By Harsimran K. Kalra , Chandigarh: The residential real estate market in Chandigarh is in a slowdown phase and with fewer transactions happening and values holding, the real estate action has shifted to the rental front. The rental market is especially active in Sectors like 21, 22, 34, and 35. The city is divided into self sufficient sectors and residential sectors are divided on the basis of plot sizes. “In the prime residential locations in Chandigarh, which include sectors 4 to 10, an old house with 500 sq. yard (1 Kanal) area is available at a rent of Rs 40–50,000 per month. In case of a new construction, the rent is about Rs 65,000” says Vipin Sharma, GM, PropertyVertical.
In the last one-and-half years, the residential rentals have seen an increase of almost 50 per cent.
The rental value in sectors like 21, 22, 34, 35, and 36 varies between Rs.10, 000-20,000 per month, depending on the size and location of the property. With developments on a fast growth trajectory, the demand for housing is expected to rise in the region. Currently, in Zirakpur price range varies between Rs.4, 000-6,000 for 2 BHK and Rs 10,000 for independent houses. Rental values in Zirakpur are 40% less than that of rents in Panchkula, which are Rs 7,000-10,000 per month for 2 BHK and Rs 15,000-18,000 for independent houses.
In Mohali rental scenario is exactly opposite as that of Chandigarh and Panchkula. Most of the rental properties are lying vacant as property owners have increased the rental values. Areas like Phase 7, 3B1 and 3B2, just like Sec 34 and 35 in Chandigarh, demands higher rental values due to its well-developed social infrastructure, good ambience and quality of life, also these are quite in demand from corporate executives. On the other hand Sec-68 & 69 demands comparatively less rents. The rental value of a 10 Marla house varies between Rs 10,000-11,000, whereas it is Rs 8,000-10,000 of an 8 Marla house.
According to Vipin sharma, “2 & 3 BHK is the most transacted unit as rent is very reasonable and affordable. Demand for rental accommodation emanates mainly from the IT sector and other working professionals”. A lot of students also take up apartments on sharing basis especially in areas such as Sec 15, 20, 34, 35, 36 which are home to many colleges and institutes. Besides, foreigners and NRIs are also an important segment in tenants, due to the influx of many IT companies and therefore expatriates.