Impact of covid - 19 on real estate sector in india

Abstract

Coronavirus disease (Covid-19) pandemic is the one of the most challenging calamity in the 21st century affecting life and livelihood. The first outbreak of covid was in December 2019 in China. World Health Organization (WHO)) identified SARS-CoV-2 as a new type of corona virus and this virus rapidly spread round the globe. The virus spreads through droplets of saliva or when an infected person sneezes. It causes respiratory tract infection. Healthcare and global effects of pandemics has impacted all the sectors of the economy in some form or the other. The government had imposed lockdowns; domestic and international travel bans, and work from home for more than a year resulting in reduced use of office space, furniture and fittings, reduced residential houses being let out. These preventive measures reduced the rate of return on investments of the real estate sector like, housing, tourism, retail and commercial buildings. This paper is an attempt to study the influence of pandemic on real estate sector and how the sector is coping with the new normal. The study is descriptive in nature and analyzed the prevailing situation of real estate sector based on secondary data. The real estate sector recovery in India may take a long time and increased cost due to extended project completion time will further reduce the income. A study with structured questionnaire would enable evolve strategies for real estate recovery and effective cost control management.