How Real Estate Affected by COVID-19

COVID-19 affects real estate in the market 

The corona virus scare is infecting people worldwide and affecting the real estate market, as it is spreading rapidly at lightning speed. According to the economist the rate of the economy will decrease as most people have reduced or reduced their income to overcome the current global disease.

Due to the global disease affecting the world, many people are trying to keep away the social disturbances and save their belongings and savings which can come to the rescue in the event of being affected. As per the security measures, the government has implemented mandatory lock-downs, which has led to a slowdown in the economy and a huge gap in the exchange of funds.

Impact on Real Estate: The current situation will affect the economy as it will have serious long-term consequences that can last for months, years or decades and have targeted the market and economy. Currently the real estate is still stalled due to the lockdown as sales and marketing efforts have been halted, with no interaction between buyer and seller. Both customers are thinking twice before trying to exchange money. Even if a buyer does not decide to buy the property or a seller is not selling his property or the investor decides not to invest the money of the property thinking what will happen next in the market, it will hurt the economy. And real estate will decline. As people fear what will happen next due to global illness, there will be less demand from buyers, this will freeze finances and this will have a huge impact in the real estate industry. Construction of projects has been delayed due to travel restrictions. Precautionary measures have also led to a decrease in construction activities.

Real estate mainly relies on project listings, as listings bring in sellers and buyers, it will make money, as long as listings occur, there will be buyers who can put themselves at risk for investment. Since no new inventory is being created on new projects due to the lockdown, there is less advertising on the assets being exposed in the market. Due to the impact of Corona, the global economy has declined and has already impacted the market and businesses in the country which have affected the decline in property prices. The demand for housing is going to be affected as people are trying to save their cash due to salary cuts and may face it if the situation deteriorates, as hiring in the area has been completely halted.

Predictions

According to the survey published by Economic Times, India Bar, on 2 April 2020, there is a huge impact on Indian real estate as it stands still due to the nationwide lock down. Housing sales have been reduced by 25 to 35% and office locations by 13 to 30%. In 2019 residential sales in the top 7 cities (Delhi-NCR, Mumbai Metropolitan Region (MMR), Kolkata, Chennai, Bengaluru, Pune and Hyderabad) are about 2.61 lakh units, which can fall from 1.70 lakh to 1.96 lakh units. Similarly, new launches can see a 25 to 30% drop according to ANAROCK Property Consultant. About 4.66 lakh units in the top 7 cities were earlier scheduled for completion in 2020, there may be a risk of delay. The nationwide lockdown has completely halted construction activity, project delays and may last several months until the epidemic arrives and this will cause demand to fall in supply.

Talking about non-residential areas, corporate businessmen are delaying their leasing decisions as many multinationals and businesses are testing the Work from Home option, which, if proven successful, will allow it to be leased in the future.

One positive thing to note is that this is the best time for investors who want to invest in real estate during lock down as it will be a passive income with low investment and high returns, attractive prices for them, Affects sellers financially. Sell ​​your property, good financing options as home loan rates are reduced and use your time in search of better properties.

To conclude how long the corona virus will last, no one knows, if it goes away in two months things may not fully recover or return to normalcy. The spread of the corona virus depends on the weather and how long it lasts, the flu season and it does not like the warm climate that disappears. As it has become a major epidemic and is spreading soon. In the end how long the corona virus will affect the market or economy depends on us and how we are ready to fight against it.

Corona virus Precautions: How to Protect Your House

Basic hygiene is all that is required to keep your house virus free. Corona virus is not air borne but coming into contact with an infected person can affect you and your family. Make sure you follow these simple tips to prevent the spread of COVID-19 in your houses.

What is Corona virus or COVID-19?

To date, 2418592 people have been affected by corona virus (COVID-19) globally. While these are confirmed cases, many are unconfirmed and fear is lurid. If you are looking to protect your family from this disease, then here are some simple remedies that you should follow.

