The industry, which has long been known for its hesitation towards digitalisation, was motivated to adapt because of Covid-related restrictions
The second wave of the pandemic in March and April of this year has impeded the Indian housing sector’s tremendous quarter on quarter growth since July 2020. Fortunately, analysts have been seeing green shoots of recovery across the country.
Gulf News reported that Q1 2021 witnessed residential sales soar 29 percent to 58,300 units and new launches surge 51 percent to 62,130 units in the top cities, including the Mumbai Capital Region, National Capital Region, Pune, and Bengaluru, compared to the same period pre-Covid.
In Q2 2021, however, housing sales and new launches declined 58 percent and 42 percent, respectively. Despite the decline, construction activity still continued across cities, permitted by the government, alongside some caveats.
Leading industry players also believe the buyers are back, acknowledging the revival from June onwards. In Q2 2021, 24,570 residential units were sold in the top cities, with 50 to 60 percent of transactions occurring in June alone.
The monthly trend indicates an optimistic future for the market, which is what has urged the country’s premier developers, including the PropertyGuru Asia Property Awards (India) Winner Brookfield Properties, to continue operating as the momentum starts to pick up across cities.
Among the key factors that led to the progressive recovery are the population’s need to own a home, the first-time homebuyer’s structural demand for housing, the millennial’s rising desire to own a home than to rent, and the family’s need to upgrade to a bigger abode.
This demand is further propelled by other aspects that entice the buyers, such as developer offers and discounts, deflating property prices, low-interest rates, stamp duty cuts, and most importantly, efficient tech-enabled solutions that allowed transactions to continue despite movement restrictions.
The Financial Express reported that the pandemic has prompted India’s real estate sector, which has long been hesitant, to finally embrace digital transformation, in hopes to ease the buying process, encourage more sales, optimise its operations, and improve the industry standard.
The sector’s digital transformation has helped further propel the uprising trend and opened it up to more growth potential. Thus far, the industry has adapted state-of-the-art tools — Augmented or Virtual Reality (AR/VR), Artificial Intelligence, chatbots, online bookings, drones, and much more — that guaranteed minimal to zero communication errors between developers and customers.
Since the sector has become a buyer’s market, developers have opted for customer-centric approaches, such as connecting with them and educating them about their products through social media.
Transactions have become easier for all parties and the reliance on technology has increased throughout the lockdown, with agents offering virtual site tours, developers offering unedited 3D videos and drone shots to buyers, and homeowners closing deals on video conferencing platforms.
Developers now have total control over ideas, finances, implementation, monitoring, and delivery. Throughout the course of the pandemic, tech-enabled solutions have empowered the real estate sector and altered the landscape for good.
Know of any award-worthy homes, condos, flats, or other real estate projects in India? Nominate them for the Asia Property Awards (India) 2021 on or before 24 September 2021. Simply visit asiapropertyawards.com/award/asia-property-awards-india/ for more details.
Gynen Kyra Toriano, Digital Content Manager at PropertyGuru, wrote this article. For more information, email: [email protected].
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