What does faith have anything to do with property values? A lot, if current real estate trends are anything to go by. Religious enthusiasm has emerged as the most significant factor driving the growth of the realty sector in pilgrimage sites. This has created good opportunities for investors and developers, who have planned development projects ranging from studio apartments and 2BHK houses to sprawling mansions in a variety of religious cities.

Believe it or not, but the current exponential growth of spiritual tourism in India is catalyzing the expansion of religious cities across the country. The government’s proactive tourism initiatives and enhanced connectivity around these areas have fueled the real estate investments in such places. On that note, let’s explore some of the famous religious cities in the country that are offering lucrative opportunities for real estate investments. 

Temple Towns To Trending Markets: Religious Cities Offering Better Investment Opportunities

Vrindavan

It’s not just the residents, even the tourists visiting Vrindavan are also looking to invest here. In the last few months, real estate has witnessed a major boom in the Braj region, including Vrindavan and Mathura. This can happen due to several reasons. Firstly, being a major tourist destination in Uttar Pradesh and closer to the National Capital Region (NCR), Vrindavan has rapidly emerged as one of the most preferred destinations to invest in real estate near Delhi.

The assurance of no loss on investment is what driving the people to buy property in Vrindavan. Many property experts say that tourists dream of staying here for life, especially foreigners who want to live in the holy cities of Mathura and Vrinadavan and escape the usual commotion of the urban areas. These international visitors have also started buying farm houses and residential properties here.

Varanasi 

Varanasi has seen a significant increase in both tourism and permanent residency, with an average yearly growth rate of 10% in visitor arrivals and a 15% increase in individuals relocating here in recent years. Ever since the Kashi Vishwanath Dham, one of the sacred pilgrimage sites for Hindus, was renovated in 2021, the number of tourists visiting Varanasi has increased significantly.

According to the reports, 7.3 crore people visited Kashi Temple in 2022, while only 80 lakh visitors came to the place in 2020. This growing influx of visitors and residents has fueled the demand for properties in Varanasi.

Ayodhya

Ayodhya is a city that holds a great religious significance in India and is now becoming a popular tourist hub across the world. With an investment of INR 850 billion (USD 10 billion) approximately for a makeover project, this once humble town is now all set to transform into a vibrant spiritual destination. All thanks to the historic consecration of Ram Temple that has doubled the tourist activity in the city.

Furthermore, the Indian government has shown strong commitment to transform the landscape of Ayodhya into the biggest cultural hub in the country. For this, various projects are underway to enhance the city’s overall appeal, making it an ideal destination for both investors and visitors. 

Tirupati

Next on the list is the abode of Lord  Venkateshwara – Tirupati. The city has evolved as one of the biggest religious places in South India, attracting lakhs of devotees every year. Over the last few years, the city has gained prominence due to several infrastructure initiatives undertaken by the state government such as IT-friendly policies and Smart City development as well. Furthermore, with the influx of new startups and foray of mobile manufacturing giants, housing requirements are also likely to go up in Tirupati.

Currently, property rates of residential properties in Tirupati vary from Rs 2000 per sq.ft. to 3000 per sq.ft. On the other hand, for plotted development, capital rates hover between Rs 1200 per sq.ft to 2500 per sq.ft. 

Shirdi 

The Maharashtra State Road Development Corporation has revived its six-year-old Shirdi development plan worth Rs 450 crore and is planning to construct luxurious hotels, skywalks and parking lots in the city. Shirdi, being a spiritual haven of Sai Baba, attracts millions of devotees and tourists annually. The rising number of tourists has catapulted Shirdi as one of the most famous religious cities in the world , thus giving immense scope to the hospitality sector to grow in perpetuity.

Ajmer

Ajmer is one of the most visited pilgrimage places in India. Every year, the city attracts numerous devotees from all over the world, making it an attractive destination for doing business and investing in real estate. Apart from its highly successful tourism sector, Ajmer is also renowned for being a manufacturing hub for textiles, shoes, leather goods, and others.

Moreover, the commercial real estate in Ajmer is booming at a rapid pace. Therefore, if you invest in commercial properties in Ajmer right now, the chances are high that you will get big returns. In addition to this, a number of residential projects are developing in this city and nearby areas, fostering the growth of the housing sector in Ajmer. 

Puri

Investing in Puri can prove to be a profitable option for several reasons. The city is best known for its magnificent beaches, rich culture and famous tourist spots, Puri has emerged as an appealing destination for investors in recent times.

Moreover, the steady influx of visitors ensures a thriving local economy, creating opportunities for businesses to flourish in the city. With its growing popularity as a second home destination, investing in Puri offers you a chance to capitalize on the city’s rising property rates and rental yields.

In conclusion, Spiritual tourism is transforming cities’ skylines while also ushering in a new era of prosperity and opportunity. As the growing influx of tourists is driving the real estate developments in religious cities, these places have emerged as frontrunners of investment opportunities in India.