Are you wondering if you should buy a house now or wait for some more time? Well, realty expert Santosh Kumar, Vice Chairman at ANAROCK Property Consultants, feels that this is the right time to buy a house.
“If demand is more than supply, prices will firm up,” Kumar told Business Today. “It has been constant for the last two-three years. Except Mumbai, you will not see much of a price appreciation in the near future- at least for 1-1.5 years. Which is why this is the right time to buy house.”
Kumar was in conversation with BT about the genesis of the crisis and why consumer confidence may be making a comeback now when he strongly recommended that this is absolutely right time to invest in a property.
The renowned realty expert also explained how the real estate crisis began in India. He said that since Indian market survived till 2011 from global recession somehow, every developer went into a land-acquiring spree. The developers were not focusing then on construction, but only on expansion.
As a result of the chaos, developers got stuck and projects started getting delayed, leading to distrust among home buyers. The liquidity position of the developer started getting worse in 2012 to 2017 because sales were not happening. Since there was no inflow, construction of the projects further got stuck.
Kumar also assured that after RERA, the customer is now confident and is demanding completed projects. There reportedly also been a decline in unsold inventory.
The realty expert also mentioned how after the correction, developers are now also re-launching their projects with smaller affordable homes to meet the customer’s demand. Skewness of demand to supply in the real estate housing segment, which was there until a small time ago, is somewhere diminishing day by day.
Since prices are expected to remain stable for the coming few months, it seems indeed wise to invest in property now before the next appreciation hits the real estate housing segment.