Realty Plus, a monthly on real estate business, from the stable of exchange4media group, organised a panel discussion on the TNS National Survey of Prospective Home Buyers at India Habitat Centre in New Delhi on September 24. The panel comprised eminent personalities from the real estate industry such as Rajesh Arora, MD, Arora and Arora Builders, Rohtas Goel, MD, Omaxe Constructions, Tanaji Chakrabarti, Head, Indian Property Research Limited and moderator for the panel discussion, and Col R S Sodhi, MD, Alpha Buildtech.
Ritesh Vohra, CEO, First Franchising, and Director, Realty Plus, kicked off the event by providing an insight into the survey. “The objective of the survey was to probe the various factors that motivate prospective home buyers to make purchase decisions. The methodology was restricted to eight cities and to people who would make a purchase decision in the next 12 months for a property worth up to Rs 15 lakhs,” Vohra said in his inaugural note.
The findings of the Realty Plus-TNS survey showed that the key motivational factors that accounted for procurement of property were house, investments for future, space constraint in current accommodation, and a symbol of status. The survey was further divided into un-aided and aided reasons. The un-aided reasons included good location, electricity and water supply and the need for better education for children. The study showed that in Mumbai people preferred proximity to the railway station, while in Delhi, electricity and water supply, parking facility, closeness to the market were top priorities for prospective home buyers.
The aided factors were further segregated into external and internal parameters. When clubbed together, external parameters showed that people were more concerned about roads and electricity, security, and distance from office. Internal parameters showed that approximately 70 per cent of Mumbaikars and Delhiites desired more details of schemes of home finance and 68 per cent were conscious about credibility of the builders or real-estate owners. In Hyderabad and Bangalore, people were more concerned about Vastu aspects of a house, the study revealed.
Goel said that the property market had witnessed strong growth in recent years. “Previously options were limited. Sales were more inclined for office space but gradually the market has seen a significant change in the demand for good quality residential houses. Lot of proprietors have come in and the range in terms of house prices has also changed. I have built ‘Forest’ apartments which cost anywhere between Rs 1 crore and Rs 3.5 crore. It is really surprising that buyers are ready to procure such luxurious apartments.”
Chakrabarti felt that the current demand for such premium houses was a reflection of overall economic growth and prosperity. “I believe the IT boom is a major reason. Salaries are higher than before and people are seeking apartments with all luxurious facilities like billiards, swimming pool and club, etc.”
In his speech Col Sodhi urged the developer community to be straightforward in transactions and never to make over commitments to the buyer. “Only than can you survive,” he advised, “The need is to respect and employ professionals who are specialised in this field.” Regarding the importance of location, Sodhi said, “Location is a relative term. Each person looks into it from his or her point of view. If you can provide other facilities, you can create a good location also.”
Chakrabarti, however, raised an important factor. “One of the findings of the survey is that electricity and power are expected to match word standards. Can something be done to improve the overall infrastructure?” he enquired. Responding to his question, Goel said, “Infrastructure around the campus is of primary concern to the buyer.” He explained that the UP government had come forward and implemented some concrete steps in the development of infrastructure. Added Arora, “We have approached the government and we are very positive that something will come out of it. Attention has to be paid to this factor and developers have to come together in the interest of buyers.”
Wrapping up the session, Vinod Behl, Editor, Realty Plus, concluded, “Many such knowledge forums will be organised in the coming months in various parts of the country to address different issues that impact the industry.”