Home buyers today have turned their attention towards Tier II and Tier III cities for investment as real estate is booming in these cities. While earlier, Tier I cities and their suburbs were looked upon as the best bet in real estate, large scale development in affordable constructions is now translating into high interest levels for Tier II and Tier III cities as well. Bhubaneswar is one such city which has witnessed remarkable development over the last few years and has caught the attention of both buyers and realtors.
The reasons behind the rising popularity of these cities in the real estate sector are not too difficult to analyses. Property prices in metros are soaring. Within Tier 2 and 3, most Metro city dwellers feel it is a good option to buy a property in nearby vicinity to the city rather than in a completely new city and with high property prices.
The cost of living in Tier 2 and Tier 3 cities is much low as compared to the expensive lifestyle one needs to maintain in the metros. Basic necessities like house rent, transportation, education, and many others are much more affordable in Tier 2 and Tier 3 cities as compared to the metros. This apart, life is much more relaxed and goes on at a comfortable pace in these cities. So, one gets to enjoy a hassle and stress free life in these cities. Besides, the standard of living has also improved in these cities with all kind of facilities available in all sectors, be it education, retail or health.
That apart, most Tier II and Tier III cities are better connected today making them much more accessible. Appreciation in land rates is another reason why home buyers are looking at a city like Bhubaneswar. Land available in Tier 2 and Tier 3 cities is affordable now and expected to rise in the near future with rapid urbanization. Many buyers are also buying homes in tier 2 and tier 3 cities as second homes to support their parents. Old generation often find it hard to catch up with the pace of metros. They often feel insecure and secluded. On the other hand, some are opting for such cities as retirement options.Also those staying on the outside of the country (India) are planing to invest their heard earned money in Tier II and Tier III cities like Bhubaneswar properties.
This apart, affordable housing is easier in Tier II and Tier III cities because the land rates are relatively low and the distance of city centers from such projects is generally manageable, which is an attraction from a builder’s point of view. The developers are thus looking at a number of mid-segment and affordable projects in the residential segment in these cities as they also believe in days to come, these cities will be hubs of development and growth.