Will Real Estate Broking Become Organized In India
The real estate market in India is seeing increasing demand for residential as well
as commercial spaces which is driving its growth and making it impervious to the any kind of market volatility. This makes this pricey sector very appealing for everyone. But the risks here commonly come in form of potential frauds which usually occur at the broker level.
Now being cheated can simply mean not being informed of better deals or can be something as complex as the same property being sold to multiple parties. The Indian government is in motion to bring in a regulator to ensure broker registration to make monitoring real estate broking and tracing the brokers easy. Licensing can surely curtail phantasmal brokers and boost business for the truly credible.
The Organized Brokers
On the other hand, many organized brokers affiliated with banks or stock brokers can be seen emerging geared with their deep research and vast experience along with a reputation built over the years. Although people may suspect that this would mean expensive brokerage services, its still cheaper than losing substantial amount of hard-earned money or getting stuck with a bad deal with a loan burden for decades. Then there is the professionalism and steady offices that so many investors truly desire but do not get access to.
Investor Suspicions
This threat goes on increasing as we move to the lesser developed parts of India. A natural skepticism is bound to prevail in anyones mind while buying say, a 2 BHK flat in Jaipur or Hyderabad which are Tier II cities. The investors, buyers and sellers usually dont know how the process works, or how negotiation is an option and that the entire experience could have been better. If they are aware that their lack of knowledge could turn them into a fraud victim, theyll repel from great opportunities that lie in Indias unique real estate market right now.
So if the market has to continue growing and not become a mere real estate bubble with a ticking countdown to deflate, strict regulatory measures are a must. Its not the question of if but rather when the market becomes majorly organized if not completely. Meanwhile small but important measures taken by local municipalities will also help like the PMC has warned the masses to cross check builder credibility on their websites before buying flats in Pune. Even people will play an important role by not only being vigilant but also preferring legitimate brokers to push the unorganized sector into becoming organized.