Real Estate Sector Poised for High Growth During Festive Quarter

By Ashwani Kumar, Pyramid Infratech
With the festive season around the corner, which is a time of high consumer activity with plenty of optimism, the real estate sector is preparing for big momentum. The period sandwiched between festivals such as Navratri, Dussehra, and Diwali is not just culturally active but an auspicious time when property deals are consummated. These festivals have conventionally been associated with more property buying on account of the belief that investing in real estate during this period brings prosperity and good fortune.

Buoyancy in Market Sentiments

Existing market sentiments have been promising for the real estate sector. It has been reported that the interest and momentum of the real estate market have drastically improved. Buoyancy in sentiments is underlined by increased buyer confidence and a resurgence in property demand, predicting the lead-up to a festive period. Increased property sales during the festive season are recorded, with figures at an average increase of 20-30% in recent years. The infrastructure development and improvement in connectivity across Delhi-NCR further initiated the continuation of a positive outlook with a booming economy. The real estate market, thus, would be bound to boom with strong demand and favourable market conditions.

Surge in Buyer Interest and Transactions

Every year, the festive season witnesses an upsurge in buyer interest and transaction volumes. Recent reports indicate that this trend may continue in the future and that there is a possibility of a multi-fold increase in transactions during this festive season. Such growing interest is due to the amalgamation of lucrative deals, easy financial options, and the overall enthusiasm that surrounds property purchases during this time of the year, which is highly auspicious for real estate investment. With strategic launches, developers time the launch of new residential and commercial projects to coincide with the festive season to cash in on the high market activity. Despite high home loan interest rates, housing demand continues to be pretty resilient due to affordability in the market. The fact that more and more millennials are becoming real estate inventors with their increasing disposable incomes and premium tastes for rich living spaces is no doubt one of the driving forces for such a trend. Not only are homebuyers interested in buying, but quite eager to seal the deal on their property in this hopeful season, which further pegs the market as one of committed buyers.

Launch of New Projects Across Segments

New residential and commercial projects are launched by developers, timing them with the festive season so that they can cash in on the height of market activity and consumer enthusiasm. With the surge in housing demand, the sector anticipates to witness new launches during the festive quarter ahead. These efforts will now satisfy pent-up demand and enhance the function of the market by giving more options to prospective buyers and attracting more interest.

Festive seasons are also associated with enticing deals and offers. The idea behind these offers is to make the buying of a property more lucrative, bringing it within reach of the buyer to increase volumes. Reports indicate that such offers have normally translated into greater volumes of footfall and heightened buyer activity, contributing to an overall rise in the sector’s performance.

Since the festive season is considered to be the time of property purchasing, investors tend to grab the various opportunities provided by different developers. Investors buying multiple sites at one go is not a surprising factor, as that allows them sufficient scope of value appreciation within a short period along with rental incomes.

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Highest Growth Numbers During the Festive Quarter

The trend of the latest data with continuing sales and market momentum also supports the idea that this festive season helps ramp up the yearly growth figures. For instance, the luxury housing segment has seen phenomenal growth in H1 2024, with a rise in the number of transactions over previous corresponding periods. According to the latest data shared by Anarock, Delhi-NCR witnessed an over two times increase in sales of luxury homes priced above Rs 1.5 crore to 13,630 units in January-September this year on better demand and supply.

Data illustrates that there were 6,210 luxury home sales in last year’s January-September period. The festive season is expected to boom in the real estate sector with increased buyer interest, strategic project launches, and a rise in the number of investment deals. The market’s present positive sentiment and historical growth pattern indicate that this period will be very auspicious for both developers and investors.