Bangalore developers lower prices to attract buyers
Many Bangalore developers have lowered prices to lure buyers mid to upper-mid segment as the premium property segment struggled a lot to sell last year.
Sale in luxury segment did not even meet 50 percent of the target despite promotions, pre-launches and launch offers which has created a fast change in the set of offerings with the developer community.
Several big developers are focusing only on the premium segment owing to the huge profit margins of 60-70 percent compared to the 20-30 percent in the mid segment. Now the real estate biggies are planning to play the volume game by expanding their mid-segment range.
None of the real estate players are ready to reveal the change in game plan but sources have confirmed that almost half of their ongoing construction projects have been priced down. Several real estate developers are adopting the latest technology for construction to develop faster and at lower construction cost.
A developer said that they are using modern technology for cost-efficient and faster construction. Super-luxury apartments in Bangalore that have not been booked so far are being offered at lower rates with lower priced offerings like vitrified tiles instead of Italian marble and other amenities. The flats are expected to be about 35 percent cheaper than the announced rate. Many high-end villa projects are now being announced with high-rise apartments.
As the demand for villas in the Rs 1.2 to Rs 3 crore range has become less, developers are forced to launch two and three bedroom apartments of Rs 60-70 lakh. The real estate biggies are coming into the mid-priced segment. This year the mid- segment market of around Rs 40 to Rs 60 lakh is expected to record a steady growth and the buyers are expected to have a good time in this market.
Related Real Estate News:
2012 real estate foresee
Bangalore real estate growth
Bangalore, luxury segment in Bangalore, Ongoing Projects, premium properties in Bangalore, Projects in bangalore, Real-estate developer, Residential real estate, super luxury apartments in Bangalore, Villas in Bangalore
