Discounts may not rain this Navratri 2024, but several real estate developers are offering several payment plans apart from the usual gifts like gold coins, phones, modular kitchens, international holidays, etc. are. Having said that, real estate agents this Christmas season will primarily be offering incentives to the affordable and mid-priced segments, which saw weak sales in Q3 2024, to sweeten the deal. are.
Discounts may not rain this Navratri 2024, but some real estate developers are offering some payment plan schemes apart from the usual gifts like gold coins, phones, modular kitchens, international holidays, etc. We provide. (Instagram)
Santosh Kumar, vice chairman of ANAROCK Group, said that if developers continue to offer discounts and incentives, sales in the third quarter of 2024 will mainly be due to the sluggish affordable and mid-range segment. It’s going to be a segment. With our focus on these two segments, there is less reason to favor a deal. “Also, buyers of luxury homes are less attracted to such offers than affordable or mid-priced homes,” he said.
In the affordable and mid-range segments, certain offers and exemptions may cause cost-sensitive buyers to reconsider. However, they may focus more on the actual property and project and consider offers that make the property more affordable. All things considered, it is not appropriate to suggest that offers other than hard discounts or statutory fee waivers will shorten the time to sell a property, he added.
According to a Knight Frank report, the share of affordable housing fell by 14% annually in the quarter ended September, with Mumbai and Kolkata emerging as outlier markets with year-on-year growth in sales for the sector. “Demand was suppressed by the combined effects of higher prices in the sector, higher mortgage rates, and the relatively negative effects of the pandemic,” the report said.
Sales in the mid-segment (homes in the price range of Rs 5 million to Rs 1 million) also increased by 13% year-on-year in Q3 2024 as homebuyers’ attention shifted to higher price categories during the quarter. % decreased. According to the report, a corresponding decline in new releases in this category also contributed to the slump in sales.
Also read: Home sales in top eight cities rose 5% to 87,000 units from July to September, with Mumbai leading the way
Home sales from October to December are generally higher compared to the previous two quarters due to the festival season, which is considered an auspicious time to buy a home. According to real estate experts, sales are expected to remain strong this year from October to December.
“The country’s housing market continues to show strong momentum, with the structural upcycle now entering its fourth year. Although overall home sales growth has slowed slightly, the luxury housing market remains strong. It is certain that growth will continue in both sales and prices during the upcoming Christmas season. Looking ahead, increasing participation from the low to mid-price segment will be critical. Key factors such as large-scale transit-oriented infrastructure development, government financial support, and anticipated easing of mortgage rates will boost affordability and allow these groups to once again participate in the ongoing housing boom. It is expected that this will become a reality,” said Vivek Rati, state in-charge. Director of Research, Knight Frank India.
What’s on offer this holiday season?
Several developers are launching or planning to launch new projects this Christmas season. Anant Raj Limited plans to launch luxury designer apartments called Estate Apartments in Sector 63A, Gurugram within the existing integrated township. Signatureglobal Business Park, a subsidiary of SignatureGlobal India, has launched a new project, Daxin, Gurugram’s X Factor, at Sohna Toll Plaza, south of Gurugram, Sohna, Haryana. The project is spread over an area of 125.60 acres with an overall developable area of 7.2 million square feet.
Rajdarbar Ventures, a Delhi-NC based real estate company, is holding a raffle where it will offer its customers a chance to win luxury cars worth Rs 1.5 million. We also offer 20 grams of gold coins to our channel partners for every booking.
Also read: Festival season 2024: Mumbai real estate market reports 10% drop in property registrations during Ganesh festival
Escon Infra Realtors is offering a scheme where buyers will receive a debit note of Rs 600,000 by investing in a property of 3000 sq ft or more. Customers who opt for lower size units will be provided with 6 split air conditioners or a debit note of ₹200,000. Additionally, properties of all sizes can benefit from complementary kitchen appliances such as chimneys, stoves, OTGs, microwaves, and RO systems.
Mumbai-based real estate company Group Satellite is offering 1BHK apartments priced at around Rs 54.5 million in its Aarambh Avian project with a payment plan where buyers pay only 10% plus stamp duty for now. . Every purchase comes with a 10 gram gold coin and a modular kitchen.
Also read: Ganesh Chaturthi 2024: Buy now, pay later scheme takes center stage in Mumbai’s real estate market this festive season
P. Rajendran, chief sales and marketing officer, Shapoorji Pallonji Real Estate, said the company is offering buyers the opportunity to stay current by offering payment plan flexibility, reduced booking amounts, special festive sales, etc. He points out that the aim is to give them the opportunity to make the most of the season.
Ashwin Sheth Group plans to distribute 10,000 keys out of which 4 lucky keys will unlock 4 2BHK apartments. It will also offer an MG Windsor EV, Bose Home Theater Systems, round-trip airfare to Amsterdam, and 16 iPhone units. These offers are for the projects of Sheth Avalon in Thane, Montana in Mulund, Sheth Zuri in Thane and Edmond Aurelia in Kandivali.
Bonito Designs, a home interior design brand backed by HDFC Bank and Abhinandan Lodha’s company Lodha Ventures, is offering benefits worth Rs 700 crore to new customers. Customers can enjoy benefits such as celebrity design fee savings of up to Rs 2.5 million, no-cost EMI plans, free upgrades to premium products and guaranteed gold coins on every booking.
Not all offers lead to great deals
Real estate experts say festival season offers only make sense if buyers feel they are getting a good deal. Some point out that festive sales in the real estate sector are being used to clear unsold stock, similar to discounts offered by retailers at the end of the season.
Homebuyers should evaluate celebratory offers based on their intrinsic value. Ask yourself if you really need gold coins. If you want to sit back and focus on your career for now, a family vacation abroad may not make much sense.
If the homebuyer already owns or is offered a freebie they don’t want, they can choose other discounts. For example, if a developer provides air conditioners in two rooms and a hall of a 2BHK apartment, he can instead seek a reduction of 100,000 from the total expenditure. Buyers must modify how these freebies are converted into monetary amounts.
However, free parking spaces, stamp duty and registration fee exemptions, and maintenance-free periods further increase the savings and therefore the value of the deal. Air conditioning, modular kitchens and furniture are also expenses that are likely to be incurred on the property sooner or later, so offering them for free could actually increase their value even more, experts say.
While ready-to-move-in properties are safe, properties in under-construction projects can also be a good choice if they come from a reputable developer or if delivery is about six months away.
Buyers looking to purchase real estate for investment purposes should not expect immediate capital gains. Besides residential real estate, you can also consider investing in leased commercial real estate assets.
