How are Housing Loans Fueling the Residential Market in India?

The Indian real estate story has gained momentum from the early 2022s and is still sustaining through the current times as we have witnessed double-digit growth in this sector. The real estate market in this country is growing through a growth phase where the average price of real estate is increasing by 10% every 2 years.

However, there is a fear factor that always stays in the real estate market as it can sometimes lead to the mirage of growth, and finally, in a down market, the realtors default, and a lot of core investors lose their money in those projects.

Here comes the housing companies who are now fueling the market as these companies tapped the growing potential of the country’s middle class and that helped them to have a good apartment or a house where they can reside.

Thus, it creates a need for the luxury real estate market as people are buying those apartments as their values have started to increase. People who need housing finance can use the One Andro app, and through that, they can get in touch with the agents; they are the ones who can help them get lenders who can lend them the required amount based on their property mortgage value.

Understanding the Rise of the Residential Market

The rise in the residential real estate market has happened due to a variety of factors. The first one is India is a country which is witnessing the shift from rural areas to urban city centres. As the country currently lacks the city infrastructure in several places, therefore the pressure of real estate comes to the metro areas.

For example, the developers are targeting new areas and suburbs where they can find a micro market. A property or a complex is getting built which is in close proximity of thee city but at near outskirt where one can get the basic facilities of retail and also of road and air transportation.

The Reason Behind This Fuel in Demand

The best way to understand this demand is to check the needs of middle-class aspirants who are willing to buy a house. One of the main responses can be found by the high-end buyer, who creates the demand for premium luxury products. There are certain relators through which one can choose luxury projects.

Previously, in the 2008 real estate market crash, the housing demands are targeted through the person who doesn’t have proper income sources. Now the real estate market is solid, and the housing finance is only helping those individuals who are there with proper income, and they are only getting the loan from these microfinance or housing banks and NBFCs.

How Building of New Cities is Also Bringing Growth

The country is going through a growth stage; therefore, there is a push from the government to focus on building infrastructure, which will help the real estate industry in a tertiary way. For example, in the development of the new city one can find that the realtors will flock into that market and will start developing housing projects in that area.

As the country’s GDP growth is increasing, it creates a ripple effect in other ancillary industries, whch will, in return, create jobs and that will further push the demand for the housing projects. One of the best benefits of this growth is that it’s sustaining, and the promoters of the developer companies are making a higher ROI from these projects.

The Rising Presence of the Housing Finance Companies

Housing finance companies are there that look for potential borrowers and they can help a person to get the right loan amount for purchasing the property. It’s through the use of the One Andro DSA app one can find the right loan agent through which one can get vthe right lender.

Housing finance companies are the ones who are looking for potential buyers, and they then shortlist candidates and provide them with a high-ticket loan for this amount. It’s through the use of these NBFCs that the loan disbursal process got quicker, and that helps the borrowers to get funds at a proper time and therefore they can book the property.

The future outlook of the market is positive, and the growth of the GDP is increasing; therefore, the market of real estate will remain steady.