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“I am reading these newspaper reports about the real estate sector demanding so many things with the Union Budget. Most of these demands are for their financial health than understanding the market from common homebuyers’ perspective like us. Do we matter at all in this eco system where neither the government nor the developers understand what keeps us away from the property market,” says Shweta Sanyal, an advertising professional in Mumbai.
2015 proved to be a good year for key Indian metros as inflows into real estate by private equity (PE) funds was at a record high. The total investment that the sector got was approximately INR 19,500 crore.
Developers have their own expectations, because positive announcements for real estate buyers made during the budget will help increase the market sentiment, and therefore sales. The general hope is that the budget will provide cheer to intending homebuyers who have been deterred for various reasons.
When the going was good the developers did not bother much about the quality of talent; nor did they ever took a conscious call to introspect from the inside of the company and work their way out to create a competitive professional culture.
With the prices virtually stagnant and the industry being plagued with an ever increasing inventory for sale the market is in a mode of a gradual downward drift. However, even though the city property market has been witness to stagnation, there is still hope in the last quarter of the fiscal year due to underlying factor that while the property prices in the city have increased only nominally, affordability has risen with rising salaries, lower interest rate and lower inflation.