India’s Housing Market Will See a Rapid rise
Discussing with Pavan Reddy Appakonda, an Indian entrepreneur and investor from Andhra Pradesh, reveal how India’s Housing Market Will See a Rapid rise in future. He is the founder of The PRA Lavish Group organization, an investment and real estate company established in 2020.
The residential real estate market in India recovered in 2021. Between July and September of 2021, both home sales and new launches exhibited tremendous growth. The residential needs are anticipated to maintain their healthy momentum throughout the 2022 calendar year, with sales reaching pre-COVID levels. The only probable impediment to recovery could be the difficult-to-predict third wave of coronavirus infection. Moreover, 2022 will continue trends that acquired momentum during the challenging COVID-19 era.
Development of Proptech
The increasing adoption of proptech technology in real estate, including construction, sales, customer engagement, and asset management, has been one of 2021’s most notable characteristics. This trend will continue in the future. Before the viral epidemic shook the global business environment, the proptech technology market had progressed beyond online property search to provide consumers with end-to-end solutions.
In addition to linking customers with the most outstanding real estate offers, modern real estate platforms now offer various services, including virtual / 3D tours, virtual site visits, apartment management, digital payment integration, movers & packers, and online lease agreements, among others.
Utilizing cutting-edge technologies to their fullest extent in the real estate industry has marked a turning point. Digital launches, 3D property viewing, augmented and virtual reality-based design projects, and virtual property shows have all begun to be used in the actual world; this presents a bright picture for the sector and provides a substantial boost to NRI purchasers.
Advancing in life
After COVID-19, the notion of property ownership has acquired significant traction. Although this has contributed to forming a favourable consumer attitude toward residential real estate, government and banking sector backing has gotten the ball rolling. In the July-September quarter of 2021, demand and supply metrics improved due to the combination of these two events.
The year 2022 is expected to provide the industry with the much-needed boost it has waited for and laboured so diligently. States can assist in accelerating the recovery process by implementing additional homebuyer incentives and extending or instituting stamp duty and circle rate exemptions.
People desire new ways to live, exercise, and enjoy life now that Covid has been contained. As a result of these determining factors, consumer opinions shift, leading to a surge in demand for more extensive and better homes.
Moreover, according to a recent consumer sentiment study conducted by The Lavish Group, as corporations embrace work-from-home and hybrid work policies, home buyers desire larger dwellings. Additionally, homebuyers now consider nearby healthcare infrastructure when buying a property. Recreational grounds and day-care centres are also among the most sought-after features by homebuyers.
Augmentation of NRI penetration
Real estate professionals view NRIs, particularly those from the Gulf and the United States, as high-potential clientele. Due to their lifestyle in their current nation of residence, NRIs are opting for larger, more opulent homes. As part of Atmanirbhar Bharat, developer incentives and the postponement of the RERA deadline have encouraged non-resident Indians to purchase property in India.
A much more significant proportion of NRIs seeks dwellings for personal use instead of investment, reversing an earlier trend. As more NRI property buyers plan to return to India, demand for luxury houses will increase. Following the epidemic, NRIs are concerned about their health, and initiatives that address this concern will reap the most significant rewards. NRIs are inquiring about the property’s additional amenities, and we receive many such inquiries.
2022 forecast
Since consumer sentiment has a significant impact on the performance of a sector, India’s housing market is positioned for solid growth in 2022 due to good sentiment drivers. Despite the numerous problems, the business faces, demand and supply indicators have steadily increased over the past 12 months, revealing this optimistic outlook.
But for the sector to improve in the coming year, three things must happen:
The banking sector must continue to offer home loans at current rates.
The government must extend the deadlines of many housing-related subsidies in March 2022.
The builder community must continue to make it easy and affordable for end-users to buy homes.
Each of these three things depends on the other two.
“The best investment on earth is earth,” says Pavan Reddy Appakonda
