In 2023, the real estate market appears to be doing well, and both the residential and commercial sectors are expected to expand. The Indian real estate market is predicted to gain momentum in 2023, according to various real estate research.
The Indian real estate market has performed significantly well in 2022 after years of stagnation. We are here today to answer the question of whether the market will experience a slump or whether the momentum will continue.
Despite the fact that construction costs have skyrocketed and the repo rate is at a record high (2022), the real estate industry has seen an increase in the graph. Millennials have come to realize that stability is important after the Covid-19 pandemic. There has been an increase in the desire to own a home and it will continue to do so. Potential homebuyers have gained confidence as the Indian real estate market has developed.
In 2022, housing sales in the top seven cities reached a new peak of 364,900 units, an increase of 54 percent year-over-year (Y-o-Y).
Homebuyers are looking for larger, sustainable spaces with value-added facilities and amenities that will enhance their lifestyle in light of modern working conditions like remote and hybrid options. Customers’ buying habits have changed, and they now prefer to shop in outlying areas that are close to major cities.
In addition, the pandemic has made people realize the significance of stability and promoted real estate as a more stable investment option than other options. The industry’s performance over the past few years reinforces this sentiment even more.
The repo rate and the home loan rate have both been raised by the RBI, but neither has had an effect on sales or customers’ intentions to purchase a home. Additionally, developers’ flexible payment plans have helped prospective homebuyers complete their purchases. In addition, this was the year that prominent names in the real estate industry added value to their offerings by incorporating cutting-edge technology, thoughtful design, and a strong commitment to sustainability. For a more environmentally friendly lifestyle, new-age homebuyers prefer eco-friendly options.
Real estate investments have been favored by Non-Resident Indians (NRIs) over other asset classes like equity or gold. They believe that it is a secure investment that will provide good returns over time.
The non-resident Indians (NRIs) are flooding the Indian real estate market to acquire a home for investment or future use. Due to the rupee’s decline in value against the dollar and other currencies, they have a higher purchasing power than their Indian counterparts. NRIs have shown an interest in ultra-luxury and luxury homes because they now have more money to spend on real estate. NRIs from the United States, Canada, the United Kingdom, the Gulf, Europe, South Asia, and other countries are increasingly turning to Hyderabad’s real estate market.
