•Localities of South Delhi witnessed rental rates appreciate between 10% and 18% in Q1-12 over Q1-11
•Improved residential facilities and booming IT and ITES sectors has resulted in increased rentals in the Gurgaon, Noida and Ghaziabad region
New Delhi: A study by 99acres.coml showed that rentals for the Delhi and NCR region have seen an appreciation if we compare rents of a 3BHK residential apartment in Q1-12(Jan-Feb-Mar 2012) over Q1-11(Jan-Feb-Mar 2011). All localities in the Delhi-NCR region have witnessed rental values appreciate on an annual basis.
Commenting on the same Vineet Singh, Business Head, 99acres.com said “The residential rentals values in Delhi are likely to show a further upward trend in the medium term. This is largely due to Delhi being a highly supply constrained market where the demand for dwelling unit outstrips the supply by a huge margin. The policy environment is currently not conducive for a immediate increase in the supply and thus the demand pressure is likely to continue. Further, due to a high cost of units, the rental returns not very attractive”
A look at the rental prices of a 3BHK house in key localities of Delhi shows that the residential areas of Vikaspuri and Safdarjung witnessed the maximum appreciation. Both these areas have respectively witnessed 25% and 19% rise in rentals in Q1-12 over Q1-11. Green Park, Kalkaji, Sarita Vihar and Mayur Vihar-I witnessed 17%, 14%, 12% and11% rise in rental values respectively over the same time period. IP Extension saw steady rental values , while Patparganj and East of Kailash saw approximately saw 10% rise in rental prices.
The NCR region has seen an appreciation of rental values across localities. Key localities of Noida like Sector 61, Sector 18, and Sector 82 have seen rentals escalating within the range of 8% to 18% over a period of one year. Localities in the Ghaziabad region have also seen major rental value appreciation. Vaishali and Indrapuram saw 22% and 13% rise in rentals in Q2-11 when compared to Q1-11.
Prime areas of Gurgaon like Palam Vihar, Golf Course Road, Vatika City, and DLF Phase 1 have seen 25%, 24%, 23% and 20% rise in their rentals in Q2-11 as compared to Q1-12. All the other localities also witnessed appreciation within the range of 7% and 17% respectively during the same time period.
Posted: 28 Mar 2012 05:46 AM PDT
By Accommodation Times Bureau