A Report on Summer Vacation Training

Undertaken in
REALTY SMARTZ PVT. LTD.
ANALYSIS OF REAL ESTATE MARKET IN DWARKA EXPRESWAY,
GURUGRAM AND INVESTOR’S PERCEPTION TOWARDS REAL
ESTATE WHILE INVESTING

Submitted to Institute of Management Studies and Research,

Maharishi Dayanand University, Rohtak in the partial fulfillment
Of requirements for the award of the degree of
Master of Business Administration
Session of 2022-23

Submitted by:
ROHIT
MBA GENERAL (2.3)
Class Roll No.:2101058
University Roll No.:

INSTITUTE OF MANAGEMENT STUDIES AND RESEARCH

MAHARSHI DAYANAND UNIVERSITY
ROHTAK, HARYANA - 124001
 ACKNOWLEDGEMENT

I, ROHIT, a student at INSTITITE OF MANAGEMENT STUDIES AND RESEARCH, am extremely

grateful to ‘REALTY SMARTZ Pvt. Ltd’, for the confidence bestowed upon me and entrusting me with the
project titled “Analysis of Real estate Market in DWARKA EXPRESSWAY, Gurugram and investor’s
perception towards real estate while investing”.

I would like to express my deepest gratitude and special thanks to my project guide and mentor Ms. Chhavi
Mittal, Associate Director, Realty Smartz Pvt. Ltd., who took time out of her busy schedule to guide me and
support me and allow me to carry out my project during my training.

I am also grateful to my industry mentor for giving me good insight on how Real estate market works and how
Real Estate transactions take place.

I express my profound gratitude to my faculty guide Prof. Divya Malhan Mam who gave me valuable
guidance, suggestion and helped me throughout the project. He encored me and supported me to effectively
channelize my thoughts in the report making.

Last but not the least, I am also thankful and highly honored to have worked with all the people working at
Realty Smartz Pvt. Ltd. For extending their support and co-operating with me throughout my internship
tenure.
 Declaration

I, Rohit bearing institute Roll No. 2101058 declare that the summer internship project titled “Analysis of Real
estate Market in Dwarka Expressway, Gurugram and investor’s perception towards real estate while
investing” is my original work and completed under the supervision of Ms. Chhavi Mittal of Realty Smartz
Pvt. Ltd. and Prof. Divya Malhan of IMSAR MDU, ROHTAK. Further, I also declare that the report being
submitted herewith is free of any textual plagiarism.

Signature –

Name – Rohit
Date – 13-10-2022
Place: Gurugram
 Certificates
Top gun of the league in training
Certificate of appreciation
Competition certificate
 APPROVAL OF THE FACULTY GUIDE

Recommended that the Summer Internship Report titled “Analysis of Real estate Market in
Dwarka Expressway, Gurugram and investor’s perception towards real estate while
investing” prepared by Mr. Rohit under the supervision and guidance be accepted as fulfilling
this part of the requirement for the award of Masters of Business Administration. To the best
of my/our knowledge, the contents of this report did not form a basis for the award of any
previous degree/diploma to anybody else.

Date – 13-10-2022
Signature –

Name of guide - Prof. Divya Malhan

 TABLE OF CONTENTS

SL. NO. PARTICULARS PAGE NO.

1. EXECUTIVE SUMMARY 1

2. CHAPTER 1 2-8
AIM AND ESTABLISHMENT OF THE COMPANY
3. CHAPTER 2 9-10
DISTRIBUTION OF THE WORK RESPONSIBILITY UNDERTAKEN
4. CHAPTER 3 11
OBJECTIVE OF THE STUDY
5. CHAPTER 4 12-13
WORK EXPERIENCE
6. CHAPTER 5 14-18
ANALYSIS OF REAL ESTATE MARKET IN DWARKA
EXPRESSWAY GURUGRAM
7. CHAPTER 6 19
COMPARATIVE ANALYSIS
8. DATA AND INTERPRETATION 20-40

9. HYPOTHESIS TESTING 41-43

10. FINDINGS 44-46

11. RECOMMENDATIONS 47

11. ANNEXURE 1 48

12. QUESTIONNAIRE 49-52

13. REFERENCES 53

14. SVT FEEDBACK REPORT 54-57

 Executive Summary

One of the industries with the highest international recognition is real estate. Housing, retail, hospitality, and
commercial are its four subsectors. After the agricultural sector, the real estate industry in India is the second
largest employer. Additionally, greater non-resident Indian (NRI) investment is anticipated in this industry
over the long and short terms.

This analysis was done to study the Real Estate market in Sohna, Gurugram and find out the perceptions of
the investors while investing in this sector. The analysis involved a survey and data collection through various
articles and newsletters. It involves primary as well as secondary data and the data involved is qualitative as
well as quantitative. One-sample t test and Descriptive statistics was applied to primary data and comparative
analysis was done based on the qualitative data collected. The factors taken into consideration were- age,
income, returns on investment, preference, growth opportunities, etc. The test showed the results that people
prefer commercial properties over residential properties based on these factors.

1
 CHAPTER 1
AIM and Establishment of the Company

Realty Smartz is a Gurugram-based reliable real estate consultancy firm. Right from the beginning, we
envisioned our company as a resource that would assist people in finding their dream homes, taking into
consideration both their financial position and their personal goals. We care about our customers and help
them get the most out of their purchases.

