Why are most Indians buying land in Goa?
The high-flying Indians who love to travel within the shores of India are betting big on weekend homes. And Goa has been among the favourites with many scouting their second homes in the Goa surburbs.
“With increasing demand, more and more places are being successfully marketed as weekend home destinations: Lavasa, Lonavala, Alibaug and Igatpuri near Mumbai for weekend getaways, vacation spots like Mussourie, Ooty, Coorg and Goa, and the likes of Haridwar for the religiously inclined. What attracts buyers in this segment are primarily a serene location with good weather, good infrastructure and potential for rental income,” said Ashwinder Raj Singh, CEO, Residential Services, JLL India.
This is followed by other weekend property markets such as Shimla, Kasauli and Kerala, with Wayanad in Kerala being the most sought-after in the state. So what really triggered the demand for weekend homes destinations in an otherwise dormant sector, where unsold inventories have been piling up?
“After the basic needs of shelter are met, most people have an in-built desire to own properties to use purely for relaxation. Obviously, such properties need to be in the more bracing and beauteous environs than the cluttered, polluted cities. Because quality hotel rooms in most getaway cities are limited and also very expensive, people like to invest in weekend homes there for short, hassle-free getaways. With the basic luxury factor vested in such locations’ mountains, lakes or religious shrines, these homes provide their owners with quality family time away from their routine city lives and often serve the extended purpose of providing a peaceful post-retirement life,” he added.
So will this segment spearhead the revival of the sector? Experts feel otherwise. According to Singh, weekend homes are bought by those home buyers, who have already purchased their primary homes.
“One spends only a limited amount of time per year in a weekend home. Nevertheless, there will be regular expenses on maintaining the property. If one does not wish to put the property on rent, the costs would include keeping a caretaker. Besides, if the property is to be put out on rent throughout the year, there would be expenses on regularly upgrading the basic amenities,” he noted.
Well, looks like weekend homes may not be exactly what the sector has been looking for, nevertheless, they seem to be the perfect way to make a long term investments.