If there is one thing that the pandemic has taught us (apart from washing hands) is the veritable importance of owning a home. During the last one year, when the entire world was forced to stay inside, the only thing that gave respite was if the four walls of your home belonged to you! And for those people who were living on rent during the pandemic, many realised the absolute importance of buying a house and the security blanket it provided. This is so because physical assets provide the highest sense of security, especially more so during a crisis. Therefore, it is now being observed that in future, the trend of investing in tangible assets will rise as people are understanding the importance of buying a house and investing in real estate. In these uncertain times, where a home was the only safe place, people who preferred rental accommodations will now explore home buying options and would benefit from a favourable market and cheaper home loans available. In case, you are still debating whether to take the plunge, we have made a list of SEVEN reasons why it is the best time to buy the home of your dreams.
1. Home loan rates at an all-time low
During the last few months, the Reserve Bank of India decided to reduce the repo rate as a result of which, home loan interest rates dropped to below 7 percent, a factor that’s going to be a huge enabler for home buyers. It’s also believed that these low-interest rates will continue for now so that makes it one of the best reasons to buy a home.
2. Demand side enablers
During previous crises, the property market was overheated, owing to high valuation, decreasing loan to value ratio (LVR) and unfavourable interest rates. In the present scenario, the situation is favourable for buyers owing to high LVRs, lower valuation and cheap availability of credit. All this means that the market is now favouring buyers and it is a good time to invest in property.
3. Real estate a stable asset
Before the pandemic struck, it was observed that the millennials, a sizeable chunk of the current population, were wary of buying property. But after the pandemic struck, there has been a change in this behaviour. Real estate has emerged as a stable asset class during this time, given the stock market crash and the volatility in other investment options, which makes real estate a stable bet and adds to one of the reasons to buy a home now.
4. Better deals
There are a number of offers and deals for homebuyers right now. And while it may be true that owing to the widespread distress across all sectors of the economy, the decision to buy a house is a big step. But right now, given the various offers like waiver on stamp duty to flat discounts, the residential real estate market is flooded with good options and deals, which makes it the best time to buy a house. Tata Housing Development Company (THDC), one of the leading real estate development firm of the country, launched The Grand Indian Home Festival (TGIHF), applicable on 16 projects across the country in January this year with the aim of easing the cost burden on homebuyers and you can make use of this offer while choosing your dream home.
5. Make most of the limited period of tax benefits
The pandemic has also caused the state to dole out various benefits to home buyers. One such benefit is in the form of cut in stamp duty offered by certain states, which means that those seriously planning to buy a house can benefit from this scheme. This, along with low home loan rates can mean good profit for the buyer.
6. Price correction
Even before the pandemic occurred, housing prices had declined by one percent in the first quarter of 2020, according to estimates by the Reserve Bank of India. There have been further corrections in price across all property segments, along with decrease in stamp duty in certain states like Maharashtra, all of which makes it a good time to buy a house. Moreover, as a result of the slump in sales, many developers are giving good price deals, which coupled with low interest rates and state benefits makes it a good time to invest in property.
7. Buyers’ market
With so many deals and offers along with price corrections and ready inventory, now is the perfect time to buy a house of your own. However, given that for most of us, homebuying is a life-long commitment, do your research on the locality, developer, the property on offer along with all other calculations well in advance and with due diligence before investing your money.
Given these 7 reasons, we are sure that you do not need any more motive to start your search for the perfect home that defines you. You can pick and choose a home from a range of properties that Tata Housing has developed at various locations across the country that have been designed keeping your preferences and facilities in mind. So, wait no more!