Festive season kicks off with customized discounts for home buyers

Customized discounts mark the onset of festive seasons, followed by advertising blitz and usual fanfare. With the festive season around the corner, a number of key developers in the country have come up with tried-and-tested sales strategy-offering special discounts to genuine buyers. What’s different this year is that, potential home buyers, for a change, are offered unsold properties by the developers at a special discount.

With developer’s inventory piling up by leaps and bounds, potential home buyers may be in for a great treat. According to property consultants, property prices will take a dip by 10-15% this festive season, which kicks-off from Dussehra. Property consultants suggest that it is the ideal time for buyers to do property transactions and make the most of freebies and discounts offered by developers at this point of time.

Developer’s initiative

Although most of the developers offer festive discounts to genuine buyers, the key notion is to keep it under wraps and not declare it on big scale. This is due to the reason that the offers are customized and they last for a limited time-frame only.

Furthermore, to facilitate the buyers, developers and builders have tied-up with banks and other financial institutions and sanction the loan within 48-72 hours. In few cases, developers offer waiver for car parking or club membership. According to industry experts, during the festive season developers are less adamant about the increased property prices in order to get rid of the piling inventory.

New launches

Property experts suggest that a 5-10% price correction for under-construction projects, and 10-20% correction for new launches is inevitable this festive season. Developers are likely to offer high discount on new launches since they wish to fund their construction.

However, if buyers do not pay heed to discounts and freebies, price cut will be the only option left open for developers. Albeit, market indicators hint that ready-to-occupy homes will showcase a stable price graph, since the demand from genuine end-users is sufficient enough.

Typically, after Ganesh Chaturthi, property sales are expected to climb up the ladder. In comparison to 2012, when developers witnessed a hike of 20-30% in sales during the festive season, 2013 will chart a new course. Furthermore, developers agree to offer huge discounts to buyers in the festive season who refer other potential clients to the builder and contribute to a huge sales volume.

With the fall in rupee value and rise in dollar rates in the last few months, developers expect to make a score with more number of NRI investors in the market during Dussehra.