Article 370 implemented in Jammu and Kashmir granted it a special status, which allowed a certain degree of autonomy to this state. Jammu and Kashmir had the freedom to formulate its own laws and impose rules regarding permanent residency, ownership of property, and fundamental rights. According to the Article 370, any Indian from outside the state was not allowed to purchase a property in Jammu and Kashmir.
In 2019, the Indian government revoked Article 370, thus removing the temporary special status granted to this state. Since then, J&K has to abide by the Constitution of India, all Indian laws are applicable to Kashmiris, and people from outside the state can purchase property in Jammu and Kashmir. After the removal of Article 370, the Central Government of India has undertaken many developmental projects in Jammu and Kashmir and encouraged global investments in various sectors like tourism and real-estate. This has given a boost to the economy of J&K.
Thus, today, Indian citizens in the country and even abroad, look for investment opportunities in Jammu and Kashmir. Since this region is blessed with a good climate and scenic beauty, there are people who consider buying property in Jammu and Kashmir for future use as a holiday home. Some wish to settle here after retirement or visit often for a vacation, for which they prefer to have their own house here. If you are among those thinking of buying a property in Jammu and Kashmir, be it with the purpose of real-estate investment or with the dream of building your second home, here are some things you should know.
10 Things You Must Know Before Buying a Property in Jammu and Kashmir
What are the best second home destinations in Jammu and Kashmir? Tier 2 and tier 3 towns are turning into ideal destinations for buying real-estate. Smaller cities that have been listed under the Smart Cities Programme are overtaking tier 1 cities in attracting real-estate investment. This is because, in these tows, there is less resistance to change; there is less dense urbanization, and the land acquisition is easier in these cities.
Is it safe to buy property in Jammu and Kashmir? Once RERA policies are put into place and when there are clearly defined rules about the purchase of property in J&K, this region will turn into one of the best places to invest in immovable property. Experts think that a hasty decision to invest in a property is not advisable and that one should take legal advice before the purchase.
It is important to watch out for hoax advertisements of villas and bungalows in Jammu and Kashmir. Often such ads feature on social media platforms, so, do not fall for these without checking for their authenticity.
Where in Jammu and Kashmir is it best to buy property? The urban parts of Jammu are good for investing in real-estate. Southern Kashmir may not be the perfect location for buying a house but very soon different area in J&K will develop as good second home destinations.
What is the rate of property in Kashmir? The prices of properties in Srinagar can range from around Rs. 3500 per square feet to Rs.15000 per square feet. How much will it cost to build a house in Kashmir? The cost per square feet, excluding labour will be somewhere around Rs.1500.
According to the amendments to The Jammu and Kashmir Land Revenue Act, Samvat, 1996, only agriculturalists in J&K can purchase agricultural land here. Any sale, gifting, exchange or mortgage of the land in favour of an individual who is not an agriculturalist, is deemed as invalid. Simply put, agricultural land in Jammu and Kashmir cannot be sold to non-local buyers.
In August 2020, the UT of Jammu and Kashmir notified the rules under RERA. The implementation of RERA in J&K will lead to better regulation, accountability and timely completion of real-estate projects. Homebuyers will be benefitted as RERA rules will keep a check on deceptive builders.
Recently, many developers have started searching for land in J&K for construction projects. People are turning to Jammu and Kashmir to buy land or a house due to the industrial and economic development in the region. Immovable properties in the region are likely to witness a rise in prices, but if one decides to buy property now, it may take a few years for its value to appreciate.
Till the revocation of Article 35A, women were not allowed to own property in Jammu and Kashmir. If they married an outsider (an individual who is not a permanent resident of the state), their children would not be allowed to inherit any property. However, now that Article 35A is void, women can inherit and even pass on their property to their children.
These were the 10 important things to know before buying property in Jammu and Kashmir. You must understand that the real-estate scenario in this region looks positive but it is still clouded by threats from terrorists and groups who are in opposition of the central government’s decision to revoke Article 370. Hence, buying a property in Jammu and Kashmir is not very easy. However, the picture is gradually changing for the better and J&K has a great potential to emerge as an ideal second home destination and a good place for investing in real-estate.
