Majority Urban Indians Want To Buy Property This Festive Season
YG Research India Private Limited suggests that more than half (51%) of urban Indians agree that this is a good time to invest in real estate in India.
As Diwali is believed to be an auspicious period to make investments in property, YouGov’s new research indicates that while, most of the people looking to invest in real estate are planning to a buy residential property (72%), a considerable proportion (25%) wants to invest in commercial properties.
Availability of loans at a low interest rate could be encouraging people to explore the idea of investing in real estate this festive season, as 16% respondents claimed this to be their reason. However, delay of the original plan to buy due to the pandemic has emerged as the top reason to invest in property this year (19%). Other reasons include better prices (17%), intention to save and buy a property in 2021 (17%) and availability of funds due to recent financial gains (15%).
When it comes to their property buying plans, more than a third (35%) of urban Indians said they plan to invest in real estate in the next six months. Among these intenders, adults between 25-44 years are most likely to say this than the rest. Among the genders, men were more likely than women to say they will invest in property, while among the city-tiers, we see tier I (39%) and tier II (38%) city residents holding this view more strongly than tier-3 residents (30%)
Top Financing Options
More than a third of urban Indians are looking to invest in property, with home loans being the top financing solution. The top way of financing their plans is through home loans (as said by 38%). Using savings is the next best option (30%), followed by financing their dream by selling another property (21%).
Favourite Housing Segments
Affordable properties under ₹50 Lakhs have emerged as the most preferred with more than two in five (44%) willing to invest that amount. The ₹50 Lakh – ₹1 crore budget range property is at the second spot with 41% urban Indians looking to invest that amount. People residing in North India (44%) and those staying in the Tier I cities (48%) are most likely to invest within this price range. Only 9% property seekers in urban India are willing to invest in properties above ₹ 1 crore.
Property Search Sources
As sources of information regarding property and real estate, recommendations from family and friends (48%), real-estate websites (45%) and local brokers or property agents (42%) appeared as the top sources that people have used or are using in their quest to find the ideal property.