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Neha Malhotra
Codename 5a: Investors, what's your real experience?
Been looking at completed projects in Bangalore since last year, and Codename 5a keeps popping up. My budget is around 1.8 Cr for a 2BHK there. I'm thinking investment, mostly. Honestly, my parents keep saying to just buy, but I want to be smart about ROI. Has anyone here actually bought into Codename 5a? What sort of capital appreciation have you seen since it launched? And what about rental yield? Are people getting decent returns, or is it a bit slow? I'm worried about finding tenants easily. Also, how liquid is the resale market for this project? If I need to exit in 5-7 years, will it be easy to find buyers without dropping the price too much?
#codename-5a#bangalore-investment#rental-yield#capital-appreciation#resale-value
Comments
I spoke to a broker about Codename 5a last month. He mentioned the resale market is fairly active because of its location advantages, but said you need to be realistic about price. If you need to exit quickly, you might have to slightly undersell. He also hinted that the 'completed' status with a 2025 possession date is a bit of a marketing tactic, as some phases are still under finishing. Just something to keep in mind.
I'm also in the same boat, U1. My budget is similar, and I'm eyeing Codename 5a for investment. The price range of 1.6 Cr to 2.8 Cr seems competitive for the area. But I'm really worried about the rental yield. With so many new projects coming up in Bangalore, especially around Aavalahalli, is there enough demand to get good tenants quickly? I don't want my flat sitting empty for months.
Honestly, for a 1.8 Cr property, expecting a high rental yield that covers EMI completely is unrealistic in today's market. You'll probably get 2-3% net, maybe 3.5% if you're lucky. The real play is capital appreciation over 5-7 years. But again, with a 2025 possession, you're looking at a longer wait for that rental income to even start.
Rental yield might be tight initially, U4. But think long term. Bangalore's population is still growing. Plus, Codename 5a being a 'completed' project means less risk of construction delays impacting your rental income. Just make sure to vet the builder's reputation for timely delivery, even if RERA isn't there.
U4, that's a valid concern. Bangalore's rental market is definitely competitive. My friend has a 2BHK in a similar project closer to Adigara Kallahalli, and it took him almost 3 months to find a tenant last year. The rent he's getting barely covers his EMI. You need to factor in maintenance and property taxes too.
Don't be too quick to dismiss it just based on RERA. My cousin booked a 3BHK in Codename 5a back in 2021 for around 1.9 Cr, and he's seen a decent paper appreciation, maybe 15-20% already. He says the location near Akshayanagar is great for rentals because of the tech parks nearby. He's expecting possession by end of 2025.
Bhai, I also looked at Codename 5a, but the 'Rera Not Applicable' part really put me off. How can a completed project have a possession date in 2025 and no RERA? This sounds risky, especially for a first-time investor. Did anyone check this properly?
Yeah, I heard some projects get away with 'Rera Not Applicable' if they got their occupancy certificate (OC) before RERA came into full effect, even if possession is later. But still, it feels a bit shady, no? For investment, transparency is key.
U2, exactly my thought! RERA is there for our protection. 'Not Applicable' can mean anything from an old project that predates RERA to some loophole. I'd be very careful before putting 1.8 Cr in a project with such a red flag. What if there are delays?
Been looking at completed projects in Bangalore since last year, and Codename 5a keeps popping up. My budget is around 1.8 Cr for a 2BHK there. I'm thinking investment, mostly. Honestly, my parents keep saying to just buy, but I want to be smart about ROI. Has anyone here actually bought into Codename 5a? What sort of capital appreciation have you seen since it launched? And what about rental yield? Are people getting decent returns, or is it a bit slow? I'm worried about finding tenants easily. Also, how liquid is the resale market for this project? If I need to exit in 5-7 years, will it be easy to find buyers without dropping the price too much?