Our specialized group of personnel will provide you with all the knowledge you need when purchasing or
selling a home and will help you throughout the entire home buying process. Also, in order to generate calls
from potential clients looking for commercial real estate, our agents work closely with experienced property
owners and businesses. With the help of our website, the home buying process is now easier than it has ever
been. Anyone seeking consultation based on residential or commercial property will find exactly what they
want and the service they expect, whether they are a private individual or a representative of a company trying
to make a real estate investment

2
CIN U70103HR2021PTC094687

Company Name REALTY SMARTZ PRIVATE

LIMITED
Company Status Active

RoC RoC-Delhi

Registration Number 094687

Company Category Company limited by Shares

Company Sub-Category Non-govt company

Class of Company Private

Date of Incorporation 23 APRIL 2021

Age of Company 1 years, 6month

Activity Real estate activities on a fee or contract basis. This

class includes buying, selling, renting managing, and
appraising real estate on a fee or contract basis. This
class also includes the
service activities provided by Munshi.

3
Real estate- overview
Real estate is a type of property that comprises both undeveloped land and improvements including buildings,
furnishings, roads, buildings, and utility systems. Ownership of the land, improvements, and natural resources
like minerals, plants, animals, water, etc. is conferred by property rights. Real estate is defined as immovable
property of this type, including an interest in buildings or dwellings in general, as well as the land and structures
on it. It may also include natural resources such as water, minerals, or crops. In legal terminology, real refers
to real property, which is distinct from personal property, and estate refers to a person's "interest" in that real
property.

Numerous tiny regional firms with limited levels of knowledge and/or financial resources have historically
dominated the Indian real estate market. The sector has historically relied on high-net-worth individuals and
other unauthorized sources of funding, which has resulted in poor levels of transparency, rather than
institutional capital. In legal terminology, real refers to real property, which is distinct from personal property,
and estate refers to a person's "interest" in that real property. Real estate is distinct from personal property,
which is not affixed to the land permanently and includes tools, vehicles, boats, jewels, furniture, and farm
equipment.

Types of Services provided by the company:

1. Commercial Property

Commercial property is real estate (buildings or land) intended to make a profit, either from capital gains or
rental revenue. It is also known as commercial real estate, investment property, or income property.
Commercial real estate comprises office buildings, healthcare facilities, hotels, shopping centers, retail stores,
multifamily housing structures, as well as farmland, warehouses, and garages. For the purposes of borrowing
money and taxes, residential property with more than a specified number of units qualifies as commercial
property in several jurisdictions. A property that is used for conducting any form of business activity is referred
to as commercial property. Commercial property, often known as investment property or income property, is
any land or building that is used to make money, either through capital gains or rental revenue. There are
several different kinds of commercial properties.

• Industrial
• Hospitals
• Educational Institutes
4
 • Community Centres
• Clubs
• Commercial
• Local Retails Markets
• Malls
• Hotels
• Office Space/ Business Parks
• Shop Cum Offices (SCO)

2. Residential Property

Individual, family, and group dwellings are all included in residential real estate. The majority of people are
familiar with this asset class, and this is the most prevalent estate type. The most common type of property,
among both new and seasoned agents, is residential. An excellent investment opportunity is provided by
residential property. These homes are purchased for two reasons:
• For staying
• As an investment

The following are some benefits of investing in residential real estate:

• You profit as the property's value rises

• You can borrow money to finance your purchase
• You receive rental income

Risks Associated with Investing in Residential Property

• Interest rates may increase,

• the property may go unoccupied for an extended period of time
• unreliable tenants may be found
• home values may stay flat or even decrease.

5
The types of residential real estate include the following:

• Single family residence

• Row houses/ townships
• Flats
• Bungalows

6
 REAL ESTATE MARKET IN GURGAON

Real Estate Market in Gurgaon

Figure 1: Master Plan 2031

It is indeed amazing how Gurgaon has transformed in just two decades from an economic wasteland to an IT
metropolis. Gurgaon, often known as the "Millennium City," has grown to become the most sought-after
location for both residential and commercial properties as a result of the emergence of IT businesses. As a
result, it is frequently used as a symbol of "rising India." The city has been a favorite among real estate firms
and investors. In Gurgaon, what motivates investment? Real estate brokers in the city concur that easy access
to social facilities and seamless connection are driving investment in all sectors. In the past few years, the city

7
has undergone numerous infrastructure improvements that have significantly improved Return on Investment
(ROI) and are further speeding the region's growth. There are a few places that are now experiencing high real
estate activity, including Dwarka Expressway, Sohna Road, and Golf Course Extension.

Gurgaon has emerged as a top destination for international corporations and domestic industrial companies
looking to build bases in this expanding metropolis after sensing a significant opportunity. Gurgaon's real
estate market has gradually changed from affordable to luxurious. Gurgaon has become the ultimate location
for luxury living as a result of the emergence of the wealthy elite and the acquisition of substantial wealth.
Gurgaon continues to offer promising office space, and there are good chances that additional significant
international businesses may establish operations here soon. Overall, this bodes well for the residential real
estate market and virtually guarantees a reasonably healthy demand for residential space in the years to come.

