Real estate business

Andhra’s real estate business is back to normal – The New Indian Express

Express news service

VIJAYAWADA: Real estate agents are supported by growing demand in the mid-segment housing market after a long hiatus due to Covid-19. They are now offering apartments at a price lower than the current market price, which is increasing due to the rising cost of construction.

“The Covid-19 pandemic has affected the real estate sector and it is only in recent months that it has returned to normal. To retain customers, everyone goes the extra mile. Take our case, we were selling a 2BHK apartment for Rs 42 lakh before the pandemic and today we are selling it at the same price despite an increase in the cost of construction in addition to offering additional facilities, ”explains Srikrishna of Pavan Builders.

“We are urging the state government to reduce registration fees like West Bengal and Odisha, which have helped the real estate sectors in these states. These states have reduced the registration fee to 2 percent, while ours is about 7.5 percent. Just imagine the demand if registration fees are reduced, ”said another builder.

Real estate agent R Swamy said that after December 2019 the real estate industry collapsed due to several factors and issues that were made worse during the pandemic. “Now the sector is slowly recovering and this is the time when we expect the government to help us by regulating the cost of construction,” he said.

Ramana Rao of CREDAI said: “Those who have encountered problems in rented homes during Covid are more eager to own their homes. I think it could be further improved if the government solved the problems with capital, construction costs and the GST on building materials.

CREDAI Secretary General Ramesh Ankineedu said the dream of owning a house for middle class people is now becoming a reality as home loans have been made easier. “The unsold stock which was around 9 lakh before Covid is now 7 lakh in Vijayawada and its surroundings, which is a good development,” he said.

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