Track2Realty Exclusive: The NRI enquiries are unlikely to materialise as sales because Indian real estate has lost its credibility. Moreover, given that general elections are around the corner, real estate is in doldrums as all the black money that has been pumped into realty, is slowly being drained out to fund elections.
Track2Realty: Across the world, the stride of migration from rural urban areas is increasing. By 2050, about 70% of the population will be living in cities, and India is no exception. India will need about 500 new cities to accommodate the rapid influx of population into its urban regions.
Track2Realty: Approximately 8 million sq. ft. of office space was leased across eight major cities during the quarter. Bengaluru, Chennai and Pune topped the chart in the total office market absorption.
Track2Realty Exclusive: IT driven locations across the country has been witness to the migration of large educated workforce, be it Bangalore, Gurgaon or Pune. This upwardly mobile, well-earning and lifestyle driven class hence becomes a key demand driver of property in the given city. In Pune the expat Indians have thus emerged as the key demand driver of property.
Track2Realty: Where transparency broadens, real estate capital flows and market change follows. JLL’s eighth Global Real Estate Transparency Index, covering 102 markets worldwide, shows continued progress in the transparency of commercial real estate around the world.
Track2Realty Exclusive: The Real Estate Regulation Bill will define and clarify various concepts in the sector; this will bring in transparency and curb unfair practices. Following the trend seen in other sectors like telecom, banking, insurance etc, the Bill provides for creation of a separate Regulator and Appellate Authority. While it is expected to provide specialized regulation and enforcement, this should not become another regulatory in the ‘approval’ matrix.
Track2Realty: The Housing Sentiment Index (IIMB MB HIS) assessed by IIM Bangalore and Magicbricks forecasts that homebuyers across 8 of the 10 cities surveyed expect real estate prices to rise over the next six months. The aggregate Housing Sentiment Index (HSI) measured across 10 cities this quarter stood at 108. (An HSI score of 100 suggests the prices would remain static).
Track2Realty: Transactions in India’s real estate space might have slowed down over the last two quarters, but the sector has not been overwhelmed by the state of the wider economy. Despite the subdued pre-election economic scenario, in fact, the period observed an increase in private equity activity.
Track2Realty Exclusive: Real estate market in India is growing fast because of the increasing demand for planned development, relatively less congestion and pollution, better hygiene and sanitation etc. that is giving way to new opportunities to grow. Investors are not restricted to one category and buyers looking to buy commercial as well as residential properties are angling towards the smaller cities such as Vizag, Pune, Nasik, Ahmadabad etc.
Track2Realty Exclusive: Call it migration or mere attraction, the Indian Real estate is spreading its roots into cities-in-making. Though fact remains that this sector has lots to thank the tier I cities for its large scale investments, but the winds of change are here to stay. The recent economic and investment policies, initiated by the government are giving a boost to the less known lands across the Indian sub-continent.