by THO
Bigger homes continue to dominate buyer preferences since the pandemic. As many as 51% homebuyers prefer 3BHK units while 39% are looking for 2BHK options, according to the second edition of the Homebuyer Sentiment Survey – H1 2024 that was released at the FICCI Real Estate Investment Summit held in Mumbai.
Compared to the survey conducted two years ago (H1 2022), interest in 3BHKs has increased significantly – from approximately 41% in H1 2022 to nearly 51% in H1 2024. Increasing prices are no deterrent to continued consumer preferences, it showed.
City-wise analysis indicates that demand for 3BHK apartments is particularly high in cities like Chennai, Hyderabad, Delhi-NCR and Bengaluru, with more than 50% respondents preferring it over other BHK configurations.
Conversely, more than 40% participants in Kolkata, Mumbai Metropolitan Region (MMR) and Pune expressed a preference for 2 BHK apartments as their primary choice, the survey showed.
Are IBHK units popular in MMR and Pune?
1 BHK units continue to be increasingly sought after in the western markets of MMR and Pune, where a significant percentage of respondents prefer this configuration, the survey found.
The 1 BHK configuration apartments in Mumbai Metropolitan Region (MMR) are largely found in areas like Vasai, Virar, Borivali, Dahisar, Mira Road, Kalyan, Dombivali, Thane among others.
After Covid-19, it’s usually first time homebuyers who prefer to invest in 1 BHK apartments. It’s popular among people moving away from a joint family set up to a nuclear family. “Now even first time homebuyers are purchasing 2 BHK apartments in Mumbai,” according to Dipesh Doshi, a real estate consultant active in Mumbai’s western suburbs.
Local developers say that 2 and 3 BHK apartments are also in demand in Pune.
“1 BHK apartments in Pune are generally found in the outskirts in areas such as Moshi, Chikli and Chakan. 1 BHK units are in demand primarily by factory workers or ancillary staff working in manufacturing units,” said Pune-based Rahul Ajmera, a developer at Vasupujya Corporation and a data analyst.
“Majority of the demand in Pune is for 2 and 3 BHK units, especially among IT techies who have not yet started working full time from the office. The hybrid work culture is still prevalent which is why they prefer 2 and 3 BHK apartments in most cases. On a yearly basis, Pune Metropolitan Region sells around 80,000 to 90,000 residential units in the primary market in which more than 50% units are bought byIT professionals followed by those working in the manufacturing sector among others,” Ajmera added.
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The FICCI-Anarock survey gathered responses from 7,615 participants across 14 cities and was conducted between January and June 2024. Cities that were part of the survey included MMR, NCR, Bengaluru, Pune, Kolkata, Chennai and Hyderabad.
Almost 58% buyers prefer buying an apartment
Apartments continue to dominate buyer preferences in terms of property-type. At least 58% of buyers prefer to buy an apartment. However, there is a growing preference (20%) for residential plots as well. Interestingly, 6% of property seekers currently prefer to buy a farmhouse or a second or vacation home, the survey showed.
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More than 70% of survey participants in MMR, NCR and Pune prefer to buy apartments.
Plots gain traction in Chennai, Bengaluru and Hyderabad
City-wise data indicates that residential plots have gained significant preference in the southern cities – 30% buyers in Chennai prefer it, 29% in Bengaluru and 27% in Hyderabad.
Also Read: Here’s why demand for 1 BHK homes is gaining ground among millennials in Bengaluru
Several large and branded developers have extensively launched residential plot projects in these south cities over the last few years and buyers have come forward to close the deals. Similarly, villas and row houses are also extensively preferred in these southern cities.
98% homebuyers want timely project completion assurance.
Homebuyers’ demands have risen considerably in the last few years amid growing awareness and yearning for quality products, even if there is a premium charged on it. Many prefer to make risk-free investments in the current environment.
Therefore, one of the major demands by the homebuyers (98%) is timely project completion assurance. Now developers cannot bargain for more time and must deliver their projects on time as any delay can result in either consumers dragging them to court or drifting away to their competitors, it showed.
Construction quality is another top demand by over 93% home seekers. One major reason for large and leading developers doing robust sales now is because they give a sense of confidence and assurance to the buyers for timely project delivery and good quality products.
Likewise, at least 72% of property seekers want to have well-ventilated homes, the survey showed.
