Real Estate Market Poised for a Festive Season Upturn in Bhubaneswar and Puri
Bhubaneswar: The real estate market in cities like Bhubaneswar and Puri is looking at a significant upswing this festive season, driven by the dual boost from the recent GST rate cuts on key construction materials and stable home loans following the RBI’s repo rate reduction. Industry experts predict a 15 to 20% increase in real estate bookings, particularly in the rapidly increasing luxury segment in Bhubaneswar. The GST reforms, implemented just ahead of the festive season, have revitalised the real estate sector, experts said.
The impact varies across different housing segments, according to Sheeshram Yadav, the managing director of a leading real estate firm. He noted that affordable housing projects remain largely unaffected due to their already minimal tax rate. Mid-housing projects, however, will benefit from a 3-5% reduction in construction costs and a 1-1.5% decrease in selling costs.
Aman Sarin, director of another real estate firm, highlighted the festive season as a pivotal period for the real estate market, with homebuyers’ sentiment traditionally peaking. “We anticipate a surge in buyer activity, especially with recent launches coinciding with festivals,” Sarin said. This sentiment is echoed by real estate analyst Ashish Jerath, who emphasised that this festive season could mark a turning point for the sector, with a heightened propensity for luxury lifestyle purchases. “New launches in the branded luxury segment are expected to receive a positive response, bolstered by the economic uplift from tax benefits,” Jerath said.
Bimalendu Pradhan, a city-based real estate expert, welcomed the GST cut on construction materials, urging developers to pass on the benefits to buyers to ensure genuine growth in the sector. “If developers transfer these savings to consumers, the real estate segment could experience substantial growth. Odisha’s real estate sector is currently grappling with other issues which need to be looked after by the government,” he added, while urging the state government for intervention in simplifying the transaction procedures. This could further enhance the attractiveness of the real estate market in Bhubaneswar and Puri, making it a more viable and attractive option for potential homebuyers during the festive season.
