The COVID-19 pandemic and the subsequent lockdown has clearly demonstrated how owning an apartment is better than living in the rental accommodation in Hyderabad. And the volatility of the stock market over the last 2 months has shown how reliable real estate investments are, with their steady returns, when compared to other forms of investments.
But the Corona outbreak and the subsequent nation-wide lockdown has brought the global economy to a standstill. The virus-driven lockdown has impacted all the major sectors of the Indian economy, including the real-estate sector.
There are strong headwinds on the way and economic slowdown due to this pandemic is going to have its ramifications on the real estate industry.
But what does this mean for a prospective home buyer in Hyderabad?
Apparently, the aftermath of the COVID-19 pandemic is a blessing in disguise for the prospective buyer.
Interesting? Want to know how?
Here are the two main reasons why this is the best time to buy a house in Hyderabad:
The affordability of residential apartments in Hyderabad is at an all-time high:
The COVID-19 pandemic sure had its impact on the property market and it is showing right now. The property prices have slightly got reduced by 2 to 9% in metro cities across India as soon as the lockdown was announced in May, making the properties more affordable than ever.
According to a large scale survey conducted by the leading real estate property portal, MagicBricks, the property prices in Indian Metro cities are estimated to experience following price changes:
|Average price change (1-year)||Post-COVID|
Notice that the Hyderabad which was estimated to record a 15% increase in the prices for every year (highest in the table), is now estimated to experience a 9% decrease in the price which also happens to be the highest. The price change can significantly increase the affordability of the residential properties in Hyderabad and in-effect when we retain the normalcy, the prices are pitted for a boost giving you massive returns along the way.
So if you are eyeing to buy a 2BHK apartment in best gated residential project in Hyderabad, like NSL East County this could be the best possible time.
If this seems like a superb value proposition, wait till you get to the next point!
2. Right now, you get to enjoy the home loans at the lowest interest rates ever:
In order to mitigate the impact of unprecedented lockdown caused by COVID-19 pandemic on the economy, RBI has slashed the repo rate by 40 bps i.e. from 4.4% to 4.0%.
The repo rate is the interest rate at which the RBI lends the money to the commercial banks. Now that RBI has cut down the interest rate, commercial banks can borrow funds from the RBI and lend them to the customer at a slashed interest rate.
For example, the State Bank of India’s minimum home loan interest rate will now be reduced from 7.35% to 6.95% and this can result in considerable savings on the EMIs for the buyers. You can also exercise the option of maintaining the same EMI and reduce the tenure resulting in massive savings on your total payment.
To help you understand the scenario better, here’s how much you can save on you home loan with the current reduced interest rate:
|Home loan||With reduced EMI||With reduced tenure|
Thus, the affordability is at an all-time high and the interest rates on home loans are lower than ever making this the best possible time to chase your goal of owning your dream home in Hyderabad.
That brings us to our next question: what does your dream home look like?
If you envision your future home as a serene abode with greenery all-around, topped with world-class facilities, amenities, is well-connected to the City, then NSL East County must be your first choice.
Every crisis brings up an opportunity for people who wish to see. And this time it happens to be for the potential homebuyers and property investors. And NSL East County wants you to completely leverage the current situation to accomplish your dream of owning a home in Hyderabad by offering affordable prices on our luxury 2 BHK flats for sale in Hyderabad. For more details, visit: https://www.nslinfratech.com/nsl-east-county-hyderabad.php
One thought on “COVID-19 Impact on Real Estate: Two Reasons Why This Is the Best Time to Buy a House in Hyderabad”
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