COVID-19 novel ways to prevent corona virus:

Sanitise your house

Deep cleaning of your property every week will limit the amount of germs in the entire house. This is not a costly affair. The house is easy to disinfecting yourself. For example, lemons, baking soda and vinegar can kill germs in the kitchen. It is also safe to use kitchen based products for kitchen cleaning. Use the mixture to clean all counters.

Baking soda can also be sprinkled on the upholstery. You just need to wait for at least half an hour for this. This may be better than chemical spraying. You can use the Do-It-Yourself (DIY) method to deal with pollution and germs in your home. Make a mixture of equal parts water and vodka with a few drops of essential oil. It will serve as a disinfectant as well as deodorizer.

Likewise, essential oils can be used to clean shower curtains, toilet rims, and damp locations. You can scrub these later. Avoid keeping the areas wet, as this is a good environment for germs to thrive. In the bedroom, make sure all linen is thoroughly rinsed in warm water and liquid disinfectant. It is advised that you change bed sheets regularly every week.

Kids room

Children can bring in dirt and germs. When you can't restrict their movement and play all the time, make sure that their room is clean at all times. If your child is using toys, make sure that you appreciate these toys. You can check the washing instructions, to ensure that the soft toys remain in shape even after washing them at home. Other toys can be washed frequently.

Surface cleaning

Ensure that all surfaces - shelves, tables, chairs, racks, switches, decorative artifacts and showpieces - are cleaned at least once a week. If there are sick people at home, then clean up all the places they may have touched. Corona virus is spread by contact with an infected person and while it is not air borne, it is transmitted through body fluids.

Corona virus infection: things that need attention

• Keep shoes and sandals that you wear outside the house, preferably outside the house, especially if there are small children in the house who can pick them up with their hands. Do not hesitate to ask visitors to take off their shoes when they arrive.
• Make sure your clothes are washed every day. If germs appear on your clothes, it is advisable not to wear them again until they are washed.
• Use separate towels at home.
• Educate your domestic help, driver and other employees about corona virus disease and provide masks and sanitizers to help them. In this way you are ensuring their safety, as well as yours.
• Avoid exposure to animals and slaughterhouses as corona virus can spread from animals to people.

Corona virus Precaution: Quick Tips

• Take a shower as soon as you come back from office / college / school.
• Avoid touching or using cups, tissues, plates, digital devices used by anyone else.
• Keep a hand sanitizer in hand and provide one of your home help.
• Avoid using public washrooms.
• Check with your child's school about those remedies.
• Avoid large gatherings as much as possible.
• Drink plenty of hot liquids.
• Avoid traveling.
• Choose to stay home when you are sick.
• Use masks when going out of the house and into crowded places.

How to deal with the Symptoms of corona virus infection (COVID-19)

The current outbreak of the new 2019 Novel Corona virus (2019 n-Cov) has caught many major countries around the world. China, its country of origin, South Korea, Italy and Iran are some of the heavily affected areas.

Panic spread in India after 15 Italian tourists and their Indian driver were infected. You can find the current affairs number on the Government of India website. The government is taking preventive measures like universal screening of passengers at airports to keep the spread under control. Several laboratories are expected to open for testing and research on n-Cov.

Amidst all this, many health care experts are releasing updates to keep the public informed and prepared. Corona virus information is floating everywhere, and it is up to people to read and take precautionary measures to protect themselves from the virus.

In this blog, we take a deep dive to learn about COVID-19, corrected by its symptoms, how it is transmitted, and not to do some hard work to prevent.

Are you infected with corona virus?

The 2019 n-COV belongs to a large family of corona viruses, which cause serious illnesses ranging from the common cold to the Middle East Respiratory Syndrome (MERS-Cov) and Severe Acute Respiratory Syndrome (SARS-Cov). And the worst thing about this new virus is that it has no specific symptoms.

Mild health problems - such as cough, sneezing, fever, and difficulty breathing are some symptoms of infection. In some cases however, there may be no symptoms. An infected virus can be a carrier, infecting many others in the process, without itself being infected.  Alternatively, infected pneumonia can develop severe cases such as severe acute respiratory syndrome, kidney failure, even death.

