Will the Festive Season Revive the COVID-hit Housing Market?

The onset of the festive season coupled with the easing of lockdown restrictions might bring in some respite to the COVID-hit realty market.

For many industries and sectors in India, the turnover of the entire year depends upon the sales and profits made during the auspicious months of October-December. This holds true even for the real estate sector. This is the period when India celebrates multiple festivals and occasions, starting with Navaratri, followed by Diwali, then Christmas, and ending with New Year’s Eve. Since this is considered the most auspicious period, people tend to make big purchases during this time.

From a religious point of view, purchases/ investments made during this period are considered lucky and are believed to yield better returns. Economically, this is the best period to make purchases as manufacturers and developers offer special deals, freebies, and payment plans to woo customers and make the most of their high-selling period.

This year, however, things are different. Owing to the outbreak of COVID-19, the economy is witnessing a gloomy period. Pandemic-induced stalled construction, lack of labour and rising prices of raw materials have hit the realty sector hard.

In spite of that, builders across the country have started marketing their products aggressively, offering flexible payment plans on ready-to-move-in properties and many other irresistible offers. This indicated a clear intent to capitalise on the growing need for homeownership post the pandemic.

Work-from-home scenarios, the importance of owning a property at least for investment sake, and festive offers on properties by top developers are believed to have improved buyer sentiments in the market. This is expected to contribute towards reviving the real estate sector after the COVID-induced slump. Market reports claim that homeownership inquiries have gone back to the numbers that were there in pre-COVID times.

Should I Buy a Property Now?

Yes, why not? Money-wise, this is the best time to invest in Real Estate. Home loans are available at low-interest rates. To top that, banks are also offering waivers to customers. In order to encourage buyers, some states have reduced stamp duty rates.

Since huge inventory is unsold, developers and builders are ready to sell it at lower prices. To cash up on the festive times, they have further introduced discounts and freebies you cannot say no to.

What are Builders Doing to Facilitate Sales?

The introduction of technology to Real Estate was doing just fine when the coronavirus hit the economies. During the lockdown, real tech paced up and now people are taking well to it. Marketing has switched over to social media and webinars, and sales are now happening via virtual meetings and home tours. Now that the economy is slowly opening, online project walk-throughs are followed by site visits via prior appointments.

With festivities in high spirits, builders are making the most of this time. They have aggravated their marketing strategy and are offering discounts and deals customers cannot refuse.