Especially in some rapidly developing areas, investors have witnessed huge returns within a very short span of time. For instance, investors who had the insight to buy plots in Gurgaon and other such developing areas are enjoying a tremendous increase in the value of their property in a short span.
 
Several factors impact the valuation of property in India, and are also helpful in providing you with the correct insight regarding the right timing and the best price to buy a property. Many apartments and plots in Gurgaon, Noida, and other similar areas still have substantial growth potential.

In fact, property developers like Unitech too have invested in these upcoming cities, being convinced about their profitability and growth potential as future investments. But before you start investing in these areas, it is good to know the factors which drive property valuations to make the most profitable investment.

Find your ideal location

The price of property in India has already appreciated a lot and more developed areas have higher rates than those in developing areas. While investing in property, you need to find a place which most suits your purpose. For instance, developing areas with a considerable growth potential are excellent if you have a lower budget. On the other hand, if you can afford a high-value home, then you can even look for a location in developed areas. Also, properties located in commercial and market areas are always higher in value as compared to residential properties.

Better facilities

Be sure to check the basic facilities in areas with lower prices. Areas which cannot provide proper electric connections, telephone lines, water sewerage facilities and other amenities will be priced much lower. If you want to resell the property soon, it might be difficult in such areas, unless a rapid infrastructural growth is expected to take place in these regions in coming years. Those areas which already have superior facilities orare in the process of developing good means of infrastructure, such as, children parks, swimming pools, community centers, gym, etc. and promises a comfortable living will be valued higher. Also these properties will give better returns in a shorter period.

Well connected

Properties which are well linked due to the existence of good means of transport, such as,roads, bus stations, metros, etc. are highly popular. Connectivity is a major factor which impacts property valuations in India and helps in increasingthe demand as well as property prices tremendously. Investors primarily look for this aspect while purchasing plots or property in any area. Well, connected areas are attractive to such investors who want easy access to various areas such as – workplaces, schools, malls, business centers, retail markets, medical center, etc.

Proportional to the demographics

The value of a property is related to the demographics in that particular area. Aresidential property located in agricultural or industrial areas will generally have lower prices as compared to areas which are located near commercial units or IT hubs where the population has a higher income.

Scarcity of real estate property

If you are planning to buy a house in Delhi which is already reached the saturation point for real estate property, then it is more likely that you will have to shell out quite a lot of money. However,at places which are still developing with a wide opportunity in the real estate market, you can get the same type of property for a comparatively lower price.

Maintaining a certain standard of living

Sometimes it is viable to buy a property in a particular area, but it’s hard to maintain that property due to high living costs. This disparity makes it difficult for residents to live in that area for long, and they prefer shifting out to some other place for an affordable luxury. So while choosing a property, you also need to check whether you can maintain a good lifestyle in that area for long.

Besides the above factors, there are many other things which impact the cost of real estate prices in India, such as, the facilities provided by the builder, the demand and supply in an area, interest rates, and so on. It is important that you conduct an analysis yourself to understand if the property is valued fairly. You need to make a keen investigation as per your specific needs while keeping in mind the future returns.