Plotted Developments are on the Rise Among First-Time Investors

Long-term capital appreciation and affordability make plotted development the preferred option for first-time investors in India. According to a recent Magicbricks survey of 2,200 homebuyers, 58% of respondents preferred investing in plots, far exceeding interest in commercial spaces (17.1%). This trend highlights the increasingly attractive investments in land in India’s evolving real estate market.

Highest Preference for Bengaluru, Lucknow

As per insights from Magicbricks’ Q4 2024 (October-December), Bengaluru leads the pack in appeals for plotted development, reflecting 36.5% interest. Lucknow (8.9%) came next, where nearly 42.66% of buyers chose to invest in plots instead of other types of property. The increase in plotted developments signals the beginning and steady increase of wealth creation through land over time.

Real Estate Investors Prefer Midsize Listings

Plots ranging from 1,000–2,000 sq.ft generated the highest demand capturing 46.76% of interest. In terms of affordability, 50.83% of the investors went for plots priced up to ₹50 lakh. These figures suggest a growing trend that favors reasonably priced mid-sized parcels of land, especially among first-time buyers.

Price Trends in Major Cities

Magicbricks’ analysis revealed Hyderabad as a hotspot for investments in plots, with the average price being ₹2,765 per sq.ft. The next supply points were Shadnagar, Kadthal and Sadashivpet. On the other hand, Lucknow (₹2,836 per sq.ft), and Chennai (₹3,208 per sq-ft) were found to be attractive, budget points.

On the other hand, Gurugram (₹21,901 per sq-ft) and Noida (₹22,523 per sq-ft) were the premium plotted development markets. But Greater Noida, with an average price of ₹7,654 per sq.ft, is a promising alternative in the NCR region, and luring investors with high growth opportunities.

This was further reflected in demand, with developers coming up with integrated township projects by factoring in this trend, thereby drawing conclusions that plotted developments would play a significant role in the future of Indian real estate.