The Luxury Real Estate Market Is Set To Blow Up In 2022 – Here’s Why
It is undeniable that the luxury real estate market has performed exceptionally well in recent years. Luxury condominiums, luxury housing and villa projects are trending in the country. It is not only attracting interest from local buyers, but with the introduction of RERA to the sector which has brought stricter regulatory measures, increased transparency and greater consolidation, more and more NRIs are also viewing it as a lucrative option to invest in.
While the sector experienced a slight slowdown due to the second wave of COVID-19 last year, it rebounded as the wave subsided and reports suggest it is still set to grow rapidly in 2022. It’s not just about luxury real estate. , but the lifestyle that drives people to upgrade to luxury homes.
An ideal location, well connected and combined with a good atmosphere, keeping its inhabitants close to the city center, close to all amenities as well as places of work, makes location a key factor in choosing a house . As people seek connectivity, open spaces inside and outside living spaces are considered very important by people, especially post-COVID-19, to maintain physical and mental well-being. . The health benefits of living in spacious homes surrounded by greenery and a good ambience are attracting buyers to invest in luxury homes. Some of the people who travel the most are millennials who have experienced luxury so closely that they are willing to spend on luxury accommodations that provide them with a rich ambience.
Technologically enabled properties with home automation systems that give the owner control over everything that provides ease and comfort and high end security inside the building like CCTV, flash camera, biometric doors etc. at every corner, including elevators, hallways, and common areas also make luxury properties a preferred choice.
A crucial factor why people opt for luxury homes is that they want to achieve a lifestyle that can seamlessly incorporate the concept of working from home, while enjoying the comforts of luxury living. With more and more organizations permanently adopting hybrid or work-from-home models, homes must now have space to accommodate workstations as well, prompting more and more people to adopt a luxury life.
Another contributing factor is that properties have the advantage of being an increasing asset because it is a performing asset, meaning it serves a practical purpose even if it is going up in value. value. For this reason, people consider them the perfect investment that guarantees multiplied returns.
The burgeoning startup culture is also driving people to invest in luxury real estate. The monetization of employee stock ownership plans (ESOPs) is at an all-time high in the startup ecosystem. Employees divert the monetized amount to buy houses to better utilize the funds with huge tax arbitrage.
Sustainability is the future and people are increasingly focusing on things like making emotional connections and feeling like they are doing their part for the environment through energy efficiency, water conservation water, fresh air and buildings that are accredited with the highest level of environmental friendliness. certifications and are thus transformed into luxury houses.
(By Heena Sehrawat, Founder and CEO, Geetanjali Miracle Makers)