Image Source : PTI The flagship survey, which is in its 32nd edition, conducted quarterly by Knight Frank India and National Real Estate Development Council (NAREDCO). The Current Sentiment Index of real estate industry stakeholders, compiled after a survey conducted by Knight Frank and NAREDCO, rides high on the back of real sustainable home buying demand, and low-interest-rate galvanizing underpinned value of ownership home for end-users and renewed investor interest, said Niranjan Hiranandani, Vice Chairman of NAREDCO, and Founder-cum-Managing Director of Hiranandani Group. “While the present scenario seems to be in a positive light, the future sentiment reflects cautious optimism across industry stakeholders in the wake of global unrest and domestic headwinds. Soaring raw material costs resulting in escalated input costs, record-high crude oil price pegged to swing in between $90-$110, anticipated hike in US Fed interest rate, geopolitical turmoil, withdrawal of stamp duty waiver, levy of additional 1 percent metro cess in the backdrop of hiked ready reckoner rates are the challenges to be unfurled in the marketplace,” Hiranandani said. Sentiments in the real estate sector have remained optimistic and touched new highs, as per the survey ‘Real Estate Sentiment Index Q1 2022’ conducted by the two entities. The flagship survey, which is in its 32nd edition, conducted quarterly by Knight Frank India and National Real Estate Development Council (NAREDCO), noted that the current sentiment soared to a new high of 68 — indicating that most stakeholders experienced positive developments in their businesses in the last six months, including the period of the survey. Importantly, the future sentiment score recorded at 75 is at its historical best, in view of a resolute economic outlook and continued demand for real estate space across asset classes. The removal of all Covid-19 restrictions by the government has boosted the sentiments further. The current sentiment score increased from 65 in Q4 2021 to 68 in Q1 2022 as the last six months remained positive for growth for most real estate stakeholders. As the Indian economy navigated the third wave while being faced with the uncertainty of war in Europe, the real estate sector momentum remained unabated, especially in the residential segment. Commercial real estate segments also showed growth after the hiatus of the pandemic. While the sentiments have been positive for the two previous quarters, this score is one of the best reached in the history of the flagship survey. When asked about the economic outlook for India during the survey, 85 percent of the respondents expect the overall economic momentum to improve over the next six months. In terms of credit availability outlook, 66 percent of the respondents expect the funding available to increase over the next six months, while 29 percent expect it to remain the same during the period. Latest Business News
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