According to sources, young buyers will prefer to purchase an abode within the city and studio apartments will perfectly fit their limited budget. Hence, the stigma of dwelling in a tiny enclave will be replaced by excellent location and a sleek design.
Another revolution, which is likely to take the real estate market by storm is the the concept of Office-cum-Home development. Such a concept of mixed use is likely to create ripples in the real estate market of the nation, provided government regulations offer the option of such a development under the commercial FSI space. Reduced transportation to drastic levels is a further addition to the credentials of Office-cum-Home scenario.
The current generation of buyers are more depended on the Internet to make a calculated approach when it comes to short-listing and buying any stuff and real estate is no exception. However, as per market reports, the dependency on Internet is less among the investors in comparison to the young breed of buyers.
Coming straight out of the marketing box, the concept of branding has found its due relevance among the builders and developers in India. To begin with, for residential projects, branding is the easy ride to the targeted buyers. Be it the middle-class segment of luxury ones, proper branding encompasses all.
The future of real estate in India looking promising as builders and developers in India delve into untouched skylines.
Marketing, hands down, has always transfixed the consumers, playing a key role in influencing the decision making process, especially in the urban sprawls of the metropolis areas. Stepping ahead, this phenomenon has broadened its horizon in tier II and tier III cities of India and the real estate market is the perfect case in point.
Investors are sitting on the fence and waiting for the right time. Investors are likely to become active after the elections. According to sources, the interest rates are expected to go high in the first half of 2014 and slowly it will also go down in the second half. When the property rates go down, sales will improve and absorption as well.
But I read in the recent report by Knight Frank that about 45 per cent of Mumbai’s under- construction properties are unsold, which can be a problem for the for the real estate market. What say guys?
According to market reports, the absorption of residential units in major metros like Pune, Mumbai and Delhi-NCR took a beating in Q1, Q2, Q3 of 2013. However, the year 2014 is likely to witness an increase in absorption of residential units post general elections and will phase out the growing inventory holding of the developers.
The residential real estate prices may grow by 10-12% Y-OY, factoring a gradual rise in demand. In simple word, the year 2014 will usher in a positive climate for investments in the realty sector, eventually contributing to economic recovery. 2014 will also witness the establishment of realty regulator and REITs, coupled with a rise in vacancy rates of office properties.
I agree that 2013 was not a good year for Indian real estate but apart from all the stagflation and negativity in 2013. there are two major initiatives taken by the government that is likely to phase out the slowdown in the Indian realty sector-the revised Land Acquisition Act and the proposed Real Estate Regulatory Bill. The two initiatives are likely to rein in all the major hurdles in the realty segment in 2014, making the sector more accountable and transparent
In addition to all the good news, the cash-strapped real estate industry also cheered for relaxing of the FDI norms and braced up SEBI’s draft guidelines to give way to REITs(Real Estate Investment Trusts). Once implemented, such a move is expected to revive the global investor interest in a slow property market and help the end-users gain an upper hand.
With high property prices and costlier borrowing hitting the Indian realty segment in 2013, developers are of the notion that the slowdown may ‘flipside’ in the new year. Post general elections in 2014, sales of residential and commercial units in the nation are likely to pick up.