The Covid-19 pandemic has brought real estate properties to the forefront, especially the residential segment. People were always purchasing homes but the importance of a real estate asset has grown more in pandemic times. The rental preference now feels like a rental trap to the younger generation. Millennials realised that a rental apartment is a limited space where a lot of activities cannot be performed comfortably; work-from-home being on top priority. Moreover, people are showing more interest in home buying than ever before to ensure life security.
Investing money in banks is no more viable as the rate of interest has hit the lowest. Currently, people are considering real estate as a financially sound investment compared to other investment options. After facing a short-lived drop in the business, the real estate sector was quick to adjust to the situation created by lockdown and carried on with digital methods to approach the prospective buyers. The sector is now steady in its growth and has boosted the confidence of property buyers simultaneously.
Take a look at what has changed and trending in real estate in pandemic times:
The outbreak of Covid-19 led to the adoption of new working ways in the real estate sector and accordingly, the buyers’ preferences also changed rapidly. The sentiment of homeownership is strong among the buyers in India. Therefore, the ready-to-move-in spaces are preferably more in demand as they ensure security and immediate possession. On the other hand, the under-construction homes are preferred less as homebuyers are avoiding the waiting period. Moreover, the attractive offers made by the real estate developers on ready-to-move-in homes have encouraged the buyers to take a plunge on immediate property possession. The pandemic-affected present is a favourable time to buy ready-to-move-in homes.
Larger homes are another pandemic-induced change in the demand of homebuyers. As everyone is stuck at home due to the lockdown, the activities at home have increased and thereby require extra space. It's been a year since the office goers have adapted the work-from-home culture, and the culture is likely to stay for long. Another trend that has occurred is the space for workout sessions at home. Since health is a priority at present and people can't go the gym or park to exercise, a home is all they have as a safe zone to continue with their fitness regime. The demand for 3 BHK has risen as it fulfills the space needed for office work, study area, entertainment, exercise, etc.
"Affordability" is the key when it comes to the housing segment in real estate. There is a significant segment of millennials in the country who have flocked to big cities for better career and living opportunities and live in rental accommodation. The present situation has led them to think about homeownership. Another segment is the first-time homebuyers who along with millennials contribute to making the demand for affordable and budget homes high. The response of the real estate sector to this increasing demand is positive. In the form of budget homes, the sector offers them 1 & 2 BHK homes along with a convenient location and several amenities.
Also Read: Demand for Rental Property