20
Apr

Four Things Indian Property Buyers should keep in mind in the effect of the Coronavirus pandemic

It is quite evident that the global economy has already entered into a great recession & superpowers like USA, Germany, UK etc. are badly affected. Almost all the industries – Travel and Tourism, Automobile, White Goods, IT, Retail etc. are suffering huge losses and they will take a while to resurrect.

Amid all the heart-wrenching news, there is a brighter side of it for India, especially the Indian Real Estate market. As the whole world seems to have lost control, India is doing far better and has managed to contain the pandemic well so far.

Here are a few key pointers for Real Estate buyers who are planning to invest during the current market scenario –

Three-months EMI Relief

If your EMI payments are delayed, the bank will charge no penalty for 3 months. Also, the non-payment will not result in non-performing loans. If you are not able to make the payment, because of liquidity issues for the time being, it will not affect your credit score, as well.

Lowered Home Loan Rates

Buyers can benefit from low home loan rates as RBI has dropped the REPO rate by 75 bps to 4.40% in order to mitigate Covid-19 impact.

Investment Security

Buyers are now realizing that the best place to invest is in Real Estate rather than Mutual Funds, Shares because the Equity Market has taken a huge beating (it’s dropped down by nearly half) & Mutual Funds have eroded very badly.

So, the only investment options are to either keep your money and let it depreciate in a Fixed Deposit or buy a Real Estate product which over a period of time will appreciate multifold

Importance of a Reliable Brand

If you have the bandwidth, and if you’re planning to invest in the real estate market – you may want to analyse the brand’s credibility and sustainability. It is suggested that, in such times, one should pick a brand which has been around for several years and has the goodwill to sustain.

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