Property Investment in Kochi: All You Need to Know

Kochi, the Queen of the Arabian Sea, is part of the Ernakulam district in Kerala. It is a primary port city along the Malabar Coast of India and carries appellations like financial, commercial, and industrial capital of Kerala. Being a convenient location from all aspects, Kochi delivers pleasant returns with diversified real estate. Let's get a virtual tour to understand this property investment in Kochi and the current scenario.

What Is Property Investment in Kochi?

Kochi is an affluent city with advanced connectivity, tourism sectors, well-developed infrastructure, and industrial growth. The city's growing population signals how much Kochi's investment is valuable and shapes the location's landscape. Its booming real-estate market is now at its peak, serving properties with potential growth.

Factors To Consider Before Investing in Kochi Real Estate

Economic Growth

Acquiring multiple industries, including tourism, IT, manufacturing, and trade, Kochi is one of the fastest-growing cities in India. A 9% annual growth of the city's GDP is expected. Furthermore, Kochi was one of the 28 Indian cities among the emerging 440 global cities that will serve a major contribution to the world's 50% GDP by 2025.

Infrastructure

The advanced, robust infrastructure is one of the mentionable characteristics of Kochi, making it a lucrative destination for real estate investors. The city's well-developed road network, modern ports, and an international airport handle the seamless connection. Being the first city in the country to have a water metro system and the first city in the world to have a fully solar-powered airport, Kochi has an enormous charm to its infrastructure.

Affordability

Property investment in Kochi is affordable and has a reasonable price range between Rs.590 and Rs. 14,700 per sqft and an average price of Rs.5,140 per sqft. The property price of Kochi is currently going through a buying market with a decreased value of around -6.18 %.

Rental Yield

As Kochi serves rental properties between a range of Rs. 3,600 to Rs. 60,100 and an average rental amount yield of 5% in localities such as Aluva, Edapally and Tripunithura, an investor can expect a high rental yield in future.

Demand of the Location

The current estimated population of Kochi City and Kochi Metro in 2024, which is 853,000 and 3,009,000, respectively, clearly indicates a higher demand for the location. As an attractive tourist destination, Kochi draws outsiders and increases rental demand.

Potential for Growth

Kochi is in the process of implementing various infrastructural projects that will positively affect the realty scenario. Kochi Smart City, an Information Technology (IT) Special Economic Zone (SEZ) at Kakkanad in Kochi, will soon be completed and generate 90,000 employment as expected. Also, the final phase of Kochi Metro (Phase 1B) linking the metro line to Thripunithura in Ernakulam district has been inaugurated this year, serving enhanced connectivity.

RERA

RERA registration is a major factor before investing in real estate. RERA registration improves the reliability of a property and builds trust between investors and builders. Also, an RERA-registered property ensures timely delivery and eliminates legal disputes in property investment in Kochi.

Builder Credibility

A transparent builder background is preferred before a property investment in Kochi. The reputation and past deeds of the builder matter when purchasing a property. Some trusted builders include Casadel Builders, Skyline Builders, Asset Homes, and Prestige Group.

Steps to Invest in A Property in Kochi

Step 1: Conduct a market survey and finalise your investment budget

Setting a budget is the first step for every investment, thus understanding the market price clearly. Therefore, you have to analyse the market price before finalising your budget.

Step 2: Shortlist a few properties based on your requirements

When you fix your budget, you must gather some of the best suitable properties on your list. Shortlisting can make your work easier by helping you choose the best property in Kochi that fulfils your needs.

Step 3: Plan a field visit to the properties to assess the ease of daily amenities

Initially, you can get help from a virtual platform and see the pictures of the properties. Later, you must do a dedicated field visit to confirm the facilities, such as infrastructure, connectivity, and more.

Step 4: Do a background check and review the property documents

Before proceeding with documentation and payment, you must cross-check the property's background and the builder's reputation on RERA during property investment in Kochi.

Step 5: Prepare all the necessary documents

Now, you must prepare all the required documents to buy the property. You need the sale deed, agreement, etc., to purchase the property.

Step 6: Go ahead with paying for the property.

Now, it is time for a secure payment. It must include stamp duty and registration charges during a transaction to get a legal confirmation of the property ownership.

Benefits of Investing in Kochi Real Estate Property

Strategic Location

Kochi is located on India's west coast and is a gateway to the Middle East, Europe, and Africa. All forms of transport, including air, road, and water, connect the neighbouring location of Kochi seamlessly. The international airport, two major ports, and a network of highways are the primary commuting options in Kochi.

Employment Hubs

Kochi, a part of the Greater Cochin development region and known as a Tier-II city by the Government of India, boasts various industrial parks, IT parks, and SEZs, including Technopark Kochi, Infopark, KINFRA Hi-Tech Park, and Cochin Special Economic Zone. The hubs ensure easy access to the workspace and serve various employment opportunities, which is another advantage of property investment in Kochi.

