian cities. Property values located close to a metro line tend to increase after the opening of a new metro line. The immediate impact of the new metro line on property values can be directly attributed to the increased commuting options available to residents.
- Mumbai: The increase in property values along Metro Line 1 in Mumbai ranged from 15% to 25% within 5 years after the opening of the line.
- Delhi: Property values in and around Delhi’s metro stations increased by as much as 30% after the opening of the metro line.
- Bengaluru: The property values along the Namma Metro lines in Bengaluru were between 20% and 28% higher than property values in the urban core of the city.
- Pune: Property values along the Pune Metro Phase 1 have already increased in value by 10%-20%.
The increased availability of public transportation through the metro system allows for a decrease in the amount of time spent commuting to and from work. It has also attracted more buyers and renters to the area resulting in increased demand for both rental and purchase properties, thus resulting in increased property values.
- High Property Price Appreciation: Properties within close distance to the Pune Metro experience greater long-term growth than other residential locations.
- High Rental Income: Working people tend to look for properties within proximity to the Pune Metro, maintaining strong rental income for property owners.
- More Time: A longer commute reduces one’s quality of life — this is a strong motivator for many of today’s urban property purchasers.
- IT and Corporate Tenant Demand: Being within proximity to technology parks that connect to the Pune Metro system ensures that the demand for rentals will remain high.
Pune Metro’s Impact on Real Estate Markets
The Second Phase of Pune Metro will be a major impactor of the Real Estate Market in Pune. This recently approved Metro Corridor will expand into some of the most up-and-coming real estate zones in Pune, including Bavdhan, Wagholi, Hinjewadi, Baner, and Kothrud.
These areas are becoming very appealing to both real estate investors and home buyers looking for properties. With the Hinjewadi IT Corridor being developed further, and the addition of the Maharashtra Metro’s Line 1, this part of Pune will become one of the most valuable residential corridors in Pune.
Oree Reality has positioned a number of projects in all these areas. Cloud 51 Bavdhan is near the Hinjewadi IT Corridor and will have an incredible connection to the Pune Metro once it is opened. The Oree Wagholi development will allow for high rental returns from the rapidly growing Eastern side of Pune.
Things to Consider Before Purchase
- Noise and Vibration: Avoid purchasing property located directly under elevated metro tracks. It is recommended to purchase property located 200 to 500 meters from elevated tracks.
- Buy While Construction is Ongoing: The cost of property located near a metro station that is currently under construction will be significantly less than that same property once the metro station becomes operational. Early investors will benefit the most.
- RERA Compliance: Always ensure that the property is registered with the RERA and be aware that RERA protects both the buyer and the builder.
- Developer’s History: Only purchase a project from a developer who has a history of consistently delivering projects on time and who has received positive reviews from clients.
Is Now the Best Time to Invest?
Yes, now is the best time, as timing is key. Purchasing property near metro station before it opens will yield a much better return on investment than purchasing that same property after the metro opens.
Pune’s property market is strong now and it will only get stronger due to continued growth in employment opportunities in the IT Industry, as well as continuing growth in housing supply and continued expansion of Pune Metro Line 2. Therefore, Real Estate Will be a Great Investment Near Pune Metro Corridors.
Why Choose Oree Realty?
Oree Realty has been building homes in Pune since 2006. Oree Realty has constructed more than 1,000 homes over the last 15 years in a variety of RERA approved and well thought out residential developments, including Cloud 51 Bavdhan, Cloud 28 Bhugaon, and Oree Wagholi, which will directly benefit from the additional Pune Metro Line.
Whether you are a first-time home buyer or looking to invest, Oree Realty provides homes that provide a better quality of life and grow in value.
Final Thoughts
Metro connectivity is one of the greatest factors driving property appreciation in Urban India. As Pune Metro Phase 2 continues to expand, buying property near metro station in Pune is a smart investment.
Be sure to jump on the opportunity before property values rise to reflect the full value of Pune Metro.
Ready to discuss your choice of property located near Pune Metro Corridors? Contact Oree Realty today!
