Indians wary of investing in property: Survey

Uncertainty in the real estate sector is keeping the Indian home buyers away, according to a survey.

"While property still remains the preferred choice of investment of nearly all the Indians, as high as 92 per cent, they are pretty scared of trading in the property market now," real estate market tracking news portal Track2Realty's survey titled 'Home Buyer's Satisfaction Index' said.

The survey further said that buyers are looking at other options, including infra bonds for investment. "Nearly 70 per cent of Indians who are looking to invest again after occupying a house assert they prefer relatively safer bets like infra bonds than be sorry after the new launches are stuck up due to developers' poor financial condition, regulatory hassles or other legal issues."

The survey was conducted in 10 cities: Delhi, Mumbai, Kolkata, Bangalore, Kochi, Ahmedabad, Chennai, Patna, Pune and Chandigarh. As many as 2,000 house-buyers were surveyed.

"Almost 60 per cent of home seekers active in the property market believe there is artificial demand in a new launched project and after 12-24 months, prices can be realistic, if not outrightly downward," it said.

Due to lack of confidence in the new launches, buyers are preferring ready-to-move properties. "Nearly 62 per cent prefer to settle for a flat in the secondary market as against the temptation of brand new in the recently launched apartment."

Source: http://profit.ndtv.com/News/Article/indians-wary-of-investing-in-property-survey-304379