Five Reasons Why The Market For Second Homes in Mumbai is Expanding Rapidly

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The tremendous growth of the second-home market in Mumbai may be attributed to the following five factors.

One of the most important decisions people make is whether or not to invest in real estate. It's not uncommon for buyers to already own a home in the city before considering a second home in a more attractive setting.

Gauri Mehtal, a senior executive at a private company, recently bought a second home in the Igatpuri neighbourhood. Gauri Mehtal, who was torn between two potential locations, said that Lonavala and Alibaug have become premium and extremely expensive destinations to acquire a second home near Mumbai today.

Since it is so near to both Mumbai and Nashik, the neighbourhood of Igatpuri has a lot of potential. Additionally, the rental unit was provided at a fair price. Additionally, infrastructural development in this area is progressing at a far faster rate than in other places. My budget was tight, and I wanted a property that would bring me a good profit when I resell it, so that was my primary criteria in selecting a second residence. The home had a great view and a terrace approximately the size of a Mumbai studio flat, so I was happy when we closed on it. Moreover, the location offers easy access to nearby highways.

End-users and investors both are increasingly interested in purchasing a second home in a less urban area because of the higher potential appreciation compared to that of a home in the metropolis.

There is a significant need for vacation homes.
The hitherto sluggish market for vacation homes was given a boost by the pandemic. Usman K, an agent in the real estate industry, says that rental properties are becoming more important now that the dynamics of primary residences seem to have shifted due to the pandemic. Many people rethought their lifestyles in response to the global health crisis, which threw the global property market into disarray. Many city dwellers, especially the well-to-do ones, are considering investing in a second home.

You'll need a little investment, but buying a house in an unusual neighbourhood might pay off in the end. Profitable real estate investments may be found on the outskirts of major metropolitan areas. Pravin Rao, an investment advisor, claims that the mountains, the seaside, and even places of religious importance are popular destinations for the wealthy who are looking to purchase a second house. Buying a second home in the same metro area as one's main residence was a common strategy for many people in the past, since it provided a steady source of income through rent. But things were different after Covid-19. Forty percent or more of those surveyed expressed interest in purchasing a vacation home. Almost half of those polled would choose to buy a mountain retreat if given the chance, with 25% opting to put their money toward a property in or near their current metro area. At least 20% of the population prefers to reside in close proximity to water.

Can you recommend any hotspots for second houses around Mumbai?
As opposed to primary residences in major metropolitan areas, second homes in less populated places are seen as a more secure investment that offers more potential for gain.

Investing in a second home gives for temporary vacations from a humdrum urban living, says Rajesh Patnir, owner of a real estate brokerage firm. As a result, venturing out to a new destination from one's typical abode shouldn't cause any undue anxiety.

Lonavala, Alibaug, Panchgani, and Mahabaleshwar are less well-known than nearby sites like Jawhar, Igatpuri, Wada, Shahapur Khopoli, and Karjat. The demand in these areas is being fueled by the combination of a low entry point, a wide variety of alternatives, and a solid infrastructure. Karjat's proximity to Mumbai and planned infrastructure upgrades have attracted a large number of weekend homebuyers.

Easy access to real estate investment
Having a second home serves as both a place of relaxation and an investment in your financial future. Atharva Shanbag, who started a brokerage business that focuses on vacation homes, has a theory that certain of them may provide monthly income. House prices in the city are going up by leaps and bounds. You may get a head start on saving for retirement by purchasing a second home, where you can get away from the hustle and bustle of the city." Locating your rental property in an area with favourable weather, convenient services, and prospective renters who are willing to pay rent can reduce your expenses.

There are a few things you need to think about before you buy a second home.
Purchasers of a second home should think carefully about and articulate their reasons for making the investment. Consider the house's location, infrastructure, temperature, connectivity, maintenance costs, and design more carefully. In addition, you should examine your financial situation. Buying a second home is a big decision, and the potential ROI and maintenance issues are major factors to think about.

Anand Pawar, an expert on second homes who also works during the week, thinks that a second home should be different from a city apartment since it should provide a respite from the hectic city lifestyle. Therefore, it is equally important to think about having a steady connection and having access to necessities when on vacation. Therefore, buyers need to do a thorough visual inspection of the property before committing to the purchase. Yet, there has also been an increase in the number of online transactions and video chats that take place in lieu of a physical meeting. Many high-net-worth people and Non-Resident Indians (NRIs) make property purchases after researching options online.

Five Reasons Why The Market For Second Homes in Mumbai is Expanding Rapidly

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