Goel Ganga Group Owner: Real estate forecast for the year 2022
The COVID-19 pandemic accelerated contemporary developments, making the last two years among the craziest in real estate ever. For Indian real estate, the last few years was a thrill ride.
During second lockdown, the marketplace dropped, but it quickly recovered as demand scooped up. Despite concerns about the Omicron issue, the industry in 2022 appears to be optimistic. Market is also growing rapidly across all segments.
In the near future, wooden cost and limited mortgage rates may push up housing sales. This will mostly result in luxury apartments.
The real estate industry in India is once again on the rise. Both specialists and real estate professionals have been perplexed by this. These are encouraging signals in pandemics in which a resurgence is unlikely. It will not be incorrect to predict that 2022 will be a prosperous year for real estate, says Atul Goel Ganga.
The truth is that today’s modern customers are willing to spend in their own home. More people might buy in urbanized and semi cities in 2022. A little town retains its allure and is now reaping the benefits of its actual ability. According to several research, the same residence in a Metropolitan area will cost higher.
Manufacturers do not like to frighten demand, which is currently predominantly controlled by end-users, therefore price hikes are expected to be limited to the 5-15 percent range (at the final level). On the basis of a rise in cost of raw materials, there was a 3% rise in the October ending in 2021.
Increase in housing prices
Housing prices are likely to begin increasing again after a lengthy time of decreasing and then settling. In 2022, the nation’s residential real estate industry increases at a rate of roughly 5% in terms of financial worth. Several market forces issues that have been evaluated during the previous few years have begun to put growing pressure on property prices.
Demand of larger homes
In 2022, the trend in real estate sales will continue. The potential purchasers’ demand for larger homes, better facilities, and competitive pricing will keep them entertained in closing transactions. As per the Knight Frank research ‘Real Estate Outlook 2022,’ India’s real estate business has the expectation to rise steadily in 2022.
According to the Anarock research, the household sector had a 27 percent increase in new production from January to September 2021. This is a comparison to the corresponding time in 2020, while sales increased by 5%.
Also as impacts of the epidemic fade, the Indian market is preparing for consistent and slow Economic growth. It is a rebound in core industry indexes, new workers, acquisitions and mergers, and long-term demand. The industry is beset by a scarcity of qualified workers, rising raw material costs, greater input costs eroding profits, and project sustainability issues, states Atul Goel Ganga Pune.
Increase in job opportunities
The strategy for FY 22-23 is expected to inject new contracts into the troubled real estate industry. It is critical for quickly economic growth and job creation. The sector also award industrial identity in order to provide long-term low-cost loans. The industry also offers tax advantages to home owners. This will help to boost the housing industry’s confidence index, added Atul Goel, Goel Ganga Group Owner.
According to a recent research, there is a strong market among individuals to purchase a home, partly in response to a reduction in custom duties in some locations. Majority of states, including Pune, Maharashtra, West Bengal, Karnataka, and many others, have provided stamp duty exemptions for low-cost homes.
If demand continues to follow this pattern, fueled by a strong desire to buy, the marketplace will be in a better demand-supply balance by 2022. In the second part of the year, prices may rise by 2-5 percent. Overall, elements such as faster land – use changes, separate approvals, and migrant worker stipends are critical for inclusive growth.