The sentiment index score for India’s real estate sector remained optimistic and touched an all-time high throughout October-December quarter, whereas stakeholders confirmed “prudent optimism” in their outlook for the subsequent six months amid rising instances of coronavirus, in accordance with a survey report.
As per the Knight Frank-FICCI-NAREDCO Real Estate Sentiment Index report, the ‘Current Sentiment Index’ touched an all-time high of 65 in October-December 2021.
The earlier high was a sentiment index score of 63 in Q3 2021.
The score of above 50 signifies ‘Optimism’ in sentiments, a score of fifty means the sentiment is ‘Same’ or ‘Neutral’, whereas a score beneath 50 signifies ‘Pessimism’.
The report attributed the advance in the index to decreased uncertainty on the financial entrance resulting in stability in demand in the real estate sector.
The ‘Future Sentiment Index’ which measures the outlook for the subsequent six months, remained optimistic, however dipped from 72 in Q3 2021 to 60 in This fall 2021, reflecting a prudent optimism because the Omicron-inflicted threat on the Indian financial system is but to be discerned.
The Real Estate Sentiment Index relies on a quarterly survey of key supply-side stakeholders which embrace builders and monetary establishments.
Sanjay Dutt, Joint Chairman FICCI Real Estate Committee and Managing Director & Chief Executive Officer Tata Realty & Infrastructure Ltd stated, “2020 and 2021 might be coined as historic years for real estate.”
While the pandemic disrupted the sector globally, it additionally offered a chance to take a step again and put in place constructing blocks for long-term sustainable development, he added.
“As we cope with every wave extra confidently, I’m certain that we’re on the cusp of a really thrilling and unprecedented cycle of real estate development,” Dutt stated.
Naredco President Rajan Bandelkar stated the nations are getting higher at coping with the COVID pandemic.
“We are at the moment in the third wave of COVID, which has undoubtedly impacted the Future Sentiment score. However, I need to add that it nonetheless stays in the optimistic zone and is momentary and can inch again up quickly,” he added.
Knight Frank India CMD Shishir Baijal stated the demand continues to be robust however stakeholders are adopting a cautious method in the wake of the uncertainty arising from the third wave of COVID-19.
“The real estate sector has demonstrated an indomitable spirit and has remained strong in the final 5 quarters largely led by the residential sector development,” Baijal stated.
Home mortgage rates of interest are at a historic low and the RBI’s agency assurance in sustaining the established order has additional boosted demand in the market, he added.
(Only the headline and movie of this report might have been reworked by the Business Standard workers; the remainder of the content material is auto-generated from a syndicated feed.)