A holiday home can be a break from the monotony of routine, a retirement investment or accruing passive income through rentals. There is a second home hotspot to satiate every investor's need, no matter how deep their pockets are. All you need to do is time it right, and the best time to invest is now. Here are some of the popular locations near Mumbai to invest in a holiday home.
Research suggests that for the first time in history, the world's population became primarily urban. This change in the dominant habitat of the world population renders the process of urbanisation amongst the most significant global trends of the twenty-first century.
With two-thirds of the world population expected to live in urban areas by 2050, the most prosperous cities will be those that design sustained, comprehensive infrastructure and create new institutions, or strengthen existing ones, to implement this vision.
Urban millennials and the desire for holiday homes
Recent years marked the advent of a new 'urban millennium' and with it grew a new generation of urban millennials. This generation of young adults exhibits a unique duality. While they want the benefits that come with modern living – from connectivity and security to remote working and e-commerce- these consumers still value proximity to nature and the environment. Millennials are also more environmentally and socially aware and conscious than earlier generations.
Brands establishing a reputation for environmental stewardship and sustainability are bound to grow market share and build loyalty among the millennials. This, in turn, has given rise to the concepts of second-holiday homes, especially the ones nestled in nature are known to provide a much-needed respite from the fast-paced and hectic life.
Catering to this need, brands across sectors are now focusing on developing ecosystems that create a positive impact on the communities around their developments. For example, in terms of real estate, most companies now strongly advocate the use of green architecture, or green design, which is the approach to building a sustainable model that minimises harmful effects on human health and the environment. With this aim in mind, they are attempting to safeguard air, water, and earth by choosing eco-friendly building materials and construction practices.
Keeping this trend in mind, here are the criteria's millennials and Gen Z is looking at and should look at before buying or investing in a second home:
- Location – Proximity to the city, connectivity and close to nature
- Investment – How much are you willing to spend on the property
- Return on Investment (ROI) – Since it is a second home, especially a holiday home, one will look to get some returns out of the property
- Growth potential – What is the future growth of the location that you are going to invest in has to be also kept in focus
Life in Mumbai, the city that never sleeps, is fueled by a never-ending hustle and bustle. But at times, one needs a break to rejuvenate and relax with family or by themselves. Investing in a Holiday Home close to Mumbai has a double advantage; you can use it as a quick getaway from the city and, when not using, rent it out to make some money which makes it is a win-win deal. The fact to note is that young people in India today believe in convenience with a conscience. Indians are not ready to let go of their modern lifestyle to be sustainable.
Let us look at a few potential holiday destinations near Mumbai where one can consider buying a second home.
1. Lonavala – Lonavala-Khandala has been an evergreen holiday destination for a long time due to its scenery, wonderful monsoon weather and views
Location – It is the closest man-made hill station to Mumbai and Pune and is well-connected through Roads and Railways
Investment- Due to its popularity, the prices in Lonavala have increased drastically over the years and continue to do so. On an average, a property here can cost you Rs 50 lakhs and upwards subject to the choice of location, area size and developer offering.
If you are on a tight budget, you can look at places away from the central market like Malavli, Karla or Kamshet, which are equally beautiful, serene and affordable.
2. Alibaug – Alibaug is a coastal town bountiful in nature with many beaches and a variety of water sports, making it a dream of many to own a seaside second home here.
Location – Alibaug is about 100 km from Mumbai, with the Multimodal corridors from Virar-Alibaug and the new Ro-Ro service one can reach Alibaug with their vehicle in less than an hour at a very nominal price. This makes it very accessible without any hassle, even in the monsoon giving Lonavala a tough competition in the holiday season.
Investment- The increased connectivity has led to a steep rise in the property value from approximately Rs 4500 in 2019 to Rs 7250 per sq ft in 2021. This has led to growth in the development of affordable and luxury properties in the area attracting investors and builders of all sizes and pockets.
For people who want to own a second home, at pricing that is affordable, you can choose offbeat locations like Igatpuri, Karjat, Dahanu, Boisar. These locations have their own beauty that is second to none.
Whether it is for the purpose of tourism, a need to work from home with a breathtaking view - second homes are currently witnessing a new rise. Mumbaikars are investing for both financial returns as well as emotional capitalisation.