Guide for Brahmapur Residential Real Estate Investment
Brahmapur is a beautiful city located in the eastern Indian state of Odisha. The State Government is focussing on every aspect of the city’s development. This small city is popularly known as the ‘silk city’ as it is famous for silk sarees. It also houses many pilgrimage centres and has a vibrant culture. According to the Census of 2011, Brahmapur was the fourth most populous urban city in the state.
The city is also the oldest town in the Ganjam district of Odisha and is an important economic hub connecting the southern part with the eastern part of India.
You can consider making residential real investments in Brahmapur as it holds the potential of generating higher returns. In this blog, we will look at some of the important details related to it.
Top Reasons to Invest in Residential Properties in Brahmapur
Discussed below are the top reasons to invest in residential properties in Brahmapur in Odisha:
- Scenic View
Brahmapur is an important tourist destination which has many famous beaches and temples. Some of the important beaches in Brahmapur are Gopalpur Beach, Dhabaleswar Beach and Aryapalli. The city is also famous for Taratarini Temple, Sri Sri Sri Sidhibinayakya Pitha and Mahurikalua.
Another attraction in Brahmapur is Mahendragiri, which is a 1500-metre-tall hill. You can consider investing in a residential property in Brahmapur and turning it into a homestay for tourists for additional income.
- Silk and Other Industries
Brahmapur is famous for beautiful silk sarees woven with gold and silver threads. The city is also popular for bamboo-straw handicrafts and spices. Important industries in Brahmapur include pharmaceuticals, engineering, fabrication, tarpaulin, wire nail, flour mills, polythene, ice plants etc. The city also has a few industrial areas which generate employment for numerous people.
Considering Brahmapur is an important economic hub in southern Odisha, many people arrive in this city in search of employment opportunities and search for places to stay. So, investing in residential properties would deliver higher returns.
- Favourable Neighbourhood
The city houses prominent educational institutions like MKCG Medical College, IISER and Berhampur University. As a result, many students from neighbouring areas arrive at Brahmapur to pursue their higher education.
Investing in residential real estate would prove to be beneficial as Brahmapur boasts of a vibrant culture and people of many religions coexist peacefully in the city, embodying unity in diversity.
Residential Real Estate Investment Opportunities in Brahmapur
You can consider investing in residential properties in the following areas in Brahmapur:
- Gandhi Nagar
You can consider investing in residential properties in Gandhi Nagar in Brahmapur where prices start from ₹8,710 per square foot. It is a good residential locality and people can easily access educational institutions and schools. Gandhi Nagar is close to Brahmapur railway station which is one of its major advantages.
You can also consider investing in a residential property in Alakapuri where prices start from ₹3,114 per square foot. This region is well connected with other parts of Brahmapur. Various educational institutions and commercial areas are located a short distance away.
Ambapua is another peaceful residential area in Brahmapur, Odisha. Prices here start from ₹4,591 per square foot. It is a good residential area with basic amenities available. For instance, there is a market nearby along with schools. Well-maintained roads and a good public transportation system are other major advantages.
Things to Consider Before Buying a Residential Property in Brahmapur
Discussed below are the important factors you must consider before you invest in a residential property in Brahmapur:
- Location and Connectivity
Choose a property in a good residential area which is well-connected to major parts of the city. The location should be near the airport and railway station and it should not be far from your workplace. If your family comprises senior citizens and children, it would be beneficial for you to choose a location near medical and educational institutions, parks and supermarkets.
- Check Authenticity through RERA
Every builder has to abide by the guidelines provided by the Real Estate Regulatory Authority of India (RERA) and register their details along with that of their projects on the RERA portal of the state. This Act was introduced to introduce transparency and accountability in the real estate industry.
So, before you invest in a residential property in a state, do not forget to check its authenticity on the RERA portal of Odisha.
- Property Developer’s Reputation
Do not forget to conduct a thorough background check of the property developer. Reputed developers always complete their projects well on time. Check whether there are any legal disputes against the property developer or the residential real estate you have shortlisted. Generally, people prefer investing in properties developed by reputed builders to earn higher returns.
- Infrastructure and Security
Check the infrastructural development in and around the residential property. Search for properties with well-functioning elevators, staircases, parks and shopping centres around. Having these facilities around will make it easier for you. Make sure the area has CCTV cameras installed. Having a police station nearby would effectively address security concerns.
