Hi,

I am an NRI planning to make an investment of 60 Lakhs(approx) in a 3BHK flat in NCR region purely from an investment perspective only as of now. But for the past few days I am really confused as to where to invest in NCR???
1. Delhi is really unaffordable and expensive
2. Gurgaon and Noida both look promising

I am really confused between Gurgaon and Noida.

In Gurgaon only some of the new projects look lucrative. Likes of Vatika, EMAAR look good.
In Noida, apart from 3C and Logix I dont see value in investing in Jaypee considering the uncertainty and risks involved...

But the bigger question lingering is where to invest Gurgaon or Noida??

I have seen lot of posts on the forum here where people say Noida is good for longer term investment of 6-10 yrs whereas Gurgaon is for a immediate return property...

But want to understand what is in store in Noida/Greater Noida in the coming years apart from the express way project, cricket stadium, racing track etc.. considering only BPO companies are setting up their new offices in Noida whereas Gurgaon already has quite a good number of good companies not only BPO's.
I do understand that Noida has lot of future development happening in comparison to Gurgaon but doesn't that mean that Gurgaon will develop more and more as it is already in a developed state?

What is the value addition in investing in Noida/Greater Noida? considering Nodia has been developing before Gurgaon & in spite of that we have not seen the growth that would have been expected from this place.
Blame it to the govt. or the lack of companies but thats a fact, since Noida was setup in early 90's but still it has still not developed compared to Gurgaon? Why?

One can blame it on the UP govt. but if thats the case then how is the future different from the present or the last decade that has been so far?
I personally feel Noida might be a better livable place but is that it to it? since commercially Gurgaon may still be more viable..
Some people argue that this was done deliberately by the Central govt to develop Gurgaon first to ensure the infrastructure in Noida/GN is all in place before shifting the focus there. I dont know what to believe?

Everyone says Noida/GN is good in long run? But how can people be so certain? Is it because of influx of major co's not only BPO's coming in Noida/GN, the major projects(cricket stadium, racing track) being built? or something totally different?

Please advice as it will really help me in taking an objective decision..
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  • Originally Posted by skyhello
    Hi,

    I am an NRI planning to make an investment of 60 Lakhs(approx) in a 3BHK flat in NCR region purely from an investment perspective only as of now. But for the past few days I am really confused as to where to invest in NCR???
    1. Delhi is really unaffordable and expensive
    2. Gurgaon and Noida both look promising

    I am really confused between Gurgaon and Noida.

    In Gurgaon only some of the new projects look lucrative. Likes of Vatika, EMAAR look good.
    In Noida, apart from 3C and Logix I dont see value in investing in Jaypee considering the uncertainty and risks involved...

    But the bigger question lingering is where to invest Gurgaon or Noida??

    I have seen lot of posts on the forum here where people say Noida is good for longer term investment of 6-10 yrs whereas Gurgaon is for a immediate return property...

    But want to understand what is in store in Noida/Greater Noida in the coming years apart from the express way project, cricket stadium, racing track etc.. considering only BPO companies are setting up their new offices in Noida whereas Gurgaon already has quite a good number of good companies not only BPO's.
    I do understand that Noida has lot of future development happening in comparison to Gurgaon but doesn't that mean that Gurgaon will develop more and more as it is already in a developed state?

    What is the value addition in investing in Noida/Greater Noida? considering Nodia has been developing before Gurgaon & in spite of that we have not seen the growth that would have been expected from this place.
    Blame it to the govt. or the lack of companies but thats a fact, since Noida was setup in early 90's but still it has still not developed compared to Gurgaon? Why?

    One can blame it on the UP govt. but if thats the case then how is the future different from the present or the last decade that has been so far?
    I personally feel Noida might be a better livable place but is that it to it? since commercially Gurgaon may still be more viable..
    Some people argue that this was done deliberately by the Central govt to develop Gurgaon first to ensure the infrastructure in Noida/GN is all in place before shifting the focus there. I dont know what to believe?

    Everyone says Noida/GN is good in long run? But how can people be so certain? Is it because of influx of major co's not only BPO's coming in Noida/GN, the major projects(cricket stadium, racing track) being built? or something totally different?

