Real Estate Bubble in Patna

Last half decade was a great story to tell for real-estate industry in Patna, the price of land and flats touched new heights. In 2005 apartments were available at around Rs. 300 per sq. Feet now it has touched around 10 times higher value of Rs. 3,000 per sq. feet. I can remember a plot of around 2000 sq. feet which was offered at a consolidated price of Rs. 50,000 near Baur Jail area, the same land is again available for sale after going through many owners since then now it is being offered at a price of Rs. 28,00,000.


No other investment can yield such profit for an investor. The period of 2000-05 was an ideal time for investment in land and buildings in Patna, today the jungle of concrete is standing tall all around but now it is looking for potential buyers unlike previous years when the queue of buyers was always 10 times longer than the availability. Big size advertisements can be seen in newspapers with reduced price of new offerings. Few years back the scene was different, no such advertisement was really needed to sell the project; in fact the the builders had enjoied the sale of whole project even before the bhoomi pujan. And untill completion, the flats were sold many times and everytime at a higher price.

The decade has also witnessed the ressession in real estate market in other parts of the country but Patna never felt it in fact it was enjoying its golden period at the same time.

Investment came through many channels, but most of money invested in projects in its early days ware from the bahubali and political families. Undoubtedly it was a perfect destination for investment as it was producing extremely higher return on investment in a short period of time and also it was risk free.

Now the bubble is about to brust. As the demand has fallen and still many mega size real estate projects is looking for its buyers. The trend of rising price on weekly and monthly basis is now vanished. In Bihar, specially in Patna and nearby area the real estate industry has grown rapidly, thousands of construction, supplier, and marketing compnay has been registered and started its operations. Many of these companies are now an inspiring story to tell. I am not expecting a fall in price but neither a steap rise anymore.

3 comments:

steve jobs said...

Hello, very nice blog about Real Estate In Patna. thanks for sharing such a useful information for real estate investors and for buyers.

Rakesh Sinha said...

Bubble is expected to burst.
Property rate will go up after april 2014 elections.
Good information for buyers as well as investors.
Real Estate Consultancy in Patna are thorough professionals in real sector of Patna.

chirag parmar said...

If civic bodies & government go hand in hand then there are good chances of development & further growth in Patna.
Real Estate Services patna can guide you thoroughly.

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