2020, the year of action has officially begun and it marks the starting of a decade of effective implementation of many plans made in the previous years. Plans previously made for the development of the Indian Real estate are full-blown into action with deadlines, like housing for all by 2022. The Indian Realty Sector 2020 market with significant shifts in the structure and functionality is full-fledged in action this year. With a major impact of global trends and national reforms like REIT’S, Gst, and Pradhan Mantri Awas Yojana, there is a considerable change in the Indian Realty Sector 2020 landscape.
The Indian Real Estate market is to hit a benchmark of $180 billion this year with many trends taking on the traditional market. Also, with rapid economic and social changes, and revolutionizing reforms, Real Estate has found itself at the center of the developing economy.
A glimpse of Indian Realty Sector 2020-
1. RERA Bringing In The Structure and Transparency
Two of the most significant reforms that hugely impacted the Real Estate sector in the past decade are GST implication and RERA reforms. The taxation and regulatory reforms bought in by the government have helped the Real Estate immensely, by bringing in the long due structure to the sector. RERA reforms have also helped this sector to gain the trust of the investors, through promising returns, secure structure, transparency in the Real estate investment process.
RERA’s Impact on Real Estate in 2020-
Only lawful Real Estate deals provided by credible builders will only have a place in this new structure of the Real Estate.
Stringent rules and laws ensuring fair practices thus reducing the risks involved.
- Increased transparency in the structure and transactions as well.
Eliminating illegal brokerage and small developers.
2. Affordable Housing
Affordable housing is another segment of the Real estate that is been constantly encouraged by the government with reforms like the Pradhan Mantri Awas yojana. Right from less taxation on residential properties to low-interest house loans, the government has taken many measures for achieving its goal of affordable housing for all by 2022. But, it might have to take some more strong measures like low registration and stamp duty fees, affordable land prices to reach there.
Also, though the luxury residential market has witnessed a slowdown lately, the affordable residential Real Estate is yet to develop only. Developed technology, impactful reforms, reliable builders, and financial support to fill in the gaps of the affordable housing sector will be witnessed in 2020
3. Southern- Metropolitan Cities With Wide Opportunities
The southern metropolitan cities, that are growing at a faster pace with increased job opportunities, developed infrastructure, and technology have become IT hubs and thus emerged as the Real Estate hotspots. Cities like Bangalore, Chennai, and Hyderabad are going to witnessing a huge demand for the Real Estate market. The establishment of IT hubs and the development residential market in and around them has majorly affected the rise of these cities as Real Estate hotspots. In 2020 the Real Estate market in these cities further expected to grow at a larger pace.
4. Commercial Real Estate
With the traditional residential market taking a back seat, the commercial market is getting in pace. The real estate which was once just buying land for constructing a house now has completely evolved as an investment vehicle with attractive returns. Commercial real estate has also started taking up, with the technology’s impact and development of IT hubs in India. The office market is growing in leaps and bounds with the introduction of REITs and Private equity. These channels helped in democratizing the commercial real estate and made it easy for investing in Real Estate.
Though a little risky the commercial real estate is highly beneficial compared to other traditional options. Private equities are online crowdfunding platforms that help the investor to invest directly in the commercial properties offered on the platform. The best part is that the investment is backed by an attractive Real Estate property. Assetmonk is an online platform offering high growth potential Real estate investment opportunities to the value investors.
5. Technology Innovation Bringing In Revolution
Technology that has been taking every field of life now has set its foot in the Real Estate market too. The technology has already started it’s work, updating and improving with every passing day. Artificial Intelligence is also to be entering the industry this 2020 making the process more simplified but secure.
With an increased internet connection all over India in the past few years, technological advances in Real Estate will help in making it accessible to all. Though there are quite a few challenges, India has a long way to go. Investment platforms like Assetmonk are some of the forerunners in embracing technology and streamlining investment decisions.
The Indian real estate market that is predicted to reach the US $1 trillion, by 2030 still has a long way to reach there. With, government’s support through reforms, development of technology and new trends to push their way this sector is developing at a faster rate. Real Estate is one of the best investment options with greater returns though comes with a little risk.
The technology backing up this sector will make the impact largely with easy access and transactions. Real Estate in the coming years will only grow bigger and attractive, and investment in this sector is what you might want to do to make a fortune.