So if you are dealing with a cough and a cold this season, the only way to know if you are infected with corona virus is to consult a health care professional. As of now, there is no standard, direct test for the 2019 N-Cove. But, the virus can be detected by running a series of tests.

How is COVID-19 Transmitted?

Researchers have not yet been able to uncover the exact dynamics of virus transmission. However, there are some channels through which this happens

• Through drops made after an infected person coughs or sneezes.
• Consumption of animal products virus.
• Contact infected animal/
• Through public places, especially during public transport, meetings, gatherings etc.

What you have to Do and Don’t to protect yourself from 2019 n-Cov?

Here are some ways to protect yourself from an epidemic:

Maintain cleanliness

Wash your hands thoroughly with soap and water. Scrub carefully between fingers and nails. Use hand washes, sanitizers and alcohol sterilizers to clean your hands and do not touch your nose or mouth otherwise.

Keep a safe distance from sick people

Avoid direct physical contact with sick people, especially those with flu, cold, cough or respiratory problems.

Cover your mouth

When you cough or sneeze, cover your mouth with a mask, cloth or tissue paper. Also, if you are ill, use a medical mask. To sterilize the mask or cloth, heat it.

Heat your food well

Consumption of infected animal products can cause virus infection. The virus cannot survive at high temperatures. Thus, you should heat your food properly before consuming it.

Seek medical care

There is always initial medical care from the health care profession, even in cases of common, mild symptoms such as cough, sneezing, fever, or difficulty breathing. Self preventive care is helpful in these cases.

A list of things you should avoid:

Touching your face

The virus enters our body through the nose and mouth. If you have touched an infected area, especially in public places, your hands may be infected. Thus, avoid touching your face before washing them properly.

Direct contact with animals

Avoid unnecessary, direct contact with animals. The virus can be transmitted from animals to humans. Therefore, if you have pets, you need to take care of hygiene properly.

Do not travel when you are sick

Make sure you are healthy before the trip. If you are not, seek medical attention immediately. Avoid going to public places, buses and sharing taxis when fever, cough, sneezing.

Do not take medicines without a prescription

Eating common antibiotics does not help with 2019 n-Cov infection. If you are feeling unwell, you should only take medicines prescribed by a health care professional.

As always, prevention is better than cure. And keeping the above suggestions in mind, you and those close to you can protect against corona virus infection. Stay healthy, and take care!

STAY HOME, STAY SAFE, STAY ALIVE…

Why real estate should be good to investment in this lockdown

Fight continues in the world due to the outbreak of COVID-19. To further maintain the risk from snowballing, the Indian government has indicated to fully affect the lockdown. As a result, nowadays, most of us are working from home. Outside life has come to a grinding halt. No matter how uncomfortable it sounds, it is probably the only way to prevent perennial corona viruses from spreading further.

Although our daily routines have been affected, this does not mean that people should lock themselves inside their homes, stop all their plans and only watch worrying news on TV about this threat. These are some of the best times when one can spend time with family, do various hobbies and introspection. The current situation is an ideal time to think about investing in sources of passive income. Eventually, some of the best opportunities emerge from a crisis.

Zoning on various options can be seen in various options like term plans, stock market and real estate. While every investment option has its pros and cons, as of now, when the stock market is recessionary and the banking sector is in a tailspin, real estate can be a great asset to place bets on. If anyone wants to do it risk-free yet, makes a commendable return, with many residential and commercial real estate options available.

Full of attractive offers: Recognizing this opportunity, developers are coming up with many attractive offers. Property prices have already corrected in the last few quarters. After COVID, many developers are offering further discounts and attractive offers to maintain their financial books. There are projects where one now needs to pay 5% to book a property. The remaining payments will start after 60 days. By that time, it is expected that the crisis will mostly end.

However, such plans are a fleeting event that developers are launching to boost sentiment. Prices have already come down and once the situation returns to normal, such attractive schemes will also be lost. Therefore, this may be the best time to buy real estate. It should not be surprising if one gets ready-to-use assets for a price equal to a new launch.

