Maharashtra has started property e-registrations and the State is reportedly all set to also introduce blockchain. What is Blockchain? It is a technology by which users can keep a historic ledger of every transaction that has happened in the past for any asset be it a crypto currency or a piece of real estate like land or building. Track2realty analyses whether blockchain would be the future of real estate transactions.
Browsing: Myth & Reality
I meet a number of stakeholders across the built environment of Indian real estate. One common narrative that has gained ground within the built environment over the years is that “this is the best time to buy a house.” Mind you! This narrative was being pushed through the throat even before Covid. Even though the real estate market in general and the housing market in particular has been going through a turbulent phase, the narrative has never changed its course.
News reports of real estate nowadays is making me religious. The reports about Supertech Twin Tower demolition is giving me “SPIRITUAL” feeling. If these media reports are to be believed, henceforth all the government officials will be careful in sanctioning the building plans, builders will be fearful with the law and the judiciary will be trusted as more pro-active than reactive. Isn’t it a proverbial “Ram Rajya” for the home buyers?
Freedom is a luxury and it means different things to different set of people. The stakeholders within the built environment of the Indian real estate too have their own set of definition when it comes to what defines their freedom. While for a home buyer, freedom is to have a rent-free house of one’s own at an affordable price, for the developers the quest has been freedom from multiple bottlenecks – single window clearance, industry status, easy funding and, most importantly, FSI free developments. Track2Realty investigates whether ‘Freedom From FSI’ would be boon or bane.
Just when the real estate industry bodies had firmed up their public posturing to halt construction with allegation of cartelisation by the cement & steel producers, there was uneasiness at the developers’ end. Many of them had their back of the envelope calculation as to whether the construction strike would actually help or hurt the business. Track2Realty tries to get into the depth of the issue.
The home buyers have for long alleged that the RERA has failed to provide them substantial relief in the wake of project delay or defaults. Now the Allahabad High Court has also taken cognizance of the issue and has not only questioned reasons of non-execution but also asked for the roadmap as to how RERA Recovery Certificates would be executed.
A TV debate after the Union Budget 2022-23 caught one of the IPCs (Independent Property Consultant) off guard when the anchor categorically blamed him for real estate not getting its due with the budget. In his defence he could only argue that it is not about one specific report but all the industry reports are guilty of creating such a goodwill for the sector. The satisfactory voices were so profound that the policy makers too found the business capable of self-sustaining without any fiscal incentives.
2022 won’t be an easy year for the average Indian home buyer in terms of making a conscious decision of buying a house. The fundamentals of the market and macroeconomic outlook indicates 2022 could be even more challenging than 2021 for more than one reason. The rising input cost of construction has put a serious question mark over the feasibility of the business in a price sensitive market. Many of the developers with thin profit margins are facing a catch-22 where the input cost hike is compelling for escalation but the demand side is not ready to absorb the hike.
I often get amused when I get into the details of the industry survey that shouts at the top of its voice – “All is Well”. Some of these industry reports claiming the business to be witness to higher consumer sentiment are based on the feedback of connected parties like developers, banks, financial institutions and private equity players. All in all, it’s a family cycle where everyone is desperate to beg, borrow or steal for sale. The most important stakeholder – the home buyer – whose sentiment is being tracked is better left out in this mutual appreciation club of vested interests.
The real estate industry stakeholders are debating over the design changes and other functional changes in the housing projects after Coronavirus. An impression is gaining ground that the developers have the realization that the world has changed due to pandemic and they need to alter to fit into the buyers’ needs. An online poll by Track2Realty nevertheless finds that the industry is off the mark when it comes to read the pulse of the buyers. The buyers are not looking for knee jerk design changes but housing to have long term functional changes.