Rebooting Residential Real Estate Post-COVID

The pandemic forced many tenants to move out of their rental homes and return back to their native places. The residential real estate sector took a massive hit, with experts estimating a 5-20% drop in the market across India.

But things are getting back to normal. Companies are restoring normal operations, and people are returning back to metros. Therefore, the housing rental market is bouncing back, presenting numerous opportunities for both homeowners and tenants.

Tenants Are Getting Back to Cities

After a year-long halt, most companies across the country have restored normal operations. While remote work continues to be a common practice, working professionals are returning to their workplaces.

And like before, most of them are millennials who prefer renting over buying, as it gives a sense of security while ensuring seamless flexibility. Moreover, the pandemic has caused the monthly rents to decline in various cities, further encouraging people to find a house for rent in Bangalore or Pune.

Demand for Good Homes Is on the Rise

As more tenants are getting back to cities, the demand for good homes is increasing. When it comes to selecting residential apartments for rent, tenants consider two main factors.

Facilities and Amenities: Since the majority of tenants are millennials, they prefer rental properties with top-notch amenities and facilities, such as Wi-Fi, laundry, entertainment area, etc.
Safety and Security: Security is another crucial factor tenants consider when looking for a good rental home. This includes CCTV surveillance, 24/7 security, and a low crime rate.

Quality of Life Is Directly Proportional to the Quality of Homes

Millennials want to experience a good quality of life, and it starts with living in a good-quality home. A quality home emanates a sense of security, satisfaction, and success. Some key characteristics of an ideal home are:

Perfect posh areas in Bangalore or Pune
Good light and ventilation
Ergonomic interior design
Construction using good-quality materials
Good-quality kitchen and bathroom areas with top-notch fittings

Home Is the New Epicenter for Work, Play & Socialize

Working from home is a common practice now, as more than half of Indian employees want to work completely from home. Even if they go to the office, there will be days when they’ll want to skip the Bangalore traffic and work from home. This requires a home that is peaceful, well-designed, and ideal for working.

Clearly, the home has become more than a place to stay, play, and socialize. It is now the new epicenter for millennials.

Rental Yield Over Capital Appreciation

The post-pandemic growth of the housing rental market presents opportunities for landlords as well. The pandemic has adversely impacted the real estate market. As hundreds of thousands of units remain unsold, the property prices haven’t appreciated.

However, the housing rental market is likely to be strong in the upcoming months. The rental yield can, therefore, surpass capital appreciation. Landlords who want to build a consistent source of income from their properties should consider renting them.

Homeowners Are Relying More on Rental & Property Management Companies

Though the housing rental market in India is booming, it’s still difficult for homeowners to find the best tenants. Similarly, tenants can have a hard time finding the right homes with the best location and amenities.

Here’s where rental and property management companies come into the picture. Property management companies bridge the gap between homeowners and tenants. Hence, both homeowners and tenants are relying on rental and property management companies for their requirements.

Wrap Up

After a substantial decline amid the pandemic, Indian real estate marketing is bouncing back, with the rental housing segment taking the lead. Millennials are moving back to metros, increasing the demand for residential apartments for rent in Bangalore. Simultaneously, landlords have reduced their rents and are offering better deals to tenants.

Are you looking for a rental and property management company to help you find residential apartments for rent? Contact YourOwnROOM today!