Owing to the growing population and increasing acquiring power among people, India’s real estate market has always been a profitable option for investors. After the COVID-19 pandemic, real estate investment in India has grown meaningfully, with both domestic and NRI investors actively investing in housing and profitable properties.
As per the Indian Brand Equity Foundation (IBEF) data, investments in the real estate sector in seven cities of India amplified by 29% in the last quarter of 2021 as against the same quarter in 2020. To make the most of this thriving in the Indian real estate market, several assumed builders and promoters are coming up with new launches across the country.
During this period Piramal Realty has hurled several luxury housing projects in Mumbai and Thane, such as Piramal Revanta, Piramal Mahalaxmi, Piramal Aranya, and Piramal Vaikunth. These projects give a comfortable lifestyle with a plethora of modern amenities.
As per the experts, this tendency will continue in 2023, and a strong and positive momentum is probable in India’s real estate sector. Now, let us excavation deeper and discuss what the real estate market of India may look like in the imminent year.
Housing properties may provide high returns
In India, the sale of real estate suffered during the COVID-19 epidemic. Some of the causes of that downturn included rising mortgage rates, rising inflation, and a brief decline in the economy. However, the real estate market had a significant recovery following the epidemic. After 2020, the sale of residential properties has already risen by 51%.
These numbers show that the residential real estate market is now moving forward strongly. In addition to the strong economy, government initiatives are fostering a favourable environment for real estate investment.
Tier 2 and Tier 3 cities will develop as booming real estate markets
Another trend that has become too protuberant is the growth of the real estate market in Tier 2 and Tier 3 cities of India. As metropolitan cities are already overloaded, several real estate investors have ongoing moving toward developing cities. These towns have appeared as hot locations for real estate investors from all across India as well as foreign countries. So, as an investor, one can invest in residential or commercial properties insincere in these belts. They have the potential to deliver very good returns in the next one to two years.
Luxury housing projects will remain in great demand
One of the main forces fuelling the real estate development in India after 2020 has been luxury home properties. And in 2023, this pattern is anticipated to persist. In the forthcoming year, high-end flats and apartments costing at least Rs. 2.5 crores would be in high demand.
This trend is supported by several variables. Some of them are the pervasive work-from-home culture among Indians even after the pandemic is gone, the adoption of hybrid working patterns by large corporations, and the rising purchasing power of the populace.
NRI investments in Indian real estate can rise further
India’s real estate market has always been a chosen option among High Net Worth (HNI) investors from foreign countries. Non-Resident Indians (NRIs) have always taken a special interest in investing in possessions in their motherland to earn returns on their investment. The favourable government rules have also supported them.
Now, in 2023, NRI investments in the Indian real estate market are predictable to soar further. After the planned changes in the Foreign Exchange Management Act (FEMA), NRIs will be allowed to own immovable possessions in India with almost zero legal formalities. They will only need to complete the registration process, just like a domestic investor.
To Conclude
All estimates and projections suggest that 2023 may end up being a watershed year for India's real estate industry. Investors could get a lot of worth for their money and there could be a wonderful demand for both residential and commercial buildings. There are many investment options available for investors of all types due to the development of New projects by various renowned builders.
Having said that, it is vital to keep in mind that before making any form of real estate investment in India, one must conduct thorough research, analysis, and planning. The property's nature, location, cost, and builder's reputation are some of the elements that ought to be taken into consideration while making a choice.
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