South Delhi is one of the historical location of Delhi. It is a vast area in the city of Delhi and contains many important locations. It has immense historical significance. South Delhi is bounded by the Yamuna River to the east, the districts of New Delhi to the north, Faridabad to the southeast, Gurgaon to the southwest, and South West Delhi to the west.
Past Scenario of South Delhi Real Estate:- Five years back South Delhi was one of the most happening and preferable residential place for most of the people who look for a hassle-free accommodation. The rental values of residential properties like the apartments and independent houses were quite high. The major residential localities in South Delhi include, Safdarjung Enclave, Vasant Kunj, Anand Niketan, Shanti Niketan area, Dilshad Garden, Friends Colony, Gautam Nagar, Golf Link, Hauz Khas, Green Park, Greater Kailash, Gulmohar Park, Jasola Vihar, Lajpat Nagar etc. Commercial properties like the office spaces were in much demand as every other company want to have their offices in South Delhi as it has better edge over many other cities due to metro, its infrastructure, availability of professional work force and connectivity.
Present Scenario of South Delhi Real Estate:- Prices of homes in South Delhi have dropped by 20% to 35% over a year. Developers and investors are offering big discount to dispose off their assets because of the slowing economy. The economic situation is worsening in South Delhi, the number of sellers has expanded who are keen to sell the high end apartments they have picked up some years ago. The slowdown in the economy has pushed investors and end-users out of the market. The developers in South Delhi are ready to bargain and negotiate if they get a buyer. Prices have fallen across residential colonies in South Delhi, the drop is mostly seen in Defence Colony and Vasant Vihar. A 2,000-sq ft floor in Defence Colony was available for Rs 8-10 cr, couple of year back, can now be negotiated for between Rs 5.5 – 8 cr. The price of a 2,300-sq ft apartment in Vasant Vihar has dropped to under Rs. 10 cr from Rs 12-14 cr 2-3 years back. Residential areas such as Vasant Vihar, Defence Colony, Greater Kailash, New Friends Colony, Panchsheel Park and Gulmohar Park have about 3,000 unsold apartments.
Reason behind Property Downfall in South Delhi:- There are many reasons of economic slowdown in South Delhi. Emergence of Gurgaon, L zone, DDA plan, and Smart cities in Delhi are some of the main reasons. People having enough money have moved towards the high-end apartments in Gurgaon at much lower price. Buyers who can put Rs. 3 to 5 crore are not coming forward to buy flats in South Delhi. The newest option for crorepati buyers is one-acre farmhouse in the city that the Delhi Development Authority (DDA) allowed recently. South Delhi mainly offers independent floors/kothis, end users now prefer secured apartments with various facilities and security offered by the society. Due to high employment generation in Gurgaon people are moving from South Delhi to Gurgaon for their jobs.