Guide for Amravati Residential Real Estate Investment

Amravati is a developing city located in the Vidarbha district of Maharashtra. This city is the 7^th largest metro city in terms of population, with 6,46,801 people living here as of the 2011 census.

Also called Ambanagari, this city is a developing industrial and education hub and has several tourist destinations. Despite being an urban city, the majority occupation here is agriculture, as 70% of the population is engaged in agro-based work.

This city is also an educational zone in the state and a smart city. In addition to rapid development, Amravati is also a beautiful green exposed to forest areas which influence the environment of this city. In addition, it boasts high-quality utilities, including 24×7 pharmacies, ATMs, emergency hospitals, etc.

This city is well connected through local transport like rickshaws, buses and autos. In addition, this city also has a well-connected railway network with 4 stations, including the Amravati Railway Station. This city is a prime location to buy your house as it is developing into a prime residential hub. 

Keep reading further to learn the benefits of buying a residential property in Amravati.

Top Reasons to Invest in Amravati Real Estate

Amravati is among the fastest developing cities in Maharashtra, and thus it is also emerging as a promising residential real estate sector. Read the factors given below to learn why Amravati is a good option for residential real estate investment.

• Education Hub

Amravati has several top educational institutes like Punjabrao Deshmukh Memorial Medical College and Sant Gadge Baba Amravati University. Roughly there are more than 20 distinguished educational institutions in Amravati. This is one of the major reasons for people choose Amravati for residential real estate investment. 

• Smart City

Amravati is one of the 100 emerging smart cities in India. The State and the Central Government thus plan to bring several infrastructural developments to this city. Being a smart city will improve the standard of living here, which is an important factor for residential real estate investment.

• Connectivity

One of the best features of this city is its internal and external connectivity via roadways, railways and airways. Amravati is not only easily accessible from other cities within Maharashtra, like Nagpur and Mumbai, but it is also well connected to several other states. 

Amravati connects Maharashtra to Gujarat and other states in the western part of India and is also connected to eastern states like Orissa via NH-6. This city is also well connected to other parts of the country via an airport located at Belora.

• Passive Income

Investing in a residential property in Amravati will get you an excellent residence to live in with your family. It will also offer you the opportunity to earn passive income through rental yield. As it has several education centres and industries, the need for rental spaces is always high in this city.

Residential Real Estate Investment Opportunities in Amravati 

If you want to invest in a residential property in Amravati, you should look into the places listed below for the best residences.

• Sai Nagar

This locality in Amravati is well connected via local transport with the rest of the city. It is just 5 miles southwest of the centre of Amravati and, thus, a high-demand locality for residential homes. In addition, Sai Nagar has good hospitals like Labhlaxmi Medical and other utility services. You can buy a property in this locality at ₹10 lakh to ₹2 crore on average.

• Arjun Nagar

This is a good area in Amravati with one of the best residential properties. This locality is close to Amravati Railway Station, which is a major advantage for people residing here. Arjun Nagar also has good schools like Nehru Maidan Old School and leading hospitals like Dr Omprakash Deshmukh Hospital for your convenience. The range for properties in this area is around ₹10 lakh to ₹ 1 crore.

Things to Consider before Buying a Residential Property in Amravati

While buying a commercial property in Amravati, you should consider the points given below to ensure a quality investment.

• Connectivity

Connectivity and transport facilities are one of the most significant factors when purchasing a residential property in Amravati. You should ensure that your choice of property is well-connected to the rest of the city before investing in a residential property.

• Security

One of the most crucial factors related to residential real estate investment is the safety of a locality. While choosing a residential property in Amravati, you should ensure that the locality has low crime rates and has access to a police station. Having well-lit neighbourhoods and surveillance systems also enhances security.

• Builder

A property developer should have a good track of completing projects on time without compromising on quality. When you want to purchase a property, having the name of a reputable builder attached to it will boost its resale value in the future.

