Tag: Ansal Housing

Business

The RBI has once again opted to keep the repo rate unchanged

Feb 8, 2024 by Sujata Muguda 0 Comments #Ajendra Singh, #Ambience Group, #Amit Modi, #Ankush Kaul, #Ansal Housing, #Ashwinder R. Singh, #Axiom Landbase, #Bhartiya Urban, #CMD Gaurs Group, #County Group, #CREDAI NCR, #kushagr ansal, #Manoj Gaur, #Mohit Goel, #MRG Group, #Nayan Raheja, #Omaxe Group, #Pawan Sharma, #Pradeep Aggarwal, #Raheja Developers, #Rajesh K Saraf, #Rajjath Goel, #Sanchit Bhutani, #Sanjay Sharma, #Saya Group, #Signature Global (India) Ltd, #SKA Group, #Spectrum Metro, #Trisol Red, #Vikas Bhasin

The outcomes of the Reserve Bank of India’s (RBI) meeting have been announced by Governor Shaktikanta Das, confirming that there have been no changes to the repo rate, which remains steady at 6.5 percent. As a result, there will be no increase in loan EMIs. The real estate sector has welcomed this decision favorably.

Manoj Gaur, President CREDAI NCR and CMD Gaurs Group

Excellent decision by RBI. For the last one year, RBI has kept the repo rate unchanged at 6.5%. The real estate sector continues to exhibit a steady demand, the commercial segment is doing exceptionally well, and the country’s economy is growing from strength to strength. The residential segment will maintain the trajectory it took last year. I am sure that the sector will continue to show buoyancy as in the past quarters across the country.

Amit Modi, Director County Group

Once again, RBI has not made any changes in the repo rate, which is undeniably beneficial for the real estate sector. This will particularly uplift the morale of home buyers and investors. It clearly indicates that the country’s economy is consistently performing well.

Mohit Goel, Managing Director Omaxe Group

The RBI’s decision to maintain the repo rate at 6.5% aligns with its consistent approach and is welcomed. With a robust economy, high GDP growth, buoyant Sensex, stable crude oil prices, and easing inflation, the real estate sector is poised to sustain its strong performance in 2024. RBI’s decision aligns well with the country’s economic performance and signals stability, crucial for the ongoing realty sector’s robust growth.

Ashwinder R. Singh, Co-Chairman, CII, NR Committee for Real Estate, CEO Residential at Bhartiya Urban

With policy rates unchanged @6.50% and the RBI MPC’s commitment towards stable lending rates bodes well for India’s real estate sector, particularly in terms of home sales and home loans. With steady rates, prospective homebuyers can approach the market with confidence, driving increased demand for residential properties and facilitating easier access to home financing. This positive environment fosters growth and opportunity within the housing market, benefitting both buyers and developers alike.”

Nayan Raheja, Raheja Developers

The realty sector welcomes the RBI’s decision to hold the repo rate. This move will foster stability and bolster confidence among stakeholders, including home buyers and investors. However, the repo rate at 6.5% remains at a 4-year high, and a rollback would have boosted the affordable housing segment.

Pradeep Aggarwal, Founder & Chairman, Signature Global (India) Ltd

As expected, the RBI kept rates on hold. The prolonged pause, for the sixth time, since February 2023, is aimed at keeping inflation in check without hurting the economic growth momentum. With the reduction in policy rates would have been the best scenario for interest-sensitive sectors like the real estate sector, policy continuity is the next best outcome for both borrowers and developers alike. The decision allows homebuyers to make informed choices, which is expected to result in enhanced demand across all housing segments in line with the country’s overall economic progress.

Kushagr Ansal, Director Ansal Housing

The RBI’s decision to uphold the current repo rate is greeted with approval. While the real estate sector hoped for a slight reduction, this decision underscores stability. It is poised to enhance confidence among developers and homebuyers, providing clearer long-term financial commitments and EMIs.

Rajjath Goel, Managing Director of MRG Group, comments on

The RBI’s decision to sustain the repo rate at 6.5% for one more consecutive time, anticipating a positive surge in the housing market. Despite the rising housing costs, the unchanged home loan rates offer a semblance of relief to homebuyers. Consequently, both buyers and developers stand to benefit from stable interest rates, fostering increased consumer confidence and investment in the sector. The RBI’s decision is expected to bolster new launches and the expansion of projects in emerging hotspots.

