Affordable hsg demand dips, mid-premium remains preferred zone for buyers

Rising input costs, global uncertainties have made it more difficult for developers to launch budget homes in a cost-sensitive market

The affordable housing segment, once the buyer’s top priority, is facing the brunt of pandemic and rising inflationary pressures, with both demand and supply shrinking to their lowest levels as home buyers seem to defer their purchase decisions.

Realty experts feel developers were already reeling under thin profit margins in the affordable segment. With rising input costs and global uncertainties, it has become even more difficult for them to launch budget homes. This is because increasing prices in this highly cost-sensitive market will make their offering unaffordable.

According to realty consultant Anarock, out of total 358,000 units launched in the