D.S.Tripathy Joint Secretary Credai Giving Updates on Present Real Estate Schenario to Hon'ble Minister UD Govt of Odisha and BDA Vice Chairman On Occassion of Property Expo
BHUBANESWAR: Real estate developers in the city are targeting affordable housing to revive the sluggish real estate market.
A property expo by Confederation of Real Estate Developers Association of India (Credai), Odisha chapter, which began here on Friday, offers houses at prices as low as Rs 5.5 lakh.
"The low price tag is a realistic approach. There are buyers for low cost houses, while the city has unsold inventory for high-end properties," said Pradeep Khuntia, project in-charge of AVS Kutira, a project offering 150 housing units in the cost range of Rs 5.5 lakh (One bed room, kitchen) to Rs 13.5 lakh (two bed rooms, hall, kitchen).
Around 50 builders are participating in the three-day expo at Janata Maidan. The builders together are presenting at least 1,000 units below Rs 20 lakh. Majority of the units are in the range of Rs 10 lakh-Rs 20 lakh.
"We believe, the slowdown market can turn around with the low cost houses. There are prospective home buyers in this segment for whom currently few houses are available, while for the high-end investor-buyers the city has a large stock," said Binaya Krishna Das, president, Credai Odisha.
Umesh Patnaik, general secretary, Credai Odisha, said it is for the first time that developers have shown houses below Rs six lakh. By the next year, the builders will have plenty to offer at still lower range starting from Rs 3.2 lakh to meet the needs of the economically weaker sections, he said.
The changing trend of builders shifting focus to low cost houses comes at a time when the realty sector is experiencing a slump. Housing projects floated in the past two to three years worth Rs 20,000 crore are under various stages of construction in the state capital and its periphery. An estimated 40 per cent of these projects are yet to get buyers.
"The new projects to be floated or launched recently will be mostly studio apartments, 1BHK and 2BHK units that will cost below Rs 25 lakh," said D S Tripathy, national joint secretary, Credai.