8
 CHAPTER 2
Description of Work Responsibilities Undertaken
PESTLE ANALYSIS

Political factors • Government Rules and Regulations

• Tax policy

• Prohibition for investment

• Impact of foreign investment

Economic factors • Inflation affects the Return

• Impact of Various Changes-With the increase in

global trade and finance

• Low interest rates

• Provide further liquidity

• Customer satisfaction
Social factors • Globalization

• Increasing share of India and other emerging

market economies

• Urbanization

• Rise in demand for quality housing projects.

Technological • Maintaining the database
factors
• Internet revolution

• Media

9
 Legal factor • Loans and investment of the company

• Depreciation and dividend policies

• Renewal of registration
Environmental • Quality of location
Factors
• Regulatory activity

10
 CHAPTER 3

OBJECTIVE OF THE STUDY

• To analysis of real estate market in Dwarka Expressway, Gurugram

• To study about the Investor’s perception towards real estate.
• To understand in which type of property (Commercial as well as Residential) investor
should invest for expecting more growth opportunities.
• To understand the behaviour of people and the factors considered by them before
investing.

11
 CHAPTER 4

WORK EXPERIENCE

RESEARCH METHODOLOGY

Research Type:

Qualitative and Quantitate Research

For first objective I am doing qualitative research based on the data available on companies’
website.

For second, third and fourth objective I have done quantitative research with primary data and
secondary data.

Sources of Data Collection: There are 2 sources of data collection, i.e., Primary Source data
and Secondary Source of data.

Primary data:

• The survey was conducted using a questionnaire that was personally presented to
respondents and filled out by interacting with people of various ages, genders,
regions, and occupations.
• Finally, I analysed data from numerous places and attempted to research many
influence elements.

Secondary data:

• Secondary data was gathered for the theoretical overview from numerous articles
and websites.

12
AREA AND TARGET POPULATION

The population for this study consisted of investors from Gurugram, Delhi and NCR. Target
population had been classified as salaried, self-employed, and retired, who was planning to
purchase an apartment/house or have already got bought an apartment/house because it was
assumed that the majority of the investors who are investing within the residential
apartment/house belongs to those groups only. Thus, we will say the study may be a purposive
research study.

SAMPLE SIZE AND SAMPLING TECHNIQUE

In this research, purposive sampling had been used. Initially, questionnaires were distributed
to 110 individuals (investors). Out of 100 were found valid. I have collected 100 responses and
there is no missing value in my data means Every respondent have answered every single
question. Data is 100 per cent

INSTRUMENTS DESIGN AND DATA COLLECTION

Data was collected through the structured questionnaire. The questionnaire had been discussed
with the experts and researchers of concerned field, property dealers and prospective buyers
and some reported literature. The questionnaire consisted of two parts. within the first part, the
questions were based on demographic characteristics of the sample respondents and about
knowledge of real estate through investors. In second part, the questions were based on which
property is best commercial or residential.

13
 CHAPTER 5

ANALYSIS OF REAL ESTATE MARKET IN DWARKA

EXPRESSWAY, GURUGRAM

FOUR MAJOR PROJECTS IN DWARKA EXPRESSWAY,

GURUGRAM

• TATA LaVida
• Godrej Meridien
• Sobha City
• Shapoorji Pallonji Joyville

14
 Project details
TATA La Vida

Location – Sector 113, Dwarka Expressway, Gurugram.

Tata La Vida" in Sector 113 Gurgaon is full of exquisiteness, stylishness and nature at its best.
“La Vida” is a Spanish word that means “Life”, so if we go through the meaning then it is a
life of luxury and convenience, which Tata Housing presenting for you in this residential
project.
The city's best and most recognized real estate developers are hard at work on one of the city's
most in-demand and dynamic residential projects: Tata La Vida Gurgaon. The TATA Housing
Development Co. is a mammoth undertaking now under construction in the Sector 11 area of
Gurgaon, a Delhi NCR province. In keeping with the project's aesthetic goals, the residential
component of the development also includes stylish apartments.
In addition, there are other perks that come standard with a purchase of a flat or apartment here,
so interested parties should definitely consider investing soon!

Amenities: Club House, Swimming Pool, Restaurant, Banquet Hall, Yoga Room, Basket Ball
Court, 2 Badminton Court, Lawn Tennis Court, Kids Play Area, Open Amphitheatre, Sky
Walk, Sunken Garden, etc.

15
 Godrej Meridien

Location – Sector 106, Dwarka Expressway, Gurugram

This project is undertaken by Godrej Properties Ltd., listed company on NSE and BSE which
delivers more than 100 projects all over India. Their major presence is in Gurugram itself.
Godrej builds any project which is luxurious and has plenty of amenities and open spaces.
Open doors to an unparalleled life, that most only aspire for. Godrej Meridien is a place of
plush residences, that offers some of the most unique experiences like wine tasting and
celebrity styling, every single day. An address where the best of French hospitality comes alive
in 66000 Sq. Ft. Gurugram’s finest clubhouse. A home where you enjoy excellent connectivity
to Delhi and other important hubs via Dwarka Expressway. An address of grandeur, where
once you check-in, you will never feel like stepping out again. Come, live the Meridien lifestyle

Amenities: Largest Club House, Swimming Pool Olympic Size, Basket Ball Court,
Gymnasium, SPA, Kids Play Zone, Cricket Ground, Squash Court, Biking Trail, Skating Ring,
Yoga Area etc.

