Festival season: A perfect time to buy property
India is a land of festivals and every festival celebrated here has a mythological story connected to it. There is a certain novelty and auspiciousness attached to the festivals celebrated here. Every family starts something new or makes a new investment during festivals. Likewise, merchants and business brands also host the biggest and craziest deals to please their customers and boost their sales. There are several other vital factors which make festive season one of the best times of the year to make an investment in the real estate.
For Indians, buying a house is as special as celebrating a festival and hence they always look forward for an auspicious moment, when he/she can buy his/her property. There is a common belief that there should be no bad omens during this period and process of buying their property and thus people take precautions like scheduling the deal during a ‘shubhmuhurat’.
The property buying decision is often governed by religious sentiments. Developers, thus, dole out heavy discounts during this time to ensure maximum sales. Experts believe that the real estate sector has a lot of unsold inventory in the luxury space but not in the affordable housing space where there is a major supply shortfall.
Hence, the customer has to first segregate both these markets and adopt a suitable approach for each of them that effectively enable them to get the best deal. In the luxury space, it's clearly a buyer's market; hence, the buyer can name his price within the region. A 15-20 percent discount below the listed price is possible in projects where the developer has a high debt.
As soon as the festive season starts, the real estate industry gets abuzz with activity. While the developers start aggressively promoting their projects, then start exploring the different properties matching their budget and specifications. Some of the prominent reasons that one must make property investments during this auspicious season include:
- Indians believe that the festive season brings good luck and it is auspicious to make the big investments which can bring good returns in the future. Many people even link it with prosperity.
- As the financial institutions and banks come up with better loan options and great deals, the investors might get the deals which work ideally for them and which they may not get for the rest of the year.
- The property developers offer a unique host of freebies and heavier discounts. Furthermore, since the competition during this season is quite intense, one might get better and flexible payment options for the properties.
- The number of property projects which are launched in the festive season is more than any other time of the year. During this time of the year, one can get anything ranging from affordable housing to the highly luxurious dwellings.
While during the festive season, the developers scramble to outwit each other in winning the investors’ attention and investment, there are a lot of promotional schemes that one can get and indulge into by investing in property during the festive season. The property developers attract buyers with one of the following perks or incentives:
- Travel vouchers to a variety of national and international investments
- Free club memberships
- Gold coins
- Cash discounts
- Free home appliances and amenities
- Brokerage discounts
- Benefits on stamp duty or registration fees
The above mentioned tips have given you a clear picture on the favorable time to invest in properties
Things to keep in mind for value picking
Apart from being auspicious, there are different factors that you need to think about buying property throughout this time. Builders and developers create ingenious offers and payment strategies, while banks likewise release different loans to raise the interest of purchasers.
"Pick projects where the developer has a good track record of quality, on-time delivery, amenities being delivered across other projects, etc. For the affordable housing space, always go with a branded developer with a high reputation; pick a project which is an integrated township near a railway station. Look for a place where people are already residing or the possession is only a few months away. This way, the customer can be sure of the amenities being delivered and also that utilities such as water, electricity, etc, are not a problem," suggests Rohit Poddar, managing director, Poddar Developers.
Buying a property is a one-time decision for many, so while buying a property during the festive season; buyers should focus on the budget and the connectivity of the area as they are the most important factors one should keep in mind for value picking.
Gaurav Shah, director sales and marketing, Ravi Group, feels, "The cost of the property plays an important role, whether the buyer is buying an under construction flat or a resale property. If the cost is not considered, the dream home could end up becoming more of a worry than an escape. Another prime factor is the connectivity. The area should be well-connected to schools, colleges, hospitals, markets, shopping places and bus, train stations. The location is often an afterthought when it comes to purchasing a property because nowadays, buying a property in Mumbai is an expensive affair."
According to experts, the festive season creates a win-win-win situation wherein buyers, developers and financiers, all benefit from the appropriate environment. Historically, property transactions increase by 25-35 percent during the festive season and in certain cases, upto 40 percent of sales take place during this period.