Coping with the Covid-19 crisis has not been easy. And while we are taking all the precautionary measures to keep ourselves and our loved ones safe and healthy, there have been plenty of economic repercussions impacting several industries, including real estate. To ensure smooth functioning of the realty sector, almost every real estate brand is encouraging homebuyers and investors to buy property online thus experimenting with innovative technology.
Although the housing market 2020 will take some time to pick up, there are some real estate market trends being observed which might bring some relief to the industry. Risk-free investments and online home sales are gaining popularity, and well-known real estate developers will be the ones benefiting from it.
Here we take a look at the 5 key emerging real estate trends on the consumer side during these unprecedented times:
1. Owning a home - a new priority for millennials
Residential real estate has always been considered a safe asset and millennials are exploring this option now as a result of the Covid-19 pandemic. A survey was conducted by one of the well-known finance companies whose result suggested that at least 55% of the participants, in the age bracket of 25 to 35 years, voted for real estate to be the best asset class for investment. Interestingly enough, 68% of those millennials are end-users. The reason behind this is that physical assets are still considered the safest bet during such uncertain times. Property trends like these will surely bring the real estate industry out of this turmoil and help revive it.
2. Lower home loan rates is a key factor determining the change
As mentioned before, the sense of security that a physical asset brings is unparalleled and it happens to be one of the main factors driving people to purchase a property today. The other factor is lower home loan interest rates. The home loan interest rates are currently at an all-time low, ranging between 7.15% and 7.8% which has prompted many homebuyers and investors to buy a property.
3. Risk-free investments are favoured
Risk-free investments are being favoured given the uncertainty that lies ahead. Considering this factor, there is a rise in demand for those developers with whom the execution risk is the least, even if the concerned property is at the higher end of the pricing spectrum.
4. Ready-to-move-in homes are preferred
Unlike before, many people are seeking to buy property for end-use rather than for investment. This is why ready-to-move-in homes are preferred today than under-construction ones.
5. Growing preference for online home search and buying
This change is undoubtedly the outcome of the Covid-19 experience. Irrespective of the government restrictions, people still will be apprehensive to physically visit sites, interact with salespeople and buy homes. Owing to the convenience experience of e-commerce, home buyers now seek a similar experience for real estate as well. Property portals for search is already a common trend. Against such a background, real estate developers will have to take the virtual route through innovative practices like video conferencing, virtual walkthroughs, project videos, and other such solutions.
Considering the emerging trends in the Covid-19 times, Amanora Park Town is the safest bet for those looking to buy a home. It is a community of 25000+ residents with 12+ iconic residential developments. A fully integrated township, it comes with state-of-the-art infrastructure and smart design for hassle-free living. If you wish to explore our township and learn more about what makes it unique, get in touch with us.