Why is Real Estate Market Analysis & Price Forecasting Important?

July 24, 2022
real estate market trends

It is an unchallenged fact that the domain of real estate is going to only expand in the times to come. With multiple temporary sources of investment coming and going, the only safest source of investment that has emerged victorious after battling the testing times is the domain of Real Estate. Not only the traditional investors, but even the new age experimental investors are also taking a keen interest in understanding its dimensions for ensuring great returns and profits. Alpha Edge Infratech always educates you about the most important aspects of pricing, location and demand in order to help you to make an informed decision.

First and foremost, the pricing of any project is a decisive factor when making any humongous investment. It is therefore essential to understand how the acceleration to new offices and space reductions might pose a barrier to promising returns on the older stocks. The domain of real estate is extremely volatile. Therefore, to keep the appreciation value relevant, one has to estimate the returns and profits carefully before making investments. Getting in touch with Alpha Edge Infratech, the leading real estate company in Delhi NCR can help in this respect.

While thinking about making mindful investments, another important factor is workspace occupation. You must be thoroughly clear about how the space reduction can impact the revenue cost, rent payments as well as your portfolio size. If your portfolio has a mixture of stocks, bonds and real estate, it certainly is going to be a stronger portfolio model. If you invest 50% in real estate, 30% in stocks, and 20% in bonds, you can find yourself better prepared to face the economic pressures that might accrue in the future.

Also, there are many factors that can hinder investment returns on the oldest stock, one of the most determining factors being ‘asset value’. For the people who are not familiar with the concept, asset valuation is ‘principally the process of assessing the fair market value of an asset. Contrary to popular opinion, the older stocks will continue to give you great investment returns as, with time, under normal circumstances, the asset value only gets appreciated. They get hindered only when you don’t diversify your portfolio and expect consistent profits. People need to understand that the Real Estate domain belongs to consistent and patient investors. The algorithm is simple: you need to keep your money invested for a considerable time if you want considerable returns.

The discussion on the future of the real estate domain is incomplete without referring to urban mobility and integration. Nobody can possibly deny the fact that the emerging urban mobility systems are profiting from a higher level of integration, which eventually results in a better level of asset utilization. Innovation in the real estate sector can only be complete when it collaborates with the suburban areas in order to reimagine the future of urban mobility. More mobility equals to more profit, provided, you remain stable and strategic in your investment practices.

Last but not least important factor is the lack of balance in supply and demand. In fact, it has also been observed that sometimes there is over-supply and undersupply in two different cities of India at the same time. This leads to great conflict in the proposed asset value. Undersupply would simply mean that ‘there are lesser properties and more interested investors’. Contrastingly, oversupply means ‘the numbers of properties available for superseding the potential investors.’ In metropolitan cities like Delhi NCR, Bangalore and Mumbai, for instance, people often face the challenge of undersupply. The pricing gets affected accordingly. More supply means multiple choices and hence the investors can take a call according to their budget. When the supply is lower, investors are compelled to go by the quoted price. That’s the simplest way to understand how the pricing and location go hand in hand. However, if you’re smart enough and explore well, you can get your hands on the most desirable of properties in metropolitan cities like Delhi NCR effortlessly!

Somya Chopra, one of the youngest and finest Real Estate experts in the present times, As the founder of Alpha Edge Infratech, a leading real estate company her opinion is that in a volatile market like Real Estate, one has to be extremely vigilant to avoid financial losses. This proficient entrepreneur suggests: “Putting your hard-earned money in a non-profitable deal is a tragedy everyone wishes to avoid. My advice would be to seek the help of an expert and experienced Real Estate Agent or Advisor as they are well versed with all the aspects of price and location. Seeking suggestions also save your time and efforts and give you much-needed support.”

She sums up by adding:” There’s no doubt that the Real Estate domain is going to expand by leaps and bounds in the future. If you’re well-armed with adequate assets, correct information, and the assistance of a real estate expert, you will surely last longer in the market”.