Changing dynamics of real estate companies
India’s real estate market is on an increasing growth curve. It is speculated that the industry will be growing in the near future. Evaluating from a bigger lens, the impact of recession seems like a hiccup. In 2012, the prospects for retail real estate in Delhi NCR were devastated by a slowing new supply along with inferior quality of the supply that was quite prevalent then . NCR’s property market, which is currently passing through a setback phase is all set to regain its lost momentum with the revival in economy. Government is attempting for all required initiatives to capitalize on the inherent capabilities of the real estate and infrastructure sector to bring back the lost glory and deliver better opportunities to its citizens. The impact of the subdued economic sentiment and the rising inflation rate on the realty market and the attractiveness of a city’s business environment can largely be gauged by evaluating the health of commercial realty in that city. The top real estate companies in the delhi ncr region are back to their actions. Re sales and new projects can also be traced in the northern part of India. The impact of recession has undoubtedly eased.
Veterans say real estate developers were Developers were caught in a trap — of ambitious expansion, decelerating sale, hardening interest rates, and weakening cash flows,’’. Or does the problem lay elsewhere, far more structural? Let’s understand this problem via simple Economics. Most of us understand how demand and supply affects prices of any commodity and real estate is one such commodity. As per available data, India is facing a shortage of over 24 million housing units. So, the demand is there and supply has not kept pace with it. Housing is not a scarce commodity, unlike gold, where the prices keep increasing disproportionately to its actual need. From 2005 to 2013, the average salary of an Indian has increased 2.5 times. On the other hand, property prices in the major Indian cities have gone up nearly 5 times. Now add in inflation over the same period and the net salary increase is less than 100 per cent. Now factor in the hardening interest rates along with the fact that the banks today, lend on an average a maximum of 80 per cent of the property price compared to 90 per cent during the boom years. Even if we were to discount the current bleak economic scenario, the math is pretty clear about the affordability of present day properties.
One of the leading real estate companies in India ,Saviour Group, incorporated in 18 December, 2006 have been leaving its mark in the real estate firmament through its lavish constructions. Being placed in the capital of the country it has been equally active in the NCR region. Saviour builders have lately launched their new project Greenarch . The project is a joint venture by Saviour Builders Pvt Ltd. and New Way Homes Pvt Ltd. Greater Noida is a fast-growing region and is connected to Agra by the six-lane Yamuna Expressway especially when it comes to absorption or sale of residential units and project launches. Over the past 5 Years, it’s become one of the prestigious locations for investors.
Posted on October 24, 2013, in Real Estate and tagged Flats in Delhi NCR, Flats in Noida, Properties in Delhi NCR, Real Estate Company in India, Real Estate Developers in Delhi NCR, Real Estate India, Sanjay Rastogi, Sanjay Rastogi Builder, Sanjay Rastogi Builders. Bookmark the permalink. Leave a comment.