About 42.34 per cent of non-resident Indians (NRIs) in the UAE responding to a survey conducted by the Indian Property Show organizers declined requirement for finance to buy property – up from 33.66 per cent a few months ago.
The slide in the Indian rupee seems to be encouraging non-resident Indians living in the UAE to further invest in their homeland with lesser dependence on finance, the latest survey figures revealed.
The research also highlighted investors’ increasing interest in buying property for investment purpose rather for own use, a rise of about 17 per cent was observed from 34.98 per cent to 40.87 per cent now looking to buy property in India either as their first investment or for an additional investment to build their property portfolio.
In terms of popular property investment destinations, Mumbai (16.60 per cent), Bangalore (10.15 per cent) and Chennai (8.72 per cent) retained the top 3 slots, with Cochin and Hyderabad gaining further popularity. Other cities that made it to top 10 included Pune, Delhi, Coimbatore, Ahmedabad and Goa.
“Further decline in Indian rupee combined with a spate of regulatory reforms seems to be encouraging NRIs to invest in their favourite asset class. We see the interests bouncing back as expat Indians are not only keen on purchasing a home in their homeland but have also shown an increased interest in purchasing purely for investment purposes,” said Kowshik Mukherjee, head of Indian Property Show and chief operating officer Sumansa Exhibitions, organizers of the popular exhibition, scheduled to be held for three days from June 21-23 at Dubai World Trade Center.
The Indian Property Show survey aimed to understand the current trends related to NRI investments into their home country, their reason of buying property in India, preferred cities for investments, type of property, time frame, budget and finances planned, etc.
Other findings of the survey included:
• 28 per cent of respondents showed interest in investing in properties within the range of INR 76 lacs ($112,000) to INR2 crores, while 46 per cent were keen on properties ranging between INR25 lacs to INR75 lacs.
• Less number of people are seeking finance to purchase the property, 57.66 per cent now compared to 66.34 per cent last year, a decline of 13.8 per cent observed.
• A decline of over 9 per cent was observed in the number of people looking to buy property for own use, from 65.03 per cent last year to 59.13 per cent now. Additionally, more NRIs are planning to buy as an investment, up by 15 per cent.
• Slightly more than half of the respondents (51per cent) were interested in purchasing property within the next 6 months.
• Nearly 65 per cent of the potential investors belonged to the age bracket of 30 to 50 years.
• Top 10 preferred cities for investment for UAE NRIs are Mumbai, Bangalore, Chennai, Cochin, Pune, Hyderabad, Delhi, Ahmedabad, Coimbatore and Goa. – TradeArabia News Service
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