Educational Opportunity

Kochi has been getting skilled professionals annually from India's reputed educational centres. The city houses some of the top institutes of the country, such as the Indian Institute of Technology (IIT), the Indian Institute of Management (IIM), and Cochin University of Science and Technology (CUSAT) that play significant roles in the upliftment of housing demand among learners.

Tourist Attraction

Being the most popular tourist spot in Kerala, Kochi delivers pleasant destinations, including Mattancherry Palace, Marine Drive, Venduruthy Bridge, Church of Saint Francis, and Mattancherry Bridge for domestic and international tourists. Mentionable, the city possesses India's first art biennale, the Kochi-Muziris Biennale, one of the most famous gathering spots of international artists.

High Returns

As Kochi is an affluent location with various tourist attractions, robust infrastructure, employment hubs, and industrial growth, the location positively impacts its real estate landscape. The increasing demand is depicted by YOY growth in prime areas such as Infopark (82.5%), Kaloor (53%), and Vytilla (41%).

Top Locations for Real Estate Property Investment in Kochi

Marine Drive

Besides picturesque views of the Arabian Sea, Marine Drive offers a thriving residential landscape with seamless connectivity and an advanced lifestyle where you can find the best property in Kochi. The location is easy to access via Old Railway Station and Ernakulam Terminus. Also, High Court Water Metro Station and Ernakulam South Metro Station are some other transport hubs in its vicinity. Marine Drive now offers residential properties at an average price of around Rs. 9,800 per sqft. Sobha Marina One, Purva Grandbay, and Purva Oceana are some of the best properties in this location.

Kakkanad

Kakkanad, located on the east side of Kochi, houses one of India's largest IT townships and Kerala's second-largest IT hub- Kochi InfoPark. It is majorly an industrial area and a prime neighbourhood of the city. Kakkanad charges an average price of around Rs. 5,400 per sqft for residential properties. One can opt for properties like Casadel Skyscape, Casadel Raindrops, Skyline Matrix, etc. in this location.

Edappally

Edappally is another premium residential area and a major commercial centre property investment in Kochi. The robust connectivity of this location is a primary advantage for investors. Kochi bypass, NH 544, and NH 66 are the key connecting points that connect to the industrial area of Aroor in the South. This location also boasts various education and healthcare centres like Model Engineering College, St. George's Boys' High School, Amrita Institute of Medical Sciences, Evershine Hospital, MAJ Hospital, and Insta Speciality Hospital.

Edapally charges around an average of Rs.5,584 per sqft for residential properties. Provident Winworth, ABAD Oasis, Trinity Accord, and Casadel Riverwood are some of the top properties in Edappally.

Kadavanthara

Kadavanthara provides easy access to neighbouring locations like Vyttila, Kaloor, and Cochin International Airport. The Kaloor-Kadavanthara road is the prime way to connect the northern and southern parts of the area. It is a part of Kochi's central business district and is expanding commercially. The location delivers residential properties at an average price of Rs. 7,700 per sqft. ABAD Reflection, Skyline Ozone, Varma Urban Heights, Vithayathil Legend Casa, etc., are popular properties in Kadavanthara.

Panampilly Nagar

Panampilly Nagar, One of Kochi's cleanest and most beautiful areas, is just 1 km east of MG Road. It is a posh residential area in Kochi, accessible from Pallimukku junction through Sahodaran Ayyappan Road and the south bridge. Around Rs. 7,387 per sqft is the average price of residential properties in Panampilly Nagar. Arya Bhangy Rhinestone, ABAD Ikebana, Asian Avenue, Asian Glory, etc., are some of the considerable properties in Panampilly Nagar.

Conclusion

What is Property Investment in Kochi?

The advanced connectivity, tourism sectors, well-developed infrastructure, and industrial growth make Kochi one of Kerala's most sought-after locations for real estate investment. The demand of the realty market of this location promises to bring a satisfying return on investment.

Factors to Consider Before Investing in Kochi Real Estate

• Economic Growth
• Infrastructure
• Affordability
• Rental Yield
• Potential for Growth
• RERA
• Demand of the Location
• Builder

Steps to Invest in A Property in Kochi

• Step 1: Conduct a market survey and finalise your investment budget.
• Step 2: Shortlist a few properties based on your requirements.
• Step 3: Plan a field visit to the properties to assess their various aspects.
• Step 4: Do a background check and review the property documents.
• Step 5: Prepare all the necessary documents.
• Step 6: Go ahead with paying for the property.

Benefits of Investing in Kochi Real Estate Property

• Strategic Location
• Employment Hubs
• Educational Opportunity
• Tourist Attraction
• High Returns
• Diversified Properties

Top Locations for Real Estate Property Investment in Kochi

• Marina Drive
• Kakkanad
• Fort Kochi
• Kadavanthara
• Panampilly Nagar