By Aditya Kushwaha
As the festive season approaches, the housing market in India is gearing up to meet the anticipated surge in demand. A confluence of favourable economic conditions and attractive offers from housing finance companies is creating a promising environment for potential homebuyers, especially first-time buyers. Among the factors supporting this momentum is the Reserve Bank of India’s decision to maintain its policy rate at 6.5%, ensuring financial stability and affordability in borrowing, which is expected to bolster housing sales in the coming quarter.
Tradition Meets Opportunity
In India, the festive season is often associated with new beginnings and significant purchases. This cultural backdrop and enticing financial offers have resulted in a boost in property sales. Key real estate players are focusing on enabling the Economically Weaker Section (EWS) and Low-Income Groups (LIG) to buy homes, especially in Tier 2, 3, and 4 cities.
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Destinations such as Goa, Nainital, Mukteshwar, and Puri see a significant influx of tourists during the festive season. Owning a holiday home in these popular areas provides an opportunity to generate rental income. Properties in tourist hotspots generally increase in value over time, and this trend often accelerates during festival periods. Purchasing a holiday home at this time allows for capital appreciation, especially as demand for vacation properties continues to rise.
Festivals are traditionally celebrated with family and friends, and owning a holiday home enables individuals to create lasting memories by hosting gatherings in picturesque settings. For example, one might celebrate Diwali in a hilltop villa in Nainital or spend Christmas at a beachside house in Goa.
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Government Schemes and Market Shifts
Government initiatives, such as PMAY 2, are also playing a key role in supporting the housing market. The scheme aims to increase the availability of affordable housing and simplify access to home loans for qualified buyers.
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