02/11/2016
This Festive Season Bring Happiness For Real Estate Sector
As the festive season is at its peak and Diwali is approaching, people are finally taking that important decision to buy a property, but with a change in approach, now property buyers are shifting their focus to ready to move properties instead of under construction properties and for this buyers are ready to pay little extra if the property is available for ready possession.
According to many real estate experts and brokers, sales has been improved by 10% to 15% in this year especially under Rupees 1 crore housing segment. The main reason for this improved is now developers are focusing on delivering project rather than announcing any new project.
Ready to move residential properties in Noida and Gurgaon has seen a big improvement in sale in last 1 year as compared to the previous year. Experts say now there is positivity in this segment market and they hope it will continue for few more quarters as many developers are trying to finish their pending project as soon as possible.
Developers Activeness
Another major reason for the improvement in demand is that now developers are now very active on sale front and are offering big discounts with freebies and lucrative offers to the buyers. Many big developers are now on a delivery spree for the last few months and have fast-tracked the finishing process so that they can offer the possession of their units in the festive season.
According to Developers festive season is a very important time for real estate business as many potential buyers withhold their property buying decision for the festive season. This is because buying a property is considered as a very big and important decision in anybody life and buying a property during Navratri and Diwali is considered auspicious, so it is very important to make full use of festive season by offering best deals to buyers to increase sales.
Home Loan Factor
Lowering of interest on the home loan is another main reason which brings positivity and demand in the residential property market. Currently, homes loan rates are all time low and in single digits. This is a very good situation from the end user`s perspective, as it means lower monthly installments and less interest burden.
We have seen an increase in demand in last 1 year but experts says there is not much possibility of an increase in prices of property in coming few quarters, this mainly due to large unsold inventory available throughout the country. According to roughly estimate, there is around 11 lakhs unsold units available across the country. In Delhi-N CR alone more than 3.40 lakhs units available for sale and 2.40 lakhs in Mumbai.
Conclusion
But the question remains the same, is this the right time to buy a property or wait for some more time. The current market is in the self-recovery mode and the timing could not be more appropriate for the end user and investors as the market is flooded with attractive offers and incentives from the developers. The reduction in the new project launch and the stagnant price is there for only next few quarters, once the real estate sector start getting funding and good sale everything will become normal and who knows by the time next festive season come what will be the market scenario.
