6 Sectors Of Real Estate

6 Sectors Of Real Estate.

The real estate industry encompasses six sectors -

1) Residential

2) Commercial

3) Hospitality

4) Retail

5) Land

6) Warehousing and Industry.

The residential market constitutes 80% of the entire real estate market. Among these, the residential sector attracts the most attention. Whenever you step out of your home, you will come across grand hoardings and banners of residential projects that cannot escape people's attention.

A newspaper picked up, and your welcome will be through an advertisement on the first page for a residential project. Increasing basic infrastructural needs have put the real estate on a path of rapid development, with the residential sector representing approximately 80% of the Indian real estate market. The most important thing is that shelter is one of humanity's fundamental and enduring needs. Everyone needs shelter and a roof over their head. A home is an item whose demand will never cease.

This sector, which accounts for approximately 7% of Indian GDP and is expected to double by 2040, also emphasizes investment along with residential properties. Rapid urbanization, increasing employment, higher disposable incomes, and the continuous growth in demand for residential spaces keep the interest alive in this sector.

The home financing industry, accredited by more than 32 national residential boards, has made it convenient for buyers to avail home financing. The dream of owning a home is becoming a reality for a significant portion of the Indian population. The drop in interest rates on home loans has further encouraged them.

In addition, today they have various types of residential loans to fulfill their needs. Despite the current slowdown, recently, government reform initiatives for affordable housing and demonetization have been seen in the residential sector. All activities have been observed in view of the initiation of real estate investment and development laws (RERA).

After improvements such as the Prime Minister's Residential Scheme (PMAY), etc., this sector is taking shape on a large scale in disorganized and fragmented areas and is moving towards unprecedented development. It is one of the fastest-growing markets on a global scale. However, the journey so far has not been easy. From the liberalization era of the 1990s to the 2008 global economic downturn and the current pandemic-induced economic downturn, it has undergone significant transformation.