REAL ESTATE TRENDS FOR 2022
Is there any industry that has not been spared the long term effects of Covid - 19 pandemic? As one sees devastation, job losses, closures of companies & economy on a downward turn, one notices quite clearly that there are several repercussions for all sectors of the economy including real estate. Real estate is a sector that is booming in India thanks to a mindset of people to progress in life, the burgeoning population of the country as well as various schemes that facilitate purchasing/developing or even rentals. In this blog, we are examining trends in the real estate domain that will be visible in 2022 and beyond.
The trends for the real estate domain in 2022 are:
- Investing in property for personal use. With people now getting the opportunity to "work from home" or "remote working" as they say, people are moving back to their towns, villages and cities. They no longer need to stay on rentals in flats in big hubs such as Delhi, Bangalore, Mumbai, Hyderabad or Chennai. This gives them the opportunity to purchase homes for themselves or family members that are affordable, expansive and in their familiar home turfs.
- The real estate boom in the suburb towns/cities surrounding the big cities will continue. Be it builder floors, apart or condo complexes, people will invest in these affordable real estate centres for various purposes - investment or personal use.
- Companies that operated out of large workspaces etc will consider moving to smaller spaces as staff are remaining at home, and it makes no sense to keep such large spaces that result in an increase in their financial overheads. Smaller companies are shuttering or signing up with co - working spaces that are mushrooming.
- Co - working spaces will boom. These spaces with a host of facilities on offer were select in number in big cities like our main metros. Now thanks to the current pandemic, this is a space that is going to see a steady growth, not only in tier 1 destinations but even beyond. These spaces offer many benefits such as wi-fi, meeting rooms, snack counters, electronic supports such as printers, scanners and photo copiers. Companies would rather use them for their workers instead of investing in their own office etc.
- More foreign investment in commercial real estate. There has been no slowing of interest in our country. Deals are being signed. warehousing and logistics sectors are also being benefitted from foreign interest, finally, these sectors will get the much -needed professionalism needed to ensure our country offers world class facilities.
- Credit crisis. buyers will get more risk-averse in terms of credit terms. Hence the bigger and well - known brands will thrive
- The current levels of real estate prices will stabilize and are not expected to experience a slump anymore, which it did last year and this year.