    Please advice as it will really help me in taking an objective decision..


    Consider investing in both. U can get a 2 bhk flat in gurgaon for 35 lacs 2bhk for 25 in noida with a decent builder and upcoming location.
    get the best of both worlds...simple:)

    Anyway, my experience is that gurgaon is a commercial hub and noida is a residential hub. The development/growth has been in gurgaon more than noida, so effectively noida now holds more potential and growth to develop. noida/gnoida are far better planned than gurgaon and even delhi.
    As a non resident it makes more sense for u to park your money with a 5-7 yrs scenario as you are not going to visit the site every qtr/6 month:) Gurgaon has a precarious water supply problem which is getting worse. Noida has electricity and power problems ,of late it has improved though. overall infra is similar. metro is in both places. yes gurgaon scores with airport in vicinity.
    my vote goes to noida, . becoz what happened in the past counts for little in future and all locations and regions are unique and have their own developmental and growth timeframes. its like some companies which are 50 yrs old having slow growth and some companies which are 10 yrs old with a fast growth , is an individual's personal decision to consider as to which one to go for.
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  • NOIDA/GN you can invest right now.prices are low and land title is clear.
    Without visiting the site you can invest in NOIDA. But Gurgaon is too hot now.
    In Gurgaon Builder only launching project not starting project. Project launched in Feb/March 2009 are either only digging or not even started at all.

    So while investing in Gurgaon need to be careful and you need at least one month of intensive ground research. Lot of builder have started project in Gurgaon where land title is not clear. Do not invest in Gurgaon while sitting abroad.

    I agree with Munish advise of dividing between NOIDA/Gurgaon. Noida part you can invest rightnow and for Gurgaon you can wait for right opportunity.
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  • Gurgaon V/s Noida

    Thanks for the update!
    Having said that can you advice some good projects in Noida and Gurgaon?
    I would like to invest in some good projects which are not only good from investment perspective but if required can be inhabited as well in the future...

    What I remember of Noida 10 yrs back when I stayed there, was:
    1. Crowd/Gentry was not up to the mark...
    2. High Crime rate
    3. Lack of GLOBAL, GOOD, LARGE corporations excluding BPO's

    But what I remember of Gurgaon say 5 years back(before I moved here), was:
    1. Hub of large corporations. Also remember lot of them shifting bases from Delhi to Gurgaon.
    2. Good professional people (typical service class)

    When it comes to Noida express way there are no amenities in the vicinity apart from the convenience stores which most of the builders will be constructing within the premise. In effect the place itself has lack of shopping complexes, whereas Gurgaon though has only malls but in abundance to balance it out...

    Agreed, Noida has lot of potential but the state of UP govt. has added to its woes where off late the perception within the politicians have changed as they have realized that if there's no development, there's no vote!
    Which explains Mayawati's drive for some of the most ambitious projects in the NCR region recently (Airport, express way etc..) But how much of this continues and translates further is something to watch out for.....
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  • You need to come down to Noida and Gurgaon to understand the infrastructural differences.
    I have lived in both Noida and Gurgaon for a reasonable number of years. While Gurgaon is all sheen because of a section of it having high rises and big corporations - it tries to hide some very obvious short comings. There is ZERO infrastructure. The roads are not wide enough for evening traffic. Even 15 mins of rain creates waterlogging. You might not get convenience stores open but you will always get a daaru kaa theka at every place. Without having your own car/bike its impossible to commute in Gurgaon, specially when it comes to crossing NH8. Its more difficult for womenfolk. The other side of Gurgaon (the old gurgaon) suffers from many such problems and some more. The roads are in a state of disrepair and the municipality hardly ever does anything. People here think no end of themselves and there is simply no respect for women or for that matter, for law.
    Ofcourse, this is not a concern for big corporations who get lots of tax benefits here vis-a-vis Delhi hence set up shop here. Hence, the perceived sense of development in Gurgaon... Read - Malls.
    From an RE perspective, Gurgaon is already very hot. I don't think that getting significant returns will be easy in this kind of market. Have you given a thought to buying land. With that kind of budget, you could get a reasonably sized plot.

