The festive season brings auspiciousness in life and hence, there has always been a surge in demand for land during this point . We are sure that your inbox must already be flooded with freebies and discounts on property purchase. So, have these offers convinced you adequate to shop for a property this festive season? Well, whatever may be your answer, presents you a ‘reality check’ of festive discounts and offers along with ‘what's making news’ in the market.

First Surprise Just Before the Festive Season!

“I don’t know what you want to call me. Santa Claus or Hawk… My name is Raghuram Rajan, and that i do what I do.”

With these line, RBI Governor reduced the repo rate by 50 basis points bringing it to 6.75 per cent, the lowest in the last four years.
Following this, several banks slashed their interest rates. SBI took the lead by reducing 0.40 per cent, making the current lending rates 9.70 per cent. Other banks that followed the suit includes Allahabad Bank, Dena Bank, Punjab & Sind Bank, to name a few.

Welcoming the move, Vikas Bhasin, MD, Saya Group says, “Investing in property involves heavy duty fund management and allocation. Those buying a property on loan are under a double-edged sword, where high EMIs can sting hard. Thus, this move by RBI will provide the property buyers with reduced EMIs, thus reducing pressure on their pockets.”

What’s up for Grab?

• Ajnara is providing a 7-7-7 scheme for certain projects where the customer needs to pay only 7 percent of the property cost at the time of booking; will get Rs 7 lakh discount and therefore the unit are going to be offered for possession within the next 7 months.
• Supertech Limited has launched an exclusive ‘9 Days of Navratras - 9 EMIs free’ scheme for its customers during the auspicious 9 days of Navratras. This offer is applicable from the first to the last Navratra on all the projects of Supertech across Noida, Greater Noida, Ghaziabad, Gurgaon, Meerut, Muradabad, Rudrapur, Haridwar and Bangalore.
• For Prateek Stylome, Prateek Group, is offering bouquet of offers counting on the dimensions of unit customer is booking. Different sized units will carry different options such as free stamp duty, free club membership and free power backup of up to 5KVA.
• Saya Group is offering 10:80:10, No pre EMI scheme for its recently launched project ‘Saya Gold Avenue’ located at Ghaziabad.
• For ‘Gulshan Ikebana’, Gulshan Homz, is offering goodies for ground floor and top floor units. A completely installed Modular kitchen with chimney are going to be provided to the bottom floor flat buyer and completely installed Modular kitchen with chimney, and additionally to the present 4 installed split A/C (brand- LG/Samsung 4 star rating) are going to be provided to a top floor flat buyer.
• Shri Group is offering scheme valid just for new buyers for top floor apartments of ‘Shri Radha Sky Gardens’ located at Greater Noida West. A customer interested for two BHK/2BHK + Puja units can take a reduction of Rs 90,000 or 3 ACs freed from cost. Customers interested for 3 BHK units can take a reduction of Rs 1,20,000 or 4 ACs freed from cost. The company has also come out with two new payment plans; special payment plan Rs 3,200 all-inclusive with dedicated open car parking and subvention payment plan Rs 3,395 all-inclusive with dedicated open car parking.
• JM Housing is offering 30:70 payment plan for JM Aroma, where 30 percent of the amount is to be paid at the time of booking and rest on possession. Also, 5:95 payment plan with No EMI till offer of possession for JM Florence where 5 percent of the quantity is to be paid at the time of booking.
• Rudra Buildwell Pvt. Ltd. has begin with a scheme for buyers who have an interest in buying units that are 1,450 sq. ft. in size or above. As per the scheme, the corporate will provide the unit with an entire modular kitchen. This scheme will only be available at the time of 9 days of Navratris.

The Current Face of the Market

While these festive schemes and offers are how to spice up market sentiments, at times, offering of possession is additionally considered to be an excellent news within the sector. This also helps in pushing the market sentiments forward which paves way for the demand for property purchase.

In this backdrop, let’s see what is going to be available within the primary market. As per CommonFloor data, all the main cities will see a healthy supply of units in Q4, 2015. Consider the table below.


So, Does Sales Actually Go Up During Festive Season?

Developers see this festive season as a great marketing opportunity to dole out freebies to customers as it gives a further boost to the sentiment of investment in realty.

However, giving a different viewpoint, Akshit Shah, AVP - Capital Markets Research, JLL India explains, ‘the average age of home buyers has come down from the mid-50s to the mid-20s. The younger generation prefers to require informed decisions and focuses on better bargaining opportunities instead of auspicious days to get property.’

Adding to it, he says ‘a larger part of this industry announces salary hikes and bonuses in the second quarter. The manufacturing and trading industry, on the opposite hand, announces bonuses during Diwali - which falls within the fourth quarter.’

Good time for bargains

With sky reaching property prices, developers are cursed with lot of unsold inventory. Coupled with this is often the liquidity crunch they're facing with investors reluctant to take a position thanks to low returns and buyers refusing to shop for property. Thus, with pressure mounting, it's blast for buyers to travel for smart bargains.