The onset of the Covid-19 pandemic brought a remarkable shift in global economic sectors. Like other sectors, the real estate sector was affected by the pandemic. In 2022, specific paradigm shifts are expected in the market sentiment and consumer behaviour. The demand in 2020 and 2021 for residential apartments and plots increased. In the commercial space, the retail sector witnessed a massive surge. Corporate houses leveraged their operations in response to increased connectivity. They forecasted economic growth as a rebound to the pandemic in 2021. This economic growth is expected to continue in 2022 and 2023, impacting the real estate sector to cross-sales over three lakhs of residential units in India.
Expected Trends in the Real Estate Sector
Commercial real estate will witness a more stable market in 2022. The projected trends are rising demand for workspaces and additional liquidity. Some of the major Real Estate trends to look forward to in 2022 would be:
- Increase in the Demand for Spacious Homes– Work from home and online schooling practices has increased during the pandemic. The demand for spacious homes to accommodate individual family members’ needs has surged.
- The Digitalisation of the Real Estate Industry– The real estate industry has witnessed a paradigm shift from offline to online sales and services. Virtual walkthroughs, online payments, online site visits and digitalisation have impacted business operations. This emerging trend in business operations is here to stay.
- Emphasis on Flexible Homes– Real estate designers and developers incorporate trending designs with flexible homes to meet and satisfy the buyer’s demands.
- The rising demand for Flexible Workspaces and Co-Working Spaces– With the onset of the new normal, the year 2022 may steer the demand trajectory towards flexible workspaces. The pandemic saw many office closures and a convenient shift to ubiquitous remote employment globally facilitated by technology and digital communication. The organisations, in this way, could reduce costs, raise productivity and provide flexible work solutions. Hybrid workforces and Co-working spaces have emerged as the new trend in real estate.
- Shift to Peripheral Locations – Homebuyers preferred residences in the city hubs close to the place of work. City dwellers have shown a trend to move to peripheral locations in the suburbs in aspiration for bigger houses, better lifestyles and access to recreational activities. It is also rewarding regarding the price and privacy attached to a property.
- Green and Smart Homes– Real estate in 2022 has seen a need for sustainable and innovative homes. Technologically enabled to support the daily activities and operate appliances, the demand for automated homes with Wi-Fi access and virtual assistance is the day’s trend. In unity, Real estate developers are graduating towards environment-friendly and sustainable homes. Developers are giving strong emphasis to LEED, IGBC, GRIHA and BEE certifications to validate the reduction in carbon footprints during the construction phase.
- Government Support to the Real Estate Industry– Policies as tax incentives, low-interest rates on home loans, reduced circle rates, stamp duty exemptions by the Government bodies has attracted the buyer to invest in property. With the FD rates gone down to 5-6% annually and rental yield gone up by 3-4%, the buyer’s focus is to shift to real estate investment.
- Reassessment of Labour Laws– with social distancing and sanitation becoming a priority for safeguarding the workers at the construction sites, the trend will be the emergence of new Labour Laws in the future. [1,2]
Post pandemic, the evolution in real estate buying preferences is observed. The onus has graduated from a searchlight effort to intelligent investment decisions on bespoke property, offering sustainable, smart and green solutions with noticeable fewer carbon footprints.
Arrjavv- The Dream Homemakers
A realtor and developer, Arjavv’s vision shape the dreams for a home buyer. Buying a property comes with the challenges of selecting a locale, narrowing onto a project, negotiating prices, and understanding an aggressive sales strategy. And making the right choice; is a process facilitated and promoted by Arrjav that enables the right choice.
Their projects are built to the highest standards of construction. They offer a plethora of amenities, accompanied by a transparent and honest buying process is designed to provide you with peace of mind and a pleasant purchasing experience.