Higher yields: Real estate can offer risk-thrilling competitive returns. Although residential real estate has been stable in recent years, commercial real estate has been issuing attractive returns. A commercial property in a prime location can easily give an average annual appreciation of around 7-10%. At a time when share prices and financial markets are volatile, such a comeback can be a game-changer.

Concurrent Rental Income: Real estate can provide continuous income in the form of monthly rent. The rental component always makes real estate a very unique proposition for investing. A quality commercial property can provide returns of around 5-8%. Similarly, residential projects can give returns of around 2-3%. Therefore, this is the right time to capitalize on those possibilities.

Increased liquidity: This is a good time to invest in real estate because home loan is going to be cheaper. RBI has recently cut the repo rate by 75 basis points. The rate drop is a welcome move for the industry. In a short period of time, as a calibrated response to the reduction in repo rates, most banks will also reduce their home loan rates.

Feasible Hard Asset: The biggest advantage of real estate is that it is a tangible asset. At a time when there is too much risk investing in paper money, real estate is a safer and safer asset for betting.

Real estate is a separate asset class that can ensure appreciable ROI, hedge against income and provide recurring income in the form of rental yields. However, it has its drawbacks, as a real estate asset will take at least 2-3 months. Nevertheless, investment in real estate is always made keeping in mind the medium to long term perspective. A short-term perspective can be counter intuitive.

So in these times of social distinction, do not just shut yourself down. Use isolation downtime, do some in-depth research, learn about the various sources of passive income and make the most of this time to make meaningful investments.

STAY HOME, STAY SAFE, STAY ALIVE

SUGANTA REALTY SERVICES LLP

Impact on Indian Housing Market due to COVID-19

Corona virus proliferation has further delayed a recovery that may be due to measures launched to revive various government demands, however, it does not appear that prices will fall immediately. Niranjan Hiranandani, national president, NAREDCO, says that "reviving Indian realty is the second largest employment generator, not only from the point of view of GDP growth, but also for job creation as the multiplier effect of more than 250 affiliated industries in the region is.

Recently, the Center announced more tax breaks and lower interest rates on home loans to make purchases more attractive, besides setting up Rs 25,000 crore stress fund for speculation.

He called for a slowdown in the residential segment, which has already stalled housing sales, project launches and price increases in India's residential realty sector, which is under pressure due to mega regulatory changes due to Real Estate Regulatory Authority (RERA), Goods and Services Tax (GST), Demonetization and Benami Property Law.

According to rating agency ICRA, the epidemic, if not soon included, will not only significantly affect the economy, but will adversely affect the cash flow and project delivery capabilities of developers.

"Although in the case of a prolonged outbreak, the impact on overall economic activity is likely to be deeper and more sustained, resulting in a more significant impact on developer cash flow and project execution capabilities, leading to a wider credit negative impact." ICRA said in a recent note that the three-month deferment announced by the RBI on loan on March 28 would provide some comfort to the builders.

“The injected liquidity of Rs 3.74 lakh crore (by RBI) with a three-month moratorium on all loans by financial institutions will ease short-term liquidity concerns and help developers as well as homebuyers. It is a great relief for developers and buyers to help ease the challenges they currently face,” says Ramesh Nair, CEO and Country Head of JLL India.

Anticipating the delay in completion of the project and supporting the builder community, the Real Estate Regulatory Authority in Maharashtra has announced a 3-month extension in the completion deadline of the project.

Recall here that real estate developers in Mumbai, the state capital and India's financial nerve center, have the largest selling stock in the top nine markets.

“Due to the 21-day lockdown outbreak of COVID-19, both manufacturing and sales activity has come to a complete halt in the entire real estate sector. At many sites, construction workers have also moved back to their hometowns. Even after the lockdown, the activity will only recommend slowly, which will cause project delays anywhere between at least 4 to 6 months,” said Sharad Mittal, CEO and head, Motilal Oswal Real Estate Funds. Welcoming the announcement of Maharera, Mittal said that although it cannot fully compensate the sector with actual project delays that are likely to be direct, 'it is certainly a decision in the right direction, to support real estate developers and the region. Overall in this global crisis.