16
 Sobha City

Location – Sector 108, Dwarka Expressway, Gurugram

Sobha City, Gurgaon is being developed over 39 acres of land as one-of-its-kind urban park
residences. The sheer size allows indulgence of open green views, more amenities, more sports
and social activities. All these niceties are packed in premium 2 & 3 bedroom apartments. This
latest offering from the house of SOBHA, is an impeccable blend of modern living, offering
multitude of lifestyle amenities.
Such is the craftsmanship and attention to detail of a SOBHA home, that it becomes a legacy,
an heirloom, a milestone and an exceptional emotional statement. This indisputable standing
comes from the consistency with which SOBHA has inculcated its passion for excellence ever
since it was founded in 1995. SOBHA'S in-house expertise, backward integration and an
organization culture of excellence has helped them deliver high quality homes on time, every
time.

Amenities: - Club House, Valley ball Court, Badminton Court, Squash Court, Skating Ring,
Cricket Ground, Green Spaces, Swimming Pool, Tennis Court, Basketball Court, etc.

17
 Shapoorji Pallonji Joyille

Location – Sector 102, Dwarka Expressway, Gurugram

Shapoorji Pallonji – a name that has always been on top when it comes to inspire living and
improve lifestyles. It is a part of Shapoorji Pallonji Group, a business conglomerate which was
established in the year 1865. The group is considered as one of the most valuable private
enterprises of India as it carries a legacy of 150 years. Shapoorji Pallonji Real Estate has created
architectural marvels by innovation and quick adaptation to the ever-evolving real estate
market.

Being one of the top players in the real estate industry, the group is all set to launch its next
residential development, Joyville in Sector 102, Gurgaon. The masterfully crafted residential
development is a marvellous residential creation by the group. Joyville Homes is Shapoorji
Pallonji’s 1st affordable housing brand launched in the year 2016. It adheres to the
uncompromisingly high quality of construction, customer service to deliver high-quality homes
in affordable range by becoming one of the pioneers of affordable housing segment in India.
With a value-driven approach, innovative ideas, and unmatched experience, the group aims at
empowering the customer with the best of everything.

Amenities: Club House, Cafeteria, Kids Play Area, Business Centre, Gym, Party Terrace,
Indoor Games Room, Theatre Room/AV Room, Aerobics, Yoga Terrace, Banquet Hall,
Squash Court, etc.

18
 CHAPTER 6
COMPARATIVE ANALYSIS

Source: Companies website

Interpretation –
As there are four major competitors in Sohna in real estate and every project have there on
positives as well as negatives.

Projects are also available according to each income segment and each class of people.

19
 DATA AND INTERPRETATION

1. From the following analysis we get to find out that how many males and females
member interested in investing into real estate.

Figure 2: Gender
Source: Primary Data

Table 1: Gender
Frequency Percent Valid Cumulative
Percent Percent
Female 33 33.0 33.0 33.0
Male 66 66.0 66.0 99.0
Valid Prefer not to
1 1.0 1.0 100.0
say
Total 100 100.0 100.0
Source: Primary Data

Interpretation – According to Table 1, Figure 2, shows that out of 100 responses 66 per cent
are male and 33 per cent are females and 1 per cent people prefer not to say. This says that
females are less interested in buying property as compared to male or we can say that males
are just double of the females who are investing in real estate.

20
 2. From the following analysis we get to find out that from what type of age group
investors belongs to in our data which we collect from investors.

Figure 3: Age (in years) present

Source: Primary Data

Table 2: Age (in years)

Frequency Percent Valid Cumulative
Percent Percent
19-30 50 50.0 50.0 50.0
31 – 45 28 28.0 28.0 78.0
Equal to 46
16 16.0 16.0 94.0
Valid or more
Less than or
6 6.0 6.0 100.0
equal to18
Total 100 100.0 100.0

Interpretation According to Table 2, Figure 3, shows that out of 100 responses 50 per cent
investors are belongs to age of 19-30 which are young and eager to buy themselves a futuristic
beneficial asset, 28 per cent are 31-45 who are about to touch their retire age and want to have
something they can pass to their coming generation, 16 per cent are equal to 46 or more age
who are using their retained fund to have an additional asset and 6 per cent are less than or
equal to 18 who hardly have enough money to invest in any estate. This says that investors

21
with the age of 19-30 are more aware about the real estate because of their updating to the
modern era and day by day increasing knowledge towards the beneficial assets.

22
 3. From this analysis we get to know what is the right age to invest in real estate?

Figure 4: Right Age to invest in Real Estate

Source: Primary Data

Table 3: what is the right age to invest in Real Estate (in years)
Frequency Percent Valid Cumulative
Percent Percent

19-30 40 40.0 40.0 40.0

31 - 45 40 40.0 40.0 80.0

Equal to 46
17 17.0 17.0 97.0
or more
Valid

Less than
or equal 3 3.0 3.0 100.0
to18

Total 100 100.0 100.0

Source: Primary Data
Interpretation The truth is it is never too soon for young adult to begin investing in real estate,
rather we mean that those investors wondering went to start investing real estate should start
as soon as possible. Becoming a real estate investor offers not just financial gains, but also a
lot of life lessons that will help you in career. Investing in real estate in your 20s is a good idea.
In the Table 3, Figure 4 able 4 and Pie chart 3 it is shown that out of 100 responses 40 per cent

23
people think that age of 19-30 years and 31-45 years both are right age to invest in real estate
and 17 per cent people think 46 or more is right age to invest and 3 per cent people think that
less than 18 is right age.

