Better real estate market forecasted in India for 2021

The Business Expectation Survey by the National Council for Applied Economic Research forecasted sentiment growth by 41% at the end of the period between July and September. This momentum should continue strongly, aiding growth of real estate in the residential category.

Kanika Gupta Shori, the Co-Founder and COO at Square Yards, has stated that in 2021, people will still think of realty as the safest and best possible investment while there will be more consolidation going in favor of the top realty players going forward. Digital and technological innovations will be absorbed more by real estate developers for boosting consumer experiences. She opined that Maharashtra and Karnataka should witness a boom owing to lower stamp duty and construction premiums.

Shori stated that with lower interest rates being extended in addition to stamp duty waivers and continuation of financial policies of the RBI, mid-range housing units priced between Rs. 8.5 and 15 million will find more buyers who seek more spacious and well-planned homes. There should be a price correction between 15-20% in markets with developers seeking to clear off surplus inventory, thereby opening up more options for NRIs for upgrading their family units in India. With the vaccine expected to come soon, there will be huge improvements in decision making procedures and overall business sentiments alike. The ready to move properties are key attractions for NRI buyers and there has been a 200%+ increase in inquiries in this regard. This demand has been observed throughout the luxury and affordable categories alike.