Holiday homes: More than just a weekend getaway

She finally bought an expandable villa inside a resort on the Delhi-Agra highway. Both Delhi and Agra are just a two hour drive away,making my second home easily accessible. The 20-acre landscaped resort is next to farmland,making it pleasing and pollution-free, she says,adding that being nearer to big cities guaranteed value appreciation. Akanksha is glad she bought the house five years ago. It cost me around Rs 20 lakh then. Now the market value has more than doubled, she says.

For Prof Pratham Banerjee from Kolkata buying an apartment in Haridwar was necessitated by the fact his mother was keen on pilgrimage every six months. Like many other Bengalis,who have visited Haridwar several times,I was familiar with the place,and my family liked the idea of staying at a hill station or near the foothills during summer vacation, says Banerjee citing his reasons.

NEW REALTY SEGMENT

Holiday homes,complete with modern amenities and leisure facilities,are fast emerging as a real estate segment thats appealing both the young and not-so young buyers.

Be it professionals looking at quick getaways or families wanting to own a home at a pilgrim spot a sizeable number from the middle and upper middle income groups are investing in such properties as their second or third home.

A section of the realty market is cashing in on the trend,and advertisements and bulk messages are being created to tap the holiday/retirement home segment. From Neemrana to Vrindavan and from Goa to Bhimtal,developers are lining up projects ranging from studio apartments to two-bedroom flats to independent houses. Their primary audience is the urban buyer wanting to flaunt an apartment near a beach or a farmhouse in the hills or a frequent spiritual getaway with family.

The developers range from big players to little known names. The key factors driving the market are price and service. Hence,from a known developer offering plots at Haridwar starting Rs 11 lakh to a 100 square yard plot near the Neemrana fort at Rs 5 lakh to a golf course-facing flat at Ranikhet at Rs 31 lakh to a fully-furnished studio apartment on the outskirts of Vrindavan at Rs 11 lakh there are various options available.

The features range from power backup,round-the-clock water supply and security,to membership of a club or swimming pool,discount coupons of the in-house eatery,and even free yoga classes.

PROMISING PROSPECTS

With land available at prices lower compared to big cities,supported by improved roads,hospitals and other infrastructure Vrindavan and Haridwar are witnessing large-scale construction activity in this segment. Another reason why such places are preferred is good rental returns. With a significant floating population,especially during festival seasons,and those posted at industries located nearby,the demand for temporary accommodation is high in such places. Vineeta,for instance,has bought another apartment in Ranikhet which she has put on rent.

Rohit Mago,Director of Magsons,the company which pioneered holiday homes by launching a project in Mussoorie in the 1980s,says that while in big cities appreciation of property is six-seven per cent,the holiday home segment doesnt follow any fixed pattern and there are projects which have appreciated 20 times in as many years. He believes that such projects are a hit among the upwardly mobile middle income group for whom it is both investment and savings. After all,when you own a holiday home,you save money on room tariff during vacations. This is a segment that comprises domestic tourists, says Mago.

Buying a holiday home is,however,not without problems. Lawyer Ravi Jotwani cautions: Prior to buying one should find out whether or not the land acquisition has been done as per rules and if there are any hidden charges for fancy amenities promised by the developer.