The demand for home is driven by new trends, NRI Involvement and altering lifestyles. Real Estate report shows that homes with luxury and ultra-luxury features are more demanded.
Sources related to Real Estate reported that luxury homes are more demanded. Festive offers and free gifts, greater number of non-resident Indians (NRIs) investment, altering lifestyles, etc. are pointed as the causes of this new trend.
According to the available sources luxury homes worth Rs. 20-Crore, or even more, are demanded in some of the metropolitan cities of India. Luxury homes with price tag of Rs. 1-Crore also are demanded highly.
The present statistics show that the Real Estate sector has become slightly sluggish these days. However in spite of this lethargy existing in the real estate sector, some luxury projects were launched by the developers.
Real estate consultancy firm Jones Lang LaSalle (JLL)’s research head Mr. Ashutosh Limaye opined that this trend is mainly due to the increasing number of well-heeled class of people. He added that the increased number of NRIs as well as rapid pace of urbanization as other reasons behind this trend.
Incursion of global lifestyle trends can be noted as another reason for this. For example each unit at Lodha Group’s World One Tower in Central Mumbai is priced above Rs.50-Crore mark.
However the fall of rupee invited many NRIs into real estate investment. Mr. Limaye added that the real estate developers are stimulated to develop luxury projects above Rs. 1–Crore and below Rs. 20-Crores.
The report said that in the period from 2008 to 2012, nearly $30 billion worth luxury residential projects were launched. In the same period 182 luxury- oriented residential projects were delivered. These projects contained 25,570 units across the top seven cities of India like NCR-Delhi, Mumbai, Bangalore, Chennai, Kolkata and so on.
The increasing number of high-net-worth individuals – HNWIs will further invite more demand for luxury homes. At present there are nearly 1.53 lakh HNWIs in India. Further the number is growing at higher pace.
Bangalore- centered Sobha Developers’ managing director Mr. JC Sharma said that the market has demand for all sorts of homes. Affordable homes are demanded by the weaker section of the people.
In the same way the affluent class raises demand for luxury homes, he added. He highlighted the fluctuating lifestyles and rise in the income levels as driving forces of the demand for luxury homes.
Returning NRIs look for homes with global standards and facilities. This is another factor which gives rise to the demand for luxury homes.
However the real estate builders are bringing in various new products to drag the attention of home buyers. The developers are on the verge to introduce Singaporean and American-style apartments.
Even some of the real estate firms have endorsement with global stars like Maria Sharapova and Michael Schumacher as part of their marketing strategy. Some other real estate developers have bagged the Indian Cricketers and Bollywood stars to endorse their projects.
In collaboration with Disney Consumer Products, Sunteck is to launch Sunteck City which is marketed as Disney inspired homes. In the same way Lodha group has joined hands together with Giorgio Armani in designing Lodha World One, which is flaunted as the tallest residential tower of the world.