DECLARATION BY THE STUDENT

I hereby certify that the work which is being presented in the present WINTER Internship
Report entitled "Study on Consumer Behaviour for Residential & Commercial Investment in
Real Estate Industry" is for fulfilment of the requirement for the award of Degree of Masters
of Business Administration, Pune Institute of Business Management, Pune, India is an
authentic record of my own work carried out under the supervision and guidance of Dr.
Vinay Nandre of Department of Marketing

In keeping with the ethical practice in reporting scientific information, due

acknowledgments have been made wherever the findings of others have been cited.

Dibyajit sen
2024-2707-0001-0012
 ACKNOWLEDGMENT

The internship opportunity with, provided me a platform to work with highly qualified and
experienced individuals who opened up new avenues of leaming and professional
development for me. Therefore, I consider myself as a very lucky individual as I was provided
with an opportunity to be a part of it.

This internship would not have been the same without the enthusiasm and vigour provided
by my Team Leader Rajni Sharma whose behaviour was outstanding. Hence, I would like to
express my deepest gratitude to her who heartily welcomed me for the internship and
whose guidance and dedication encouraged me throughout the summer internship program

I express my deepest thanks to Dr. Vinay Nandre for taking part in useful decision & giving
necessary advices and guidance and arranged all facilities to make life easier all throughout
the internship program. His valuable knowledge helped me gain a better grasp on sales
which has helped me understand Marketing Department in a better way.

It is my radiant sentiment to place on record my best regard, deepest sense of gratitude to,
for her careful and precious guidance which were extremely valuable for my study both
theoretically and practically.

Sincerely,
Students Name: Dibyajit sen
Place: Pune
Date:
TABLE OF CONTENTS

Particulars Page no.

1. Project title page 1

2. Declaration by the student 2

3. Acknowledgment 3

4. Table of contents 4

5. Executive Summary 5

6. Objective of the study 6

7. About the Sector

8. About the Company and Department

9. Internship Summary

10. Research Methodology

11. Data Analysis

12. Learnings/Findings/Observations

13. Suggestions/Future Scope

14. References/Bibliography

15. Appendix
Executive Summary

This internship report provides insights into consumer behaviour regarding residential and
commercial investment in the real estate industry. Through a comprehensive study, key
findings have been identified, including varying preferences, decision-making factors, and
motivational drivers between residential and commercial properties.

The research highlights the importance of understanding consumer needs and market
dynamics to effectively cater to a diverse clientele. Key learnings from the internship
experience include gaining knowledge of customer preferences, developing sales
techniques, and honing negotiation skills.

Additionally, the report emphasizes the significance of market research, legal compliance,
and relationship building in facilitating successful transactions. Overall, the internship
experience has provided valuable insights into the complexities of consumer behavior and
sales strategies within the real estate sector.
Objective of the study

Research Objective:

 To understand the preferences of investors, comparing the factors influencing their

choice between residential and commercial real estate investments.

 Analyse and compare recent market trends in residential and commercial real estate
to identify patterns and potential areas of growth or decline

In India many people buy property to invest their money. It can be either commercial or
Residential Property. This report examines consumers behaviour while purchasing
Residential & commercial Real Estate Investments.

Understanding why individuals choose one type of property over the other is crucial for
investors and developers. By exploring factors like risk, returns, market trends, and
demographics, we aim to provide insights for better decision-making in these sectors.
 About the sector

Sector Information

The real estate industry is a significant sector globally, encompassing housing, retail,
hospitality, and commercial sub-sectors. Its growth aligns with corporate expansion, driving
demand for office spaces and residential options in urban and semi-urban areas. Among the
14 major sectors, construction ranks third in terms of direct, indirect, and induced effects on
the economy.

Market Size

India's real estate market is expected to witness substantial growth, reaching Rs. 65,000
crore (US$ 9.30 billion) by 2040, a substantial increase from Rs. 12,000 crore (US$ 1.72
billion) in 2019. The sector is forecasted to attain a market size of US$ 1 trillion by 2030, up
from US$ 200 billion in 2021, contributing 13% to the GDP by 2025. Retail, hospitality, and
commercial real estate segments are also experiencing significant growth, meeting India's
expanding infrastructure needs.

