North India's Real Estate Resilience Amid Conflict Uncertainty

In the wake of escalating tensions between India and Pakistan, housing sales in north India are poised to see a temporary dip of 5-10%, as per real estate consultancy Anarock. Concerns loom over the real estate sector, particularly in the Delhi-NCR region, but experts predict resilience and eventual recovery.

Office and retail spaces might also experience short-term impacts, though a significant plunge is not anticipated. The potential conflict could slow down construction and prompt homebuyers to delay decisions, affecting investor confidence. Nevertheless, Anarock projects a rebound as long-term demand is expected to surge post-conflict.

Despite potential short-term sluggishness, India's robust consumption patterns and disciplined real estate sector point towards eventual growth. Retailers, leveraging their adaptability honed during Covid-19, are expected to draw crowds back with creative promotions. Anarock indicates that while hospitality might face cancellations, domestic tourism can look forward to a resurgence once tensions ease.

(With inputs from agencies.)