Mumbai takes away the cake when it comes to the demand for smaller sized apartments. There is almost unlimited demand for 1 BHK flats in Mumbai especially among the mid-segment group. The increasing property prices in Mumbai may be stopping them from going for 2 or 3 BHK apartments. People might want to buy them, but they are sitting on the edge expecting that the property prices would dip. However, this deduction in property prices won’t be happening soon in Mumbai. This is the only reason why home buyers are looking for smaller and comparatively affordable homes.
Why 1BHK Charming Much?
The increasing demand for 1BHK is mainly due the limited budgets of first-time home buyers. Majority of builders are now launching projects having at least 60 percent of 1 BHK apartments in the entire project. Somehow, the supply for small sized apartments is comparatively low as compared to the demand. This difference in the ratio of demand and supply makes it evident that the prices of properties will witness high rate of appreciation.
Another advantage of smaller sized apartments is that it helps builders move their inventory faster. A majority of buyers who go for a 1BHK flat in Mumbai are working singles or newly married couples. Since they live in an era of rising property prices and unstable macro-economic scenario, they are considering buying smaller sized apartments in Mumbai. The option of buying a 1 BHK in Mumbai seems much more feasible and practical to majority of the population in Mumbai. Such buyers are trying to avoid taking risks with higher liabilities of fancy homes, especially at the present market rates.
And people who were confident in terms of job security and salary increments opted for a minimum 2 BHK apartment.
Where to Buy?
In the last couple of years, Mumbai saw an increasing demand for 1BHK units, especially in Navi Mumbai and Thane. Areas around Thane like Mira Road, Virar, Vasai and Kalyan saw majority of the bookings for 1 BHK. Irrespective of whether the property price increase, the end user would always buy property, as far as the affordable housing segment is concerned. Prices for an affordable project would hardly go down since it is already low priced. Nevertheless, one can also sell these smaller and affordable units easily in future if it is situated at a good location.
Since there is no price correction in prices for property in Mumbai opting for a 1BHK apartment is the most suitable choice.
Suraj Deshpande is a real estate writer and contributor with immense knowledge and experience in the field of real estate. He regularly writes about various properties, property trends, property listings and about Real Estate market in general. Although he shares his views on all major property markets in India, his main focus is keeping a track on all the news and happenings related to Properties in Mumbai