Concrete jungles in metros is impacting the landscape of major cities in India, pushing buyers and investors to evaluate options in aesthetically pleasing and eco-friendly destinations assuring high yields as well. Goa qualifies as one of the suitable destinations for investment among others like Kasauli, Shimla, Rishikesh and Wayanad.
Since decades, Goa has been a prime investment destination for owning a second home, both by Indians and foreigners. Its pristine beaches, white sand, flea markets, serene locations, pleasant weather and huge architectural diversity are the propelling factors that make Goa the most sought- after weekend destination in India. In addition, these factors also attribute to its driving realty demand.
Investors can find diverse investment options in Goa. However, plot investment is gaining traction and has become a popular trend of late, assuring steady returns to investors, especially in North Goa.
According to John D’Souza, Tropicalhomes Real Estate Pvt Ltd, “Goa is divided in to North Goa and South Goa depending upon the nightlife, beaches and the footfall. North Goa experiences an upbeat lifestyle, beautiful beaches and feisty nightspots while South Goa is quiet and dreary with a non-existent nightlife. Owing to its advantage on the entertainment level and better lifestyle, North Goa witnesses more realty traction than South Goa.” In addition, North Goa is an investment driven market, however, South Goa offers comparatively affordable home buying options for end users.
Residential land availability
North Goa remains the cynosure for investors willing to invest in residential land. Upbeat lifestyle and cheerful ambience drives the residential market here. Presently, Dona Paula and Caranzalem are the areas where property prices are the highest, while areas like Moira, Saligao, Sangolda and Bicholim are witnessing slow growth in the capital values.
In South Goa, Luotolim, Verna, Varca, Raia, Navelim and Sancoala are some of the areas experiencing high residential land availability. Investors on the lookout for quietude and serene beaches prefer these areas of Goa. In addition, the property prices are extremely affordable in South Goa. According to 99acres, prices in areas like Luotolim, Varca and Verna range between Rs 6500 per sq ft and Rs 15,000 per sq ft. However, North Goa remains an expensive investment hotspot. Average capital values at Dona Paula vary between Rs 70,000 per sq ft and Rs 80,000 per sq ft.
Growing commercial market
With influx of tourists from all over the world, Goa has evolved as one of the hotspots for commercial investments. Malls, café’s, shops and retail establishments are some of the commercial developments spiralling all over the city. However, owning and renting a farmhouse is a new thing on the list. As tourists prefer to stay here for months to relax, detox and recoup, commercial investments confirm easy and regular rental values.
In North Goa, areas like Candolim, Calagute, Saligao, Porvorim and Anjuna have higher supply of commercial and institutional land. While, localities like Bicholim and Mapusa witness prime supply of agricultural land. South Goa experiences lesser supply with Varca and Sancoale being the only areas experiencing commercial land availability.
Of late, central government announced Rs 10,000 crore for development of various roads and infrastructure projects in Goa. It includes construction of Margaon western national highway bypass, construction of Canacona national highway bypass and establishment of missing links of NH17B at Lotulim Village at Verna industrial estate. All these developments are concentrated in South Goa.
Developments in North Goa include 350 km long national highway from Karaswada -Sankhali-Viploi-Honda Link, Sakhali-Vaploi-Colleum link and Ponda-Bethora-Borem link. In addition, 6 laning of Patradevi-Panaji-Pollem road and 69 km of NH4A along the border from Panaji to Ponda are also the part of the plan.
Owing to the strategic development, land prices are shooting up year-on-year (YoY) in North Goa, assuring higher return on investment. People planning to buy an apartment or property in Goa, prefer North Goa, as it offers better rentals and higher resale values. According to Philipz Vas, P V Real Estate, Broker, “North Goa is popular among tourists and gives higher returns when property is bought/sold or rented out. This is basically due to the fact that investors are majorly concentrated in North Goa, triggering capital appreciation.” However, South Goa witnesses major demand from affordable home buyers and offers lesser returns owing to its location and peaceful surroundings.