Property Management Amidst The Pandemic

The current Covid-19 pandemic is an indication of how oblivious humans can be to the dangers that lie in wait all around them. This most unfortunate situation has brought everything to a grinding halt and adversely affected economies in almost every sector. Real estate hasn’t been spared either. 

So, we at Owner and Tenant have been keeping a tab on the ups and downs of the real estate market trends. One of the prominent changes that are currently underway is the strategizing and innovating on how to maneuver the current crisis. Here are a few of our observations that you might find most useful: 

·      Generation Y are prioritizing investing in real estate. Of the people that have invested in real estate during this pandemic, 68% of those have been millennials (aged between 25 – 35 years), according to ANAROCK Consumer Sentiment Survey, and others.

·      Hyderabad and Bengaluru witnessed the highest bookings. Surveys further suggest that more than 70% of buyers sought properties in Hyderabad and Bengaluru, with investments of over 200 crores.

·      Real Estate is being seen as a more viable option. With FOREX, Stocks, and other markets being so unpredictable and hitting all-time lows, a majority of investors are opting for real estate as more secure and feasible.

·      Lower interest rates on home loans. One positive outcome during this crisis has been that banks are offering loans for interest as low as 7.15%. This has instilled more confidence in investors.

·      The demand for affordable homes hasn’t waned. Regardless of the rise in unemployment and constrain on incomes, people are still opting for homes priced between Rs. 40 to 45 lakhs. This trend sees no warning in the near future. 

Although it is not all rosy, and a large portion of stakeholders remain pessimistic, there is an undercurrent which is continuing to keep the real estate sector off the ventilator. The government has also injected certain fiscal stimuli into the industry to the tune of Rs. 25,000 crores by creating a stressed asset fund (AIF). This has been a step in the right direction to ease the halting of affordable housing projects. 

Experts and gurus have indicated that the current scenario may take up to a year in order for the real estate curve to rise back up to its pre-COVID-19 trends. This will greatly be helped if investors continue to focus on real estate. 

To continue to be updated on the status and trends in the real estate sector, do contact us and let us assist you in addressing all of your queries and concerns. Owner and Tenant are dedicated to providing our clients with the highest quality services, consultation, and liaising, whether you wish to purchase, rent, or dispose of. For all property-related concerns, we are your one-stop solution.