Real Estate Investment – A Rising Trend
The global pandemic has impacted the business sectors severely, hitting the world economy hard. Today, in the aftermath, as we are gradually recovering from economic adversity, the Reserve Bank of India reports a significant climb in the Consumer Confidence Index (CCI). Earlier in February 2022, the CCI was 63.7 points which increased to 76 points by May 2022. This shows an optimistic approach of the consumer regarding their expected financial situation.
This resumption of economic activities has influenced the real estate sector. According to Anarock’s research data, quarterly home sales in the top seven Indian cities have seen a 71% year-on-year increase. Knight Frank India reported an 8% growth in residential property registration in greater Kolkata between July 2021 and April 2022. The pandemic changed the dynamics which opened a whole new avenue in the real estate sector. Here are some highlights which have benefitted this sector of Kolkata directly or indirectly –
Learning The Importance Of Home Ownership
When the world came to a standstill, we learnt the importance of a roof over our heads. The home was redefined. The haven became everything. We worked from home, studied from home, and even found ways to unwind at home. The four walls evoked a sense of security that was underlying for a long time but found a meaning when life shifted indoors.
The time of crisis made one realize the importance of owning a home. As the new normal advocated the work-from-home culture more, the idea of buying a house stirred interest among most individuals. Thus those who once preferred rental accommodations started exploring home buying options. Preferably 2.5 BHK and 3.5 BHK apartments to accommodate a home office set-up.
Millennials Are Now The Homes Buyers
The Millennials are important market drivers who are at the peak of their buying years. They are established in their jobs and have access to home loans. In the year 2020, this segment of the population was responsible for over 50% of property investment.
According to the recent National Association of Realtors report, millennials were ending their leases and shifting their focus on buying houses. They were inclined toward investing in physical assets that hold a long-term value.
The Hotspot For Home Buyers
Kolkata has witnessed an increased demand for residential investments due to the improved connectivity, fast-paced development and emerging IT and Business Hub. The up-and-coming areas like New Town, Rajarhat and Eastern Metropolitan Bypass are slowly becoming the epicentre of real estate activities
The fast-growing satellite township like New Town has seen some infrastructural development. Apart from schools, multi-specialty hospitals and entertainment hubs, New Town is becoming the smartest part of Kolkata with GPS-enabled e-transport, Intelligent street lighting, wi-fi zones, water treatment plants and more. Upon that the development of the East-West Metro corridor is adding to the market value. Owning to the proximity to the business hub, the financial hub and the IT Hub in the vicinity, this area is becoming a preferred choice for home buyers.
Reserve Bank of India is offering home loan interests at low prices. The government has announced several fiscal packages only to fuel the sales in the real estate sector. The Pradhan Mantri Awas Yojana (PMAY) aims to provide affordable housing to the urban Lower Income Group (LIG). The income tax rebate for the new home buyers announced by the Financial Minister not only added to the benefit but also encouraged prospective home buyers to invest in peace of mind.
These changing trends in the real estate segment are encouraging Kolkata real estate developers to take more innovative and sustainable measures to enhance living and encouraging more home buying enthusiasts to invest in an asset that ensures capital appreciation in the near future. Much like Ambuja Neotia’sUrvisha~TheCondoville in New Town is offering the best of both worlds right – convenience and connectivity.