7 Real Estate Trends To Watch Out For This Year..

Residential plots to rule the roost  

Unlike conventional market trends, residential plots are gaining prominence amid property buyers. Buyers prefer to buy plots for attractive returns in the mid-to-long term horizon.  

This can further be justified by the fact that they are now considering upcoming smart cities, where apartment culture is yet to catch pace. Also, for the development of these smart cities, smaller areas in the peripheries are being identified.  

As this concept is yet to take off in most areas, plots tend to have become a strong investment option.

Industrial corridors to boost infra growth in hinterland  

Cities falling along the major industrial corridors are expected to see immense growth in the coming years. As each corridor passes through various existing industrial clusters, towns and cities, these are likely to become investment hubs.

Thus, once completed, the real estate growth at India’s hinterlands, connected via these corridors, will be exponential. 

Affordable Housing wil be the buzzword  

Affordable housing has become the talk of town ever since BJP, in their manifesto, promised ‘housing for all’ by 2022. Post the budget, that opened a jackpot for affordable housing with a mammoth budget of Rs 4,000 crore (Rs 40 billion) and tax incentives for home loans, the mission got another facelift.  

In July 2014, RBI also tweaked the definition of affordable houses. As per the changed norms, home loans up to Rs 50,00,000 in metropolitan cities and Rs 40,00,000 in non-metro cities will now come under the purview of affordable housing.  

Small is beautiful

Smaller property sizes are now taking precedence over larger units across the metros. Large swanky homes that are huge on maintenance are no longer an attraction for several metropolitan buyers.  This was also validated by our recent survey where maximum people preferred property sized 800-1,200 sq. ft.

‘Smart City’ tag to boost realty prospects

‘Smart Cities’ is the latest buzzword that has created a wave in the country.

Thus, a lot of development will be seen in and around these cities. Survey findings indicates the ignited interest of buyers towards these potential cities.

It is interesting to note that about 32 per cent respondents showed interest in upcoming smart cities for investment.

While several cities have been proposed, few areas within the cities have also been identified.

Investors back on realty Map

With FDI in construction becoming a reality, the year 2015 will see the return of real estate investors.With no three-year lock-in period, the major hurdle for the overseas investors is removed. Thus, now an investor can exit once the project is completed or after the complete trunk infrastructure development.

Bangalore & NCR: High Demand for Ready-to-Move-in properties

Increased demand for ready-to-move-in properties is another major trend that was noticed in 2014 and is likely to continue in 2015 as well. Inordinate construction delay has pushed demand for ready-to-move-in projects significantly, primarily due to the increasing pressure of EMI plus rental values.