Ankush Kaul, chief business officer – Ambience Group

“A commendable decision by RBI. It has been one year since the RBI decided to hit the pause button and keep the repo rate at 6.5%. It is expected to stimulate growth and boost the realty sector, providing a fillip to the premium housing and commercial segments. This decision presents the picture of the country’s resilient economy.

Sanchit Bhutani, MD of Group 108

This move is seen as a positive development, anticipated to stimulate growth in the real estate sector. The decision is expected to provide relief to the middle-income group, as they won’t have to bear the burden of higher interest rates on home loans. Additionally, there is a prediction that both commercial and residential property sales will experience an upswing. The Reserve Bank of India’s choice to maintain the repo rate reflects growing confidence in the sector.”

Rajesh K Saraf, Axiom Landbase, Managing Director, Axiom Landbase

The RBI’s decision to maintain the repo rate at 6.5% brings positive implications for the Indian housing and home loan sector. With interest rates remaining steady, prospective homebuyers can benefit from a favorable lending environment. This consistent stance instills confidence in the market’s reliability.

Pawan Sharma, Managing Director Trisol Red, comments that

The decision not to increase the repo rate is once again good news for the real estate sector. The fact that the repo rate has not increased in the past year has proven beneficial for the real estate sector in every aspect. This is undoubtedly excellent relief news for both home buyers and investors. Indeed, this will further benefit the market.

Sanjay Sharma, the Director of SKA Group

He emphasized that any hike in interest rates could adversely affect the real estate sector. The decision not to increase interest rates is expected to boost investor confidence and contribute to a rise in demand for residential properties.

Vikas Bhasin, Chairman & Managing Director, Saya Group

The RBI’s decision to keep the repo rate steady provides optimism to the real estate sector. This move underscores both macro and microeconomic stability, fueling year-end housing sales and bolstering the sector’s growth trajectory for 2024. It showcases the resilience of the country’s economy, poised to spur growth, particularly in premium housing and commercial segments.

Ajendra Singh, Vice-President (Sales & Marketing) Spectrum Metro

Not making changes in the repo rate signifies that the Indian Economy is strong. Compared to the Global Economy, India’s economic situation is better. The steps taken by the RBI are beneficial for the commercial and residential real estate sector in every aspect. We hope that this entire year will prove to be suitable for investors.

Business World

NCR witness 111% jump in new launches

Apr 8, 2021 by Neel Achary 0 Comments #Ansal Housing, #Director, #kushagr ansal

Delhi NCR market has performed much better than all other major cities in terms of new launches as the region witnessed a jump of 111% in Q1 2021 over Q4 2020. The next close city is Chennai that saw a jump of 74% in the same period, and Pune with 57%. According to JLL Q1 Residential Market Update – Q1 2021 report, “The markets of Delhi NCR and Chennai witnessed a substantial increase in launch activity during the quarter. New launches are still at 84% when compared to the pre-Covid levels of Q1 2020. Developers across the markets under review remain focused on the completion of under-construction projects and clearing their existing inventory.”

Many realtors point this change to the increasing confidence in the market, reflected in the sales figures. According to the JLL report, recovery in NCR was 92% of pre-COVID levels, and sales volume in Q1 2021 increased to 23% over Q4 2020. “The continued increase in sales indicates that demand and customer confidence is returning to the market; this is due to historically low home loan interest rates, stable housing prices, attractive payment schedules and freebies from developers, as well as government incentives. The start of the vaccine campaign has also helped to attract consumers back to the market,” says Ashok Gupta, CMD, Ajnara India Ltd.

There were 33,953 new residential units launched in the first quarter of 2021, up 27% from the previous quarter. With 69 per cent of new launches in the sub Rs 1 crore categories in Q1 2021, the growth focus on mid and affordable segments continues. Harvinder Singh Sikka, MD, Sikka Group feels that “Stamp duty reductions, more home loan rate reductions by most banks, and continuing discounts and deals have helped the residential sector make a successful comeback. Several new projects were launched in the October-December timeframe, fuelled by strong sales and positive consumer sentiment.”

Compared with Q1 2020, NCR added approximately 6,750 units in Q1 2021, a Y-o-Y increase of 9%; out of the total, approximately 52% of the new supply was in the affordable segment, according to ANAROCK’s Q1 2021 data. The data also revealed that the top 7 cities saw around 62,130 new homes launched in Q1 2021 (as opposed to 41,220 units in Q1 2020) – a significant increase of 51% Y-o-Y. “With improved demand and supply in the affordable housing market, the real estate sector, which has been going through a rough patch for the past few years, is gaining traction in Delhi-NCR. In 2020, affordable housing accounted for 40% of demand. Nearly 38 per cent of the overall affordable housing demand in the country came from Delhi-NCR. Gurugram accounted for 32 per cent of total demand in the Delhi-NCR region. Homebuyers have been much more circumspect in their decisions. There is an increasing preference for affordable housing premium projects built by developers with impeccable track record. The new launches by established developers, who have the capability to execute high-quality products, are thriving in the post-covid period,” says Mr. Pradeep Aggarwal, Founder & Chairman, Signature Global, and Chairman, National Council on Affordable Housing, ASSOCHAM.

