COVID-19 recalibrating homebuyers’ preferences and leading to the emergence of new assets in real estate

New Delhi, August 16, 2021: The pandemic has changed the perspective of the homebuyers, leading to the emergency of new asset classes in real estate, especially in the residential sector. An ANAROCK Report highlights that work from home and online education amid travel restrictions have fueled the demand for spacious homes with a distinct workspace. The pandemic has also led to an increase in demand for second homes.

“The work from home has emerged as the dominant undercurrent for shaping homebuyers & preferences. Homebuyers these days prefer residences that can accommodate space for remote working, with more outdoor open spaces and gated communities having state-of-the-art amenities. Customisation of space has been expanded to such an extent that developers offer complete open floors and design them as per homebuyer requirements from a range of standout design options. This shift in preference is significant because of the Covid-19 pandemic and its socio-economic impact. The majority now prefer a fully-equipped workspace, a dedicated area for fitness, a private space for their weekend meetups, a play area for children while considering other important factors such as location, ticket size, thoughtful design, cutting-edge technology, etc. This has led to disruption in the overall approach adopted by developers while considering it as an additional component in their product offering. Anticipating this trend at the beginning of 2021, we, at Krisumi, launched a new asset class 2LDK (Living, Dining & Kitchen) + personal workspace in our flagship project, Krisumi Waterfall Residences, Gurugram. These residences are perfectly suited for the work from home (WFH) lifestyle for both Indians working with global firms and the expat communities.” said Ashok Kapur, Chairman, Krisumi Corporation

Homebuyers are increasingly demanding an additional room to be used as a  workspace, for gym or yoga, or as a study or playroom due to covid restrictions. This has prompted the reconfiguration of 2.5/3.5 BHK homes where the additional space can be customised as per one’s requirements.  Developers have adapted to this trend of the demand for extra ½ room.

“Since the pandemic has dominated the regular bearing of the world, the definition of comfortable living has also radically transformed. Today a home is looked upon as a space that can accommodate all the multi-functional facilities and amenities one aspires for. A home is no longer a night halt between two working days or just a place to relax. People desire more areas to feel better, liberated, happy, and realise their passions and hobbies after a tiring day. It has become a place to work, workout, home-school, unwind, socialize and more. There is also a section of the demography that does not necessarily enjoy a disproportionate influence of the community and enjoys certain privacy and individuality, and thus prefers independent floors over group housing,” said Karan Kumar, Chief Marketing Officer, DLF Ltd.

He further added,” The trend has led to an influx in demand for plotted developments. Likewise, once considered a luxury, second homes have become a necessity for a growing segment of consumers with greater spending capacity. Investments in second homes are becoming prevalent amid affluent buyers, as a viable everyday alternative to live for extended periods away from the chaos of the city.”

Catering to the changing demands, DLF Ltd launched premium independent floors in Gurgaon in 2020, which have witnessed traction among homebuyers. In its annual earnings FY20-21, the developer said its new product launches of independent floors in DLF City and New Gurgaon received an enthusiastic response, witnessing sales worth ₹908 crores in the second half of 2020-21.

Additionally, health, hygiene, and wellness concerns during Covid-19 have provided a fillip to spacious second homes at peripheral locations away from the hustle-bustle of the metropolitan cities.

 “Driven by health, hygiene and wellness factors, second homes have emerged as the most sought after asset class for affluent buyers who look for residential spaces away from jostling cities. Locations like Chandigarh-Tricity not only offer ultra-luxe residential spaces with modern amenities but are also well-connected to major getaway destinations. Having a home in such areas not only enables the end-users to unwind themselves but also comes with a promise of a secured living. Premium second homes also carry rental potentials and they can be easily rented out when not in use for higher benefits,” said Mukul Bansal, Director, Motia Group. 

Apart from residences located in self-sustainable gated communities, independent floors are also preferred by homebuyers. Vivek Singhal, CEO, Smart World Developers, said, “Covid-19 has redefined some trends in real estate, with customer-centricity and personalisation becoming the key priorities for developers. Independent floors as residential offerings are gaining currency in metropolitan cities. They are suitable for millennials who are looking to have a home themselves at a premium location. This gives them just what they need without compromising on their privacy and the lifestyle they seek at a comparatively lower cost than villas or high-rise apartments. The health and wellness concerns have also invariably pivoted the focus towards independent floors located in gated townships endowed with best-in-class amenities. Additionally, the extended work-from-home has also led to a rethinking of the home design to accommodate a distinct personal office space.”

Corporate Comm India (CCI Newswire)