New life for the real estate industry
The Real Estate industry has gone through one of the worst periods of investment and growth. The major culprits are many. The interesting fact to note here is that the industry is slowly reviving with the focus to thrust on to new avenues of growth. There has been so many policy updates such as GST, RERA, PMAY, demonetization etc… These have left their mark in the industry and while the whole world was zooming in on the effects, the real estate industry was witnessing its own revolution, the changing dynamics of consumer demands and a new life being breathed into the industry. The prices were flat for the last two years, the growth prospects were nil but we are looking at a resurrection now.
There has been close to a 51% increase in property seekers. The number jumped from 3.4 Lakhs to 5.3 Lakhs in one year. Another interesting fact is that the NEW property seekers have also witnessed a growth of 25% from 2 Lakhs to 2.5 Lakhs in this period. This is against a 100% growth in OLD property seekers. They have touched the 2.8 Lakhs mark from 1.4 Lakh mark in the same period. For definition sake, an OLD property seeker is someone who has been seeking for at least a month. For most of your average Indian a home is one of the most important decisions to be taken. Therefore to zero in on your home, a place you always want to come back to takes some time.
This humungous advancement is noticeable at the under 80 Lakh segment. They have grown to 73% while the mid and luxury segment accounted for 28% and 13% respectively. The metro cities like Mumbai, Hyderabad, Chennai and Kolkata are the beneficiaries when it comes to this upward growth. The major demand has been rising in these cities. There are a lot of reasons for this growth ranging from steady project delivery to introducing consumer protection acts. The reduced credit rates and the governments vision of affordable housing is also pushing the crowd in. This is a fine time to be in the industry .