Skip to main content

Know What Millennials Prefer Buying Or Renting

In the recent times post pandemic 85 per cent of the builders reported that millennials were the most active buyer segment.

 Property prices reduced by almost 15-20 per cent, most of the governments reduced the stamp duty rates, and the home loan interest rates were at a decadal low.

According to a survey conducted by a leading tech-based brokerage-free real estate platform, 85 per cent of the builders reported that millennials comprised the most active age group (30-40 years) when it came to home-buying activity in 2020.

Shift in mindset of youngsters
Before the pandemic, millennials did not believe in ‘settling down’ with a home purchase. “They found it easier to rely on on-demand services to meet their mobility needs or live as tenants, which gave them a wider range of opportunities. The pandemic changed all that. Further, it must be noted that millennials comprise a major part of the contemporary workforce and they are managing mid-to-senior level roles.  

With work-from-home being increasingly prioritised, and more time getting spent within the four walls of home, the desire to stay closer to the workplace or business districts by shelling out hefty rent has reduced. 

All-time low home loan interest rates and favourable policies have also triggered a demand among millennials. And with increasing levels of digitisation, the process of property searching has also become easier, thus encouraging millennials.

Making smart choices with the trends
New-age home-buyers are setting aside bigger budgets for spacious homes. As per the survey, the demand for 2-BHK units saw the maximum increase in 2020 at 59 per cent, followed by 1-BHK (22 per cent), 3-BHK (17 per cent), and 4-BHK (two per cent).

With remote working here to stay, many home-seekers are looking for a property in the outskirts as opposed to city centres since proximity to the workplace is no longer a determining factor. Also, buyers have indicated a preference for society living as it gives them a sense of community during a crisis.

The survey also highlighted that the Rs 60-80 lakh range comprised the most sought-after price bracket (24.1 per cent) among new-age home-buyers, followed by those with a budget of Rs 1 crore and above (20.4 per cent). 

Buyer preference has shifted towards mid-segment and luxury properties, as the focus now is on the need for separate spaces for work and recreation. Also, youngsters are looking for well-designed spaces fitted with smart interiors that allows them to establish a healthy work-life balance.

In terms of amenities, millennials prefer a balcony and more open space, a nearby park and gym. Also, most married millennials want to invest in (semi or fully) furnished homes.

Eye on the future
Even after vaccinations, new-age professionals might continue to work from home. The financial and environmental benefits of remote working will encourage companies to adopt a hybrid workplace model. We can, therefore, expect millennials to continue looking at home ownership positively.

Our workplaces and homes have integrated, and the value of owning a home has been re-established. Currently, the interest rate stands at sub-seven per cent and it is unlikely that it will increase in the short-to-medium term. Besides, realty prices will also remain stagnant; hence, real estate will continue to be an attractive bet for millennial buyers.

What should millennials keep in mind while buying a home?

  • Evaluate the appreciation potential of the area (where the house is located);
  • Go for only RERA-approved projects and ensure the builder has a track-record of delivering projects on time;
  • Conduct thorough research and speak to people in the neighbourhood where you are looking to buy a house;
  • Examine the location carefully and look at the nearby social infrastructure including retail, commercial centres, healthcare, and educational facilities.
Labels:

Comments

Post a Comment

Popular posts from this blog

Union Budget 2025 Increases TDS Limit on Fixed Deposit Interest

The Union Budget 2025 introduces a significant relief for fixed deposit (FD) holders by increasing the TDS (Tax Deducted at Source) threshold on interest income. The limit has been raised to ₹50,000 for general citizens (up from ₹40,000) and ₹1 lakh for senior citizens (doubling from ₹50,000). This change will take effect from April 2025 and aims to simplify tax deductions while easing the financial burden on depositors, particularly retirees. New TDS Limits on Fixed Deposit Interest 📌 For General Citizens : The TDS threshold is now ₹50,000 , compared to the previous ₹40,000. 📌 For Senior Citizens : The exemption limit has doubled from ₹50,000 to ₹1 lakh , offering significant tax relief. This means less TDS deduction on interest earnings , allowing depositors to retain more of their money. How TDS on Fixed Deposit Interest Works TDS is deducted when FD interest earnings exceed the specified threshold in a financial year. Banks deduct 10% TDS if the depositor provides their PA...
Post a Comment
Read more

What is Lavani Patta Land?

 In Telangana, there are different types of lands titles that provide land ownership. Here Lands are segregated into Private land and Government Assigned Land, and the land owned by an individual who has Record Of Rights ROR on his name, and has legal land title ownership. Whereas government-assigned land is allotted to any individual who belongs to a BPL Below Poverty Level family to elevate their economic standards is termed as Government Assigned Land. Here it has ownership land title on an individual’s name, but assigned lands cannot be sold or transferred to anyone. To obtain a Lavani Patta one can get it from the Revenue Department of the state. The Chief Commissioner of Land Administration (CCLA) is the chief controlling authority for the revenue administration. Usually, the Tahsildar is the competent authority to assign the lands. Here, 50 percent land is assigned to Schedule Castes, 10 percent to Schedule Tribe, 30 percent to the backward classes, and the res...
Post a Comment
Read more

Hibanama: A Universally Applicable Mechanism for Dispute Resolution

In the diverse fabric of India, the term “Hibanama” transcends religious boundaries, serving as a consensual mechanism for dispute resolution applicable to all communities. This blog explores the universality of Hibanama, debunking any misconceptions about its exclusivity to a particular religious group. Understanding Hibanama: Contrary to any misconceptions, Hibanama is not exclusive to the Muslim community but is a legal concept applicable to individuals of all religions in India. Rooted in the principles of voluntary resolution, Hibanama emphasizes mutual agreement and compromise in the face of legal disputes, irrespective of religious affiliations. Applicability to All Communities: Hibanama in Hindu Law: Hindu law recognizes the importance of amicable settlements, and Hibanama aligns seamlessly with this ethos. Parties involved in property disputes, family matters, or contractual disagreements within the Hindu community can opt for Hibanama to expedite justice. Hibanama...
Post a Comment
Read more