STAY HOME, STAY SAFE, STAY ALIVE

Corona virus outbreak 2020 - affects real estate growth in India?

Today, at the endemic of this severe corona virus, experts are busy calculating abnormal human loss worldwide. People are suffering or out of home due to the outbreak of this virus. In the meantime, the effect of the unexpected opposition to this deadly virus spreading on the global economy has been agreed.

Considering COVID - 19, the estimated loss to GDP in the world so far has been assumed to be 0.2 percent. For the grace of God, the effect is by no means limited in India. But in this scenario, it is clear that the Indian economy, which has already seen a 4.5% lower growth in the July - September quarter, will probably not remain uninhabitable due to the worldwide economic slowdown. And, the realty industry of the Indian residential market is telling a different story altogether.

COVID - 19 affects the property market in India

If the data collected from SuGanta.com is analyzed together, it is clearly visible the fall of 9 important residential markets of India by 30 percent during the time span of October to December last year. It is deteriorating for the fifth consecutive time of Q3 financial year 2019.

The trend is also the same for the launch of new projects. Since the third quarter of the last financial year, the task of starting new projects has been facing a continuous decline in the mega markets. This caused an annual decline of 44% in the October to December time period.

Despite all the government-issued schemes, including the lowest interest rate on home loans and the maximum tax exemption on purchasing any residential property in India for the first time in the history of real estate, all efforts failed to revive property demands among homebuyers are in India. He still chose to remain unaffected by all the tricks played by the stakeholders to force him to go out of his fence. For example, the government took an action to limit GST to 1% for affordable flats, which also went into the vein.

Usually, the craze of buying and selling property in India increases during the festivals of October to December, which did not happen even in 2019. And now in early 2020, there has been an outbreak of the corona virus. And, it has also probably brought the worst times in the residential property market in India. 1705732 Corona positive cases reported globally as of April 10, 2020. And, it is only growing and causing more fear around the world.

The rate of property visits has fallen surprisingly

Well, impressed by the government's plans, given how interested some consumers were in searching for property on the Internet, the Corona virus outbreak just seized them again from doing any such thing. To date, on April 10, 2020, India has reported 7600 corona positive cases. The activation of social media and news channels has succeeded in making people truly aware of COVID - 19 and everyone tries 'Stay Home Stay Safe'. People are really creating social distance by listening to the words of PM Modi. Currently, India is on a 21-day long social lockout to stop the spread of pollution. So, in such a scenario, nobody is dreaming for a site coming to buy a property in India.

Plans for project delays !!

Indian real estate is largely dependent on China, which is the source for COVID - 19 outbreaks. India needs support in matters of sourcing home furnishing essentials, construction materials, plastic to steel to electronic materials and construction equipment from China. Now, India needs to look for alternative sources as China is busy controlling the epidemic of viruses. It will shoot project delays to make sure.

Noida developers present housing society as quarantine facility

Two NCR-based developers have offered the Noida administration a deported housing society that can be used as a temporary quarantine facility.

Under the Uttar Pradesh chapter of the National Real Estate Development Council (NAREDCO-UP), realty developers Supertech and Antriksh Group have offered 500-bed facilities at two locations in Noida. Noida has the highest number of COVID-19 cases in UP.

In this regard, NAREDCO UP has sent a letter to the district administration. While Supertech has offered 400 bed space, Antriksh Group has offered 100 bed space for quarantine. In addition Supertech has dedicated a special tower for quarantine if necessary.

“Naredco UP has offered 500 bed spaces to the district administration to fight coronovirus. As the number of positive cases of COVID in the region is increasing, it is our duty to provide a place for quarantine to the district administration,”said RK Arora, president of Naredco UP and chairman of Supertech.

Supertech has offered 400 bed space in the upcountry project (Yamuna Expressway) and has reserved a tower for this reason. Other members Antriksh Group have offered 100 bed space in the Antriksh Golf view project.

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