Kerala is one of the top investment destinations in India. Several reasons like a booming economy, changing buyer preferences, IT growth, and rising tourism in the state are responsible for this. The state is one of the top investment destinations for high-net-worth Individuals (HNI) and Non-resident Indians (NRI). Kerala is already known to receive one of the highest international remittances in the country. The new opportunities in the real estate investment landscape present a bright future for the industry in the coming years.
Real Estate Ecosystem
The Kerala real estate market is expected to undergo several transitions in the coming few years. The rapid urbanization driven by the growth of several industries like IT and Tourism will boost the demand for residential real estate. The demand for homes that blend elegant architecture, modern design, and seamless connectivity is increasing as millennials are making conscious choices for their homes. Smart home features and energy-efficient designs are shaping the evolution of new projects in Kerala. The importance of sustainable and eco-friendly projects is gaining more value every passing year.
Top locations
Kochi
Kochi is the perfect blend of growing employment and economic opportunities, natural scenic surroundings, and growing infrastructure. Builders in Kochi realize that these factors make it one of the top investment destinations in the state. The annual appreciation in property prices and rentals makes property in Kochi one of the favorites for HNIs and NRIs. Important infrastructure developments like the Kochi Metro project being expanded with the Kochi Water Metro project and improved road connectivity will have a significant impact on the property market.
Thiruvananthapuram
The capital city of Kerala is becoming the next growth hub of the state with a major demand for both residential and commercial real estate.
Technopark of Trivandrum is one of the driving forces for the growth in housing and retail spaces.
Upcoming cities like Kottayam and Palakkad are the next growth destinations for real estate in Kerala. The infrastructure growth and connectivity to other locations in the state make these cities ideal investment destinations as they gain attention as the nest growth destinations. Kozhikode is known as the cultural hub and education destination because many reputed institutions offer professional courses. It has a good mix of residential investment options.
Residential
An investor has many options to invest in the state, right from flats, apartments, villas, and independent bungalows to luxury and ultra-luxury homes. As the affluence of the home buyer and investor increases the demand for luxury and ultra-luxury homes is seeing significant growth. The state’s natural beauty and cultural heritage make it an ideal location for hospitality real estate like vacation rental homes, boutique hotels, resorts, restaurants, and cafes.
Commercial
The IT sector has changed the face of Kerala as it continues to grow every year. Commercial real estate like office spaces and business parks offers lucrative investment opportunities as commercial real estate offers higher returns.
By conducting proper due diligence and effective research investors can make the most of the profitable opportunities that Kerala real estate investment presents in the coming years.
