What should home buyers look forward to in 2014?
In 2014, the developers, builders and speculators are expecting the home buyers to come out of their shell. Most of the market experts feel that the property market would witness a revival in 2014 with respect to the sales volume. The industry is optimistic about the year 2014 and expects to see a positive shift from the earlier years. All areas that have good social infrastructure and connectivity would see increased real estate development in the coming year. Through this article, let us reveal what the home buyers should look forward to in 2014:
The Indian real estate market has since a long time experienced a high presence of speculators and investors; however, they will make way for end users in 2014. The New Year will see most of the buyers making a purchase for self occupation due to various reasons like currently staying on rent or there are growing family requirements. Therefore, 2014 may experience a very positive shift from the earlier years and will bring in the much required stability in the property market. The year will be great year for genuine property seekers and money will be the KING. If home buyers have the purchasing power, they will be able to drive a hard bargain in the year. It may not be a good year for investors and speculators as exiting in 12 - 18 months may be difficult.
The last leg of 2013 showed stabilization in property prices in most of the key property markets of the country. The trend would continue in the New Year. The buyers need not hurry but the wait and watch policy is also over. The year will offer properties in abundance and the homebuyers should be on a look out as the property prices in most of the regions will probably tend to be stabilized and maintain their high-end potential over the next few months.
In 2014, the influence of fashion will be increased in the realty sector. The year will see developers and builders forming new selling strategies to stand out. Theme-based housing will be given increased emphasis to keep up to the evolving tastes of home buyers. Developers will be cooperating with foreign interior designers, to deliver homes inspired by Spanish, Moroccan, Mediterranean and Greek look and interiors. Having a theme will help in creating differentiation in a market that will be loaded with monotonous launches of residential projects. The strategy will mainly cater to a niche audience whose lifestyle aspirations are beyond that of clubhouses, swimming pools or health clubs. The takers of these houses will be those who want to live life king-size and those who are into luxurious lifestyle and consider the house to be a reflection of their taste and lifestyle. In 2014, developers working on theme based housing projects will be concentrating in the Metros, where there is a concentration of working population from the corporate sector with larger disposable incomes. However, they might also extend the theme based projects to mid segment group.
Product differentiation is increasingly becoming important in the real estate scenario. Earlier the methods of celebrity endorsement & sports academy are making way for brand tie-ups both in residential and commercial space. This phenomenon has been more aggressive in the past 12-18 months. In 2014, more tie-ups between celebrities and developers will make way. For a buyer, the advantage of celebrity endorsement will be a unique lifestyle & inspirational home. For a developer, the clear edge will be in product differentiation. They will be able to command a premium pricing in the market and the association also helps in creating a BUZZ in their marketing.
In 2014, majority of home buyers would be looking for affordable housing i.e. housing between 0-40 lakhs. Affordable housing will continue to be a preference for majority of home buyers; however, the huge demand will be met with fewer inventories. The developers will start focusing on this segment and there will be more launches between 400 to 1500 sq. feet. Most of the options available for affordable housing will be in the extended suburbs i.e. 15 to 20 kms from the main city.
We hope to see the New Year being a much better year for the real estate sector as compared to the year gone by. Although, there is a slowdown in the global economy, we are optimistic that the demand in the housing sector will remain strong in the country. Keep following us for the best possible real estate strategies, information and news every week.