24
 4. From this analysis we get to know how much percentage of income, do invest in
real estate by the clients?

Figure 5: Percentage of income to invest

Source: Primary Data

Table 4: percentage of income to invest

Frequency Percent Valid Cumulative
Percent Percent
0-5 per cent 16 16.0 16.0 16.0
6-25 per
25 25.0 25.0 41.0
cent
26-40 per
Valid 33 33.0 33.0 74.0
cent
More than
26 26.0 26.0 100.0
40 per cent
Total 100 100.0 100.0
Source: Primary Data

1. Why 19-30 years?

As a youngster, we will have the biggest asset to our credit that is time. Invest during the early
stages of career gave us a lot of time to research, learn and achieve. Even if we make mistake

25
impact would be minimal because we have time to correct it and reap benefits. Loans are easily
available as we are eligible for long loan repayment.

2. Why 31-45 years?

After having experience during 30s one knows which will get to benefit us and vice versa that
make the person aware about the risks and he/she can take good investing decision which are
more reliable than their youngster period.
3. Why 46 or more?
Here some people want to invest in their 40s as some mortgage terms allow them to repay loan
till their 70s or 75 and they also have savings currently they want to use for their future
generation.

Interpretation According to Table 4, Figure 5, 33 per cent of people out of 100 loves to invest
about 6-25 per cent of their income for buying a property, 25 per cent people investing 14 per
cent of their income and rich ones who have enough income to live a luxury life almost spend
more than 40 per cent of their income to buy themselves a beneficial asset.

26
 5. From this analysis we get to know which factor affect's the investment Decision
the most in real estate?

Figure 6: Factors affecting Investment Decision

Source: Primary Data
Table 5: According to you, which factor affect's the investment Decision the most in real
estate?
Frequency Percent Valid Cumulative
Percent Percent

All of these 46 46.0 46.0 46.0

Availability
15 15.0 15.0 61.0
of finance
Economic
26 26.0 26.0 87.0
Valid Growth
Interest
6 6.0 6.0 93.0
Rates
State of
7 7.0 7.0 100.0
technology
Total 100 100.0 100.0
Source: Primary Data
Interpretation According to Table 5, Figure 6, shows that all the factors affect the investment
decision of investors for buying any real estate property, as our economy is running on all of
the factors for determining or predicting the future events. One cannot put aside any of these

27
as it can create imbalance and wrong predictions in the calculation of circumstances. Following
are the given reasons how these factors are affecting people investment decisions

Factors that are to be considered while investing in real estate are:

Economic Growth – It is because if economy is rising and opportunities are being explored
by people day by day it urges them to move forward to add some asset in their possession as it
would likely benefit them in coming days.

Availability of Finance – Abundant finance available with the clients will do not hinder them
to have a property within their name. People with good finance are most likely to buy real
estate as it being the best part of investment either for future benefit or as security for the
coming generation.

State of Technology – Ever wonder the world now without technology? Of course, you cannot.
This is how important technology becomes nowadays and thus it also became the vital part
considering this as a factor on which a person’s investment decision is dependent. Everything
is ruled by technology now. This technology has made the houses’ architecture stronger and
reliable than before, if technology deteriorates in coming future no one will think about to
invest on real estate as it creates doubt in the mind of the person of disappointment in future if
they want to sell it.

Interest Rates – It reminds of the economic term monetary policy which works on expansion
while recession and contraction. Interest rate is one of its factor governments run during the
period. As middle-class family can’t afford to buy an estate with the direct payments, so they
move towards the bank for loan and at what time they will take loan depends upon the interest
rates prevailing in the economy. If interest rates are high, people tend to contract their desires
to buy an estate but when rates are minimal or low, they actively take part in acquiring an estate
which makes interest rate a vital factor in property buying decision.

28
 6. From this analysis we get to know Is your real estate an asset or a liability.

Figure 7: Real Estate is liability or asset

Source: Primary Data

Table 6: Is your real estate an asset or a liability?

Frequency Percent Valid Cumulative
Percent Percent
Asset 4 4.0 4.0 4.0
Both 50 50.0 50.0 54.0
Valid Liability 36 36.0 36.0 90.0
Total 10 10.0 10.0 100.0
Total 100 100.0 100.0
Source: Primary Data

Interpretation According to Table 6, Figure 7, it shows that 52.1 per cent people consider
Real estate as their asset and 37.5 per cent as their Liability and 10.4 per cent considered it as
Both. It is based on their personal criteria as some people buy it by paying full amount, some
via loan, some for reselling purposes. Thus, it depends totally on their mindset and payment
methods. Those who invest in estate for having it as an additional property and not for reselling
will considered it as an asset, those who buy it through loan will considered it as a partial
liability as they have monthly payment to set for it and those who buy for reselling purposes
will considered it as liability as they have to transfer it after finding a owner who can grant
them with handsome amount.

29
 7. From this analysis we get to know What are the most preferable thing that we
must remember, while investing in under construction property?

