Buying a home – a house or flat – is a moment of achievement and delight for all classes of citizens. And what can be a better time to buy one than the festive season, which can multiply the “feel good” many times over? Reports have indicated that there is a significant rise in demand for dwelling units in major pockets of the country in this year during the festive season of Navratri and Diwali.
Reports have said that to take advantage of the natural buoyancy, developers are spicing up their offers with special packages, discounts and complimentary gifts. Reports also indicate that several projects will also be kicked off, mostly in the prominent market of Gurugram.
Q3 to be crucial, says Anarock chief
“This quarter is going to be crucial because it is the festival quarter. We are hoping there will be a bounce-back from the drop that has been experienced in the last quarter,” Anuj Puri, chairman of Anarock Property Consultants wrote on social media on October 7. Anarock said in its report that the price of residential units in 7 big cities cumulatively increased by 23on y-o-y basis in the July-September quarter of this year. The fastest rise in demand was recorded in Hyderabad at 23%.
Delhi-NCR, Bengaluru up
The report further states that prices of dwelling units in the major markets of Bengaluru and Delhi-NCR jumped by 29% (y-o-y), which is a function of higher input costs and robust demand.
Real estate experts have pointed out that much of the demand is coming from the millennials – who are roughly between their mid-twenties and mid-forties. Increasingly unlike their previous generations, these men and women are buying premium properties much earlier in life.
Demography, income levels, financing options
“More and more young couples are professionally qualified and earning handsomely, who are driving up demand for modern amenities and feature-rich apartments,” said Indranil Mukherjee, manager at a PSU bank in Kolkata. This demand is being significantly boosted by the availability of easy financing options from a multitude of lenders.
Waiting for EMIs to go down
Needless to say, the Reserve Bank seems to be approaching an interest rate downcycle. If and when that happens, the benefits are sure to be transmitted to the public and it will significantly boost demand of residential units since EMIs on home loans – both existing and future loans – will go down.
The festive season is expected to boost sales of houses and flats in major Indian markets, real estate market expert agencies indicate in reports. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
