Although growth is expected to be slightly lower in the January-March quarter due to the third wave of COVID infections, subsequent quarters will see a faster and more permanent recovery. The impact of the third wave will be mitigated by a milder variety, increased vaccine coverage, and fewer limitations.

People have realised the necessity of possessing physical assets such as real estate that have a high potential for price appreciation as a result of the pandemic. The resulting work-from-home opportunities have shifted the mindset of many who previously refused to commit to a major financial commitment. Despite the potential of a third wave, many people have made their first real estate purchases in the last quarter. During times of uncertainty, consumers prioritise stability and risk minimisation, as evidenced by this home buying trend.

The real estate market responded quickly to the high increase of Omicron instances in December 2021. The COVID-19 pandemic has compelled the real estate industry to undergo technological change. To boost overall efficiency and limit risk, new technology has been implemented across administration, marketing, and procurement activities. With the use of technology, the industry was able to change its traditional strategy and match its operations better with changing trends and client preferences.

Positive homebuyer enthusiasm, historically low home loan rates, and the expectation of price hikes have all aided the real estate market during the third wave. Together with state government stamp duty waivers, these trends have encouraged buyers who had been debating whether or not to proceed with their house purchases. Many homebuyers have been enticed to take advantage of the current market opportunity as a result of this.

Read more in the 99 Acres article featuring our Director, Mr Rakesh Reddy.

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The COVID-19 Third Wave’s Impact on the Real Estate Sector