Attracting Buyers in a Slow Market: Developers Offer EMI Relief
Facing a correcting real estate market and hesitant buyers, developers are devising strategies to stimulate demand. A popular tactic involves offering incentives that alleviate the burden of Equated Monthly Installments (EMIs) until buyers take possession of their properties.
No EMI Until Possession
Several real estate companies, including Parsvnath Developers, are promoting "No EMI until possession" offers. This approach aims to provide immediate financial relief to prospective homeowners.
EMI Holidays
Other developers, such as BPTP and Gaursons, are providing EMI holidays for specific projects, typically lasting for two years. "For those currently renting, this scheme makes sense, as the EMI burden begins only after possession," explains Mr. Amit Raj Jain.
Project-Specific Offers
- BPTP's 'Resort' project in Faridabad: Offers a two-year pre-EMI interest payment to the bank on behalf of buyers. This effectively covers the interest during the construction phase.
- Parsvnath's 'Parsvnath Preston' project in Sonepat: Reimburses the monthly installments paid before possession, providing a significant financial advantage to buyers. Dr. B.P. Dhaka, COO, explained that such value additions are gaining traction, motivating customers to make down payments and offering peace of mind until possession. From the developers' standpoint, this ensures timely project completion through a consistent flow of funds.
- KDP Infrastructure's 'Grand Savanna' project in Ghaziabad: Offers "No pre-EMI for 18 months" with a fifteen percent booking amount payment.
- Gaursons India's 'Gaur Grandeur' project in Noida: Presents buyers with a "No EMI till 24 months" offer.
- JMD Gardens' project in Gurgaon: Promises that EMI payments will commence only after the buyer moves into their new home.
These incentives represent a concerted effort by developers to address market challenges and encourage homeownership by reducing the initial financial strain associated with purchasing property.