Investing in Luxury Apartments in Mumbai: An AVA Group's Perspective
Date: Jan - 2024
Mumbai is the largest real estate market in the country with the most premium properties. The financial capital of the country is home to most of the top MNCs and large companies in every sector. This indicates that the city is an important center for economic activity not just in the country but also in the world. Also, all the economic indicators today declare that India is on a growth trajectory and will be so in the coming decades. This goes to show that the economic power of Mumbai is at its peak. The number of high-net-worth individuals and families is growing. And they are seeking the most luxurious residences and properties in the city. The demand for luxury living has seen significant growth in the past few years and is gaining prominence as a major growth factor in the real estate industry. Let us look at some major factors that influence the rising investment in this sector.
1. Exclusivity and Prestige
Luxury apartments are distinguished as high-end residential properties that offer exceptional living experiences with premium amenities and unique architecture at the most premium localities in the city. Owning a luxury property is proof of the affluence of the owner. The address distinguishes the owner as wealthy and privileged. As a result, most wealthy individuals and families want to own luxury properties to join the elite club. Luxury apartments are also an aspirational asset class for those striving to make it big in life. And which city will have most of the achievers other than the dream city? All these factors indicate that luxury properties will be in demand for some time in the future too.
2. Infrastructure development and connectivity
A growing economy with a large workforce will demand an efficient infrastructure that can match it. Mumbai is witnessing one of the fastest growth in infrastructure to increase connectivity within the city. The state government is investing majorly in infrastructure development connecting every nook and corner of the city. One can see this in the form of the coastal road project, sea link projects, road developments, and the many metro lines that are being built at a frantic pace. These developments are connecting all the hubs in the city and creating new markets that will see growing demand for luxury properties.
3. Changing Aspirations and Lifestyle Preferences
Mumbai is geographically constrained as it is surrounded by the sea on all sides. Property has always been in demand in the city. Moreover, luxury apartments offering a mesmerizing view of the sea are sought out by the most famous and wealthy. Rich industrialists, Bollywood stars, and high-net-worth individuals are in a rush to own uber-luxurious residences that offer exceptional indulgences. It is known how in recent times, the most influential wealthy industrialists and professionals are investing hundreds of crores in acquiring these properties. Due to the limited land and hence limited projects, this asset class is here to stay for some time.
Investing in luxury properties is a valuable proposition to increase personal wealth as the value of these investments will keep rising with the demand. Mumbai has always been the most valuable property market for ages and now, with unprecedented economic growth the property value is set to breach new heights.
