Realty sector not amused with Track2Realty survey findings suggesting Indians find new launches risky-IV
While property still remains the preferred choice of investment of nearly all the Indians, as high as 92 per cent, they are pretty scared of trading in the property market now. While new launches have few takers, most of the transactions are happening in the ready-to-move and other secondary market options.
70 per cent of the Indians who are looking to invest again after occupying a house assert they prefer relatively safer bets like infra bonds than be sorry after the new launches are stuck up due to developers’ poor financial condition, regulatory hassles or other legal issues.
More than half of home buyers, 52 per cent are ready to pay slightly more for a ready-to-move property because they want to make sure who their neighbours would be and the overall community profile of the apartment.
77 per cent of home buyers maintain that the days of trading house (anything less around 12-24 months) are over and under construction house can give a sizeable return only if it is for a long term investment. Moreover, those who need a roof over the head have many other factors to worry than to be lured by the appreciation potential of the periphery under developed area.
The realty sector may not accept it, but the bottom line is that they have found to be lacking in consumer confidence, something that has hit their own bottom lines only. If there is more activity in the secondary property market, and if the discerning buyers are wary of investing in the new launches, it is definitely not good for the sector reeling under liquidity crunch in the absence of both the buyers as well as investors.