R2I - Why not to choose Bangalore?
Before the ‘why not to’, let me briefly say why we chose Bangalore. Actually, there really wasn’t a choice. Being from Bangalore, having family and property here, and with all the job opportunities here, we wouldn’t have moved back to any other city in India. The real estate is a whole different story. The prices go up every day!! A 3 bedroom apartment will cost you about 60+ (everything inclusive, not just the basic cost) lakhs today to buy, if its cost was about 50+ lakhs 6 months ago!!! Unbelievable! and the typical finishes given are just vitrified tiles and flush doors! I was told by some property developers that there are two reasons for the prices to be soaring high:
- The government put a clamp on converting agricultural lands. So, the land that is already available is all there is for development.
- Apparently, a lot of Mumbai based developers/business people are investing in properties in and around Bangalore, solely for the sake of investment. So, there is an artificial demand of sorts that is hiking the price.
The 60+ lakhs properties are pretty much from the tier 2 developers. If you want quality 3 bedroom apartments from tier 1 developers like Adarsh, Sobha , Total-environment, Prestige, you will not get one for less than 75 lakhs (everything inclusive, not just the basic cost). The prices go upto as much as 1 crore+ for 3 bedroom apartments, depending on the floor number, luxury/super luxury, size of the apartment etc. Now, isn’t that atrocious by all standards? And since there really is no land for mass development within city limits, all these developments are happening on the city periphery. So, please also account for the commute to and from work if you reside in these places.
All this said, there isn’t much logic trying to set up a place here from scratch if you have no family or property here. Personally, I don’t see the point. Yes, the job opportunities, and the weather are pretty good. But, the traffic, real estate prices, lack of immediate family, school costs (another post) are all huge deterrents for non-Bangaloreans trying to re-locate to Bangalore from elsewhere.
PS: If you are reading this and want any kind of additional info, pl let me know.
Filed under: Infrastructure, Work, medical care, Parks, realestate, powercut, traffic, Road, weather, R2I, desi food, pollution, Public Transport, commute, Bangalore
Right now, I would recommend building your own home or waiting for the lauch of a new contruction from the Brigades, Shobhas…
Pricing on new launches is significantly less. Within the first 6 months, prices go up at least 25%. So it would be a good investment. The only problem is the wait time for them to hand over the home to you!
As for building your own home, you should be able to get good-sized lands on the outer edges of JP.Nagar, etc. Prices are relatively low. And double in about 2 years. Building costs are also low. So you should be able to get a decent home for about 30lacs.
Land prices are atrocious. Anywhere within reasonable city limits, the prices are 4000/-+ per sq ft. The apartment prices I have quoted are pretty much the current launch prices. Most are quoted between 3000/- to 4000/- per sq ft.
We do have a property, so it is alright for us. And when I talk about non-Bangaloreans, I don’t even mean from the point of view of affordability, I am just talking about worth. You get grander properties in some parts of US for the same money.
And with the infrastructure and the chaos that Bangalore has to offer, the prices are not worth it.
The problem with Bangalore is that it is not well planned. It is too cramped for its growing population.
Try JPNagar outskirts. These will soon be reasonable city limits given the pace of growth and development. Land prices are still in the 1500s. You may get lucky!
I will try that area, primarily for investment. Lets see.
Oh and BTW, I have not considered Brigade in the Tier 1 category. They really don’t measure up like the others (Adarsh, Sobha , Total-environment, Prestige). So, that would make Brigae tier 2. Total-environment is mind-blowing!
[…] Irrespective of the choice you make, please know that Bangalore is extremely expensive. The real estate prices are sky […]
Chitra, I completely agree with your blog here. But if we want to return to Karnataka and have a job in IT area, what other cities you suggest? Do you know of any IT job opportunities in Hubli or any sites where I can explore further? I really don’t want to return to Bangalore for the same reasons you mentioned, but then my husband thinks Bangalore is the place as far as job opportunities goes.
good thing that agricultural land is hopefully not being converted for real-estate. what will people eat - concrete structures? the poor farmers are pressured into selling (out) lands out of greed and/or debt. welcome to (our own) silicon valley.
Hi Chitra:
I have been reading your blogs for sometime. Very insightful indeed. I have a question: do you have some knowledge as how many children do choose to renounce their US citizenship after attaining age 18?
Thanks
Right now I would suggest to wait for Girish Purvankara Bamboo forest villas in Sarjapura Road
What do u think of Purvankara and Ozone group. Are they reputed builders in Bangalore and deliver as per the promises?