What are the recovery estimates for India’s residential market?

Like other sectors, the real estate sector was also severely impacted after the nationwide lockdown was imposed in the late March and was going through hard times and challenges. But like it is with every crisis, this pandemic too may throw up opportunities for buyers as several cash-starved developers with unsold inventory may be forced to sell at discounted prices.

According to the report, market sentiment in Q2 2020, dropped to its lowest at 22. The sentiment score had hit a low of 31 in Q1, but with the impact of the crisis becoming more apparent in Q2, sentiments slid further. But also some macroeconomic indicators have shown minimal improvement which is because the festive seasons are now around the corner. Moreover also the few measures announced by the RBI and the government have provided some stay, but there is a need for further demand-boosting measures such as tax benefits for buying and renting a house, ease of credit availability, etc.

There are also some signs of revival due to which the real estate sector is heeling up and coming back to the track because this pandemic situation has made people realize the importance of owning their own home. As per the survey more than 50% of the prospective homebuyers are likely to buy their dream house within the next six months.

Mr. Pradeep Aggarwal, Founder & Chairman – Signature Global Group & Chairman – ASSOCHAM National Council on Real Estate, Housing and Urban Development says, “In this pandemic, homebuyers are getting more conscious and particular in investing into the real estate as Covid-19 pandemic situation has established the fact that owning an apartment is way better than dealing with the uncertainties of living in rented accommodation because- “Apna Ghar, Apna hi hota hai. So this way many developers are preparing themselves for changed customers’ preferences by tweaking in their business models and are more focused for a better connection with the consumer.

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