Real estate agents: No apparent increase in housing demand: The Tribune India
Ludhiana, November 27
Even though demand for housing, especially for “ affordable units, ” has picked up in tier two and tier three cities according to a survey, the struggling real estate sector is crossing its fingers.
Real estate agents say that at present the increasing demand, if any, is not reflected in the conditions of sale of houses or land in affordable settlements in the city or elsewhere.
The survey “It’s time for internal globalization – small towns set the tone for renaissance”, conducted by an online platform, observed an increase in virtual residential demand from “cities of the world”. shadow”. Additionally, a recently launched “ Virtual Residential Demand Index ” said demand from small towns had increased steadily, but peaked significantly in August 2020, pushing subways to 210 points compared to 150 for subways. after entering the country. Unlock Phase 4, observed Gulshan Kumar, CEO of GK Group.
He said that according to the survey, cities such as Amritsar (along with Agra) had seen an impressive growth of more than 100% in virtual residential demand before the Covid era, while the cities of Ludhiana, Chandigarh, Mangaluru, Vadodara and Lucknow saw over 80% growth in residential demand during the same period.
Gulshan Kumar said the demands for affordable built housing and small plots are on the rise and in all likelihood the real estate industry should have turned the corner at the end of the festival season, but the fact remains that the credit unions Realtors’ registers weren’t ringing yet. “This despite the fact that 70 affordable houses are being built at different stages in the settlements developed by GK Group in the city, the maximum number being affordable houses,” he said.
Another developer, Mohinder Goyal, director of Janpath Estates, said another big factor behind the trend (spike in housing demand) was the “ reverse migration ” of the workforce from companies and a increased flexibility through remote work.
“In particular, wage earners who pay high rents for homes are eager to invest in their own homes because the monthly rent and the EMI for home loans are in many cases almost the same. On top of that, loans for affordable homes qualifying for a credit-linked subsidy scheme with a central grant of Rs2.67 lakh has made having a clean house an attractive proposition, ”Goyal added.
Both real estate developers were firmly convinced that once the dust raised by Covid subsided and the underdeveloped vaccine against the virus became available, people would come forward to buy and invest in affordable housing in droves.