About 80% buyers prefer a home near Metro

Increasingly, more and more home seekers now prefer to stay near the Metro. It has become an important factor to be considered before buying or taking a home on rent, reveals a recent survey conducted by Magicbricks.

More than 80 per cent people looking for a home, either on rent or to buy, said they prefer living near a metro, according to a recent Magicbricks survey.

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It was always considered an advantage if you lived in a place that had metro connectivity or a metro station nearby. However, now that the traffic situation is going from bad to worse, metro connectivity is no more a luxury or a bonus but a necessity.

The survey also indicated that of these 80 per cent, more than 55 per cent said they would definitely want metro connectivity near their place. Of this 55 per cent, almost 30 per cent were willing to expand their budget up to 10 per cent to reside near a metro while 20 per cent could spend 10-20 per cent extra.

The remaining 25 per cent (of the 80%) said they would prefer to stay near a metro station, only if it fits their budget.

Preference for localities that have metro connectivity is clearly visible in the way property prices shoot up post the metro becoming operational. Classic examples are Delhi, Mumbai and Bangalore where both rental and sale values shot up post the metro becoming operational.

Surabhi Arora, associate director, research, Colliers International says, “In Delhi, Mumbai and Bangalore, an initial boost in capital prices was witnessed in the immediate vicinity on the announcement and start of construction of the metro project, whereas, rental values started picking up in these locations once the metro became operational.”

For instance, localities such as Uttam Nagar in Delhi got a fresh lease of life once it became a part of the metro line. Both rental and capital values in the locality shot up due to increased demand. A similar case is that of Chembur and neighbouring localities in Mumbai where values have been on the rise ever since the metro work started.

Arora continues, “A number of office goers as well as students prefer to stay close to metro stations which has pushed up rental demand in the immediate vicinity. Locations within 15 minutes of walking distance from the metro station generally see an increase of 10-15 per cent in rental values in the short term.”

This was also indicated in the survey wherein, while 32 per cent respondents said they wanted metro connectivity as it offers connectivity to almost all parts of the city, more than 15 per cent claimed they were looking for ease of connectivity to their office place.

Thus, while budget and location may still be considered the most important criteria while seeking a home, it is amply clear that today, location is directly linked to the availability of metro in the area.

Sruthi Kailas, Magicbricks.com Bureau

Sruthi Kailas is a keen market researcher and is currently a part of the content and research team of Magicbricks.com

Source: http://content.magicbricks.com/industry-news/about-80-buyers-prefer-a-home-near-metro/74746.html