If you are looking to buy a home in Mumbai in 2021, areas such as Goregaon (East), Andheri (East), Kandivali (East), Malad (West), Vasai and Virar could be the best bets. In addition to massive housing development, the areas also enjoy robust infrastructural growth and proximity to commercial centres.

One of the most expensive real estate markets of India, Mumbai has started witnessing positive market developments, post the second wave of COVID. Low home loan interest rates are a prime factor that helped bolster residential enquiries in the city between March and August 2021. According to Knight Frank, in August 2021 alone, the city saw the registration of over 6,500 housing units, up by 2.5 times from the previous year.  The numbers establish the fact that housing units are being absorbed rapidly and buyers are now keen to invest.  

Some of the areas, which witnessed robust demand in the previous years, and are expected to dole out profitable real estate investments this year include Goregaon (East), Kandivali (East), Andheri (East), Malad (West), Vasai and Virar.

Goregaon (East) 

Average capital values: Rs 20,700 per sq ft

Situated between Andheri and Borivali, Goregaon (East) is an ideal destination for those looking for pocket-friendly homes in Mumbai. The current average property price in Goregaon (East) hover around Rs 20,700 per sq ft (Source: 99acres Insite Report Apr-Jun 2021). It is linked with Jogeshwari–Vikhroli Link Road (JVLR), Western Express Highway and Chhatrapati Shivaji Maharaj International Airport. the proximity of the locality to the commercial belt, where firms like Aegon, IBM, Abbott and the famous Film City are already established, acts as a catalyst to rental demand and helps investors earn rental income between Rs 33,000-38,000 per month from a 2 BHK unit. The completion of the currently under-construction Metro Line 2A of Mumbai Metro (Dahisar West-Goregaon West-Andheri West) will further augment the locality’s connectivity with other parts of the city, thus propelling property price growth. Some of the prominent developers offering residential units in Goregaon (East) include Mantri Developers, Exquisite Buildcon, and Gagan Developers, among others.

Check out investment options in Goregaon East

Kandivali (East) 

Average capital values: Rs 16,600 per sq ft

Located in the north-western part of Mumbai, it is one of the posh and oldest housing destinations in Mumbai. The locality is famous for offering integrated townships that have housing options priced at Rs 16,600 per sq ft. The locality has witnessed a price appreciation of about 2-3 percent, YoY, between Apr-Jun 2020 and Apr-Jun 2021. 

In addition to being connected via the Western Express Highway and Link Road, Kandivali (East) is also accessible through the western railway line. Gated societies with the provision of schools, hospitals, and shopping complexes attract several home seekers. Schools such as Ryan International School and Gundecha Education Academy, and hospitals such as Kokilaben Dhirubhai Ambani Hospital and Apex Hospital, add to its livability quotient. The malls nearest to Kandivali (East) include Raghuleela Mall, Oberoi Mall and Moksh Plaza Mall. Some of the employment zones close to Kandivali (East) are Santacruz Electronics Export Processing Zone (SEEPZ), Maharaja Retreat Tower, The Infinity Tower and Spectrum Tower.

Average price movement in the localities

Locality

Average capital price (per sq ft)

Price Change, YoY

Goregaon (East)

   Rs 20,700

2%

Kandivali (East)

   Rs 16,600

3%

Andheri (East)

   Rs 18,600

2%

Malad (West)

   Rs 17,400

4%

Virar

  Rs 5,350

4%

Vasai

Rs 5,350

2%

Source: Mumbai Real Estate Report Apr-Jun 2021

Check out investment options in Kandivali East

Andheri (East) 

Average capital values: Rs 18,600 per sq ft

A hub of budgeted residential as well as commercial real estate projects, Andheri (East) has evolved as one of the preferred destinations for investment, as compared to Andheri (West). The average selling cost of residential apartments ranges around Rs 18,600 per sq ft.

Ricky Asija, property consultant, Ashiyana Properties, says, “Bandra-Kurla Complex (BKC), Maharashtra Industrial Development Corporation (MIDC) and SEEPZ are the closest employment hubs to Andheri (East). Connectivity via the Western Express Highway and the local railway network makes it a sought-after rental destination as well. Investors can earn a healthy rental income between Rs 22,000 and Rs 57,000 per month from a 2 BHK unit. Proximity to Jogeshwari-Vikhroli Link Road (JVLR) and National Highway 8 makes it an easily approachable location. The expected completion of the JVLR-Kanjurmarg (Central Suburb) metro line by 2022 is anticipated to be a game-changer for the realty landscape of Andheri (East).”

Check out investment options in Andheri East

Malad (West)

Average capital values: Rs 17,400 per sq ft

The business hub of Malad (West) has noted increasing housing demand due to its proximity to Bandra Kurla Complex (BKC) and the Andheri commercial zone. The locality caters to the middle and upper-middle-income segment homebuyers and offers residential apartments at an average rate of Rs 17,400 per sq ft. “The area is served by the Western Express Highway and local railway network. Other than that, the Dahisar-Mandale metro line (Metro line 2B) would improve housing demand and propel property prices in Malad (West),” adds Asija.

Check out investment options in Malad West

Vasai and Virar

Average capital values: Rs 5,200-5,400 per sq ft

Located beyond Mira Bhayadar, the two localities are considered to be the most affordable housing destinations in Mumbai. They are a favourite among majority homebuyers in the city since the average property rates range from Rs 5,200-5,400 per sq ft. The area is ideal for homebuyers looking for low-cost homes in Mumbai. While price growth in the two regions has been muted in the short-term, the areas are expected to prove beneficial for investment once the development on the Delhi-Mumbai Industrial Corridor gains steam.

Check out investment options in Vasai-Virar

Buying a home in Mumbai can be tricky, and the ongoing pandemic has caused a disruption in the plans of investors and homebuyers alike. However, as indicated by the steadily appreciating prices of these localities, property prices here are likely to improve in the future upon the completion of several important infrastructural projects, such as the different corridors of Mumbai Metro.