The year 2009 is poised to bring a much-needed uplift in the real estate sector, transforming it into a more buyer-friendly landscape. With cuts to both property prices and home loan rates, the stage is set for a resurgence. Developers are expected to pivot their focus toward creating volume through affordable price points, making homeownership more accessible than ever.
The government's initiative to bolster home loan availability will particularly benefit low-segment borrowers, specifically those seeking loans up to Rs 20 lakh. Public sector banks have decreased their interest rates on loans, and it is anticipated that private banks and housing finance companies (HFCs) will quickly follow suit.
Experts highlight the importance of the supply side keeping pace with the growing demand in this segment. “The important thing now is for the supply side to catch up with the increasing demand in this segment,” say industry experts.
Sanjay Dutt, CEO Business, India, at Jones Lang LaSalle Meghraj, notes the positive trajectory set by the Central Government to reinvigorate the economy. He believes that the correction in real estate prices, paired with lower interest rates, acts as a catalyst for a series of optimistic developments in the sector.