Buy your Dream Home in a Tier 2 City

Source: HomeCapital Website

In migration, we are now seeing a massive change around where people prefer smart cities over metros for a variety of reasons. The smaller towns or the tier 2 towns draw both developers and buyers alike. Popular options include Ahmedabad, Lucknow, Indore, Chandigarh, and Jaipur.

Here are some of the benefits of buying a home in a Tier 2 City:-

1. The Growth of Public Services: A government-led program introduced in 2015, a smart city is the solution to overpopulated metros. Through offering services that are similar to the major cities, the government is seeking to make them viable. This mission is about growth and scheduled construction carried out by the Central Government. Such satellite towns also include state-of-the-art infrastructure and business parks. 

Developers and builders accept that the real estate boom in Tier 2 cities would not have been possible without the support of the Central Government and more so the State Government. Some extremely viable initiatives and policies, such as RERA, Atal Rejuvenation, and Urban Transformation Project, Prime Minister Awas Yojana, National Urban Housing Fund and National Quality Summit 2012, have been responsible for creating a positive buying feeling for apartments outside the metro.

2. Infrastructure upgraded: With the shift in industrialization, the IT sector, Financial Services, and Consumer Goods, in particular, the tier 2 cities are seeing a growth spurt in the real estate region. 

The government is generating a lot of job opportunities along with a sound infrastructure to ensure the small towns are on par with the bigger towns. Affordable apartments with lower living costs, greater open and green spaces, better accessibility, enhanced roadways, updated public services, modern lifestyle facilities, malls, and airports all help make the smaller towns a favored option.

Only for the better infrastructure of the Tier 2 cities has the government agreed on an enormous sum. Numerous policy schemes make people excited about moving to smaller towns where they believe they live in a better atmosphere and without the burden of the major towns. Purchasing an apartment in a smaller town is also much more achievable as compared to living out of a rented one in the big city.

3. Better Chances: With enough land available in the smaller towns, the government is encouraging both developers and buyers to see the Tier 2 cities as a good opportunity to buy an apartment. The real estate market is not only cheaper here, but the consumer ends up with even larger spaces at a comparatively lower price compared to the metro. The living rates are much smaller, and the environment is much greater. The NRIs see the Tier 2 cities as a lucrative investment opportunity from which they buy an apartment and put it on rent-producing a second income. Multi-nationals are also moving to the smaller cities as resources are cheaper here overall, while technology-wise they are ahead and a multitude of skilled and unqualified labor is available.

4. Healthy job prospects, and a decent pay scale: Healthy job prospects and a competitive pay scale: India's tier 2 cities are emerging as the latest hubs of business leading to great job opportunities. Cheaper real estate with lower operational costs is the key reason most market sectors are base shifts. 

Small cities still have the vast talent and highly skilled labor available. Although some young people want to live closer to their families, others believe that their talents would be better valued in small towns, giving them a greater chance of growth and higher pay packages.

5. Buying Apartments NBFC: So, if you're about to step into a career and plan to move to a Tier 2 area, don't worry about buying your apartment, as NBFCs are your answer. It is easier to get to NBFC. Their procedures relating to home loans are effortless. The NBFCs have much more relaxed laws compared to the banks. Current interest rates are significantly lower than banks. NBFCs find themselves more likely to offer loans because they can also accept poorly qualified cases. 

Source: Space Matrix Website

We don't work according to the RBI guidelines, because of which we can cut interest rates according to their words. They too are going to offer loans for a greater sum of money.

NBFC plays a crucial role in the purchasing of apartments when going to a bank is a challenging proposal. Such institutes are the way forward with the RBI confirming that NBFC's are outperforming banks with rising customer satisfaction.