    As far as Noida is concerned, when it comes to actual infrastructure, Noida is far better from a residential perspective. The roads are far better here. Call it Mayawati's personal interest or whatever, electricity situation is much better (Case in point: I was forced to buy an inverter within two days of shifting from noida to gurgaon :-) ) and still development is going on at a fast pace. However, this has not really translated into more companies setting up shop here and i don't see why this will change.

    To sum it up, I think that from an RE perspective, Gurgaon is too hot- however, land will always give good returns- be it noida or gurgaon. There is going to be a tremendous over supply of flats in Noida in the next few years and though its good for end users, i dont see investors making a killing there.
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  • Bingo. Couldn't agree more with u. Gurgaon is just hype nothing else.

    Originally Posted by Mikhail
    You need to come down to Noida and Gurgaon to understand the infrastructural differences.
    I have lived in both Noida and Gurgaon for a reasonable number of years. While Gurgaon is all sheen because of a section of it having high rises and big corporations - it tries to hide some very obvious short comings. There is ZERO infrastructure. The roads are not wide enough for evening traffic. Even 15 mins of rain creates waterlogging. You might not get convenience stores open but you will always get a daaru kaa theka at every place. Without having your own car/bike its impossible to commute in Gurgaon, specially when it comes to crossing NH8. Its more difficult for womenfolk. The other side of Gurgaon (the old gurgaon) suffers from many such problems and some more. The roads are in a state of disrepair and the municipality hardly ever does anything. People here think no end of themselves and there is simply no respect for women or for that matter, for law.
    Ofcourse, this is not a concern for big corporations who get lots of tax benefits here vis-a-vis Delhi hence set up shop here. Hence, the perceived sense of development in Gurgaon... Read - Malls.
    From an RE perspective, Gurgaon is already very hot. I don't think that getting significant returns will be easy in this kind of market. Have you given a thought to buying land. With that kind of budget, you could get a reasonably sized plot.

    As far as Noida is concerned, when it comes to actual infrastructure, Noida is far better from a residential perspective. The roads are far better here. Call it Mayawati's personal interest or whatever, electricity situation is much better (Case in point: I was forced to buy an inverter within two days of shifting from noida to gurgaon :-) ) and still development is going on at a fast pace. However, this has not really translated into more companies setting up shop here and i don't see why this will change.

    To sum it up, I think that from an RE perspective, Gurgaon is too hot- however, land will always give good returns- be it noida or gurgaon. There is going to be a tremendous over supply of flats in Noida in the next few years and though its good for end users, i dont see investors making a killing there.
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  • Gurgaon V/s Noida

    To be frank I would have loved to buy a piece of land, but I dont have that much cash in hand. The 60 Lac is the total amount including home loan that I am planning to invest.

    Off late in the midst of all this confusion, I am thinking of buy a 3BHK and 2BHK in both the places of course the budget shoots up to 70-75? But is it worth the pain?
    Considering say I invest in Logix Blossom 3BHK in Noida
    & 2BHK in Orris Aster Court in Gurgaon?

    Or should it be the other way around, with 3BHK in Gurgaon and 2BHK in Noida?

    Or just invest in 3BHK in one place and wait for the future and the budget to buy the other one if necessary..

    Also, can anyone suggest me some good newly launched projects in both these places? i.e. Gurgaon and Noida...
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  • Its gud decision to go for 2 BHK in gurgaon and 3 BHK in Noida because in gurgaon specially new gurgaon is just an inverstors market. There is no end buyer there and investors go for 2 BHK because they r easy to sell off.

    On other hand Noida is residential market you can sell of 3 bhk because end user will be purchasing that.

    But overall its oversupply condition at both places so you will find it very difficult to see off after 3-4 years..

    Why dont you conider investing in Delhi? The land sells there like piece of cake. You can get money in your hand within hours if you want to sell off.
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  • Gurgaon V/s Noida

    What about some good properties in noida and Gurgaon?
    Noida for 3 Bhk
    & Gurgaon for 2 bhk
    Can you please suggest some projects for investment...
    CommentQuote
  • Originally Posted by skyhello
    To be frank I would have loved to buy a piece of land, but I dont have that much cash in hand. The 60 Lac is the total amount including home loan that I am planning to invest.

