In the last two years, Indian
real estate sector went digital to attract rare customer base. Many startupscame out with strong ideation and claimed that they will change the dynamics of
the sector. Even some of the players started listing of new properties and few
of them successfully sold the inventory too. The startup root level thought
process revolved around the end user pain as well as identification of end user
for Companies.
Unfortunately, Indian real estate
sector is predominately a resell, rental market and every startup went on and
launched their portal too. All claim the different approach but the content was
the same. The sector real pain point is broker segment where commitment vs.
fulfillment ratio is bare minimum.
Much organization like 99acres, magic
bricks, makan.com, Housing came up with their unique proposition. More
interesting was the investment done by the leading investor community without
realizing the reverse eagle eye pain points.
In my point of view, Investor is
going to suffer more as major correction in the sector is yet to come. The
recent reality check done by the leading Media House in India also exposed the
weakness in the segment.
Before startups you have to keep these things in your mind. These startups started promoting
the properties without checking the legal aspect of the projects and just tried
to play around with the valuation.
Still the basic and most
important pain point of user as well as for companies is not addressed by any
of the companies operating in the segment. If they manage to tap that, It will
be a instant hit hence be ready for further erosion of investment value
