Property buying sentiment gets a new boost in an improving economy

Date : Feb 13, 2015

Investing in real estate is indeed a long-term decision and can be risky if approached without an understanding of the complexity that surrounds the sector. Compared to the mature real estate markets in developed countries, buyers in India need to adopt a higher degree of diligence before entering into property agreements, feel real estate experts.

The issues that surface usually pertain to ownership rights of the property, understanding the difference between usable and sale-able area in the absence of standardised definitions, completion of projects and receipt of the completion certificate and so on. But the most crucial aspect is identifying the appropriate location for investment.

It is in this context that INDIA TODAY has come out with its issue on real estate hotspots in the country. Based on a study by real estate consultancy Jones Lang LaSalle (JLL), destinations have been selected, classified as either emerging or growing sub-markets which are likely to be well-supported by good infrastructure.

These locations offer a large bouquet of investible options in real estate with their relative lower price levels, and are promising when it comes to future capital appreciation and healthy returns.

Market pundits have already started to forecast 2015 as the best year in the current decade when it comes to real estate absorption. "Accelerated industry momentum, improving GDP growth and a moderate tax regime usually results in an improved savings ratio in the economy," says Om Ahuja, CEO, residential services, JLL India.

If interest rates get reduced in early 2015 and the economy gets into a better growth trajectory as predicted, coupled with lower inflation, buying sentiment can get a further boost. That, indeed, will be a comeback moment for the realty sector.

Source And Courtsey By :- http://indiatoday.intoday.in/story/property-buying-sentiment-gets-a-new-boost-in-an-improving-economy/1/418712.html