The real estate market in India traditionally experiences a surge in both property buying and selling from Diwali to the New Year. Around this time, real estate developers introduce the most attractive offers on their projects. But considering that the last one-year saw property prices undergoing various levels of correction, would developers continue to give these offers this season? Will this year result in higher property transactions and change the fate of the Indian real estate sector?
In order to answer these questions and gauge the actual trends, we conducted a national survey, 'Festive Reality', in metros and Tier II cities that encapsulated the expectations of property seekers in relation to what developers have to offer this season. In this article, we look at the findings of the survey vis-a-vis Hyderabad.
With the realty market alive with activity around the festive period, 77 per cent of property seekers from Hyderabad agree that they are looking forward to attractive offers. Interestingly, developers from the city are also singing the same tune as 80 per cent of realtors confirm that they will be offering perks on their projects this year.
Buyer's confident, developers expectant: Property seekers in the last few months, have been applying the wait and watch approach, but this festive season they look more confident as 63 per cent of home buyers from Hyderabad are likely to make a property purchase this year. Developers from the city seem to have sensed this trend and 70 per cent anticipate real estate transactions to go up between 5 to 20 per cent.
Cash discounts: Today property seekers have become more alert; they prefer perks that are easy to evaluate and can directly make a difference to the cost of the property. When it comes to freebies, amongst all options, 42 percent of the buyers from Hyderabad feel that projects tagged with cash discounts would appeal to them the most. The builder community agrees and 63 percent of the realtors confirm that cash discounts are the perfect freebie to attract property seekers in the present scenario.
‘Practically superstitious’ buyers: While 43 percent of homebuyers from the city believe that buying a property during the festive season is more auspicious, another 25 percent consider it a more practical decision, as they get to choose from a plethora of property options.
‘Ready – to - move – into homes’: With the developers not able to deliver projects within the stipulated time period, buyers from the city are taking a more cautious approach. 35 percent are giving their first preference to ready to move into homes, even if it means buying from a moderately known developer. They are even ready to overlook property options tagged with heavy discounts, as they just want a safer bet.
New or under construction projects: Freebies are not restricted to any category of projects this time. Developers are doling them out on both unfinished projects and new launches. 55 percent realtors from Hyderabad are rolling out attractive offers on both new and old projects.
Another attraction for the season would be new launches. Realtors have understood that the real demand lies in the affordable housing category; therefore this season will see many options in this segment.