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4 locations for second home investment By: Ankit Kansal Founder & MD, 360 Realtors.

The second & retirement home market in India is no more just a complimentary real estate segment anymore. As per the research by 360 Realtors, in 2021 the market was sized at USD 1.4 billion and is set to cross USD 4 billion by 2026, growing at a scorching CAGR of 23.6%. If we include other related assets such as farmhouses and farm cottages, the market size is even bigger.

After the pandemic, there is a gold rush of buying villas and farmhouses amongst picturesque tourist locations and lush green backyards in the urban peripheries. Homebuyers now understand the need to periodically recharge the mind & body by connecting with nature and escaping the congested noisy city lives. Consequently, the segment is becoming extremely attractive with an average capital appreciation in the range of 5-12% annually. The rental yield lies in the range of 2.5-7%.

So if you are planning to buy or invest in a second home or a retirement villa or a farmhouse cottage, here is the list of 4 locations where you can give it a try.

Delhi Jaipur Highway: Delhi has numerous well-defined farmhouse and villa locations such as Brijwasan, Chatarpur, Aravalis hills, Mehrauli, etc. However, prices have soared, which necessitates the need for alternate locations. A new viable location is the 190 km, 8-lane Delhi-Jaipur highway. The prices are affordable and the overall environment is peaceful with ample greeneries. The immaculately designed highway region is perfect for the residents of Delhi, Gurgaon, Noida, Jaipur, etc. to find their next dream second home. It is also closely linked with tourist destinations such as Sariska, Neem Rana, Ranthambhore, etc. Across the lane, there are also plenty of archaeological sites, forts, etc.

North Goa, Mopa, and the Adjacent Konkan region: Goa is known for its turquoise sea beaches, coves, and vibrant nightlife. However, there is much more to the Goa story. In the interiors of North Goa and the adjacent Sindhudurg region in the Konkan belt, there are equally enthralling natural beauties with lush green backyards, thick eco reserves, scenic Sahyadri hill ranges, exotic waterfalls, and natural plantations. The icing on the cake is the new operational INR 2700 Crore MOPA airport project that has enhanced the connectivity of the region’s multi-folds.


The region is the perfect destination for hosting corporate events, workation, marriages & parties, spiritual retreats, and adventure sports; or simply spending some quality time with friends & families amidst green-capped hills and natural endowments.

The property prices are low currently and with the airport finally operating, the prices can appreciate up to 30% annually, making it the goldmine for investors. Axon developers have recently launched a maiden project in the nearby Sasoli region called “The Origin” spread across 600 acres, which has villas, hotels, business hubs, wellness centers, etc.  Other developers will also follow soon, looking at the fact that this is a high-potential but unexplored market.

Nandi Hills: The misty hilly Nandi Hills situated at around ~ 60 km from Bangalore’s city center is the new choice for the Indian Silicon valleys’ second home buyer segment. Plots are available anywhere in the range of 30-80 lacs. The region known for its drizzling rain, panoramic viewpoints, and enchanting breezes is situated close by to North Bangalore, the city’s emerging business and industrial destination. This is further fuelling the Nandi hill second home market. Already big developers such as Prestige, Purvankara, Axon, etc are coming up with big launches in the region. Thanks to the beautiful and calm terrains, Nandi hill is perfect for cycling, meditation, nature walking, adventure sports, etc. 10 km from Nandi hill is the Chikkaballapur, another upcoming travel & archaeological site.

Shimla: The capital of Himachal Pradesh, also termed the “Queen of the Hills” has always intrigued business owners, government officials, and retired army officers since pre-independent times. Its charms still remain unaltered even in the 2020s. Located just ~ 5 hours from the national capital, Shimla  mesmerizes everyone with its picturesque green hills, pine tree forests, snow-capped Himalayas in the background, and plenty of baroque buildings and monuments, reflecting the Anglo-Saxon architectural beauty. The average capital appreciation in Shimla is 6-9%, whereas average rental yields are around 3-4%.