RTMI Units are Becoming the Most Preferred Choice For First-Time Homebuyers

Dr Rahul Chaudhary, Promoter, Sunworld, elaborated in a discussion on the ongoing trends in the real estate market and the change in the mindset of end-users towards homeownership. Factors underlying this change are home loan interest rates and the asset value in realty.

Q. Which segment of residential real estate will see the fastest recovery?

Residential real estate is driven by demand in the market, and due to the lockdown cash flow was massively disrupted, affecting the pace of the sector. The April-June quarter saw a dip in sales which was not unusual as other industries too went through a similar fate.

Realty, being a high-investment sector, was bound to get slowed down. People got confined to their homes, and this gave them time to evaluate their lifestyle and living conditions. Investing in a capital asset which promises future returns has become a priority for ones with disposable incomes.

Due to this, RTMI homes are witnessing increased demand and are becoming the most preferred choice for first-time home buyers.

Q. Could you Elaborate on the policy measures taken to encourage sales in real estate?

The government announced several packages and relief measures for varied industries and businesses for the betterment of the economy. Real estate, being one of the largest employers of the nation and its linkages with multiple industries, received aid in the form of force majeure clause, RBI repo rate cuts and loan restructuring for projects, etc.

Apart from this, a few state governments have also waived off stamp duty charges to attract buyers and help increase momentum in sales.

Q. How do you see Luxury Real Estate in the coming five years post the pandemic has struck every industry?

Apart from the latest demand due to the new norm of health and safety, luxury is going to prosper because, for quite some time, India has been registering a decent growth in the number of ultra-net-worth individuals.

If we consider the North Indian realty market, Delhi NCR has a plethora of options in luxury and ultra-luxury segment catering to designed and customized, especially for HNIs, UHNIs, NRIs etc. The demand for Post-COVID years will be more towards sparsely populated areas in the peripheries of cities, with sustainable living options.

Luxury homes that are modelled on the lines of wellness and spacious units with world-class health amenities inside the premises are going to get more attention.

Q. How do you see infra developments impacting the overall stature of the region?

Infrastructure developments positively affect the value of the property, and also becomes a yardstick for the price appreciation. For the Noida and Greater Noida real estate market, development of Jewar International Airport and Film City will play a similar role.

They will be giving a robust growth to the region, attracting more industries and businesses to set up units. Film city development will bring an influx of migrants looking to settle near their workplaces. Demand for residential and commercial projects will rise.

Similarly, there are infrastructural developments such as the widening of NH 24 helping Ghaziabad realty; Dwarka Expressway helping real estate of Gurugram go through a transformational change, etc.