Suburban Real Estate Booms as Major City Prices Hit Record Highs
Despite the rising demand and consequent price increase, suburban prices remain competitive compared to city averages.
In Delhi, where the average residential price has soared to Rs 18,012 per square foot, there is a marked increase in search activity in areas such as Dwarka and Rohini.
A notable trend has emerged, indicating a movement towards suburban and peripheral regions as property values in major urban centers escalate. In Delhi, where the average residential price has soared to Rs 18,012 per square foot, there is a marked increase in search activity in areas such as Dwarka and Rohini. Over the past year, prices in Dwarka have risen from Rs 8,800 per square foot to Rs 11,500 per square foot, while in Rohini, they have increased from Rs 11,300 per square foot to Rs 12,100 per square foot, as reported by the latest Housing Sentiment Index from Magicbricks.
Despite the rising demand and consequent price increase, suburban prices remain competitive compared to city averages, making them attractive investment destinations.
Similar trends are observed in Thane/ Navi Mumbai, where areas like Vartak Nagar and Dombivali have gained traction among homebuyers. In Vartak Nagar, property prices surged from Rs 15,000 psf to Rs 17,500 psf over the past year, exceeding the average rate of Rs 13,165 psf in Thane.
Dombivali saw an increase from Rs 6,800 psf to Rs 7,300 psf, while Taloja emerged as an affordable alternative with an average rate of Rs 6,500 psf. However, they continue to present lucrative investment options as residential prices in Thane increased 14% in one year, to touch Rs 13,165 psf.
In Chennai, the trend persists, with rising interest in Old Mahabalipuram Road (OMR) and Ambattur. Property prices on OMR rose from Rs 5,800 psf to Rs 6,400 psf, and Ambattur experienced a growth from Rs 6,400 psf to Rs 6,800 psf over the same period.
Hyderabad is also witnessing significant interest in suburban areas such as Medchal Highway and Miyapur, where the average residential rate is Rs 6,500 psf, compared to the city average of Rs 8,188 psf. The rising demand in these areas highlights a growing trend of buyers seeking affordability and investment potential in suburban markets.
The preference for peripheral markets is driven by increased infrastructure development, improved connectivity, and a desire for more spacious living options outside of densely populated city centers.
