Residential property capital values as well as rentals in Chennai are driven by location – the specifications and amenities provided in projects do not figure significantly in the decision matrix of customers. Conversely, capital values and rentals in Bangalore are driven primarily by specifications and amenities.
Home buyers in Chennai have historically been driven by location over and above most other considerations, and this had put definite limits on the demand and potential for community living in the city.
Any residential property, even with all legal safeguards are apparently in place, is ultimately built on land. One cannot automatically assume that this land did not have previous owners. While title insurance does not correct any title faults and past claims, it helps cover litigation cost to mitigate further loss in the case of property transactions where the sanctity of the title comes into question
A new high note is being struck on the Chennai real estate map at Old Mahabalipuram Road (OMR), which is fast turning into the epicenter of commercial property development. The developer interest in this sizzling hot stretch, which first accounted for 22 kilometers and was later on enhanced to a further 23 kilometers, has now transcended the local market.
The outlook for Chennai’s residential property market remains positive in 2011. This is a stable market, and the prices have risen rationally in tandem with normal market trends. With the IT sector on the upswing and job security once again strong, Chennai’s residential real estate market will see accelerated demand in 2011.