According to CREDAI, the apex body of the real estate sector, demand for housing in the Indian real estate market remains strong and there are no signs of slowdown.
Property prices in India have risen tremendously, especially in the last 3-4 years. In such a situation, investors feel that perhaps the property prices may not rise much now or there may be a slight decline in them. But, real estate organization CREDAI does not agree with these speculations. Because, it has said that the demand for housing in the Indian real estate market remains strong and there are no signs of slowdown in it, as well as more new housing projects need to be offered to meet the demand. According to CREDAI, the apex organization of the real estate sector, house sales in a quarter may fall due to fewer offers, but the increased consumer demand after the COVID-19 pandemic remains intact.
Big demand for property in India
CREDAI is going to organize ‘CREDAI Natcon’ summit in Sydney on 23-26 September. More than 1,100 delegates will participate in it. When asked about the expected decline in sales in the current quarter, CREDAI National President Manoj Gaur said that new launches have been less in the September quarter.
“There is no ‘inventory’. There is huge demand for residential properties from good developers at the right locations and attractive prices,” Gaur told reporters here when asked about the latest PropEquity data.
No offers compared to demand
PropEquity estimated that sales in India fell 18 per cent to 1,04,393 units in nine major cities in July-September. “There is demand but there is no supply,” said Irfan Razak, chairman and managing director of Prestige Group and former president of CREDAI. He said demand in the Indian housing market is “evergreen”.
Citing the example of his company, Razak said that sales bookings of Prestige Estates projects declined in the April-June quarter due to low number of offers. CREDAI National President Boman Irani stressed the need for provision of Goods and Services Tax (GST) ‘input credit’ in the real estate sector.
He also stressed on changing the definition of affordable housing, the limit of which was fixed at Rs 45 lakh in 2017. Irani said that real estate prices have increased significantly and hence this limit needs to be revised. The Confederation of Real Estate Developers Association of India (CREDAI) has about 14,000 real estate developer members across the country.