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Real Estate- A sneak peek on Pre Lockdown & Post Lockdown Scenario

The economy freeze has been lifted, and markets are booming back to life. There is a relief, but at the same time, fear too as the pandemic hasn’t waned down yet. In just over three months, our judgments about life and surviving in this changeable world has transformed drastically. It has made us re-think and re-plan our economic management.

As we gradually reopen our businesses to fix the financial curve, we can’t help but think over how this white swan event has upset the real estate sector in a minuscule period.

Though the pandemic has proved to be a dampener to the restoration plans of the real estate sector, the road ahead seems promising for the real estate sector owing to revived consumer confidence, the realization of the value of buying homes, and lowering home loan rates.

Raheja Developers elucidates an analysis of the real estate sector through a pre-lockdown and post-lockdown synopsis. Here’s a sight of how the homebuyers’ opinions and buying habits towards real estate have shifted over the past few months-  

 

Real estate sector before lockdown

Before lockdown, the real estate sector battled with the physical nature of managing the business. Adoption of technology in real estate was happening in dribs and drabs and real estate developers didn’t give two hoots about the prominence of tech acquisition in real estate.

The home buying process, on the other hand, appeared never-ending and frustrating for homebuyers. Home seekers had to swim through mind-boggling estate documentation methods which took away the grace of shopping for homes. Not to mention the trouble of physical property visits bearing the weather, which sometimes got restrained by time and distance.

There wasn’t a bit of fear relating to hygiene and health, and our financial investment was more on lifestyle, recreation and food. People’s foresightedness about investing in real estate was dreamy.

The general mindfulness revolved around saving money till retirement and preference of staying in rental homes. Those who bought homes stressed more about the location of the property and less about health amenities and wellness centres as well as the conveniences which the realty developers offered.

 

Real estate sector post lockdown

The real estate sector went through a lightning transformation in its operations during the lockdown. Real estate developers went digital and registered good sales. The use of digital platforms strapped with virtual reality, 3D walkthroughs and digital transaction modules, analysed the home buying equation. Homebuyers have given quite a good response for this new-fangled home buying trend.

 

Who owns your digital real estate?

 
Digital Shift in real estate

This digital shift also gave developers a better understanding of buying behaviour with the introduction of machine learning and AI technology.

It won’t be pretentious to say that digital home buying will be the new normal in the real estate sector. The need for asset class has perked up with homebuyers going for near-finished properties rather than new launches, except for the brands they trust.

 
Real Estate- Safest Option for Investment

Homebuyers are now recognising real estate as the safest bet and are looking for immediate purchase with the reduction in repo rate.

The perception of living in crowded places has changed dramatically and the demand for townships and properties with substantial green spaces has become the primary attention. Amenities and health spaces within projects are top priorities now while choosing a property.

 
Tips For Buying Property From An NRI
 
 
NRI’s interest in India Real Estate

Reverse migration of NRIs and domestic workforce to their hometowns has piqued the interest of real estate developers in Tier-II cities and Tier III cities. This will create a new demand for properties beyond metro cities and give impetus to the real estate sector.

Real estate developers with crude inventory will look to complete the projects in the shortest period possible to generate revenue. Use of construction technologies to minimise construction time has become prevailing now, which later will become a norm. With the delay in the return of migrant labourers to the cities, dependence on such technologies for modular construction and other labour-intensive jobs will progress.

With the pandemic showing no signs of reduction, it becomes a tough call for businesses to envision the road ahead. For the moment, the real estate sector will have to get back, comprehend and whip up innovations in the field of construction technology, home automation, IoT, and AI. The planning should take place while keeping in mind the norms of social distancing, mobility, density, and health etiquettes & safety measures for labourers & clients.