While the world had come to a standstill since the lockdown, workplaces try their best to continue uninterrupted service in order to withstand the economic slowdown. Real estate sector in India has been facing major issues such as labour migration, lockdowns, rising commodity prices, supply crisis and much more. The uncertainty in the current economic situations has led rising skepticism among home buyers too. Little do most people know that this might be the perfect time to buy a property in urban areas and metropolitans like Kolkata.
Interesting facts to know before buying property during the pandemic
〉 Number of site visits have been lesser than pre-pandemic situations, but sales reports depict an upward trend by an average of 15% due to higher site visit-to-closure ratio. |
〉 Casual enquiries for property purchases have gone down due to unstable economy, and serious buyers have been more active since March. |
〉 Interested buyers now opt for 3 BHK as opposed to 2 BHK and number of property enquiries has shot up in the past three months. Also Read How COVID-19 has transformed home buyers’ choices in real estate? |
〉 The residential real estate sector is predicted to witness a booming demand post pandemic as the need for investment in property comes to light. |
Did you know?
Banks and money-lending institutions generally offer floating rate of interest to home buyers. RBI regulations have linked home loans offering floating rate of interest to- Repo Rate, 3 months Treasury Bill Rates, 6 months Treasury Bill Rates and benchmark market rate published by FBIL (Financial Benchmarks India Private Ltd).
Banks can choose an external benchmark that determines the home loan rate offered by them.
Did you know?
Fall in Repo Rate
Post pandemic, RBI has cut down its repo rate to a record low of 4% and it shall remain unchanged as announced in its August meeting. The historic decision to control inflation by RBI may turn out to be beneficial for the borrowers. PSBs and other financial institutions shall cut down their MCLR that results in reduced EMI for the borrowers. Along with home loan rates, additional charges (processing fees, late payment charges, pre-payment charges, conversion charges, legal fee, administrative fee, and account fee) shall also be impacted due to the change in repo rates.
Extensive Offers
Due to unprecedented situations during the lockdown, the demand-supply chain has been majorly affected. To maintain continuous cash flow, builders and property dealers prioritize on clearing their inventory. Flooding offers on 2/3 BHK apartments by all realtors make for better deals now than ever before. Price Protection Policy, No Cancellation Fees, Heavy discounts are some of the many offers that are attractive and profitable for home buyers in India.
Property Prices
With lowest ever home loan rates, home buyers with good CIBIL Score must take the advantage of the current market conditions. Property dealers and realtors, shall after normalisation, be in need of huge capital investment due to rising cost of raw materials. Construction time shall increase and possession shall be delayed due to crisis of supply. It is, therefore, advisable for those interested in purchasing property, to invest in their choice of real estate before home loan rates rise.
If you have been looking for property in Kolkata and have made a site visit prior to the lockdown, grab the opportunity before it is too late.
