Indian Real Estate Stands Tall
The Indian real estate market is expected to exhibit a CAGR of 9.60% during 2022-2027. Between January and September of 2022, the economy of India improved by 53% compared to the same time in 2021. During the first nine months of 2022, total investments in Indian real estate reached $3.6 billion, an increase of 18% compared to the same time the previous year. With the lockdown now a thing of the past, demand for housing in India’s major industries has increased. The requirement for larger residences that can accommodate the hybrid work culture and provide better facilities.
The buoyancy of India's real estate market was evidenced by rising absorption rates in the residential, office, and logistics sectors. Office sector investments accounted for nearly half of total investments. The commercial office segment in India is back on the radar of investors due to growing occupier confidence in the industry. Experts are clear about the following:
- ● Investing in real estate can beat inflation in the long run.
- ● Despite the 190 basis points since May 2022, house loan rates remain lucrative.
- ● Indian real estate is at the pinnacle of a multi-year bull phase.
The January-September quarter of 2022 saw house sales and new launches surpass the full-year figures of 2019 by almost 2.73 lakh units and 2.65 lakh units, respectively. This suggests an increase in home demand. When inflationary pressures are present, it makes sense for an end-user to purchase a home because while rents will continue to rise, EMIs are unlikely to increase. Inflation is generally a component of a modern market economy, and astute financial investors hedge their bets on outperforming resources notwithstanding inflationary pressure.
The massive investments being made by the government is making in the construction of roads, rail, and air travel will stimulate the Indian housing market. According to industry experts, land has proven to be a stable investment during inflation. Investing in real estate is a significant decision because it becomes a more useful and well-known store of significant value amidst inflation while generating increased rental income. So, when prices rise, real estate may frequently be an excellent investment.
Of-beat places like Goa are much in demand. People scouting for second homes and holiday homes prefer Goa as the state has a lot to offer. Apart from providing great landscapes, natural beauty and favourable weather, it is also well connected by road, rail, sea and airport. With the international airport becoming operational shortly, the real estate prices and rental yield in the region are expected to go up even further.
Given the potential in this region, Axis Ecorp has started multiple projects in the region. Its Axis Blues has been a runaway hit and there is a lot of demand for Axis Yog Villas and Axis Lake City. People looking for one of the best villas in North Goa and the Sindhudurg region are vouching for Axis Yog Villas. The property is located in a plush location and boasts lavish amenities and minimalistic interiors.
The real estate sector has shown great resilience in 2022, and With the fiscal situation improving, the Indian economy is projected to grow at or above 7% in FY23. It is anticipated that the demand for luxury houses and high-quality real estate developments will stay stable in the future, independent of interest rates or price hikes. Finally, projects developed by reputed names like Axis Ecorp will continue to get traction with buyers and continue to grow.
