As we are passing through slow growth period, brokers should focus on resale rather than primary sale. Primary sales are easy to do as builder does lot of advertisement and there are lot of options for the same property.

1. 9 Reasons Why brokers
should focus on resale
market

2. Lot of inventory
• There is a lot of inventory yet to be
possesed
• So investors have bought the units
but no one to use it.
RE/MAX Mumbai Gujarat Maharashtra

3. High interest rates
• Historically high interest rate has
kept EMI unaffordable
• Hence salaried class still cannot buy
homes – which is the bulk of Indian
consumer
RE/MAX Mumbai Gujarat Maharashtra

4. Plan pass complexity
• Thanks to regulation changes by
State governments : Passing a plan
for a new project is very difficult.
RE/MAX Mumbai Gujarat Maharashtra

5. Central government regulation
• The new central govt regulations
require all requisite permissions
even before a single booking is
done.
• This increases the cost
• It also delays new
projects
RE/MAX Mumbai Gujarat Maharashtra

6. Sand mining restriction
• Critical component of new
construction- Sand is now a scare
commodity
RE/MAX Mumbai Gujarat Maharashtra

7. Inflation
• High inflation increases the cost of
construction
• Reduces the disposal income of
people to save for real estate
investment
RE/MAX Mumbai Gujarat Maharashtra

8. Slow Economy
• Economy growing at less than 7%
doesnt have enough saving for a
real estate boom
• Economy set grow at 5% for few
more years.
RE/MAX Mumbai Gujarat Maharashtra

9. Life of property
• Life of a property is 50 years and it
changes on an average 5 owners
before its redeveloped.
• The total sale of second hand car is
more than new cars in India
RE/MAX Mumbai Gujarat Maharashtra

10. A lot of options :
• The past real estate boom has left a
lot of options
• Each unit is unique and hence
requires special selling
RE/MAX Mumbai Gujarat Maharashtra

11. Thank You
RE/MAX Mumbai Gujarat Maharashtra