The Indian real estate market, despite challenges, continues to show resilience as the demand for bigger homes remains strong, according to a report report.
In a significant shift, the demand for bigger homes continues to dominate the Indian real estate market. In the first half of this year, 51 percent of property owners preferred 3-BHKs, while 39 percent opted for 2-BHKs, as revealed in a recent report.
There is a silver lining in the Indian real estate market as the demand for premium and luxury homes has surged. According to an Anarock-FICCI survey, 28 percent of respondents now prefer homes priced between Rs 90 lakh and Rs 1.5 crore, compared to 18 percent in the pre-COVID period.
Meanwhile, demand for affordable homes has nosedived since COVID-19, initially because the pandemic financially impacted this segment’s target clientele. The uncertainty and economic slowdown caused by the pandemic have led to a shift in buyer preferences and affordability.
In the survey, at least 53 percent of homebuyers are dissatisfied with the currently available options in this vital segment across cities.
“Of the dissatisfied affordable home seekers polled in our survey, a whopping 92 percent respondents identify project location as the biggest grouse, while 84 percent state low construction quality and inferior design elements as major deterrents. About 68 percent respondents find the available unit sizes too small to be attractive,” said Anuj Puri, Chairman, Anarock Group.
“Bigger homes continue to dominate buyer preferences despite spiralling prices in the last one year.
City-wise analysis indicates that the demand for 3BHKs is particularly high in Chennai, Hyderabad, Delhi-NCR, and Bengaluru, where over 50 percent of respondents prefer them over other flat sizes.
Conversely, Puri said that over 40 percent of participants in Kolkata, Mumbai Metropolitan Region (MMR), and Pune name 2BHKs as their preferred option.
The H1 2024 survey shows a significant trend reversal in terms of preferred construction stages. The demand ratio of ready-to-move-in homes to new launches now stands at 20:25. This shift can be attributed to the increasing preference for projects by large and listed developers, perceived as more reliable in delivering homes on time.
In H1 2020, the ready-to-move to new launches demand ratio was 46:18. The report mentioned one major reason for this shift: most homebuyers favour projects by large and listed developers, who they are confident will deliver their homes on time.
–IANS