Figure 8: Things to remember while investing in construction property

Source: Primary Data

Table 7: What is the most preferable thing that we have to remember, while investing in
under construction property

Frequency Percent Valid Cumulative

Percent Percent

Ensure That the

Project's Legal
36 36.0 36.0 36.0
Requirements
Are Met

Keeping Tabs
Valid
on The Progress 10 10.0 10.0 46.0
of The Project

Under
Construction 17 17.0 17.0 63.0
Home Loans

30
 Under
Construction
26 26.0 26.0 89.0
Project – RERA
Compliant

Verify The
Credentials of 11 11.0 11.0 100.0
The Builder

Total 100 100.0 100.0

Source: Primary Data

Interpretation According to Table 7, Figure 8, 36 per cent investors think that most
preferable thing that they have to remember while investing in under construction property is
“Ensure that the project’s legal requirements are met”. Keeping other requirement
secondar foremost is taken into consideration by the people is legality of the project which
will not become a hindrance in the coming future as it will result in their money and time. Thus,
most of the people primary and most obvious requirement are to check whether the project is
running on legal bases or not.

31
 8. From this analysis we get to know What are the Annual return that you are
expecting from residential property (Rent + Capital Appreciation)?

Figure 9: Annual Return from Residential Property

Source: Primary Data

Table 8: What is the Annual return that you are expecting from Residential Property
(Rent + Capital Appreciation).
Frequency Percent Valid Percent Cumulative
Percent

0-5 per cent 7 7.0 7.0 7.0

13-18 per
18 18.0 18.0 25.0
cent
Valid
19-25 per
12 12.0 12.0 37.0
cent
26-35 per
11 11.0 11.0 48.0
cent

32
 36 per cent or
24 24.0 24.0 72.0
more

6-12 per cent 28 28.0 28.0 100.0

Total 100 100.0 100.0

Source: Primary Data

Interpretation According to Table 8, Figure 9, 28 per cent investors think that 6-12 per cent
of annual return or hike is expected from residential property. As most of the people prefer to
have their own house and government providing schemes to buy it at low rates as people buy
residential for their own living rather than running it as a tenantable service, which doesn’t hike
the prices that much and keep on changing with the bearable returns or changes.

33
 9. From this analysis we get to know What is the Annual return that you are
expecting from Commercial property (Rent + Capital Appreciation)?

Figure 10: Annual Return from Commercial Property

Source: Primary Data

Table 9: What is the Annual return that you are expecting from Commercial property
(Rent + Capital Appreciation).
Frequency Percent Valid Cumulative
Percent Percent

0-5 per cent 5 5.0 5.0 5.0

13-18 per
26 26.0 26.0 31.0
cent
19-25 per
Valid 13 13.0 13.0 44.0
cent
26-35 per
16 16.0 16.0 60.0
cent
36 per cent
19 19.0 19.0 79.0
or more

6-12 per cent 21 21.0 21.0 100.0

34
 Total 100 100.0 100.0
Source: Primary Data

Interpretation According to Table 9, Figure 10, 26 per cent investors think that 13-18 per cent
of annual return can be expected from commercial property. Being the technology
advancement in today’s era and the need for infrastructure for public entertainment and
nurturing by providing with lot of facilities rises the prices for commercial sector spaces and
prices expected to hike by 13 to 18 per cent every time inflation occurs.

35
 10. From this analysis we get to know Premium (Price appreciation) Opportunities
are better in which type of properties?

Figure 11: Premium opportunities are better in which properties

Source: Primary Data

Table 10: Premium (Price appreciation) Opportunities are better in which type of
properties?
Frequency Percent Valid Cumulative
Percent Percent
Commercial
58 58.0 58.0 58.0
Properties.
Valid Residential
42 42.0 42.0 100.0
Properties.
Total 100 100.0 100.0
Source: Primary Data

Interpretation According to Table 10, Figure 11, 58 per cent of investors are agreed upon the
fact that Commercial properties gives premium price appreciation as compare to Residential
properties. With the rise of commercial sector requirement to provide the public with various

36
means of facilities and spaces to make them feel relived and joyful let the investors think that
commercial properties are much likely to give them premium prices in their near future.

37
 11. From this analysis we get to know If you have a non-taxable income, where would
you like to prefer to invest in real estate?

Figure 12: non-taxable Income in Real Estate

Source: Primary Data

Table 11: If you have a Non-taxable income, where would you like to prefer to invest in
real estate?

Frequency Percent Valid Cumulative

Percent Percent
Commercial
41 41.0 41.0 41.0
Properties.
Valid Residential
59 59.0 59.0 100.0
Properties.
Total 100 100.0 100.0
Source: Primary Data

Interpretation According to Table 11, Figure 12, 59 per cent of people are interested to invest
their non-taxable income in the residential property and about 41 per cent people are interested
in the commercial property. It is because not everyone is up for doing business in their near

38
future and as an Indian, they preferable like to pass their asset towards their coming generation
for their security and investing in residential properties. As most of them cannot afford a large
hectare of land and buying a small commercial space will not satisfy their mind Thus, they
mostly end up or by desire love to invest in residentials.

39
 12. From this analysis we get to know in which type of properties we can expect more
growth opportunities in real estate?

Figure 13: Expectation of more Growth opportunity in real estate

Source: Primary Data
Table 12: According to you, in which type of properties we can expect more growth
opportunities in real estate?

