Key Property Trends in 2010 - By: Deepika B

The real estate in India has become normal as the slowdown crisis is over. The economic apocalypse hovering around the corner from last one-and-a-half years is finally done away with. Real estate experts believe that Indian property market is already on the path of recovery and will be restored soon at least in major cities.

According to a recent study, India leads the pack of top real estate investment markets in Asia for the year 2010. It has become the most lucrative investment option being on the fast paced developing spree since exit of recession. In India, the top two realty destinations identified by the report are Mumbai and Delhi as they show positive progress across all property segments from last six months. The asset markets in the Asia-Pacific region have been holding up quite well as compared to the European and American markets since the global economic meltdown.

From property investors to developers to company representatives, lenders, brokers and consultants, everyone believes in the positive sentiments of the Indian market. The reasons attributed for less distressful state of India’s real estate as opposed to US and Europe is the relative abundance of liquidity and low loan-to-value ratios. This made borrowers less vulnerable to loan servicing problems when market prices declined. It also indicates that it may be able to sustain high rates of liquidity in the current and future times.

Not only has the developmental activity in property market of India risen, it is also driven by growing need for manpower creating large number of job opportunities. Along with the upsurge in demand for property in India, the stability in prices is expected to be setting in. Though it remains to be seen if as per industry experts, in spite the price correction, prices of property in Delhi and Mumbai remains stable. The Indian economy had felt the heat initially but soon started to move in wake of growing economy and stable returns.

When the realty market in Mumbai and Delhi began declining, property developers came to rescue by offering discounts and other schemes at residential apartment, flats as well as commercial property. The sound financial support and easy access to home loans through Private and Public banks helped the industry to remain competitive and attractive to buyers. Town planning in extended cities, mainly on the borders of metros, has shown a new way of living by offering high end luxury. Buyers do not have to compromise with the living standards they prefers spacious luxury life outside city than slogging for space in bigger ones. This is what justifies the flourishing of real estate market surrounding metros like Gurgaon, Noida, Faridabad, Navi Mumbai, Jaipur, Chandigarh, Ahmedabad, Nasik and Pune.

As the Indian economy continues to show steady growth, real estate industry will reap the benefit in both short and long term. As soon as the demand from industrial segment ramps up sufficiently, the real estate scenario will be seen reaching higher heights. As the retail habits of consumers are changing, Indian retail was seen going through a decisive learning phase in the year 2009. High end retail will show a stronger hand this year as wider acceptance of big brands will be seen. The revenue sharing / minimum guarantee model will soon become the norm bringing its prevalence in India.

Be it residential, commercial or retail, real estate industry is definitely becoming the hottest asset segment in India. The upward curve prevalent in property market signifies recovery and restoration of the steeply fallen conditions during economic meltdown. It rightly indicates at the vast potential and future scope for development in realty market of the country.

About the Author

Deepika Bansal writes on behalf of 99acres.com, which is an internet portal dedicated to meet every aspect of the consumers needs in real estate industry. It is a forum where buyers, sellers & brokers can exchange information. At 99 acres, you can advertise a property in India , search property, browse through commercial space & other Properties

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