Sector performance in 2022
The year 2022 started on a good note for the industry as the homebuyers took advantage of the relatively low home loan rates and closed their property deals. The low-interest rates, therefore, set a path for the property owners and developers. As the impact of the pandemic started receding, new launches were back in the market as the industry saw expanding interest in bigger homes with the predominant work-from-home and hybrid work culture, wherein the units with additional room and decks arose as the best-performing classification.
Post the pandemic, the industry started growing in terms of robust sales numbers along with new improved launches as the homebuyers were back visiting the properties physically for inquiries. The need for possessing a home, and low home loan costs alongside different payment plans from developers helped the property purchases throughout the year record the highest property sales.
People who generally opted for rental as a choice began searching for a getaway from a deep-rooted rental web and understood the significance of possessing a home. These elements assist in boosting the sentiments of the homebuyers and were the key to driving the overall real estate demand.
Outlook for 2023
Various supply and demand patterns assessed over the last decade have already started putting upward pressure on residential property prices. Therefore, we will continue to urge the Government to extend further relaxations and beneficial incentives that will only help better the sector in 2023. Incentives like lower stamp duty and lesser premiums have benefitted homebuyers in the past as well.
Residential sales momentum is expected to continue in 2023 as prospective homebuyers’ preferences for bigger homes, better amenities and attractive pricing will keep them interested to seal the deals. The reputed and trusted developers shall be witnessing comparatively better sales in the mid-income & affordable housing segments and shall continue to dominate in 2023 as well.