According to a study conducted by Kapston.com, a Bangalore based e-business consulting firm, the sales of 'second homes' in India increased by 50 per cent from 2002 to 2007, before the slump in the market brought the figures down to negligible.
"Although the concept of second homes was accepted by the Indian audience, as the figures show, everything crashed during the downturn . In the last one year, there have hardly been any takers for this segment .
The market is stagnant as of now," says Raminder Grover, CEO, Homebay Residential, Jones Lang LaSalle Meghraj.
There are two types of buyers, in the second home market, explains Grover.
The first category consists of the affluent buyers who purely look at luxury and the second category is the middle and upper class, which looks at second homes as an investment option.
"The first category has started showing interest, in the last coupe of months, but the second category of buyers is still playing the waiting game," he adds.
Things to consider, while buying a second home:
>> Location of the project (accessibility to medical care and market)
>> Local economy strength
>> Current resale value
>> Residence tax rate
>> Environmental clearances
>> Maintenance assurance
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