The flagship survey performed quarterly by Knight Frank India and National Real Estate Development Council (NAREDCO) famous that Current Sentiment soared to a brand new excessive of 68 – indicating that the majority stake holders skilled optimistic developments of their companies within the final 6 months together with the interval of the survey.
Importantly, the Future Sentiment rating recorded at 75 was at a historic finest. This rating signifies the expectations of the builders/buyers for the following six months from the time of the survey.
The Current Sentiment rating elevated from 65 in This autumn 2021 to 68 in Q1 2022 because the final six months remained optimistic for development for many actual property stake holders.
The Q1 2022’s survey findings current a really optimistic stakeholder outlook for the residential market within the subsequent six months on the again of robust homebuying demand.
80% of the survey respondents anticipate residential gross sales to extend within the subsequent six months. This is a major enchancment over This autumn 2021, when 72% of the respondents had an identical view.
78% of the survey respondents within the present quarter anticipate residential costs to extend within the subsequent six months. During This autumn 2021, solely 34% of the survey respondents had an identical take. Stakeholders’ sentiments about residential launches additionally remained upbeat for the following six months. 80% of the stakeholders anticipate residential provide to extend within the subsequent six months.
The Future Sentiment rating, which gauges the stakeholders’ expectations for the following six months, additionally soared to 75 in Q1 2022 in view of a resolute financial outlook and continued demand for actual property house throughout asset courses. With the removing of all COVID-19 protocols by the Indian authorities, there’s a additional increase in sentiments.
South Zone stays probably the most optimistic market with the best rating throughout zones within the present quarter. The Future Sentiment Score for South has inched up from 64 in This autumn 2021 to 66 in Q1 2022. Compared to This autumn 2021, the Future Sentiment rating for the North Zone has inched up considerably with a rise from 57 in This autumn 2021 to 65 in Q1 2022 as key markets within the North Zone recorded good traction in each workplace and residential sectors. The different zones – West and East – maintained their optimistic place with a rating of 57 every. Despite a marginal fall in East, the place the rating altered from 58 in This autumn 2021 to 57 in Q1 2022, each these areas remained within the optimistic territory.
As the Indian economic system navigated the third wave while being confronted by uncertainty of a warfare in Europe, the actual property sector momentum remained unabated, particularly of the residential section.
Commercial actual property segments additionally confirmed development after the hiatus of the pandemic. While the feelings have been optimistic for the 2 earlier quarters, this rating is among the finest reached within the historical past of the survey.
When requested on their Economic Outlook for India, 85% of respondents in Q1 2022 anticipate the general financial momentum to enhance over the following six months. In phrases of Credit Availability Outlook, 66% of the respondents anticipate the funding availability to extend over the following six months, whereas 29% anticipate it to stay the identical in the course of the interval.
Shishir Baijal, Chairman and Managing Director, Knight Frank India stated, “The growth in the residential market has been impressive, elevating the sentiments of the entire sector. As most companies start calling their staff back to work, office space demand has also been growing steadily. The buoyancy in stakeholders’ take on the sector reflects positively in both the Current and Future Sentiment Scores. However, geo- political tensions impacting crude oil prices, are leading to a rise in inflation in Indian market, which can impact demand from end users. The scenario is further complicated with supply chain disruptions, rise in input cost and an impending interest rate hike, all of which need to be watched carefully in the near future.”
Source: www.financialexpress.com”