Remember when our idea of the “perfect house” was a property that comprised massive rooms, huge backyards, terrace lounges, and gardens? Welcome to Gen Y – the generation of millennials whose priorities have taken a drastic shift. Today’s generation wants smart spaces with ease of furnishing, huge backyards notwithstanding!
India is on its way to becoming the world’s youngest nation. Our youth drives our economy, and the real estate segment is right in the midst of this growth route. However, it’s not just a shift in priorities. Another compelling reason behind today’s generation veering towards compact housing is non-availability of land, sky-high costs, and the Indian government’s “Housing for All by 2022” initiative.
Developers are also making a conscious effort to build affordable houses for lower and middle-income groups, thereby, making the dream of owning a house for every individual come true.
The influx of young professionals in tier I and II cities
In the past decade, cities like Mumbai, Delhi, NCR, Bengaluru, and Chennai have seen a tremendous influx of young professionals aged between 25-34, thereby, leading to a surge in demand for residential properties. These are professionals that believe in concepts like “walking to work”, “a lifestyle amidst commercial hotspots”, and “ease of commute”.
Interestingly, the cities above also happen to be the very destinations that lack large land parcels, which makes way for smaller, albeit, efficient houses that are equipped with modern features, if not a large floor plan.
Given the re-monetisation of major banking institutions in the country, the substantial influx of funds has given way to banks offering catchy, attractive schemes, and incentives for anyone who wants a home loan.
Slashed rates and striking incentives have further made home buying much easier in today’s time, which means, any individual who’s looking to buy a mid-budget home can finally own one.
The government aims to build about 20 million affordable houses by March 2022, which has further cemented the role of compact housing in Indian real estate. These houses are affordable, compact, and are equipped with all basic amenities. Not to mention, they come at reduced rates and a fleet of incentives. Land rates are only soaring higher, which makes now the best time to invest in a property under this scheme.
All the before-mentioned factors attribute themselves to the future of Indian real estate that focuses primarily on compact housing. With a strong hold on today’s real estate and immense business potential, the compact housing segment is only likely to grow in the coming years.
This article is contributed by Gunjan Goel, Director, Media & Marketing Communications, Goel Ganga Developments.
The views expressed here are solely those of the author and do not necessarily represent or reflect the views of RoofandFloor.
