The pace of construction of expensive houses is slowing down, now the game of real estate is changing, what is the signal for the middle class?

Knews Desk-When the world gradually started becoming normal after Corona, a strange trend emerged – people started getting increasingly attracted towards big, luxurious and “luxury lifestyle” flats instead of small houses. Developers also quickly sensed this changing mood and there was a flood of premium projects worth crores of rupees.

Gleaming lobbies, infinity pools, gyms, club houses and high-end security all made the house prices skyrocket. It seemed that India’s housing market was now becoming only a “world of the rich”. Builders also clearly saw the profit in this, so they diverted some attention from the middle class and increased their focus on high-end projects.

But the story is now slowly changing. Today the situation is such that houses are being built in many luxury projects, but buyers are not being found. That is, there was plenty of supply, but demand did not increase as fast as expected. Flats worth crores are now “waiting to be sold”. This is a kind of warning to developers that if they bet only on expensive houses, the market balance may get disturbed. Brokerage reports also indicate that the real powerhouse of real estate is still the middle class. They are the ones who buy houses by paying EMIs for a long time and keep the market stable. When the focus shifted only to the premium segment, this balance got disturbed.

For the middle class, this means clearly that now perhaps the era of “affordable housing” will return again. Demand for small and affordable homes may rise again as developers will need projects that sell, not just look-a-likes. This change is, in a way, the “reset button” of the market. Where earlier people were only running after big balconies and luxury facilities, now again the same question is coming up “Can I buy a house whose EMI does not burn heavy on my pocket?” Interestingly, this whole trend is not only indicative of real estate but also of the economic thinking of the middle class. People now want to spend wisely, not just for show.

If this change continues in the future, we may again see projects that are “dream homes” but not at “dream prices”. The market is now moving towards a new direction where more importance will be given to the truth of the pocket than glamour.