    Hey, if u want to take loan for property, better stay put:bab (66):. it doesnt make sense. I thought u wanted to invest the liquidity lying with u.What makes u think buying a loan makes it lucrative with all the interest rates going up, currently at 10%, inflation at nearing peak, currently at 8% and then oversupply in property. Doesn't look good for returns. yes the salary and income levels may be high but then there are better ways to get returns rather than buy a property on loan. Yes u may get a flat and start earning rental after 3 yrs(once it gets built), but then who manages your property, is it really worth it?

    Better to wait and watch.To be frank I would have loved to buy a piece of land, but I dont have that much cash in hand. The 60 Lac is the total amount including home loan that I am planning to invest.

    Hey, if u want to take loan for property, better stay put:bab (66):. it doesnt make sense. I thought u wanted to invest the liquidity lying with u.What makes u think buying a loan makes it lucrative with all the interest rates going up, currently at 10%, inflation at nearing peak, currently at 8% and then oversupply in property. Doesn't look good for returns. yes the salary and income levels may be high but then there are better ways to get returns rather than buy a property on loan. Yes u may get a flat and start earning rental after 3 yrs(once it gets built), but then who manages your property, is it really worth it?

    Better to wait and watch.
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  • Gurgaon V/s noida

    Yes, thats correct to some extent...
    But the fact is property prices in India are growing at a much faster rate than anticipated.

    I will be returning back to India in the coming 4-5 years and the way things are going, I dont think that I will be able to get even a descent
    house at an affordable price..
    In spite of earning here, buying a descent house in India is getting more and more difficult..
    also not to mention the value for money...

    So thats why I thought of investing say 60 lakhs in buying a descent appt. in NCR, so that when I come back I dont pay an escalated price for the same property
    & still enjoy the benefits of a good location...

    Yes, I think the trick is to pay the loan asap to counter the inflation and correction of the market...
    May be within 5 yrs.. being too ambitious but life's getting harder and harder otherwise and I am sure will
    be even more in the future..

    People say the prices in overall NCR will come down, but the fact is I have never seen them going down..They might have reduced a bit during this latest recession
    but they are again on the rise and I am sure will rise further as India is on the verge of becoming more powerful as economy.
    Thats the whole reason I wanted to invest rather than have a grief later on..

    Having said that, I really wanted to know some good descent projects in Gurgaon and Noida at the moment..
    CommentQuote
  • Originally Posted by skyhello
    Thanks for the update!
    Having said that can you advice some good projects in Noida and Gurgaon?
    I would like to invest in some good projects which are not only good from investment perspective but if required can be inhabited as well in the future...

    What I remember of Noida 10 yrs back when I stayed there, was:
    1. Crowd/Gentry was not up to the mark...
    2. High Crime rate
    3. Lack of GLOBAL, GOOD, LARGE corporations excluding BPO's

    But what I remember of Gurgaon say 5 years back(before I moved here), was:
    1. Hub of large corporations. Also remember lot of them shifting bases from Delhi to Gurgaon.
    2. Good professional people (typical service class)

    When it comes to Noida express way there are no amenities in the vicinity apart from the convenience stores which most of the builders will be constructing within the premise. In effect the place itself has lack of shopping complexes, whereas Gurgaon though has only malls but in abundance to balance it out...

    Agreed, Noida has lot of potential but the state of UP govt. has added to its woes where off late the perception within the politicians have changed as they have realized that if there's no development, there's no vote!
    Which explains Mayawati's drive for some of the most ambitious projects in the NCR region recently (Airport, express way etc..) But how much of this continues and translates further is something to watch out for.....


    Kind of Gurgaon you are looking for, I don't think anything will be available below 5000/sqft all inclusive and minimum size will be 1500 sqft.
    5000/sqft is rate for B class builder or project which have not even started at all. The one which are good will be atleast 5500 to 6000 all inclusive in Gurgaon, the area/gentry you desire.

