Want to exit from a stuck real estate project? Here is an opportunity for you
New Delhi: to revive the sales hit by the Covid-19 pandemic, real estate developers have launched a new promotional offer. In this offer, the developers are giving an opportunity to homebuyers to move out of their stuck projects.
According to the Economic Times, M3M, who has unsold inventory worth Rs 5,000 crore, has now launched a scheme. It is looking to clear 90% of the units under this scheme.
The director of M3M Group “We have formed a separate company, which will take care of the old property and sell it with the help of a broker. The buyer has to invest 2.5 times the amount he had paid in the first property,”.
It is to be noted that sales and supply in the real estate industry was hit hard in the second quarter of 2020 because of Covid-19 which induced lockdowns across the country.
Realtors are now offering financial benefits, discounts on property and easy payment methods to attract buyers. Furthermore the sale has improved in the July-September quarter as compared to the preceding quarter. According to the report of Knight Frank India, sales and new project launches also saw an improvement in the September quarter.
Total sales of India’s top eight markets in the third quarter of 2020 reached 54% of the quarterly average as compared to 2019. Residential project launches fared marginally better, reaching 56% of the 2019 quarterly average.
According to M3M’s Bansal, a number of swap requests have come from the National Capital Region (NCR). Bansal further added that “Within a few days we have cleared inventory worth Rs 200 crore. In cases where we get multiple buyers from a single project, we might even take over that project and complete it”.
Home swap is also profitable for builders as they typically save about 30% of a project cost. This budget would have been spent on marketing, brokerage, and interest expenses. By allowing customers to swap, the builder gets buyers and immediate funds, which it would otherwise have to raise from the market at a high-interest rate. Builders like Supertech and Bhutani Infra are also coming up with such schemes and some brokerage firms are acting as intermediaries between developers.
