Property prices likely to go up by 10-20% in Chennai, say real estate developers

Cost of steel, cement, copper wires, switches have all increased and eventually developers have to pass this on to clients, says FAIRPRO 2023 convener

February 07, 2023 08:24 pm | Updated February 08, 2023 12:04 pm IST - CHENNAI

Around 60 developers will participate in FAIRPRO 2023 and will showcase units which are in the price range of ₹20 lakh upto ₹ 10 crore.  (Photo used for representation purpose only)

Around 60 developers will participate in FAIRPRO 2023 and will showcase units which are in the price range of ₹20 lakh upto ₹ 10 crore.  (Photo used for representation purpose only)

Property prices in the city are estimated to go up by 10-20% due to escalating raw material prices.

““Property prices are rising due to an increase in construction material and labour cost. Price of stock across the city has gone up by ₹100-200. Cost of steel, cement, copper wires, switches have all increased and eventually developers have to pass this on to clients,” said P. Kruthivas, Convener of FAIRPRO 2023.

“Unsold inventory is at the lowest when compared to last five years. New stock is coming up across Chennai,” he added.

The Confederation of Real Estate Developers’ Associations of India – Chennai Chapter (CREDAI Chennai), the apex body of real estate developers, will organise the 15th edition of its annual flagship property and real-estate exhibition FAIRPRO 2023 from February 17 to 19 at Chennai Trade Centre, Nandambakkam. Chief Minister M. K. Stalin will inaugurate the event. Around 60 developers will participate in this fair and will showcase units which are in the price range of ₹20 lakh upto ₹ 10 crore. Consumers will have options to chose from villas, flats, apartments and plots.

“All projects under FAIRPRO 2023 have received approval from and are registered with the Tamil Nadu Real Estate Regulatory Authority (TNRERA),” said S Sivagurunathan, president, CREDAI Chennai.

Ahead the fair, a home loan mela will be organised from February 10 to 12 at the Vijaya Mahal, T. Nagar, where home buyers can get loans pre-approved and avail of maximum funding. State Bank of India, Indian Bank, LIC Housing Finance Ltd, HDFC Bank, Canara Bank, and ICICI Bank are participating in FAIRPRO 2023. “Homebuyers will be offered a good rate of interest on the spot,” M.Arumugam, Deputy General Manager, Field General Manager Office, Indian Bank, Chennai, said.

R.Radhakrishna, Chief General Manager, State Bank Of India, Chennai Circle Head, also said that interest would be lowered for this FAIRPRO and home loan mela and extra benefits would be given to borrowers with good Cibil score.

CREDAI is expecting around 40,000 footfall for the event and a business of ₹300 crore this year. Data provided by CREDAI shows that in 2022, there were 224 bookings with sales and turnover of ₹170 crore.

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