Real estate has always been a sizzling trending market for housing or investing. Many people avoid real estate investments such as flats for sale in Mohali because they are scared of uncertainty. After all, there’s a lot of money involved. But, the real estate sector in India is seeing a surge owing to rising NRIs interest. As per a recent survey, at least 53% of NRI respondents who will buy properties in India in the coming months will look at the property for self-use, while 47% will consider buying for investment. In whichever case, the Indian real estate market is about to explode with demands.
As per the report, one major factor behind this is that many NRIs are returning to India amid the pandemic-induced uncertainties and dwindling job prospects globally. Also, they want to secure their investments in their home country too. Most saw the top seven cities as the best options, though many are also considering smaller cities to be close to their families.
In the recent years before covid, many NRIs were simply observing the real estate market amid the various structural reforms in the economy and the real estate industry. Before the pandemic, many NRIs used to prefer commercial properties—the housing market was low on their wish list. In other words, the fallout of covid on global economies and job prospects has once again sparked a huge interest in housing demand from NRIs.
There was a survey that found that the highest demand showed up for luxury properties with state-of-art amenities. About 50% of NRI respondents were inclined to luxury properties priced more than ₹1.5 crore, while 32% favored premium properties priced between ₹90 lakh and ₹1.5 crore. Interestingly, only 11% favored mid-segment homes (priced ₹45-90 lakh), and just 7% were interested in affordable properties. The survey also highlighted that the higher demand was for bigger homes with a set of luxury amenities. At least 48% NRI respondents preferred larger homes of 3/4 BHK Luxury apartments in Mohali (more than 1,500 sq. ft.) ,and other cities. A significant 24% stated a preference for 4BHKs or higher configurations.
The top metros favored by NRIs are Bengaluru, Pune, Chennai, and Mumbai. There was also higher demand for tier II and tier III cities, most notably Chandigarh, Kochi, Surat, Ahmedabad and Lucknow. NRIs usually buy the property back home as a financial investment and for reasons of sentimental attachment. They want to secure a future back in their home country too because many NRIs have been reported to come back because of innumerable reasons.
A significant chunk of these NRIs makes up India’s international ultrahigh net worth individual population and about 55 percent of them who own real estate properties in India will allocate their wealth towards buying a second home here. It’s a new change which is growing rapidly.
As per a latest estimate, nearly 13.5 per cent of these NRIs will increase their investments in real estate over the next three years in India. By 2022, NRIs could account for some 30-35 per cent of all realty investments in India. It’s time for you to get into the details of reality.
