Changing face of property market pre and post-pandemic

Rohan has been working out of his parents’ 2BHK flat in a narrow south Kolkata lane since the past 18 months after his employers in Bangalore offered him the option, given the pandemic situation. However, it has been cramped and depressing at times and even intrusive when neighbours drop in and there’s too little space to manoeuvre. He has now made up his mind to invest in a larger 3BHK apartment in a new gated community coming up not too far from where he lives now, secure in the belief it will boost his productivity while improving his mental health condition as well.



Rohan is not alone. Thousands of people, many of them young professionals, are seeking out new, larger apartments in well-laid-out, formatted residential complexes as the organized realty sector experiences a significant turnaround with Covid fears continuing to wane and life largely back to pre-pandemic normalcy. After a 2-year lull, there has been a sharp rise in real estate demand and prices have been inching northwards, already up 5% over the past 12 months. Rising inputs costs, fuelled by the war in Ukraine, will push real estate prices further up.

Rohan and his ilk are right in their decision in many ways. After almost stagnating for nearly 4 years, property prices have just started moving up, but are still affordable and home loans even at this stage relatively cheaper. But with WFH or work from home being the new normal in many sectors, particularly the IT/ITeS domain, the trend of moving out of rented or smaller properties to a larger gated community has been growing. Market watchers feel this is just the right time to take the plunge since property prices are set for a sharp upturn in sync with rising demand.

The WFH model has ensured that most of the new enquiries are now in the more spacious 3 or 4BHK apartments in the 60 to 70-lakh segment as compared to the previous thrust on 2BHK units, with the ratio almost reversed. Also, with limited spending options during the closures, a lot of people have managed to save up substantially. The series of lockdowns and stifling restrictions have worn people down and everybody is pining for a walk or a jog out in the open while the children can play with gay abandon in the park.

This privilege is possible only in the new-age gated residential complexes coming up, offering all kinds of in-built amenities like greenery and open space for your outdoor exercises, gyms and swimming pools, in-house sports infrastructure like tennis, table tennis, billiards and pool, besides handymen on call to fix any household issue, from plumbing to electrical work. Some of these complexes even come with an exclusive club with multi-cuisine restaurants, bars, salons, etc.

No wonder, this gated format is gaining currency and the early bird is catching the worm while still affordable. Most industry experts opine that present price lines are going to hold for only a few more months, with the increasing buoyancy in the market fueled by a swelling demand as more and more young professionals, offered a hybrid work model, move back to their hometown.