The Indian real estate sector is poised for further expansion, with expectations to reach US$
5.5 trillion by 2047, contributing 15.5% to the GDP, a substantial increase from the current
7.3% share.

In the fiscal year 2023, India's residential property market saw record-breaking performance,

with home sales reaching Rs. 3.47 lakh crore (US$ 42 billion), a robust year-on-year increase

of 48%. The volume of sales also surged by 36%, with 379,095 units sold.

In 2023, Indian real estate developers in major urban centres are on track to achieve a
significant milestone with the completion of around 558,000 homes.
During the first nine months of FY22, India's real estate sector saw land deals surpassing
1,700 acres in the top eight cities. Foreign investments in the commercial real estate sector
reached US$ 10.3 billion between 2017 and 2021. Developers anticipate a surge in demand
for office spaces in Special Economic Zones (SEZs) following the replacement of the existing
SEZs act in February 2022.

The office market in the top eight cities recorded transactions of 22.2 million square feet
from July to December 2020, with new completions reaching 17.2 million square feet in the
same period. The Information Technology (IT/ITS) sector led with a 41% share, followed by
the BSFI and Manufacturing sectors with 16% each. Other Services and Co-working sectors
accounted for 17% and 10%, respectively.

In 2020, the manufacturing sector accounted for 24% of office space leasing at 5.7 million
square feet. SMEs and electronic component manufacturers leased the most, followed by
the auto sector. The 3PL, e-commerce, and retail segments accounted for 34%, 26%, and 9%
of office space leases, respectively.

In 2022, office absorption in the top seven cities was 38.25 million square feet. In Q1 2023,
net office absorption in the top six cities stood at 8.3 million square feet.
Fresh real estate launches in the first quarter of 2023 constituted 41% of total sales across
the top seven cities, showing an increase from the 26% recorded four years ago.

In the third quarter of 2021, new housing supply across the top eight cities increased by
228% YoY to approximately 65,211 units compared to about 19,865 units in the same period
in 2020.

The commercial space was expected to witness increased investments in 2021-22. For
Instance, Chantel's Group announced a Rs. 400 crore (US$ 53.47 million) investment in a
new commercial project in Gurugram covering a 9.28 lakh square feet area in October 2021.
Commercial real estate transactions doubled to 1.5 million square feet in Q1 2023.

Contribution of sector in India's GDP:

The real estate sector is a crucial component of India's economy, accounting for
approximately 7% of the GDP in 2023. Projections indicate a substantial growth, with
expectations of contributing 10-13% by 2025 and further increasing to 15.5% by 2047,
thereby emerging as a prominent catalyst for economic expansion.

Several key mechanisms highlight the real estate sector's contribution to India's GDP:

Direct Economic Impact: The sector actively engages in the construction and development
of various properties, including residential homes, office spaces, commercial establishments,
and infrastructure projects. This multifaceted involvement generates significant economic
activity by initiating processes such as land acquisition, material procurement, construction
labour employment, and efficient project management.

Indirect Economic Influence: The real estate sector extends its impact on the economy
through a multiplier effect, stimulating demand for various industries such as steel, cement.
furniture, and appliances. This, in tum, triggers heightened production and increased
employment within these sectors, thereby contributing to a more robust GDP.

Job Creation: Serving as a significant employment generator in India, the real estate sector
directly and indirectly employs millions of individuals. The workforce includes construction
labourers, architects, engineers, real estate agents, and property managers.

Revenue Generation: The real estate industry contributes substantially to government

coffers through taxes levied on land, property transactions, and construction materials. The
generated tax revenue becomes a vital source for funding infrastructure development, social
welfare programs, and other governmental initiatives.

Urban Advancement: The real estate sector assumes a pivotal role in shaping urban
development by providing essential elements such as housing, office spaces, and
commercial infrastructure. This aspect is crucial for attracting businesses and investments,
fostering further economic growth.

