For decades, real estate has been considered to be a male-dominated industry. However, with the sector becoming more accepting, organised and competitive, there has been an increased penetration of female powers. Women today are making a mark in every sphere of life and real estate is no exception. They are increasingly embracing the sector due to it being an active investment choice. Overcoming the common notion that real estate is a ‘masculine’ landscape, women today are fast catching up by breaking all the stereotypes and have gained the status of equal positioning. With a massive surge in women’s contribution to the economy, they have materialized as the fastest-growing consumer group, not only due to their inclination to be independent but majorly because they want to expand their investment portfolio. From a determined working professional to single women to self-employed new-age entrepreneurs, buying an owned home has gained traction. Women buyers investing in real estate is either driven by the benefits of capital appreciation, rental income, or to take advantage of the various benefits exclusive to them. Below mentioned are reasons that clearly indicate the rising prominence of female buyers taking on the accountability of investing in an asset class that spells safety, security, and high returns:

The Change in Perception:

From being a mere influencer to the key decision-maker, this fluctuation in perception is driven by the requisite for a secure nest, which has been driving the female’s participation in home investment. The new-age women are broadminded and risk-oriented when it comes to monetary independence. This has led to a shift in their financial investment approach with the emphasis having moved from asset classes like gold or fixed deposits to real estate. The pandemic having stressed the importance of ownership stability, this powerful demographic is on the rise and this growth has drawn attention to the industry.

Benefits Encouraging Women to Take the Plunge:

In order to increase property ownership among women, the government has put in place various measures that are exclusive to women buyers facilitating to make real estate investments more profitable.

Lower Stamp Duty for Women:

The proposal to offer a concession in stamp duty of 1 per cent over the prevailing rate exclusively to women buyers is a major step in this direction. While this concession is applicable only if the property is transferred or registration of sales deed is in a woman’s name, it will play a vital role in women empowerment. This step will facilitate women buyers to be the sole property owners.

Tax Benefits for Women Buyers:

In case of joint ownership, the woman is required to become the co-applicant in the home loan application. An advantage of this would be that both spouses will be able to claim tax deductions on their individual incomes. It is applicable to state here that by simply being a co-applicant in the home loan application, the wife will not become a co-owner in the property. Even if the wife is just a borrower, she will still be able to claim tax deductions on her salaried income.

Home Loan Interest Rates for Women:

The public and private sector banks and non-banking financial companies offer specially-designed home loans and financing schemes that chiefly target women buyer. Women buyers are offered concessions on home loan interest rates of up to 1 per cent.

PMAY Benefits for Women Buyers:

Under its Pradhan Mantri Awas Yojana (PMAY), the government has made it compulsory that property bought under the scheme, must be registered in the name of at least one woman in the household. In case where a woman is borrowing a home loan under the flagship programme’s credit-linked subsidy scheme, she will be able to enjoy concessions on interest. The scheme also facilitates women borrowers from economically weaker sections and low-income groups to avail an interest subsidy of 6.5 per cent on home loans of up to Rs 6 lakhs.

Inclination Towards Large-Ticket Size Homes:

It has been surveyed that about 50 per cent of women buyers prefer investing in large 2 BHKs sized between 800 to 1,200 sq. ft. areas. With MMR topping the investment charts for women buyers, the penchant for larger-sized residencies from ethical developers stands as evidence to their improved purchasing power. As the sector moves towards normalcy, it will continue witnessing women taking on leadership roles in varied segments of real estate development.

The author is Director, Marketing, Sheth Creators

DISCLAIMER: Views expressed are the author's own, and Outlook Money does not necessarily subscribe to them. Outlook Money shall not be responsible for any damage caused to any person/organisation directly or indirectly.