    The other below 3000/sqft all inclusive in Gurgaon will take another 10 years to develop or not in Gurgaon at all.
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  • My comments are in bold. See i am not pressing upon my point of view. it is your decision. i am suggesting you based on personal experience and wisdom which i have gained from this forum. i still hold NRI status myself as i just returned 3 months back and have invested in RE.:)

    Originally Posted by skyhello
    Yes, thats correct to some extent...
    But the fact is property prices in India are growing at a much faster rate than anticipated.
    They are still avl at 2000 psf in Noida extn and 3000 in Noida. More than 1.5Lac flats will be delivered in next 5 yrs which will not take prices thru the roof for sure. What has happened in the past doesnt mean will keep on happening. Price of property is directly proportionate to salary and incomes which arent rising rapidly.

    I will be returning back to India in the coming 4-5 years and the way things are going, I dont think that I will be able to get even a descent
    house at an affordable price..
    In spite of earning here, buying a descent house in India is getting more and more difficult..
    also not to mention the value for money...
    For you it makes better sense to wait and watch for 3 years and buy a ready to move property which will still be avl for 4500 , 3 yrs from now and will be well within your budget of 60 lacs. plus u can choose the best.

    So thats why I thought of investing say 60 lakhs in buying a descent appt. in NCR, so that when I come back I dont pay an escalated price for the same property
    & still enjoy the benefits of a good location...
    again since u are not in India go for a ready to move. U can do that today as well for 4500 in Noida and 6500 in Gurgaon. Get rental income which pays half of your loan EMI.

    Yes, I think the trick is to pay the loan asap to counter the inflation and correction of the market...
    May be within 5 yrs.. being too ambitious but life's getting harder and harder otherwise and I am sure will
    be even more in the future..
    Yes i agree. but remember that bank charges almost 50% interest of the total 20 years term, in the first 5 years.

    People say the prices in overall NCR will come down, but the fact is I have never seen them going down..They might have reduced a bit during this latest recession
    but they are again on the rise and I am sure will rise further as India is on the verge of becoming more powerful as economy.
    Thats the whole reason I wanted to invest rather than have a grief later on..
    No the prices came down by as low as 30% and hence new projects got launched. U can get a under construction house for 15 Lacs in G. noida / Noida extn and for 25Lacs in Noida today as well.

    Having said that, I really wanted to know some good descent projects in Gurgaon and Noida at the moment..
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  • I am in total agreement with Munish. 1.5 lac flats in next 4 years is too much for Noida to handle. Price would not increase more than bank rate of interest.i.e 8%-9%/year. And you will see many builders ( including reputed one) failing to keep their commitments.
    Since you have already made mind to buy property, and dont want to take risk, buy that property which is closer in distance to Delhi. That could be a safe bet.
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  • Skyhello,

    I concur with the advise given by Munish. Do not leverage too much right now for any of the two cities. Prices in Gurgaon is too hotttt now and in Noida it will go nowhere in the coming months because of oversupply scenario. Stay put your interest in RE and I am sure you will get newer brighter ideas to invest your money without taking an immediate loan.
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  • My thinking is days of doubling price in one year are gone. but good location project will see increase in price around 20% per year. case in point are 3C projects. company is increasing booking price little by little continuously and flats are getting booked very fast. LB started at 2900 and now booking price is 3800. resale is around 3600 for decent location flat. I tried to buy there in resale before going to LP. Even in LP booking started at 3050 and now its around 3350. and if we trust 3C employees, it will be 3450 next month.

    Only plus point i see with 3C projects is good location as all the developers are promising moon and stars in their projects:bab (59):. who knows what will we get after 3 years :)


    Originally Posted by amit2222
    Skyhello,

    I concur with the advise given by Munish. Do not leverage too much right now for any of the two cities. Prices in Gurgaon is too hotttt now and in Noida it will go nowhere in the coming months because of oversupply scenario. Stay put your interest in RE and I am sure you will get newer brighter ideas to invest your money without taking an immediate loan.
    CommentQuote