nabishek

Hi Friends,

We often talk about 2004/2005 prices and about whats the current price in chennai.

Following would be a very useful lookup to know the price trend since 2004 and help in deciding on a property.

Source : A Guide to Chennai Real Estate

ks2071746

Dear friend,

Thanks. Really usefull information, consolidated. Of course, some downward correction need to be considered taking into account the present discounts to be negotiated hard with the builders.

ks2071746

wiseman

Super Abishek. This merits some time on analysis.

Would there be one on volumes as well? That should tell quite another story.

Besides, these are rack rates. If only there was a story on how much one can squeeze today as compared to 2008,would have given a much more informative story.

We must be thankful for what we got and not keep hankering about the completeness of data like on developed countries.

cheers

vijai5

wonderful job

Natarajg007

Nabhishek, Very interesting...Can you provide me the source. A few years ago when I searched for such info, they turned out to be guideline values and not realistic. So please provide the link to the source. Thanks in advance.

Natarajg007

Having done a first round study of your interesting data. I find the following
1. It is certainly useful for getting a feel but no more accurate.
2. How do we assume Mudra homes is right?
3. Data is so vague in terms of accuracy. Let us take some examples
Tiruvanmiyur 7000-7750
Adyar 7500-10000
Now what is the definition of Tiruvanmiyur. Is the Pincode the definition? One plot of land I have is in Palavakkam, Tiruvanmiyur, Chennai 600041. There are places in Palavakkam with pincode Chennai 602028. So are they the same.
In Tiruvanmiyur right on Seaward road a person is selling land at 1.2Cr per ground. Now this is not approved any bit! Almost on the sea! Is this Tiruvanmiyur. In Kalakshetra the price will be different! I have a quote for flat in Seaward road for 13K psft and does it not contradict.
The bear cartel (repeat the Pitchakarans among them!) speak that any high number is wrong! As if all low numbers are right.
Now the range in Adayar is 7500 to 10k. Does it mean quality of flat determines it? SO in Tiruvanmiyur the range is just 500 rupees. WHy? All flats in Tiruvanmiyur are built similarly? Now go and check with Nahar construction and he will quote 5.5K in Tiruvanmiyur! Why?
Well the above data is EXTREMELY USEFUL and Nabhishek has done a great job. Using this to interpret is less worthwhile than using 99acres.com!
So much for standardisation!
Cheers.

nabishek

No luck with data on volumes yet.I shall post if I come across one.

The following is the link to a 3 month old news

We surely hear that the number of sales and registration at various offices have come down drastically when compared to the same time last year.

The above posted price are only indicative market rates and are compilation from a bi-annual magazine called "A Guide to Chennai Real Estate" by priya publications.

Natarajg007

Thanks for the source info. You have done a great job sharing it anyway!

REGuru

Abhishek,

Thanks for posting the prices rates.

I'm expecting that prices will correct to inflation adjusted 2004 level, starting from now.

Natarajg007

Now I will use Nabhishek's data to show why all that I have said all along for months, screaming from roof tops was right and why those who refuted me had no sense. Many of those have tried to talk as if I was crying for Saligramam and against say Mylapore (as if was my property vs Wise property!). Remember I have too many properties and I dont have a single vested interest. Just that I use certain examples in discussions.
Now based on the NABHISHEK TABLE (will call it NT henceforth) I have taken the top values for the locations to make life simple.
Location 2009 2005
Abhiramapuram 8000 4500
Saligramam 5000 1750
Let us just compare this year 2009 with say 2005. Just a blind comparison.
In 2005 cost of construction was around 800psft and now it is around 1000psft. To calculate land price as I have discussed in many locations
Land price = (Flat price - Cost of construction) x FSI
FSI I will assume is 1.5 both in 2005 and 2009 though it can be 2 in 2009 but not always.
So in Abhiramapuram in 2005 price of land was (4500-800)*1.5=5550psft. In Saligramam at the same time price was (1750-800)*1.5=1425psft. The ratio of land prices of Abhi and Sali in 2005 was 5550:1425=3.89:1
Doing the same calculation in 2009 with Construction price increased to 1000 psft,the ratio of Abhi to Sali is 10000:6000=1.4:1
What does this show?
It was better to have invested in Saligramam than in Abhiramapuram between 2005 and 2009.
This is exactly what happens in a growing economy. While prices climb up from the Centre outwards with the centre mostly being costlier than the outer regions the growth outwards tries to catch up with the centre. Let us call this Natarajan Effect after me (LOL!). So in conclusion over periods of time Mylapore, RK Salai etc will lose importance to Saligramams, KK Nagars, Kottivakkams etc which again will lose importance to Urapakkam, Thirunindravur, Kovilambakkam etc.
Ofcourse the radial movement is restricted. So dont extend this and assuming Land in Tindivanam is the best bet. It is not. You might never even get to sell a plot in Tindivanam for Rs 1 psft in a dull market!