A 30-40 minute ride from Chennai, Urappakam is one of the fastest-growing residential and commercial hubs of the Chennai suburb. This location has shown tremendous real-estate development in the past 5 to 10 years. The demand for peaceful residential area and the proximity to IT parks & engineering colleges have made Urappakam a place that has caught the eyes of investors. In addition to this many reputed builders are constructing midsegment residential apartments and luxury apartments in Urappakam. The CMDA has got many plans for the future that would bring speedy commercialization and real estate development in Urapakkam.
#1. RENTAL VALUES
One of the major reasons why people prefer to invest in real estate is for the rental benefit. The average rental value in Urapakkam ranges from 8000 to 10,000₹ which is as same as the rental value in a few of the urban areas in Chennai like Korattur and Ambattur. So, investing in a residential apartment in Urapakkam will fetch you good money every month, through rent.
#2. ECONOMICAL INVESTMENT
As a long-term investment, the financial experts recommend investors to invest in developing suburbs of Chennai. In today’s scenario, the real-estate price at Urapakkam roughly ranges from 3000 to 4412 ₹ per sq. ft. but in urban Chennai, this value comes around 10,000₹ per sq.ft. which is double the amount of investment in Urapakkam. This data clearly shows that not everyone is capable of investing in urban Chennai, but on the contrary, it is very affordable and economical to invest in suburbs (like Urappakam) of Chennai. So, if you need to invest in Urapakkam, you can prefer residential apartments as an option because it helps you in housing as well as a long-term investment option.
Any location which has a railway station under its name is a good spot for real estate investment (especially in suburbs). The state government has also proposed a bus terminal in Urapakkam which is expected to be built within 18 months from now. Taking this mode of transport, and enormous free land space into consideration, it is evident that many government and private industries will start to boom in the upcoming years. In addition to this, many schools are being built in Urapakkam which is a good sign for a developing area. Some of the schools in Urapakkam are Sree Gokulam public school, Bolster institution aathichudi international playschool, Emmanuel matriculation school, and Elim nursery & primary school.
NH-45 road links with OMR, Mahindra city, Tambaram and Sriperumbudur. All these commercial zones can be easily travelled from Urapakkam because the NH-45 road lies near it. The distance between the Chennai international airport and the Urapakkam comes around 23 km. But it just takes half an hour drive from Urapakkam to reach the airport. It is made possible because Urapakkam road directly connects to the GST road that leads to the airport.
One of the major drawbacks in the urban area is traffic. So, a number of people prefer to stay out of traffic and noise pollution hence they choose the suburb location as their choice for living. This indicates that the demand for housing in Urapakkam will be more in the future.
#5. INCOME TAX AND BENEFITS
More than 60% of people buy residential properties using bank loans. The income tax act under section 80EE gives the provision for residential buyers to claim deduction on interest paid on home loans. First-time buyers (flat or any other residential property) can claim deduction on interest up to 50,000 ₹ in a financial year. But they can claim deduction up to 2,00,000 ₹ if the property is either self-occupied or vacant.
To avail of this deduction, the property value should not exceed more than 50 Lakhs, and the loan amount should be less than 35 Lakhs. As per today’s data, the residential apartment value in Urapakkam is well under 50Lakhs. So, investing a real estate in Urapakkam gives you income tax benefits as well as good capital appreciation.
#6. RESIDENTIAL ZONE
During the past times, the Urappakam location was only known for the industrial and educational institutions. The reason people were commuting from Chennai to Urappakam was mostly for their jobs. It did not have relevant amenities to state it as a proper residential zone. But after the government’s development schemes in Urapakkam like the 24/7 seamless water and electricity supply, Urappakam has become a perfect residential zone. These developments made the reputed builders build residential apartments and luxury flats in Urapakkam. It is also expected in a few years that Urappakam could be added as a part of the Chennai district with the CMDA’s city expansion process.
On a scale of 1 to 10 Urapakkam ranks above the 8 for liveability which is a very good sign for the developing location.Experts believe that the proposed satellite bus terminal in Urapakkam (over 50 acres of land) will contribute more to the property value appreciation in the coming years. According to the data released by the Times of India, the property value in Urapakkam has escalated from 1000₹ per sq. ft. to 3500₹ per sq. ft. in a decade (from 2008 to 2018) which is 250% of gain statistically. So, instead of land investment if you invest in a residential apartment in Urapakkam you can end up with more gain in the future because of the sophisticated facilities it incorporates.