The current lockdown owing to the COVID-19 crisis has hugely impacted the sentiments of real estate consumers. However, there is always an opportunity in every crisis, and COVID-19 seems to be the same. According to an ANAROCK consumer survey, homebuyers’ preferences during the pandemic which will perpetually lead to the emergence of significant trends in the Indian real estate industry- now are meticulously working to innovate and strategize their business.
Further, a majority of homebuyers now largely favour risk-free investments. Here we are taking a look at the 6 key emerging consumer trends in the real estate sector in India during the Covid-19 times:
Home ownership is a new priority for millennial’s
Covid-19 has somewhere changed the perspective of millennials now. As per an ANAROCK’s survey, out of all participants that voted for real estate as the best asset class for investment, at least 55% were in the age bracket of 25-35 years as against 42% in the previous survey. Interestingly, 68% of all these millennials are end-users. Indeed, physical assets render the highest sense of security especially during a crisis like Covid-19.
COVID- 19 has not knocked demand for affordable homes
It was predicted that the inexpensive segment would be the worst affected in 2020 due to coronavirus impact because concerns over its target audience’s limited income and fear of unemployment are still going on. Just like the previous survey, over 36% of respondents prefer properties priced within sub Rs. 45 lakh budget. It is also observed that in the current uncertain times, many buyers having a higher budget previously would have actually reduced it. They would instead prefer to buy a more functional house based on the current requirements only.
62% of buyers prefer to pay a premium and opt for developers with the least execution risk
Most of the respondents favour risk-free investments. Nothing new that the demand for developers having the least execution risk is at an all-time high, even if the property is relatively higher priced. As mentioned in the previous ANAROCK survey, just 52% preferred higher-priced property from branded developers over smaller ones that sold properties at a lower price but had high execution risk- thus recording a 10% jump during Covid-19.
Over 34% of investors now prefer RTM homes
The majority of respondents are seeking property from investment prefer ready-to-move-in (RTM) homes. As many as 34% are now preferring ready homes over under-construction ones mainly because construction activity is completely halted across the country; resulting in delays in the project by several months. In comparison, last survey trends indicated that just 12% of investors preferred ready homes then.
Amidst these perceivable changes, we tried to present the changes in the consumer sentiments during the pandemic – infused lockdown. The result of these changes has invariably led to the emergence of significant trends in the real estate industry in India.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. Propertypistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.