The holiday season has begun, and Diwali — the most anticipated festival of the year, as well as an auspicious time to purchase a piece of realty sales is just around the horizon.
Nonetheless, the zeal of real estate developers, who have traditionally placed large bets on the season’s ability to revive fortunes, seems to have waned this year.
There are very few new product releases, no large newspaper advertisements, and barely a handful of holiday promotions. This is despite the fact that a number of industry surveys have shown that both residential sales and new launches have seen a considerable increase during the third quarter of 2021. Consequently, in this circumstance, the question that immediately comes to mind is:- Will this be a Happy Diwali for the real estate industry, or will it not?
What is interesting is that demand is at a high at a time when the COVID-19 epidemic is still active. For reasons related to the necessities and features of the epidemic, housing has emerged as a new focus of attention around which Indians are reorganizing their plans for the near and long-term future.
Christmas time is generally a wonderful time to purchase a house, but this year it coincides with a new kind of demand for housing. According to industry standards, many deals and discounts are made when demand is thought to be weak. “However, that is not the case this year – in fact, it is quite the reverse.
Demand and prices for residential units have increased in the previous two to three quarters, but purchasers are choosing to invest in ready-to-move inventory, which is restricted. In ready-to-move developments, builders have a limited number of apartments that are not very appealing, which causes them to refrain from putting together any special holiday deals to sell such units.
Furthermore, the majority of builders are struggling and devoting time and resources to completing unfinished projects, and they are further hampered by the growing cost of building. All of these considerations are preventing the builders from publicizing any special holiday discounts in order to entice consumers.”
Furthermore, when there is a large amount of inventory that still has to be absorbed, developers are cautious about producing new inventory to replace it. The somewhat slower pace of launches this year is not a reflection of low emotion but rather a reflection of wisdom.
An Ideal Time To Make Purchases
As a result, this season’s Diwali marks an ideal moment to make a home purchase, as demand factors such as low mortgage rates, steady property prices, and attractive holiday promotions all come together to create a favorable environment for the purchaser.
As the housing market continues to improve, property developers are preparing ready-to-move and under-construction houses for sale by offering substantial discounts, freebies, and flexible pre-payment plans to entice prospective purchasers.
Realtors are optimistic in their ability to reap a bountiful crop this holiday season, thanks to the increasing importance of homeownership, the recovery of corporate activity, and the rapid inoculation drive.
However, concerns of a third Covid wave have prompted developers to postpone any new product releases in order to clear up outstanding inventories. As a result, they are taking a cautious approach to the market.
However, it is unlikely to have an impact on real estate sales around Diwali and beyond since there is sufficient home availability to meet the seasonal demand.
Whatever the case may be, real estate developers remain enthusiastic about the industry’s development prospects and anticipate that the holiday season will help to propel the sector into a high growth trajectory.
According to developers, the holiday season has gotten off to a rousing start, with the real estate industry seeing a resurgence. As the holiday season approaches, the hospitality business is preparing for a busy period, and Diwali 2021 will certainly be a joyful and profitable occasion for the industry.
Prospective homeowners who were unable to make purchasing selections due to the lockdown are now keen to complete the transaction before the festival of lights.
Housing demand is expected to climb by at least 10 to 15 percent in the current holiday season (October to December 2021) across the top seven cities when compared to the prior quarter in all of them. The current Christmas quarter is expected to witness an increase of at least 35-40 percent in total house sales across the top seven cities when compared to the same time last year if our present projections hold true.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. PropertyPistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.