Frequency Percent Valid Cumulative

Percent Percent
Commercial
59 59.0 59.0 59.0
Properties.
Valid Residential
41 41.0 41.0 100.0
Properties.
Total 100 100.0 100.0
Source: Primary Data

Interpretation According to Table 12, Figure 13, Analysis presented the data as expected
according to the running scenario where new generations are eager to start their own start-ups
and taking it to the heights, for which they will have the need for offices when flourished and
will hike the demand for commercials. 59 per cent think that commercial setups will likely
show more growth soon while the other are agreeing on residentials being 41 per cent.
Difference is slight but refer the coming requirements of this technology driven world.

40
 HYPOTHESIS TESTING

The theory, methods, and practice of testing a hypothesis by comparing it with the null
hypothesis. The null hypothesis is only rejected if its probability falls below a predetermined
significance level, in which case the hypothesis being tested is said to have that level of
significance.

1. Premium (Price appreciation) Opportunities are better in which type of

properties?
Null Hypothesis: People are not preferring Residential Properties over Commercial
Properties

Alternative Hypothesis: People are preferring Residential Properties over

Commercial properties.

Table 13: One-Sample Statistics

N Mean Std. Deviation Std. Error Mean

Price Appreciation 100 3.3200 1.98418 .19842

Source: Primary Data

Table 14: One-Sample Test

Test Value = 3
T Df Sig. (2- Mean 95% Confidence Interval
tailed) Difference of the Difference
p-value Lower Upper
Price
Appreciati 1.613 99 .110 .32000 -.0737 .7137
on
Source: Primary Data

41
 Result - P value is more than 0.05 that means we are accepting the null that means
people prefer commercial properties over residential properties.

2. If you have a non- taxable income, where would you like to prefer to
invest in real estate?

Null Hypothesis: People are not preferring Residential Properties over Commercial
Properties

Alternative Hypothesis: People are preferring Residential Properties over

Commercial properties.

Table 15: One-Sample Statistics

N Mean Std. Deviation Std. Error Mean

Non-taxable Income 100 2.6400 1.97724 .19772

Source: Primary Data

Table 16: One-Sample Test

Test Value = 3
T Df Sig. (2- Mean 95% Confidence Interval
tailed) Difference of the Difference
p-values Lower Upper
Non-
taxable -1.821 99 .072 -.36000 -.7523 .0323
Income
Source: Primary Data

42
 Result – - P value is more than 0.05 that means we are accepting the null that
means people are not preferring residential properties over commercial properties.

3. According to you, in which type of properties we can expect more

growth opportunities?

Null Hypothesis: People are not preferring Residential Properties over

Commercial Properties

Alternative Hypothesis: People are preferring Residential Properties over

Commercial properties.

Table 17: One-Sample Statistics

N Mean Std. Deviation Std. Error Mean

Growth opportunity 100 3.3600 1.97724 .19772

Source: Primary Data

Table 18: One-Sample Test

Test Value = 3
T Df Sig. (2- Mean 95% Confidence Interval

tailed) Difference of the Difference

Lower Upper
Growth
1.821 99 .072 .36000 -.0323 .7523
Opportunity
Source: Primary Data

Result - P value is more than 0.05 that means we are accepting the null that means
people are not preferring residential properties over commercial properties.

43
 FINDINGS
The objective wise major findings based on analysis are explained below:

Analysis of real estate market in Dwarka Expressway, Gurugram (Objective-1)

• According to the comparative analysis chart, we have found that Dwarka

Expressway, Gurugram is very sorted location with the view of connectivity from
hospital, schools, malls etc. Projects are also available for each segment of society
and with different income group.
• Dwarka Expressway, Gurugram is also one of the most sorted locations for
investing purpose as well.

Understanding of Investor perception towards Real Estate (Objective-2)

• According to the data and interpretation what we find is Males candidates are
showing more interest in real estate world and they want to invest more in real
estate. Out of 100 responses 66 are male and 33 are females it shows that male is
more interested in real estate for purchasing property as compared to females.
• Analysis revealed that males are more interested to invest in Real Estate. The
respondents belong to the age group of 19-30 years have shown more interest
towards investment in real estate (Table 1).
• In the analysis, we find that the respondents of 19-30 years and 31-45 years age
groups have shown more interest towards investment in real estate as compared to
others.
• As majority (40 per cent) of the respondents belong to age groups of 19-30 years
and 31-45 years. As there by making these age groups as best age groups for
investment in Real Estate. (Table 3)
• In this research, we find that people want to invest around 6-25 per cent of their
income in real estate. The investors perceive that there are more benefits if they
have right knowledge of real estate projects. From the analysis, it has been found
that 33 out of 100 respondents has chosen 6-25 per cent. They are preferring to
invest in real estate rather than other investment option. (Table 4).

44
Understanding of investing in Residential or Commercial Property (Objective-3)

• It has been found from the analysis that availability of finance, economic growth,
interest rates, State of Technology have come out as important factors for
investment in real estate (Table 5).
• We further find that major part of data (52.1 per cent respondents) considers Real
estate as an asset. It is based on their personal criteria as some people buy it by
paying full amount, some via loan, some for-resale purpose. Those who invest in
real estate for having it as an additional property and not for resale will considered
it as an asset. In Real Estate, we need to ensure that project’s legal requirement is
met. Keeping other requirements, secondary foremost is taken into considerations
by the people is legality of the project which will not become a hindrance in the
coming future as it will result in wastage of their money and time. (Table 6)
• From the residential property, we get 6-12 per cent annual return in real estate
sector. As, most of the respondents prefer to have their own houses and government
providing loan schemes to buy it at low rates. Whereas, from the Commercial
property, we get 13-18 per cent annual return in real estate sector. Thus, respondents
prefer commercial properties for investment more rather than residential (Table 7).

