Why investing in Nalasopara Region (Northern Mumbai) will yield a very good return on your Investment?

Let’s start with basics, 

Where is Virar & Nalasopara?

Virar is the northern-most railway station on the Western Line of Mumbai Suburban Railway. Nalasopara is the station before Virar. These 2 localities are governed by Vasai-Virar Municipal Corporation.  Virar is 90 minutes from Churchgate by a fast train and 3 hours by road.

Mumbai can be divided into 4 main locations as far as Real estate is concerned,  Mumbai City, which is the prime town area from Churchgate, Colaba, Nariman Point till Bandra with highest property rates. Only big investments are possible in these locations. Then comes Mumbai Suburbs with Locations like Andheri, Goregaon, Jogeshwari, Kandivali, Borivali till Dahisar which since last few years has developed very well and property rates here are growing very fast, Third area is Navi Mumbai , where the development is fastest and  with SEZ projects coming up, it is growing really fast and the Forth location is Far North Suburbs, where property investments are still affordable to common man and is growing continuously. This location covers locations from Vasai, Nalasopara and Virar till Boisar.

Land Bank between Nalasopara and Vasai & Nalasopara and Virar are huge empty tracts which would be developed very quickly in near future owing to land scarcity in Mumbai, already tremendous development can be seen in Nalasopara west and Vasai –Nalasopara Link Road areas.

The latest state economic survey states that annual per capita income in the city of Mumbai  is Rs 1.41 lakh, simply put it strengthens the fact that we already know, average salary of a Graduate with 3-4 years experience in the city hovers around 25,000 – 35,000/ month.

An Individual making an average salary of INR 30,000 (net) /Month can avail upto INR 16, 00,000 for a Home Loan. Thus a couple can afford INR 32, 00,000 for buying a new house jointly. At this salary rates, buying a decent 2BHK apartment home in City or suburbs is out of question, one can either choose from far flung areas Like Panvel, Badlapur or Ulhasnagar or the Northern end of Mumbai – Nalasopara –Virar Belt.

Nalasopara Region picks up where Mira Road left off. As peripheral localities in Thane such as Mira Road have started selling properties at Rs 5500 and above, this locality in Thane district, is drawing users with attractive prices of Rs Rs. 3,600 to 4200 per sq ft.

Nalasopara-Virar areas are directly connected to Mumbai through the Mumbai-Ahmedabad National Highway or Western Express Highway. While the outer connectivity from this area is smooth due to highway, the internal roads and infrastructure are still rudimentary. The Nalasopara-Virar Link Road is under construction while the Link Road down to Vasai is ready.

Realizing the potential of this developing area, about 20 to 25 reputed developers have already started their projects in Nalasopara. Most of the projects are expected to reach the possession stage in about 24 months.

At the prevailing rates of Rs 3,600 to 4,200 per sq ft, a 1BHK apartment in Nalasopara costs between Rs 15-20 lakh, while the 2BHK units would cost about Rs 28-50 lakh.  With This region being at 90 minutes travelling time from Mumbai Town (Churchgate) and 45 minutes from Andheri, rapid development makes available affordable housing within reach of average Home buyer. This makes Nalasopara-Virar Region an ideal destination for 1^st time flat buyers, who form the core of population in the city.

These areas should be seen as a great opportunity by an investor, as there are people who cannot afford heavy rentals in city and its suburbs.

A 2BHK apartment can yield a rent income of INR 10,000/month here.

For eg - A Flat costing INR 32, 00,000 would have EMI of INR 31,412.59 for 20 years; the rent income of INR 10,00,000 would reduce an investor’s EMI cost to INR 21,412.59.

EMI cost of 21,412.59 relates to a liability of INR 22, 00,000 only, since rent income offsets cost of INR 10, 00,000 over the tenure of your loan.

With growth rate of 18% in property rates existing in this area, there is a huge chance that a property bought for INR 32, 00,000 today will be worth more than INR 50, 00,000 in next 5 years.

Compared to other parts of Mumbai, property values in Nalasopara are relatively low prompting buyers to invest in properties here. As we see, real estate market here is headed for growth hence; investment in the Nalasopara currently could reap profits in future.

Contact us on 91 8355 955 000 to know more about investing in this region, visit us at www.moneyfinder.in