Sector Composition: The real estate sector is a broad and diverse industry encompassing
various property types and uses. Its composition can be broken down into three main
segments:

Residential Real Estate:

Detached residences: These are independent dwellings designed for the occupancy of a
single family. Available in diverse styles and sizes, these homes range from modest starter
houses to expansive mansions,

Multi-family residences: These structures consist of multiple individual living units, including
apartments, condominiums, and townhouses. Providing a more economical housing
alternative when compared to single-family homes, multi-family dwellings accommodate a
diverse range of lifestyles.

Manufactured homes: These are housing units constructed in factories and transported to a
designated location for assembly. Offering an economical and customizable housing solution,
manufactured homes provide flexibility in design and affordability.

Commercial Real Estate:

Workspace Facilities: Encompassing structures exclusively designated for office purposes,

this category includes a spectrum of buildings, from compact, single-occupancy structures to
expansive, multi-occupancy skyscrapers.

Commercial Areas: This category includes diverse properties intended for retail activities,
such as shopping malls, strip malls, and standalone stores.

Industrial Real Estate:

Manufacturing and Logistics Facilities: Encompassing properties dedicated to

manufacturing, warehousing, and logistical operations, this sector caters to the diverse
needs of industrial activities.

Here’s a sector analysis of the real estate industry in India:

1. Residential Segment:

 Largest segment of the Indian real estate industry.

  Demand driven by population growth, urbanization, and nuclear family trends.
 Affordable housing initiatives by the government are boosting the sector.
 Tier 1 cities like Mumbai, Delhi, Bangalore, and Chennai are major markets, but Tier 2
and Tier 3 cities are also witnessing growth.

2. Commercial Segment:

 Growing demand for office spaces, particularly in IT/ITES and co-working sectors.
 Major cities like Mumbai, Bangalore, Hyderabad, and Pune are key commercial hubs.
 Increasing trend of Grade, An office spaces and sustainable buildings.

3. Retail Segment:
 Rapidly expanding due to increasing consumer spending and urbanization.
 Growth of organized retail formats, malls, and entertainment complexes.
 Emerging trend of mixed-use developments combining retail, residential, and
commercial spaces.

4. Industrial Segment:
 Important contributor to the overall real estate sector, driven by manufacturing and
logistics.
 Growth in warehousing and logistics due to e-commerce
 Major industrial hubs include Delhi-NCR, Mumbai, Pune, Chennai, and Ahmedabad.

5. Infrastructure Development:
 Infrastructure projects like metro rail, highways, airports, and smart cities drive real
 estate growth.
 Connectivity improvements enhance property values in peripheral areas.
 Public-private partnerships (PPPs) play a significant role in infrastructure
development.

6. Regulatory Environment:
 Introduction of Real Estate (Regulation and Development) Act (RERA) enhances
transparency and consumer protection.
 Goods and Services Tax (GST) simplifies tax structure, although compliance
challenges persist.
 Insolvency and Bankruptcy Code (IBC) facilitates resolution of distressed real estate
  assets.

7. Challenges:
 Liquidity crunch and funding constraints affecting project development.
 Regulatory compliance burden impacting project timelines and costs.
 Unsold inventory levels remain high in certain markets, leading to pricing pressures.

8. Opportunities:
 Affordable housing segment offers significant growth potential, supported by
government incentives.
 Technology adoption (Protect) for virtual property tours, online transactions, and
smart home solutions.
 Green buildings and sustainable development gain traction due to environmental
concerns and cost savings.

9. Future Outlook:
 Long-term growth prospects remain positive, driven by urbanization, demographic
trends, and infrastructure investments.
 Recovery from COVID-19 pandemic expected to spur demand for real estate across
segments.
 Emphasis on affordable housing, sustainability, and technology adoption will shape
the future of the Indian real estate industry.

CAGR (Compound Annual Growth Rate):

Global Real Estate: Anticipated to expand at a CAGR of 5.2% from 2022 to 2030, driven by
the surge in urbanization and evolving consumer preferences.

