We have noticed and observed from last 20 years that most of the people get inclined towards real estate directions and reports which are reported in magazines, newspapers, television or online media. This is a miscalculation done by a buyer or a seller of the highest order.
Why one Should Ignore these Trends coming in Media ?
In this modern and current information era, one can get details and knowledge just about anything on a any particular topic. While approach to any information is normally a positive expansion, things can get a bit deranged if one gets overburdened with it. One who search the topic for long enough and one can find different aspects of information contributing exactly the different views on a same subject. Noticeably, that doesn’t really help one to make a choice what they want to as mind gets confused.
In real estate sector, the information which is being given in the media to publicize is usually invariable. For the last three to four years post demonetization, everyone with brains calling themselves real estate Guru at all has communicated that the real estate sector has been hot selling. Now, many of these real Estate Guru’s are even recommending that the market is going down . Some Guru’s are even forecasting a hit in the Property market and confirming this phase as not the right time to invest in properties or real estate sector.
Now As a prospective buyer or seller, end user or investor, how should you assess the information which is given in the media is how much accurate? The right answer is one should always ignore the information provided through media. The problem with these information’s is not that they are not accurate. Actually, the problem is they are publicizing national trends of real estate in collective rather than given overview and reports of different areas and segments. For eg. You cannot compare Real Estate of Mumbai with any Tier 2 City or Tier 3 City. Buying segment is separate and same is the development and government policies and even supply and demand of that particular location.
National trends which are publicized are not wrong or accurate, but they cannot apply same on your specific area and location. Consider the following example if you have no reason to believe me or you don’t trust the facts I am writing. The real estate and property market for the last three years has been reported as all time low in India with no appreciation whereas post lockdown in India people have understood and realized life in societies in bigger apartments and the buying is still on. Whereas In Bigger cities like Delhi and Mumbai, the market has gone down throughout the year because of constraint of space and availability of houses and property. If you were thinking of buying or selling properties in bigger cities of India , the information which has been published on print and online media with national reports simply will not help you a lot with facts and figures.
If you think Bigger Cities are exception, then you are wrong. The state with one of the lowest appreciation rates over the last three or four years, for example, has been Karnataka. But in Practical situation, this doesn’t means properties in Delhi, Gurgaon, Mumbai, Chennai and other places in India have followed same trend and property in not appreciating there. The only property trends and information that matters are those in which you are planning to buy or sell property. One should never focus on national data for such kind of Information.
If you are planning to buy property, you have to be very selective when considering real estate trends of that particular market. If it seems to be a seller’s market in your location where you want to buy a property, you might not be interested buying property because of high prices and appreciation in rates. Even when if it’s a seller’s market, buying your own property is better than staying on a rent in others property. Owning a property is a like you are growing your individual wealth through equity accumulation. You should never take a decision to stay out of the property market simply because that is not the right time to invest or Buy property.
It is easy to get entangled into rumors and information related to real estate trends published everywhere since they are shown to you every time in front of your face on a daily basis. Actually, these information’s really should not play much of a role in your decision making process of buying a property.
AUTHOR : NIKITA DAGAR
