Property investment in Singapore is becoming an expensive value proposition these days and it’s no wonder that investors are looking abroad. As a Singapore Indian, one of the first places to look at abroad for property investment should be India.
Selection Criteria for South India Property Investment
When it comes to property in India, there are a few selection criteria to note:
1. The property investment needs to provide value for money.
If I purchase an apartment or landed property or even a building today – I should be confident that over a period of time, it will give me greater returns, i.e. there are factors that will cause price increases.
2. Solid infrastructure has to be in place.
The property, especially if I intend to stay there, needs to be well-connected and not too far off from where the ‘life’ of the city is.
3. Steady real estate supply is important.
The area should have new estates being built in the area, although not too many, as oversupply causes prices to not increase and can also result in a situation similar to that of China and its ghost towns.
4. There has to be demand for the area.
If people are not willing to purchase property in the area, then it is highly unlikely the property prices will increase or you will be able to rent it out, which prevents it from becoming an ideal property investment.
Why Particularly South India?
According to a study by Cushman & Wakefield together with The Times of India, it has been noted that South India has outperformed Mumbai and NCR (National Capital Region) in terms of the Capital Value Appreciation for the past 3 years. Within South India in particular, the main cities to look at for property investments are Bangalore and Chennai.
Bangalore is a real estate market backed by strong fundamentals and as Asia’s leading outsourcing hub, it employs 35% of India’s pool of Technology professionals and houses 43% of MNC Research and Development setups in India. This makes it a very strong market to invest in.
Chennai is a market ready for an upgrade. It is considered the Detroit of the South as it contributes to 30% of the automobile industry in India. With one of the highest population densities in India, it also employs about 25% of India’s pool of Technology professionals.
Ozone Group & The South India Property Roadshow
As a Singaporean Indian property investor looking abroad, it can be a little difficult and daunting to understand the property markets in India properly. Ozone Group is bringing a South India Property Investment Roadshow to Singapore to educate us on the nuances of South India property investments as well as share opportunities for investment such as the Metrozone in Chennai and the Ozone Urbana in Bangalore – which are financially backed by HDFC Property Fund and the Urban Infrastructure Real Estate Fund.
Started in 2004 as a Bangalore-based real estate player – Ozone Group now has a presence in Chennai, Bangalore and Goa. It won Emerging Builder of the Year award in 2013 and was nominated for a Luxury Apartment Project of the Year award in 2014 for The Metrozone project. Ozone Group differentiates itself by providing abundant infrastructure in all its projects and is committed to providing you a higher quality of life through its residential projects as well as large-scale, integrated projects.
Srinivasan Gopalan, the CEO of Ozone, is here personally to lead the roadshow. A Cost Accountant (ICWA) and Singapore Chartered Accountant by profession, Mr Gopalan has over 20 years of experience in Audit, Accounts, Treasury, Taxation, Fund Raising and Regulatory Compliances – making him the most knowledgeable person to explain the South India property investment opportunities to a Singaporean crowd and allay any worries and answer queries.
Don’t forget to check out the South India Property Investment Roadshow event happening on 7th February 2015 from 11am to 630pm near Little India MRT Station.