With property boom spreading in all directions, real estate in India is touching new heights. However, the growth also depends on the policies adopted by the government to facilitate investments mainly in the economic and industrial sector. The new stand adopted by Indian government regarding foreign direct investment (FDI) policies has encouraged an increasing number of countries to invest in Indian properties.

India has displaced US as the second-most favored destination for FDI in the world. As the investment scenario in India changes, India which has attracted more than three times foreign investment at US$ 7.96 billion during the first half of 2005-06 fiscal, as against US$ 2.38 billion during the corresponding period of 2004-05, making India amongst the dominant host countries for FDI in Asia and the Pacific (APAC).

The positive outlook of Indian government is the key factor behind the sudden rise of the Indian real estate sector - the second largest employer after agriculture in India. This budding sector is today witnessing development in all areas such as - residential, retail and commercial in metros of India such as Mumbai, Delhi & NCR, Kolkata, Chennai, Bangalore, Hyderabad, Ahmedabad, Pune, Jaipur, Indore, etc. Easier access to bank loans and higher earnings are some of the pivotal reasons behind the sudden jump in Indian real estate.

Why Invest In Indian real estate?

Flying high on the wings of booming real estate, property in India has become a dream for every potential investor looking forward to dig profits. All are eyeing Indian property market for a wide variety of reasons:

It’s ever growing economy which is on a continuous rise with 8.1 percent increase witnessed in the last financial year. The boom in economy increases purchasing power of its people and creates demand for real estate sector.

India is going to produce an estimated 2 million new graduates from various Indian universities during this year, creating demand for 100 million square feet of office and industrial space.

Presence of a large number of Fortune 500 and other reputed companies will attract more companies to initiate their operational bases in India thus creating more demand for corporate space.

Real estate investments in India yield huge dividends. 70 percent of foreign investors in India are making profits and another 12 percent are breaking even.

Apart from IT, ITES and Business Process Outsourcing (BPO) India has shown its expertise in sectors like auto-components, chemicals, apparel, pharmaceuticals and jewellery where it can match the best in the world. These positive attributes of India is definitely going to attract more foreign investors in the near future.

The relaxed FDI rules implemented by India last year has invited more foreign investors and real estate in India is seemingly the most lucrative ground at present. The revised investor friendly policies allowed foreigners to own property, and dropped the minimum size for housing estates built with foreign capital to 25 acres (10 hectares) from 100 acres (40 hectares). With this sudden change in investment policies, the overseas firms can now put up commercial buildings as long as the projects surpass 50,000 square meters (538,200 square feet) of floor space. Indian real estate sector is on boom and this is the right time to invest in property in India to reap the highest rewards.

Real Estate in Jaipur

Jaipur, popularly known as the Pink City of India is the capital of Rajasthan. This royal city, even today is considered to have the best-planned road infrastructure among many places in India. However, the skyline of Jaipur is also changing with times. And this is justified with the co-existence of the majestic monuments of the Raj and the most modern architectural galore of the present. 

Like all other upcoming cities in India, Jaipur is also set to make its own statement in the economic growth of the region. As far as Jaipur real estate is concerned, the scenario is looking quite upbeat. To help it achieve its goal, the state government is taking initiatives like strengthening infrastructure and promoting IT & ITES policy in the city, considered the most comprehensive way of redefining financial growth. 

As Jaipur real estate gears up to present itself in its new avatar, there has been a large influx of investments in this sector. Its close proximity to Delhi and the National Capital Region (NCR) - considered the epicenter of growth is one of the credible factors for the corporate sectors eying Jaipur as a possible hub in the face of growing congestion in the metros. Apart from being a promising infrastructural ground, the property prices of Jaipur is comparatively lower than the adjacent metro cities. 

Besides, Jaipurs easy connectivity to the prominent Indian cities and international destinations makes it a favorable business destination. Proposal for a SEZ in Jaipur and IT giants Wipro and Infosys showing interest for investing in the city is a clear indication of the changing trends in the citys economy. As IT and BPO industry continue to flock into the city, there has also been an inflow of large workforce, creating a dearth of residential spaces in the city. 

To meet the rising demand for residential and commercial retail spaces, there have been many initiatives from developers all over the country. Prominent names like those of Omaxe, Vatika, Parsvnath and Ansal have bid for developing residential, retail and office spaces in Jaipur thereby taking Jaipur real estate to unparallel heights. 

The 800-acre integrated Infotech city to be developed by Vatika besides providing international style of living also plans to develop a 50-acre IT Park with capacity of accommodating approximately 50,000 IT professionals and aided staff. There are also plans to develop a World Trade Park in Jaipur city, which will have offices, a convention center, retail outlets, a five-star hotel, entertainment centers and computerized parking facilities for 1,100 vehicles. 

Moreover, Jaipur as a real estate prospect is growing with leaps and bounds. The realty graph in the city shows a capital growth of 5 to 7 percent in the last one year. Moreover, as the ratio of demand to supply is deficit, there has been remarkable escalation in the property prices.
The better infrastructure in connectivity with the 8-lane expressway and international airport is also a major contributor to the popularity of Jaipur as an investment destination. Also the upcoming projects mushrooming in and around the city have made Jaipur thrive on to become one of the fastest growing cities in India.