COVID-19 has set the trend for building a future asset, even among the millennial home buyer who is not really keen on entering in a long-term committed investment such as real estate. The deal-breaker for this set of buyer has been studio apartments. Started off as a popular residential choice in foreign countries, the studio apartments due to their simplified and compact configuration are gaining popularity among Indian millennial. It is apparent, especially in metro cities like MMR, Noida, Greater Noida, Bengaluru, etc. Freelancers, single parents, corporate professionals working in multiple cities, are choosing studio apartments over any other conventional configuration of 1 BHK, 2 BHK etc due to the following reasons-
Compact and easy to de-clutter
Studio apartments are basically a single large unit that comprises of bedroom, dining and living areas. It also has an attached compact kitchen and bathroom. Due to no barrier between different areas in the home, the resident can easily move around doing the daily chores, the compact space also comes with the advantage of ease in de-cluttering. Millennial are attracted by minimalism studio apartments offer. Limited possessions, appliances, gives them the benefit of easy relocating.
Easy to maintain
COVID has introduced some major changes in our daily lifestyle, one of the major one being increased attention to hygiene and cleanliness. A bigger space ultimately means higher number of utilities required to fill the space. While in a studio apartment, the resident can simply sustain with only essential items, leading to easy and cost-effective maintenance.
Reasonable rental income
Studio apartments are the best choices, when it comes to earning from rental incomes. People are increasingly looking for homes that offer them privacy,security, and are present in a gated community. Proximity to the work places is an added advantage. Studio apartments offer all of these combined with less hassle. Studio apartments are the ideal choice for the first time home -buyers or people looking to downsize and yet have ownership of the property.
Easy to resell
Studio apartments are generally built around a prime location, as they attract a variety of end-users like migrants looking for independent accommodation, couples working in different cities, freelancers etc. They are stand-alone units, completed in themselves. Appreciation depends upon the amenities offered in a society, per sq.ft price of the nearby region. In case it is a fully furnished apartment, the type of furnishings, appliances, fittings become the deciding factor for the price.
Good option for always-on-the-move generation
Millennial are generally regarded as the generation which is on move, relocation due to career choices is quite common pattern. Studio apartments are therefore the appropriate option for them to invest. Apart from such job profiles, there are also professions which demand individuals to be in different cities on weekly basis. Booking and staying in a hotel every week can be expensive and inconvenient, studio apartments are therefore the go-to options for this dedicated section of end-users.
Additionally, studio apartments are also regarded as the environment-friendly homes. Being a compact space, maintaining an optimum temperature is easier in both winters and summers. Thus, less power consumption leading to reduced carbon emission. Millennial are concerned about climate change, and by residing in a space that contributes to the environment conservation substantially, their lifestyle choice is likely to get inclined more towards studio apartments.
Authored by -
Dr. Rahul Chaudhary, Promoter, Sunworld Group