If you're wondering why that once-in-a-lifetime discount from the builder hasn't come through as you had predicted to the spouse one night, blame it on sustained demand for housing.
Yeah? Is The Market Recovering?
No two ways about that. Per
Knight Frank estimates, housing sales across India's top 8 cities have almost risen 92% YoY in the quarter ending September 2021 and these numbers are already ahead of the 2019 quarterly average.
Most of this demand for housing has been driven by end-users, and with key demand levers (low mortgage rates, high affordability) staying on the crease, sustainability in sales is going to hold.
Also, there are fewer sad builders this time as the demand recovery has occurred across all three housing segments - affordable, mid income and luxury.
Critical Points of Note?
1️⃣ Housing demand is broad-based and sustainable across markets, aided by high affordability and the need for equity creation in the last five years or so.
2️⃣ Housing prices are at their lowest and any sharp price increases are unlikely in the next 4-5 quarters, as new supply will likely match demand across segments.
3️⃣ The best part of all? While consolidation among players has enabled large listed players to expand outside their origin markets, competition from local developers is expected to bounce back as buyer sentiment improves further.
