If there is a day which deserved to be celebrated as the Festival of Investment, it is the Akshaya Tritiya day. It’s an auspicious day for the Hindus and is just around the corner. Generally, ‘Akshaya’ means immortal and ‘Tritiya’ means the third day of the auspicious Hindu month of Vaishakh which is also known as Shukla Paksha. It is believed that the God of wealth, Kubera, prayed to Goddess Lakshmi on this auspicious day, with his prayer, he was granted the gift of perpetual eternal prosperity and wealth. That is why people have a strong faith that any new investment or any new purchased initiated on this day grows and prospers constantly. Every year, prospective home buyers prefer to finalize their purchase during this day and also look for money-spinning offers to sweeten the best deal.
Why should you buy a home on Akshaya Tritiya?
If you are also one of those who have been holding your property buying plans all this while, it may make better sense to buy real estate on this day, instead of other assets. Here is why:
Property prices
Property prices are at their lowest point. Moreover, the real estate market is volatile now, after the reformatory steps taken by the Government like Goods and Services Tax (GST) and the Real Estate (Regulation and Development), 2016, were implemented last year. As per the reports by property consultants, property rates in major cities of the country have gone down on average by 3% in the second half of last year. Therefore, prospective home buyers today can get a lesser amount for their dream home, as compared to those people who purchased around five years back, by around 30%-40%. Moreover, the price rate of the property in all the major housing hubs of the country is now relatively stable and that too with a favourable risk-reward ratio.
Interest rates may go up
It is for the fourth time that Reserve Bank of India (RBI) kept the policy rates unchanged while declaring the first bi-monthly monetary policy review, banks have started raising their interest rates. India’s largest lender, the State Bank of India (SBI) increased the lending rates by 20 bps to 8.15%,— and ICICI Bank, the largest private sector bank, hiked it by 10 bps to 8.3%. These hike in interest rates indicates that there is a chance of interest rates going up. This means that higher the home loan rate, properties will become more expensive.
Unsold Inventory factor will help you
Several leading real estate advisory companies estimate India’s realty developers are sitting on nearly 0.5 million units of unsold inventory in top cities. This unsold inventory has become a major worry for developers and that is why they are more willing to offer prospective buyers a sweeter deal. Now this inventory can give home buyers a chance to choose ready-to-move-in units at comparatively reasonable prices.
So, home buyers, take a note!
Akshay Tritiya is a great time to get ready to grab a great deal for your dream house you have been preparing to buy for long.