Real estate in India has always had a sentimental and traditional connect with occasions like Dhanteras and Diwali. It heralds the peak phase of the festive season and most people prefer making expensive and prized investments like real estate during this period. Developers do witness a marked increase in the number of queries and site visits and these do boost the sales during this period.
New launches, special offers, spot discounts, free gifts and funding facilities are some of the ways by which developers encourage home seekers to take the crucial first step and book a new home on this auspicious day. Obviously therefore, this phase is considered one of the best periods to commence any new activity like a house hunt and this is clearly visible in the sentiments of home seekers.
A recent survey conducted by Housing.com in collaboration with National Real Estate Development Council (NAREDCO) confirmed what every home seeker has known all along; that real estate is an ideal investment class and with good reason.
Tax incentives, such as stamp duty and GST waivers, along with flexible payment plans, are identified as the primary motivators for homebuying in the upcoming six months, according to the report. The survey also indicated that ready-to-move-in homes and gated communities are the most desired property types. Additional perks like modular kitchens and custom woodwork are influential factors for buyers during their decision-making process.
Rajan Bandelkar, Vice-Chairman, NAREDCO, had observed, “Real estate continues to be the asset class of choice for 48% of respondents. Due to escalating property prices and interest rates, incentives like stamp duty and GST waivers are key influencers for home purchases in the near future. These incentives aim to make homeownership more appealing and accessible. The survey highlights the value of personalized support following property shortlisting, which is critical for closing deals and enhancing the overall homebuying experience.”
Dhruv Agarwala, Group CEO of Housing.com, PropTiger.com & Makaan.com, commented, “Throughout history, real estate has been a cornerstone of investment. The COVID-19 pandemic has enhanced its relevance, making it the preferred choice for many. Factors such as the emphasis on homeownership, the rise of hybrid work models, and the importance of safety and security have elevated the real estate sector to new heights.”
“In recent years, we’ve seen a noticeable uptick in housing prices, reversing nearly a decade of stagnation. Despite a 2.5% increase in home loan interest rates this year, the real estate market has shown resilience. This robustness can be attributed to both pent-up and emerging demand,” he had elaborated.
Plan for the funding aspect
According to Saikrishnan Srinivasan, MD, Experian Credit Information Company of India, the festive season is traditionally considered an auspicious time for significant purchases, such as homes, cars, electronic gadgets, valuable assets like gold, and more. Online sales take the spotlight during these occasions, leading to an increasing demand for short-term loans. For these significant purchases, people generally opt for loans, the approval of which depends on the creditworthiness of individuals. Here, the credit report plays a vital role in helping lenders understand the credit history of individuals. Financial institutions analyse an individual’s repayment history before granting a loan. According to him, a good credit score is developed over time through disciplined loan repayments and smart financial planning. It can lead to better loan offers with lower interest rates and longer tenures. Lenders receive numerous inquiries about personal loans, consumer durable loans, short-term loans, and more during the festive season. Therefore, it is essential to check your credit score before applying for a loan to secure favorable offers.
