Learn about the apartment market for sale and how to decide on the type of property you want to own in Colombo
Popularity of Apartments for Sale
As Sri Lanka’s economy grows, so does the island’s real estate market. The high concentration of development close to the capital, Colombo, has also increased the demand for properties to buy or rent nearby. But such rapid development and increased demand has also resulted in a scarcity of available land. Since the need to purchase a property must provide solutions, many leading apartment builders have launched multiple projects to provide potential homeowners with viable solutions to choose from. This development is supported by statistics showing that the entire Western Province accounts for only 6% of the country’s land area, but nearly 28% of the population seeks to make the region their home.
Since this trend has been on the rise over the past few years, you can now find many apartments for sale as well as short-term rentals to choose from depending on your requirements. There are some good houses for sale in the nearby area, but due to the higher prices, they are not suitable for many interested buyers. As far as apartments are concerned, there are broadly two categories to consider, namely luxury apartment projects and micro apartments.
Apartment types for sale
Luxury apartment projects popular
Previously, real estate agents and property developers were more focused on offering single-family homes for sale. But now, these developers want to give those who want to buy residential units the option of opting for luxury apartments, given the constraints mentioned above. The study found that demand for luxury apartments comes from the Sri Lankan community and foreigners. Such investments related to self-owned properties in the Colombo area are also becoming increasingly popular. According to statistics as of 2015, the number of luxury apartments is close to 2,600 units, and this number is expected to reach nearly 6,000 units by 2019. Apartments for rent, leading to an increasing number of short-term rental apartments being offered.
The potential of micro-apartments in Sri Lanka
Another option for selling your home is real estate in the form of micro-apartments. Many apartment builders have also invested in such projects which are in high demand among those who want to buy apartment space in Colombo. The target market for such properties actually finds traction among affluent clients who may want luxury apartments, as well as middle-income individuals who want to invest in such homes for themselves. Similar to the above categories, this type of housing solution is also available as short-term rental apartments for those who are unable to purchase a residential unit through outright purchase and therefore wish to rent an apartment. This offers more homebuyers the possibility to get closer to their dream of owning a home in a prime part of the city.
Select apartments and houses for sale
When you consider purchasing this type of property, you should be prepared to invest. The main decision you need to make depends on whether you really want to buy condo space or if you still want to buy the home as a stand-alone house. As the first consideration when investing in real estate, you need to decide on the space or size of your home. Typically, houses in Sri Lanka are approximately 2700 square feet in size, while apartments usually range in size from 1000 to 1500 square feet. In addition, condominiums often offer additional services such as security, cleaning, waste disposal, and other recreational facilities that are not typically provided in individual housing units. But on the other hand, you may want to consider the following features that apartments typically don’t have.
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When you purchase an apartment, you will be allocated a limited parking space
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Cannot modify
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Most apartment complexes have pet restrictions
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The likelihood of you gardening is very small
When to consider renting an apartment
There are several other options when it comes to renting apartments due to the different requirements of homeowners. Many people who want to live in a small living space for a short period of time may consider looking for short-term rental apartments. Since a large portion of the population needs to find accommodation within city limits to travel to work and other arrangements, this has become a financially viable option preferred by many. Upon request, you can even arrange to extend the lease once an agreement is reached with the tenant. This is also a great way to check if you can adapt to apartment-style living. If this lifestyle appeals to you, you might also consider owning your own apartment over time.
In order to meet the majority of the demand for condominium properties, several investors and developers are interested in projects that tap into this market demand. Among these companies, there are several well-known apartment builders operating on the island that have developed several leading apartment projects and have several others as future projects.
