Buying a house still remains a distant dream for thousands of buyers. On the other hand, the continuous slump in the housing sector has resulted in a severe blow to the property developers. However, once the general elections are over, things might turnaround.
What is the current scenario of the housing market (Delhi/NCR)?
The delay in projects has pushed demand for ready-to-move-in projects significantly, primarily due to the increasing pressure of EMI plus rental values. Re-sale projects have become significantly more affordable. Because of slow transaction rates, the property purchased from the broker and the market is cheaper than the same property purchased from developers. There is an active search indicating intense interest among buyers. As soon as sentiments change, probably after the upcoming general elections in 2014, buyers will be ready with information and there may be a quick turnaround of sales.
In the residential sector across the Delhi NCR, there have been many project launches. However, the actual transactions were small, say brokers. The festive season of 2013 was one of the most muted in the last 5- 6 years, as sales remained sluggish despite the advertised discounts, festive offers and new projects.
Will the housing sector take a turnaround after the General Elections are over?
The current real estate slowdown has largely been because consumers expect residential property prices to fall, according to the Housing Sentiment Index produced by Magicbricks.com and the RealtyTree.in Real Estate Networking Portal India. The recent HSI report showed that this trend is slowly dropping with consumers now understanding that the prices have reached the lowest values and are preparing to buy. However, a stable political environment could be a trigger for enhanced transactions.
Global Real Estate Networking Portal. 