The last few months of Indian Real Estate’s pre-Covid situation experienced retardation in order as price correction impaired the market, silenced buyer sentiments & host of policy overhauls. In 2020 the industry was too optimistic, where the markets were eventually poised for a revival. After some initial traction, emotions plunged as soon as the Coronavirus stepped into the frame.
The momentum in the sector has come to a standstill after a lockdown. While there was some minimal positioning on the market, a sharp downturn was expected. The same holds for the current pandemic, but, as they say, any outbreak is also a catalyst for new reforms and improvements. As markets reopen and expectations recover, the industry is experiencing some significant and sustained shifts.
Technology has begun moving from the periphery down to the base. We are entering a new age of business model (Online to Offline), where technology can drive much of the interaction between customers.
There is an enormous amount of digitization in the property business space, including digital marketing, AR / VR, e-brochure, online transaction engines, webinars, virtual property shows and streaming.
New products in the real estate market in tier 1 cities are indeed coming up alongside marketing and sales, really well-tuned to the changing demand. Below are some of the latest real estate items that will be very popular in a post-covid 19 world:
Holiday Homes/ Farm Houses/Villas:
As the culture of Work from Home (WFH) is increasingly scooping up, the concept of Holiday Homes, Villas, Second Homes, independent farmhouses etc. are seeing prominence.
Investment decisions in such properties in recent months have already begun to surge. People have the thought to prefer to function away from the noise of urban living and enjoy a healthier and more relaxing world of work.
Addition in Peripheral Locations:
The peripheral locations in significant metro cities are gaining more prominence in a post Covid world. As the practice of Work From Home becomes mainstream, individuals are tending to avoid crowded areas of the cities to open up comparatively peripheral locations in town.
Also, rates on the peripheries are more accessible. For lower prices, therefore, individuals may afford a larger room. The added space can be used for work stations, fitness rooms, and leisure activities to enjoy a steadier lifestyle.
Growing popularity for co-living lifestyle is seen in the post Covid world. Although families are moving to large peripheral spaces; bachelors tend to lean to co-living spaces, that are relatively inexpensive but of better quality.
Co-living culture accompanied by better sanitation, entertainment facilities, and sporting avenues is becoming increasingly common in Tier 1 & 2 cities.
Asset Generating Commercial Assets:
Although a rapid turnaround in commercial real estate seems far-fetched, revived investor interest in revenue-generating commercial assets will be possible. Newfound interest is rooted in financial uncertainty and incredible stock markets.
As economic prospects look little uncertain at the moment, investors are watching strong ownership of real estate generating income as it can significantly insure against any potential future turbulence, in addition to providing a constant income flow.
Sensing more confidence about the luxury market, Nayan Raheja, Executive Director, Raheja Developers, stated his views, “I see far more scattered numbers moving in mid-segment because of job security, but the luxury segment is doing well. Raheja Developers have seen the greatest sales because of two projects in Delhi and Gurugram.
I see a unique segment in real estate housing opening up, which is the farmhouse where people are secluded yet connected. People want access to open space. People who are stuck in apartments will be missing freedom of the farm.There will be an evolution of shifting to large spaces as nothing is more valuable than the well-being and people have now realized it more than ever. That emergence is happening, and we can see that in numbers.”