Indian real estate sector remains positive amid high inflation
Real Estate

Indian real estate sector remains positive amid high inflation

Besides higher inflation concerns and rising interest rates, the real estate sector remains positive.

According to Knight Frank India, National Real Estate Development Council (NAREDCO) Real Estate Sentiment Index of the first quarter (Q1) of 2022 expects the current sentiment will increase to 68. It showed that most stakeholders experienced positive business developments in the last six months, including the survey period.

According to the survey, a future sentiment score of 75 was at the highest peak. This score shows the expectations of the investors for the next six months. A score above 50 indicates optimism, 50 means neutral, and a score below 50 indicates pessimism.

Chairman and Managing Director of Knight Frank India, Shishir Baijal, said that the growth in the residential market has been impressive, boosting the sentiments of the entire realty sector. As many companies are shifting to work from the office, office space demand has also been growing steadily.

He highlighted the geopolitical tensions, which are impacting crude oil prices, leading to a rise in inflation in the Indian market, which can affect the demand from end-users. It is further complicated by supply chain disruptions, rising input costs and an impending interest rate hike.

Image Source

Besides higher inflation concerns and rising interest rates, the real estate sector remains positive. According to Knight Frank India, National Real Estate Development Council (NAREDCO) Real Estate Sentiment Index of the first quarter (Q1) of 2022 expects the current sentiment will increase to 68. It showed that most stakeholders experienced positive business developments in the last six months, including the survey period. According to the survey, a future sentiment score of 75 was at the highest peak. This score shows the expectations of the investors for the next six months. A score above 50 indicates optimism, 50 means neutral, and a score below 50 indicates pessimism. Chairman and Managing Director of Knight Frank India, Shishir Baijal, said that the growth in the residential market has been impressive, boosting the sentiments of the entire realty sector. As many companies are shifting to work from the office, office space demand has also been growing steadily. He highlighted the geopolitical tensions, which are impacting crude oil prices, leading to a rise in inflation in the Indian market, which can affect the demand from end-users. It is further complicated by supply chain disruptions, rising input costs and an impending interest rate hike. Image Source

Related Stories

Gold Stories

Next Story
Real Estate

L&T Wins Mega Order for India’s Largest NVIDIA B300 AI Factory

Larsen & Toubro (L&T), through Vyoma.AI’s AI infrastructure subsidiary LTN Compute, has secured a mega order to develop what the company describes as India’s largest single-cluster AI infrastructure facility. The NVIDIA B300 AI Factory will support US-based AI cloud company Together AI’s platform for large-scale inference, fine-tuning and training workloads.The integrated AI Factory will be hosted at Vyoma.AI’s Chennai data centre campus and will have a capacity of 10,000 NVIDIA B300 GPUs. The platform will combine hyperscale data centre infrastructure, accelerated computing, h..

Next Story
Infrastructure Urban

Autodesk Elevates Nikhil Bagalkotkar to Lead AEC in India, SAARC

Autodesk has elevated Nikhil Bagalkotkar as Head – Architecture, Engineering and Construction (AEC), India and SAARC, with immediate effect.In his new role, Bagalkotkar will lead Autodesk's AEC business strategy across the region and drive adoption of the company's Design and Make platform. He will also focus on promoting digital design and construction technologies to help customers accelerate innovation and deliver more sustainable and resilient infrastructure.Bagalkotkar will be responsible for expanding Autodesk's AEC business, strengthening customer and partner engagement, and accelerat..

Next Story
Real Estate

Listed Developers' Pre-Sales Seen Rising 22.3 Per Cent in FY27

India's leading listed residential developers are expected to sustain strong sales momentum in FY27, with combined pre-sales of 11 major players projected to rise 22.3 per cent year-on-year, according to an analysis by ANAROCK Research & Advisory.Combined pre-sales of the developers are estimated to increase from Rs 1.49 trillion in FY26 to Rs 1.82 lakh crore in FY27. ANAROCK attributed the growth to sustained end-user demand, new project launches and strong execution despite higher property prices, construction costs and global uncertainties.Dr Prashant Thakur, Executive Director and Head..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement