Today more and more realty space is being used for various purposes other than housing, such as professional gaming zones and hybrid residential spaces. A lot of new trends are accompanying such changes that will reshape the real estate sector. Experts from Arun Dev Builders LTD look into five such trends that you will see growing quickly in 2017!
The big mergers
Medium and small real estate companies go for consolidation when sales are slow and the skill pool is running out. It will help the real estate sector to reduce the crowd. This depends on how much equity is injected into the realty sector by investors.
Affordable housing is cheaper
Affordable housing is now an infrastructure. By the end of 2019, 1 crore homes will be constructed in rural and semi-urban zones. External commercial borrowings (ECBs), will give people easy and cheap access to finances. The sector will improve with the help of re-financing from national housing banks.
Co-working spaces on the rise
Different from mergers, co-working has people from different organizations share the same infrastructure and space. Co-working spaces offer the organization with many perks, including:
- Employee motivation
- Employee retention
- Increase in productivity
- Cost reduction
Moreover, it’s the best option for companies who wish to work close to their client site.
Real estate business models will have to align themselves with the Real Estate Regulation and Development Act (RERA). It will enforce transparency and responsibility on the real estate developers. Adding to the above are the effects of Benami Property Act and the Goods & Service Tax (GST). The real estate players need to make serious changes if they wish to be in the market.
Real estate capital boost
The changes in regulations and real estate framework have attracted a lot of investors. Experts from Arun Dev Builders LTD believe that Real Estate Investment Trusts (REITs) will rope in more of such investors with multi-modal income sources and high capital appreciations.