• Amenities

While buying a residential property in Amravati, you should check the amenities and infrastructure associated with it. Properties with modern infrastructure and access to essential facilities like hospitals and education are important for any residential property.

• RERA Verification

As per the Real Estate Regulatory Authority Act 2016, all states must have a Real Estate Regulatory Authority (RERA) body that governs all real estate projects and transactions. All residential properties must be verified by the respective state RERA. 

Hence, you should always check the details of residential real estate in Amravati from the official website of RERA Maharashtra before investing in one.

Stamp Duty in Amravati

The stamp duty charges for real estate properties in Amravati are listed in the table below.

Registration Charges in Amravati

The table below contains the registration charges for real estate in Amravati.

Amravati Residential Real Estate Sector: What’s the Forecast?  

With solid road and rail connectivity, quality infrastructure and green cover, Amravati is witnessing a major increase in residential demand. Over the past few years, residences in localities like Arjun Nagar, Badnera Road and Jawahar Nagar have witnessed an increase in demand of up to 30% as more affluent people want to build their homes here.

With Amravati being listed in the Smart City project, the State Government is focusing on developing its urban infrastructure to provide a high standard of living to its residents. The Vidarbha’s Gateway, Amravati, is witnessed some dedicated initiatives to turn it into a smart city.

Under this programme, the government has built over 120 km of roadways, increased bus services and increased the water supply network to 100% of households. They have also worked on security and surveillance in the city. 

In addition, several areas in this city have been allotted for residential, industrial and infrastructure development. For example, over 500 acres have been allotted for the development of residential real estate and industrial sectors. Thus it is a good time for real estate expansion in this city.

Residential Real Estate vs Other Asset Classes

Different asset classes offer different features to investors in terms of risks, expected returns and liquidity. Here you can check the differences between residential real estate and other asset classes:

• Residential Real Estate vs Gold

Investing in gold offers you moderate returns over a long time period. The returns from gold investment are dependent on the appreciation value of the asset at a relatively low risk. However, with residential real estate investments, you can earn comparatively higher returns from capital appreciation and an additional rental yield. 

• Residential Real Estate vs Stocks & Mutual Funds

Shares and mutual funds offer higher returns than real estate, but they also come with higher market-related risks. Stocks and mutual fund investments can result in unforeseen losses which are hard to predict. On the other hand, residential properties offer moderately high returns in the long run at moderate risks.

• Residential Real Estate vs Bonds

Bonds are market instruments that offer fixed interest at low-moderate risks. Residential real estate offers higher returns compared to bonds at slightly higher risks. Bonds are a good investment option if you want to invest your capital in the medium term. If you are interested in bonds, you can check the list of best bonds on our homepage.

• Residential Real Estate vs Commercial Real estate

Commercial real estate offers higher returns and has more demand compared to residential real estate, but residential properties offer lower risk. You can also enjoy various tax benefits by investing in residential real estate.

The table below compares the above financial instruments based on their returns, liquidity, risk, volatility and ticket size.

Steps to Invest in Residential Real Estate in Amravati

Follow the steps mentioned below to buy a residential property in Amravati without any hassle.

Step 1: Appoint a broker to help you with your residential real estate investment.

Step 2: Decide on a budget for your investment in Amravati.

Step 3: Conduct market research and identify the trends and price ranges in the residential real estate sector in Amravati.

Step 4: Shortlist a few properties as per your preference and visit the sites to check all amenities.

Step 5:  Finalise a property based on your requirements.

Step 6: Verify the details of the property from the RERA website.

Step 7: Complete all your payments related to your purchase of a residential property.

Step 8: Pay the registration and stamp duty charges for your property.

Step 9: Once you have purchased a property, consider applying for insurance.

Final Word

Investing in a real estate property is one of the best ways to earn a secondary income. Amravati is a developing city with a profitable real estate sector. Hence if you do your research and invest in a good property in this city, you can get high returns over many years. However, it is important that you carefully consider the important factors mentioned above before purchasing a residential property in Amravati.

Frequently Asked Questions