Secondary property market showing signs of recovery
Brokers have started shifting towards secondary market as many are reluctant to buy new properties
May 05, 2015
Source : Business Standard

 

New Delhi: Sales in the secondary property market are slowly picking up. Many developers and brokers have started buying property in anticipation of an increase in prices in the next 18-24 months.

“We’re looking at options in the secondary residential market in many places, especially Mumbai and the Delhi, National Capital Region, since the prices are flat and one will get a good deal. It is the best time to buy in the resale market,” a chief executive officer of a leading developer told Business Standard, on condition of anonymity. The secondary market has been showing good numbers in recent months.

A Noida-based broker, buying properties in good locations since last year, plans to sell at a higher price later this year, said: “Buyers are not coming in good numbers in the secondary market, though some sales have been happening. Prices have been stagnant for one or two years or only marginal uptake in specific localities.”

Over the past few years, brokers have also slowly started shifting towards the secondary market. Many are reluctant to buy new property because of fear of delay in possession and other issues. According to experts, the number of queries for ready to move in and resale properties have increased after the formation of a stable government. However, a revival in the sector is still seen as 18-24 months away.

New real estate portals such as PropTiger and Commonfloor are also focusing on the secondary market in a big way. Last week, realty portal PropTiger acquired Makaan.com, a major player in the secondary market.

The sector has been facing difficult times for the past few years, owing to issues ranging from delivery delays to fund crunch and declining sales. While the sector continues to be hit by a huge inventory, a drop in the number of new launches and delivery blues have shaken buyers’ and investors’ confidence.

“At PropTiger, our strength is end-to-end services in primary segment, while Makaan.com with its relationships with over 40,000 brokers across 50 major cities has great control of the secondary market; that's where the synergy will flow in from. We had already started the pilot project in the secondary market and are getting a good response. Soon, we will live in all cities where we have bases,” said PropTiger co-founder Prashan Agarwal.

Latest Realty News

Bonanza-for-some-Mumbai-builders-who’ve-exceeded-FSI-limits
May 05, 2015
MUMBAI: The BJP-controlled state urban development department (UDD) is set to favour some builders
HUDA-eyes-Rs-3,000-cr-windfall-through-registry-of-plots
May 05, 2015
GURGAON: Haryana Urban Development Authority (HUDA) is about to send notices to allottees by May-end to ensure plots are registered
Brookfield,-Incor-to-jointly-develop-Rs-500-cr-mixed-use-project-in-Hyderabad
May 05, 2015
HYDERABAD: A joint venture Realty project approximately worth a whopping Rs 400-500 crore has made its way into the 'hi-tech' city
Maharashtra-mulls-SEZ-Prevention-of-Land-Speculation-Bill
May 05, 2015
MUMBAI: The Maharashtra government plans to introduce a 'SEZ Prevention of Land Speculation Bill'
Bhubaneshwar-developers-hope-revised-realty-bill-will-drive-growth
May 05, 2015
Bhubaneswar: Developers in the city feel certain key changes proposed by the new dispensation were urgently needed for the survival of the real estate sector
Home-developers-continue-to-restrict-new-launches-on-huge-inventory
May 05, 2015
NEW DELHI: Developers across the top six cities continuing to restrict new residential project launches
India-for-deeper-engagement-of-ADB-for-smart-cities,-railways
May 05, 2015
New Delhi: Finance Minister Arun Jaitley sought "deeper engagement" of the Asian Development Bank (ADB) for development of smart cities
Maharashtra-govt-plans-to-start-'housing-fund'
May 05, 2015
Mumbai: In a bid to make homes more affordable for people in Maharashtra, the state government is planning to start a 'housing fund'
Modi-government-faces-opposition-test-on-GST-and-Real-Estate-Bills
May 05, 2015
NEW DELHI: The government's legislative agenda may suffer a setback
Pvt-equity-investors-fund-realty-sector-amidst-slowdown-fears
May 05, 2015
Pune: Private equity investors have not lost faith in the potential this sector holds as they continued to pump in money

Latest Realty News Of State

Realty Talk's