Urban Indians prefer home loans to meet their home-buying aspirations. According to a recent report by Business Standard-Knight Frank India, it is the choicest option amongst all income groups in the country.
There recently held survey amongst 1,629 Indians showed 79 percent popularity of the home loan option. Seeking demand for a home loan, Government and private banks render hassle-free paper work and competitive interest rates.
The flexible loan duration and part payments are other facilities that lure property buyers to avail a hefty amount for the purchase of residential property.
Shishir Baijal, Chairman and Managing Director of Knight Frank India said, “Our latest survey highlights this continued preference for homeownership, with 80 percent of respondents aspiring to own homes and a growing trend toward premium properties, particularly in urban areas.”
He further predict, “a resilient real estate landscape that aligns with India’s broader development goals as the banking, financial services, and insurance (BSFI) sector facilities this growth – offering home loans, investment avenues, and risk management tools – combined with emerging technologies and infrastructure advancements.”
The report shows location is the key concern for home buyers across age groups. 50 percent of participants in the survey emphasized the same. Likewise, property size, layout, price, and developer’s record are also considered while making a home-buying decision.
Interestingly, homebuyers have distinguished reasons to own an immoveable asset. According to the report, “Millennials (39 percent) and Gen Z (36 percent) race ahead for advancing lifestyle, while baby boomers exhibit a strong sense of investment (29 percent) and the remaining 15 percent focus on retirement plans.”
On the whole, 80 percent of survey participants wished to buy a residential property. At the same time, only 19 percent exhibited interest in tenancy while one percent remained indecisive.
Also, 52 percent of aspiring home owners prefer apartments while 19 percent choose studio apartments. While 17 percent showed interest in independent homes/villas. The report states, “Notably, gated communities and plots of land are less popular, chosen by only 7 percent and 5 percent of respondents, respectively.”
