For the last few years residential real estate market has seen a sluggish demand, which caused the number of unsold inventories go up in some of the key markets. From developers point of view this has resulted in- 1) Correction of prices in many markets to increase the velocity of sales of unsold products. 2) Increased project launches with the right configurations to cater to existing demands.
2016 has started on a sunny note with an increase in demand of residential projects, one way or the other, factors have now transpired to make this into a buyer’s market giving the buyer an upper hand. They have a lot of options to choose from, with added benefit of flexible rates and attractive payment plans.
The Advantages of a Buyer’s Market
Real estate prices usually drop as the inventory goes up- but even if they don’t, the negotiations powers go up. Some sellers like to stick to their prices, but the buyer has an option to walk away and look for some other property, as it is the buyer’s market.
Remember, in a buyer’s market, it is the buyer who has the power. It pays to be aware of and confident about one’s bargaining power. If you find a property has been on the market for a long time and still unsold you can be sure that it has already undergone a price cut, in this case you can ask the seller for add-ons like eta furniture and fixtures besides the already discounted price.
Some of the real estate brokers may knock of some part of their commission to see the deal go through. The best advantage is to buy through a consultancy which takes no commission from the buyer but only from the seller. The ‘problem of plenty’ can confuse the buyers so go only for select properties from renowned developers this way you clear out all the small timers and can choose from the best.
A few tips-
Buy only from renowned developers with a healthy track record. If going for properties under construction then see that the project should be completed in the next 12- 18 months period.
It is essential to take good diligence in terms of projects market response and inventory sold, which will ensure the project is delivered.
One should only look at established corridors where social and physical infrastructure is in place or visibly under development.
Resurgence benefits are expected for both developers and buyers. Both the RBI and the government have taken certain steps to revive the real estate market. RERA is for total transparency and will protect the buyers’ interest from any fraudulent practices. The RBI has reduced the interest rates making it easier for the buyers to avail a cheaper bank loan. All these factors have boosted up the real estate market and resulted in a higher demand for residential properties.
Read More About……………Indian Real Estate: Is It a Buyers’ Market or Sellers’ Market?