Understanding of Investors behaviour and factors before investing (Objective-4)

• Commercial properties give premium price appreciation as compared to

Residential properties. With the rise in price of commercial sector attracts the
investors for investment in commercial properties. (Table 7)
• A total of 59 per cent of respondents are interested to invest their Non-Taxable
income in the residential property and about 41 per cent people are interested
in the commercial property. Because, not everyone is up for doing business in
their near future and as an Indian, they preferable like to pass their asset towards
their coming generations for their security and investing in residential
properties. (Table 8)

45
• Analysis presented the data as expected according to the running scenario
where new generations are eager to start their own start-ups and taking it to the
heights, for which they will have the need for offices when flourished and will
hike the demand for commercials. 59 per cent think that commercial setups will
likely show more growth soon while the other are agreeing on residentials being
41 per cent. Difference is slight but refer the coming requirements of this
technology driven world. (Table 9).

46
 RECOMMENDATIONS

• Asset allocation is far more sophisticated process. It varies from person to

person and depends on person’s financial plan, family background, disposal
income, age, and investor’s preferences. So, before targeting the customers
the company should consider the factors.
• The data in current study is collected from Gurugram and Delhi NCR only.
However, the data can be collected from various other cities to know the
perception of investors towards investment avenues all over India.
• According to analysis Male members are interested in investing in real
estate. They prefer Commercial Property instead of Residential Property. I
recommend investing in Commercial property because there is more
growth opportunity and Price appreciation in commercial Property.
• According to current study it should be made aware of the investments and
the way it works so that they should be more comfortable and feel safe to
invest their money.
• Analysis presented that customer should be approached and asked them to
see sample flat without forcing them to buy the flat. The conveniences
should be borne by the company.
• Company is expanding their business in commercial property because there
are great opportunities available in commercials as compared to
residentials.

47
 ANNEXURE- 1

Dear Respondents,
I take this opportunity to introduce myself as a student of Masters of Business Administration,
IMSAR MDU, ROHTAK. I am doing In-Company-Project on the topic “Analysis of Real estate
market in Dwarka Expressway, Gurugram and Investor’s perception towards Real estate While
investing”. For this I have collected data with help of questionnaire. You are requested to
respond each question. Please be fair and frank while responding to the statements. The
information provided by you will be kept confidential and will be used only for
academic/research purpose.

48
 Questionnaire

1. Name* ___________________

2. Gender*
• Male
• Female
• Prefer not to say

3. Age (in years) Present*

• Less than or equal to18

• 19-30
• 31 - 45
• Equal to 46 or more

4. What is the right age to invest in real estate? (In years) *

• Less Than 18
• 19-30
• 31-45
• 46 or more

5. How much percentage of your income, do you invest in real estate? *

• 0-5%
• 6-25%
• 26-40%
• More than 40%
49
6. According to you, which factor affect's the investment Decision the
most in real estate? *

• Economic Growth
• Availability of finance
• State of technology
• Interest Rates
• All of these

7. Is your real estate a liability or an asset?

• Liability
• Asset
• Both

8. What is the most preferable thing that we have to remember, while

investing in under construction property. *

• Verify The Credentials of The Builder

• Under Construction Project – RERA Compliant
• Under Construction Home Loans
• Ensure That the Project's Legal Requirements Are Met
• Keeping Tabs on The Progress of The Project

50
9. What is the Annual return that you are expecting from residential
property. (Rent + Capital Appreciation). *

• 0-5%
• 6-12%
• 13-18%
• 19-25%
• 26-35%
• 36% or more

10. What is Annual return that you are expecting from Commercial
property. (Rent + Capital Appreciation). *

• 0-5%
• 6-12%
• 13-18%
• 19-25%
• 26-35%
• 36% or more

11. Premium (Price appreciation) Opportunities are better in which

type of properties? *

• Commercial Properties.
• Residential Properties.

51
12. If you have an untaxable income, where would you like to prefer
to invest in real estate? *

• Commercial Properties.
• Residential Properties.

13. According to you, in which type of properties we can expect

more growth opportunities in real estate? *

• Commercial Properties
• Residential Properties

52
 References

Articles and books:

• SH Chan, J Erickson, K Wang – 2003, Real estate investment trusts:

Structure, performance, and investment opportunities.

• J Han, Y Liang - Journal of Real Estate Research, 1995, The historical

performance of real estate investment trusts

• S Titman, A Warga - Real Estate Economics, 1986, Risk and the performance
of real estate investment trusts: A multiple index approach

Websites:

TATA La Vida:

http://www.tatalavida.com/

Godrej Meridian:

https://www.godrejproperties.com/gurgaon/residential/godrej-
meridien/overview

Sobha City:

https://www.sobha.com/delhi-ncr/sobha-city/

Shapoorji Pallonji Joyville:

http://www.shapoorjipallonjiprojects.in/joyville-sector-102/

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