With 43% share, mid-segment housing saw the maximum new launches in the quarter, while the affordable housing segment accounted for 30%. According to the Anarock data, the supply of luxury housing (priced >INR 1.5 Cr) also rose by 31% in Q1 2021 against the corresponding period in 2020. “Throughout 2021, housing affordability is expected to remain extremely favorable. If the current perks and benefits continue, we should expect more development in the coming quarters. The uncertainty surrounding employment and income stability is expected to decrease in the coming quarters, based on the expected economic growth trend. Increased consumer trust will have a direct positive effect on the housing market. Maximum demand would be driven by end-users,” says Kushagr Ansal, Director, Ansal Housing.

Business World

Sohna is emerging as top real estate destinations

Mar 23, 2021 by Neel Achary 0 Comments #Ansal Housing, #Director, #kushagr ansal

Sohna has risen steadily on the livability index over the last few years; the city and its vicinity show promising progress on many of the key parameters of the livability index that have made NCR a promising urban centre and satellite area. It scores well on key factors such as current and potential access to other cities, health and education services, the location’s proximity to business growth and development centres, civic amenities, etc. By 2031, the total population of 6.4 Lakhs is estimated to reside in South Gurugram. Increased habitability has a beneficial impact on perceived wellbeing and the overall socio-economic climate.

“Today, Sohna micro market has both affordable and big ticket residential developments, besides prominent commercial and hospitality developments in South of Gurgaon and neighbouring micro markets. As a result of this Sohna has emerged as a real estate hub, particularly affordable mid-segment hub for both end- users and investors , offering variety in the form of group housing, builder floors and villas. The biggest advantage is that property here is much affordable compared to neighbouring micro markets. This lower entry point makes it attractive market for investors. According to Anarock report, prices here have appreciated in double digit since 2014. So much so that it has beaten Noida West , another affordable housing hub in the NCR,” says Pradeep Aggarwal, Founder & Chairman, Signature Global and Chairman, National Council on Affordable Housing, ASSOCHAM.

The affordability of housing is currently highly-priced as the cost of the majority of residential houses here varies between Rs.37-58 lakh for 2-BHK and Rs.61-89 lakh for 3-BHK. “In NCR, Sohna Road has emerged as one of the top-performing real estate markets as it has witnessed an appreciation of around 19% since 2013. The appreciation is much more than the appreciation in other markets of NCR, which is an indication of the livability and affordability of the area. Sohna Road has emerged not only as one of the best investment destinations, but also as the place where people can immediately move in,” says Ankit Kansal, Founder & MD, 360 Realtors.

Connectivity, in particular road connectivity, education, and infrastructure initiatives, which provided access to the location from across major business destinations, are the criteria on which the livability index has emerged favourably. Such criteria provide a strong framework for the location to grow its future potential. It is also connected very favourably to different primary employment locations, be it the service sector or the manufacturing and development sites.

As economic activity in services picks up and hits its critical mass towards southern vectors within Gurugram, some capital appreciation for existing housing or new launches, including South Gurugram, may be seen within accessible limits. The relative benefit of affordability will remain but will be steadily decreased. “The area is developing faster than expected as some of the government’s recent schemes and initiatives have given an impetus to the development of affordable units. The market here is at a nascent stage and most of the projects are in the under-construction stage. Coming years will see the delivery of many previously-launched units and a majority of these projects are group housing apartments,” says Kushagr Ansal, Director, Ansal Housing.

South Gurugram emerges as an autonomous self-supporting city, with robustly planned and maintained infrastructure and civic requirements by the civic authorities of the location and the construction of adequate retail and recreation centres within the region to reduce sites dependent on Gurugram and NCR nodal locations. The proof of the location’s potential can be measured by the fact that the Delhi-Mumbai Freight Corridor covers it, ensuring that secondary and tertiary industries are developed (or already existent). As the property prices are as low as half of the prevailing prices of the Gurugram, the area’s popularity is also rising as it becomes one of NCR’s economically sensitive real estate destinations.