Emerging Trends in India’s Residential Real Estate Market
The real estate sector has always been one of the most-widely recognized sectors globally throughout the past. In India, it is one of the most promising areas as far as investment is concerned. It is second only to agriculture in terms of employment generation.
During the past few decades, the residential real estate in India has witnessed continuous evolution and tremendous success, thanks to several favorable factors. The enormous amount of money, steeply changing preferences, and unprecedented oscillations involved in the real estate market necessitate closely watching and following real estate trends in India.
Significant trends in the contemporary residential real estate market
1. Millennials are influential in home purchases
It is the young professionals in their twenties or early thirties that make most of the purchasing decisions related to houses today. Millennials have good exposure to world-class residential projects and are well-traveled and experienced. They look for homes that meet all essential amenities and facilities matching the global standards.
The interest of the globetrotting generation is increasing, inspiring the modern developers to create and deliver quality homes with the required lifestyle to consumers.
2. Affordable as well as luxury homes
Affordable housing is the domain that is in high demand among a significant population of the modern homebuyers. It has been driving the continuous growth of the Indian residential real estate market. With backing from government and being a crucial focus area in the present time, affordable housing is no doubt an integral part of the Indian real state environment.
At the same time, luxury apartments in Chennai, as well as other metros, are being consumed by more affluent people. The differentiating features are just the amenities and facilities.
3. Co-living concept becomes popular
Co-living is the type of community that provides shared housing for different individuals having shared intentions who are either related or unrelated to each other. Although shared living has been in vogue since long, the concept had been classified under the term co-living and recently been adopted by developers formally in recent times.
Highly popular among young professionals and students, this trend has the potential to emerge as a formidable force in the years to come.
4. The concept of green homes gains momentum
The public awareness associated with environmental and sustainability issues has been rising significantly since the past few years. The green home concept has been gaining momentum across India. It is more so in the case of luxury apartments in Chennai, due to the demands of the modern homebuyers.
The design of homes that ensure efficient and optimal use of renewable as well as non-renewable energies has become a noticeable trend in the contemporary Real estate in Chennai and other parts of India. With the whole world marching toward ecological conservation, there’s little doubt about the demand for such structures increasing substantially in the future.
5. Theme-based apartments will become a big hit
One of the fads among the urban residential property buyers, theme-based apartments, is becoming one of the real estate trends in India. Luxury apartments in Chennai are being created and presented in a theme-based manner, attracting the young and tech-savvy buyers.
The innovative ideas and designs from the developers and demands of the consumers who look for global standards and a unique living experience have contributed significantly to this trend.
6. Automated and smart homes
It takes more than the common living space with essential amenities to fulfill the specific needs of the well-informed and well-exposed consumers today. Intelligent home solutions are the need of the day among the modern homebuyers. One way of achieving providing such residential real estate solutions is by designing and constructing apartments with functions that can be effortlessly controlled by using smartphones. This enables users to save time, minimize wastage, and simplify their processes.
Integrating appliances with IoT is fast becoming commonplace. Technology becoming an inevitable aspect of all walks of life, this trend is undoubtedly going to witness further amplification in the coming years.
7. The increasing significance of Real estate regulatory authority
The formerly unorganized and loosely controlled traditional real estate in India has been restructured and rendered more organized, thanks to the Real Estate (Regulation and Development) Act, 2016 (RERA). This act has succeeded in providing the much-needed transparency for the end buyers.
In addition to safeguarding the interest of buyers, this provision ensures that developers are committed and bound by legislation. The trust with RERA has been increasing among the homebuyers, setting a new trend in the Real estate in India.
8. NRI Investment is on the rise
Following the changing market dynamics, a considerable surge in investment by non-resident Indians in Real estate in India has been witnessed over the past few years. Affluent NRIs find Luxury apartments in Chennai and other Indian metros attractive and lucrative. Real estate in India 2020 will be impacted by NRI investment.
Recent changes witnessed in real estate in India
Real estate in India has been classified into four sub-sectors, namely, residential, commercial, retail, and hospitality. High-impact factors such as rapid urbanization of cities in India, positive outlook of consumers, governmental support, and a robust business environment have ensured the continued growth of the residential real estate market in India.
During the recent past decades, the residential real estate segment has undergone a progressive transformation that reflected in various forms. Some of these crucial changes are structural reforms, the introduction of newer technologies, and increased consolidation among the real estate players, shifting consumer preferences, and evolving regulatory environments. This period of transformation has empowered builders and developers to scale up their strategies and take giant strides toward enhancing user trust.
Factors such as governmental support, the entry of real estate investment trust platform, and the investment appetite of the young generation have been driving the residential real estate market in India ahead since the last few decades. On one hand, volatility and changing trends have been checking and controlling the growth of this sector. On the other hand, speculators are being pushed out of the system while actual homebuyers are making a purchase. This makes the overall Indian residential real estate scenario safe and worth-investing.