Real Estate: Realty to bounce back from pandemic in days to come

 S Sridharan, chairman of Confederation of Real Estate Developers’ Associations of India (CREDAI, Tamil Nadu Chapter) said that the industry is returning to normalcy and at present, it has reached 60 to 70 per cent normalcy. “As the industry is picking up, some developers are reducing the prices.

 Overall, this is the best time to buy a property. Normalcy is returning across the State,” he added. Sridharan anticipated an increase in prices from January as the cost of construction materials has started surging. However, there are no new launches after the COVID-19 pandemic and the builders are selling properties that have already been launched. On the other hand, construction activities have resumed, too.

 Meanwhile, M Britto Francis, President of Chennai Southern Builders’ Association said that enquiries from homebuyers have increased after the relaxation following the strict lockdown norms since March. “Builders are reducing prices to attract buyers. While some builders are managing the bank interest and other expenditures, they are not reducing the prices. However, others have opted to reduce the rates,” he added. Francis also expressed optimism and said there are chances for an increase in the rates. “During every Assembly election, cost of cement and other materials go up. Also, after COVID-19, material costs have surged across the board,” he said.

 When asked whether construction workers have begun returning to the city, he said that the workers are getting back and construction works have started in many places. “The revival of the industry is evident as the registration of properties have increased in the city as well. The industry will boom again,” he added.

 The Association consists of the builders from Nanganallur, Tambaram, Velachery, Medavakkam, Keelkattalai, Kovilambakkam and other areas in the southern part of the city. “As of now, Velachery and Nanganallur are showing signs of development. With new infrastructure coming up in Medavakkam, Keelkattalai, Urapakkam and others, the industry is picking up in those areas also,” Britto Francis added. Tamil Nadu Real Estate Regulatory Authority (TNRERA) data shows that since the past three years, the maximum number of real estate projects were registered in 2020. The data says as many as 589 new projects have been registered this year as on October 22 across the State. In 2018 and 2019, 564 and 492 projects were registered respectively.In October (till October 22), 38 projects were registered under the authority, while 80 projects were registered in September. Also, July and August witnessed 87 and 83 projects being registered respectively.