Stamp Duty in Brahmapur
The table below provides the stamp duty rates of Odisha:
|Document||Stamp Duty Rates|
|Sale Deed||5% of the Consideration money|
|Power of Attorney||100/-|
|Mortgage||2% of the loan|
|Reconveyance of Mortgage||50/-|
Registration Charges in Brahmapur
When you decide to invest in residential properties in Brahmapur, take into account the following registration charges:
|Sale Deed||2% of the Consideration money|
|Sale Agreement||2% of the agreement value|
|Partnership||2% of capital value|
|Power of Attorney||250/-|
|Mortgage||2% of the loan|
|Reconveyance of Mortgage||2% of the loan value and 0.5% of the loan value in the case of an agricultural loan|
Brahmapur Residential Real Estate: What’s the Forecast?
Over the past few years, the State Government of Odisha has laid special emphasis on the comprehensive development of Brahmapur which is under the Ganjam district. An industrial estate is located in Brahmapur. Spreading over an area of 34 acres, this industrial area promotes chemical and other related industries.
In 2022, the authorities stated that two retail shopping malls will be built at Brahmapur and Khallikote near National Highway 16. Apart from these, 22 Ganjam haats will also come up as a part of the famous Mission Shakti programme of the State Government of Odisha.
Infrastructural development is expected to accompany these projects which would create employment opportunities for many people who will need residences. So, if you invest in residential properties in Brahmapur, it is expected to deliver good returns in the long run.
Residential Real Estate vs Other Asset Classes
Now, let us compare residential real estate investments with other asset classes:
Residential Real Estate vs Mutual Funds and Stocks
Mutual funds and stocks deliver higher returns compared to other asset classes in the ‘high risk’ category. Thus, compared to this investment option, residential properties generate moderate and stable returns at lower risk levels for longer investment tenure. However, unlike real estate, mutual funds and stocks do not require a huge amount of initial investment.
Residential Real Estate vs Commercial Real Estate
While both these investment options generate stable earnings, residential real estate involves lesser paperwork than commercial real estate. Another important factor to consider is while commercial real estate can generate higher returns, residential properties deliver returns at a much lower level of risk.
Residential Real Estate vs Gold
When you invest in residential real estate, you can be assured of earning moderate returns at a moderate risk level. Gold delivers stable earnings, but lower returns at a lower risk level. Appreciation of asset value is the only way you can earn returns from gold investments. But, Sovereign Gold Bonds (SGBs) are an exception as they deliver annual interest as well.
Access to a separate income stream is a major advantage of real estate investments. However, gold is associated with liquidity, which is a major advantage over real estate.
Residential Real Estate vs Bonds
Bonds generate fixed, but low to moderate income at low to moderate levels of risk. On the other hand, residential properties generate higher returns at comparatively higher risk. But, remember that the initial investment amount required for residential is much higher than that required for bonds.
Another important factor you need to keep in mind is that bonds are associated with lower credit risk compared to real estate. In real estate, a lot depends on receiving timely payments from tenants.
Given below is a tabular representation of the comparison of different asset classes:
|Parameters||Residential Real Estate||Stocks & Mutual Funds||Commercial Real Estate||Bonds||Gold|
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Steps to Invest in Residential Real Estate in Brahmapur
Follow these steps to invest in residential properties in Brahmapur:
Step 1: Analyse your investment goals and research the residential sites most aligned with them. Take the services of a broker or a real estate agent if needed. Often, they can provide you with the requisite information about potential sites.
Step 2: Decide on the amount you wish to invest as it would help you narrow down your search for a suitable property.
Step 3: Conduct thorough research about the residential properties in Brahmapur and make a list of the sites that would undergo a price increase soon.
Step 4: Evaluate the ground situation minutely by visiting each of the sites. This is an important step as you need to check what facilities are available.
Step 5: Select a residential property based on your requirements and budget. Check the RERA portal of Odisha to verify the details of the builder and property.
Step 6: Verify whether all important documents are in place or not when the property is getting transferred.
Step 7: Carry out the stamp duty and other formalities. Do not forget to pay the broker or real estate experts if you have availed their services
Step 8: Consider purchasing an appropriate insurance policy to lend an added layer of protection to your investment.
Brahmapur is an important commercial hub of southern Odisha. Considering that the State Government is focussing on comprehensive development in the region, residential real estate investments in Brahmapur will deliver high returns in the future.
Frequently Asked Questions
What are the stamp duty charges for men and women in Odisha?
The stamp duty charge for men in Odisha is 5%, while for women, it is 4%.
What is the speciality of Brahmapur?
Brahmapur, located in the Ganjam district of Odisha, is famous for silk sarees, temples, magnificent sea beaches and delicious street food.
What is the old name of Brahmapur?
Brahmapur was previously known as Berhampore. It is a major economic hub in southern Odisha and houses multiple tourist attractions.
Which is the most famous pilgrimage centre in Brahmapur?
The most famous temple in Brahmapur happens to be Budhi Thakurani Temple. People consider it to be auspicious to pray at this temple. Other famous temples include Narayani Temple and Mahurikalua.