According to a latest Real Estate trend report released a leading technology platform Clicbrics which caters the real state sector – demand for Residential Properties has increased by 15-30% this festive season whereas there is a slight change in Commercial Property demand.
The report also reveals that there is a stabilisation in buyer and investor sentiment following the consecutive rate cuts by RBI in order to provide the much-needed push to increase sales.
The findings of the report suggest the property enquires in Tier-I cities have increased by 15-20% and nearly 70% of them are for Ready-to-Move in properties. Moreover, for Tier-II cities, the demand for properties have grown by 20-30%. The mix is quite broad based, with 30-35% enquiries are for low rise apartments, 50% for plots and 15-20% are for High Rise apartments. However, in Tier-II cities, price is the major factor instead of property status, regardless of Under Construction or Ready-to-Move in properties, both are in equal demand. Tier-II cities are progressing better as the Cost of Ownership of plots or apartments is much cheaper in comparison to Tier-I. Tier-II cities are also witnessing better trends due to better affordability as compared to Tier I cities.
Speaking on market demand, Mr. Rohit Malik, Founder & CEO, Clicbrics, said: “The festive season has already begun, and India tends to invest in Real Estate during this season. It is the right time to buy homes, as developers across cities are encouraging homebuyers with lot of incentives, mainly in the form of cost reductions. The RBI has also announced a Repo rate cut recently wherein home loan rates are likely to fall by 25 basis points for a new borrower and EMIs are expected to decrease further. According to industry reports, for small-budget investors, developers are offering their current inventory at lower costs, with added benefits. Considering the current festive offers, folks should definitely invest in real estate now.”
Amenities are usually considered as the driving factors for any housing projects. According to this report, it has played an important role in grabbing the attention of buyers along with Size and Cost. Analysing the Tier-I market through Clicbrics in-app search engine, the company identified Swimming pool, Sport Zones and Clubhouse to be the most searched amenities by the buyers.
The report also showed that the most interested buyers in Tier-I cities ranges from the Age group of 30-45 years, wherein 83% of them are male buyers and 17% are female (based on user login). However, in Tier-II cities, the Age group exceeds and happens to be 35-55 years, wherein 74% of them are male buyers and the rest 26% are female.
Comparing between the number of actual transactions closed and general queries, the report confirmed that the ratio is between 2 – 5% for every 100 leads, whereas 67 are genuine & interested customers and remaining 33 are customers with general queries. Nonetheless, 30% more transactions have closed during this festive season in comparison to non-festive season.
Gauging Non-Resident Indian (NRI) client demand, the report divulges that most of them are scouting for properties in Tier-I cities and choose to buy property with A class developers such as Hero, Godrej, Sobha and DLF. It also specifies that, though there are good number of enquires by NRI clients, genuine deals are getting closed only during holiday and festive season when they are actually visiting India.