Real estate trends to watch in 2020

Indian real estate has been under stress for a long period and with the onset of the new year 2020, we are expecting a marked change to see better times!  It is far too early to predict that normalcy will be restored for the real estate sector in 2020, some predictions could certainly be made on how the markets will behave. Here is an insight on key real estate trends to watch out for in India's housing markets in 2020 by Asset Homes leading Builders in Kochi. 

Will property prices come down?

The answer to this question is No! While many builders are coping with the severe financial crisis, there isn't much of an option on reducing unit rates of apartments in Kochi. It will be hard to find cheaper homes in 2020 as in the past years. 

Will consumer rights be protected in 2020?

With the implementation of RERA, we see a change in the market as builders will now be offering clean transactions. There is also hope in the justice system with justice being delivered much faster than the regular judicial system. 

Will instances of project delays reduce?

Developers know that in case of project delays, they will have to compensate buyers and so the promise of early delivery of projects has come down. Asset Homes, the Kochi based builder in Kerala has come out with Mission 100 - an ambitious target of completion and delivery of 500 residential units in 100 days (1 million Sq. ft) to rejuvenate the stagnant real estate sector in Kerala. With this initiative, Asset Homes plan to complete the ongoing projects of seven residential units as well as a commercial project spread across various parts of the State between December 23rd and March 31st 2020. 

Will home loan rates fall further?

With GDP growth touching an over six-year low of 4.5 per cent in Q2 FY20, many banks, haven’t been able to pass on the benefit to borrowers because of the stress in their own liquidity conditions. The RBI is expected to lower policy rates further to fuel demand and banks may offer lower interest housing loans in 2020. 

Which markets would perform comparatively better?

Many housing markets in India might continue to struggle due to builder insolvency and project delay issues, markets like Hyderabad, Bangalore and Mumbai may perform better, mainly because of the demand for office spaces.

What about rental housing?

In the current real estate scenario, the rental housing segment in India, especially for apartments in Kochi, is doing better business thanks to the fact that more and more people are postponing their plans to buy a home including the co-living segment. Rental housing could become more organised if states act upon the model tenancy law launched in 2019.

Will it be a good idea to invest in a house in 2020?

It makes better sense to buy an apartment in Kochi with Asset Homes in 2020. Asset Homes is the only builder in Kochi, Kerala to receive DA2+, the highest rating of CRISIL for completing 58 projects within 12 years. Happy buying & best of luck to you!