Half year expectations of Bangalore realtors-2017
With the newly formed central Government, the real estate developers of Bangalore and the county has experienced many radical reforms which have brought about a huge transformation. Reforms like the Demonetisation move, Real Estate Regulator Bill (RERA) act, FDI relaxations, and the much talked about GST and Change in Accounting standards IFRS among many. As such, the half year of 2017 that has passed has seen many changes in the real estate industry. Like it becoming more transparent in nature, more effective, credible and also attractive with only the key real estate developers on the field. With good home ownership being one of the top priority and investment objectives for the property buyers, these reforms have given positive impacts to their lives and also to the real estate sector of Bangalore. The changes has brought about many high hopes and expectations of the Bangalore realtors one of them like to expect the real estate market to become more rewarding and profitable for them.
The gradual slowdown of demand for property which the realtors have seen though has nothing to do with the huge demand of housing units. This slowdown phase is all temporary and will wear off soon after the stabilization of the reforms effect. The Bangalore realtors have expected the primary sales realty market to rise up as the real estate prices have already slowed down to the bottom and have become more stabilized with no scope at all or a very dim chance of further reducing. The other half of realtors who have laid down their sales expecting a further fall in prices have seen the change have started bouncing back with projects.
With the reformed moves like demonetization and digital economy by the Government, it is evident that the marker would see a wipe out of the unorganized as well as the less organized high cash real estate developers with only the reputed key players with good customs standing tall in the market. This will thereafter create a ‘Demand High’ ‘Supply Less’ form of situation because of the less number of developers in the market.
The property buyers looking forward to investing in housing units should realize this aspect of the industry. The pricing of the units is an important factor in the present realty market and none of the builders in Whitefield and other areas of Bangalore would leave the chance of offering the best price to the customers to save the businesses. As such, the current immediate time is the most favourable one for the home buyers to cement their move and secure the best real estate deal. With additional liquidity of funds and lower costs for the banks, the lending interest rates provided by commercial banks will also come down. The financial institutions and banks may also further relax their total margin requirement for the effective home loans. Home buyers as such would find it easier to take Housing loans and subsequently the demand for housing properties would rise. Also the recently introduced Budget 2017-18 have also brought about radical changes and transformations to the real estate sector.