India: The Indian real estate market is witnessing robust growth, projecting a CAGR of 25.8%
from 2023 to 2028, propelled by rapid urbanization, escalating disposable incomes, and
government initiatives.

China: The Chinese real estate market encounters challenges, with an estimated CAGR of
3.5% from 2023 to 2028 due to regulatory tightening and an economic slowdown.
Understanding CAGR by Segment:

Residential: Anticipates robust growth, especially in affordable housing, fueled by increasing

urbanization and population expansion across various regions.

Commercial: Anticipates a potential shift in demand for office space towards flexible and co-
working models, while the growth of e-commerce may boost the need for industrial and
logistics facilities.

Special Purpose: Foresees steady growth in healthcare and educational infrastructure,

driven by a heightened focus on these sectors and a rising demand for quality services.

In essence, the real estate sector, with its diverse composition and fluctuating growth rates
across segments, presents a landscape marked by both challenges and opportunities.
Grasping these intricacies is paramount for effectively navigating the market, making well-
informed investment decisions, and contributing to sustainable economic development.

Macro and Micro Environmental Analysis of the Real Estate Industry:

Macro Environmental Analysis (PESTEL):

Utilizing a PESTEL analysis framework enables us to scrutinize the macro-level influences on

the real estate industry:

Political: Policies set by the government, such as zoning regulations, infrastructure

expenditure, and tax incentives, wield substantial influence on real estate development and
investment.

Economic: Elements such as interest rates, inflation, and GDP growth play a role in shaping
affordability, demand, and investment dynamics within the real estate sector.
Social: Shifts in demographics, encompassing aspects such as population growth,
urbanization, and evolving household preferences, meld the demand for various property
types.

Technological: Advancements in construction, protect, and smart home technologies are

reshaping the design, development, and management practices within the real estate sector.

Environmental: Growing concerns about sustainability and the impact of climate change
regulations are influencing the establishment of energy efficiency standards, development
strategies, and tenant preferences.

Legal: Property laws, zoning regulations, and environmental guidelines exert influence over
land use, development costs, and investor confidence.

Micro Environmental Analysis (Porter's Five Forces):

Porter's Five Forces model facilitates an examination of the competitive dynamics within the
real estate industry:

Threat of new entrants: The feasibility for new developers or investors to enter the market
depends on obstacles such as land availability, capital requirements, and regulatory
complexities.

Bargaining power of suppliers: The influence of suppliers, including construction companies,

material providers, and labour, can impact project costs and overall profitability.

Bargaining power of buyers: The negotiating capabilities of buyers, such as homebuyers,

renters, and investors, hinge on factors like market conditions and access to financing.

Threat of substitutes: Alternative housing options, such as co-living arrangements, shared

ownership models, and virtual reality experiences, may pose a challenge to traditional real
estate models.
Competitive rivalry: The level of competition among developers, property managers, and
real estate agents fluctuates based on location, property type, and market segment.

Conclusion:

Through a comprehensive analysis of both the macro and micro environments, stakeholders
in the real estate industry can gain valuable insights into potential opportunities and
challenges. This knowledge serves as a foundation for making informed decisions related to
market entry, project development, investment strategies, and competitive positioning.

It is essential to recognize that the specific factors influencing the real estate industry can
vary significantly based on geographical location, property type, and market segment.
Therefore, tailoring the analysis to the specific context of interest is crucial for a more
accurate understanding.
About the company and department

About the company:

Brick Stories is dedicated to the art of investment, where "Turning money into prosperity" is
not just a slogan but a promise. We specialize in creating exceptional value for our investors,
with a commitment to building lasting relationships grounded in trust, transparency, and the
drive for outstanding returns. Our focus is on transforming capital into opportunities,
unlocking the full potential of every investment. With a deep understanding of market
dynamics and a passion for sustainable growth, Brick Stories strives to be a trusted partner,
guiding investors towards financial success and prosperity in every venture. It has scope
extends to the development & selling of the Real Estate properties.

Management:

Ashok Kanakrajan is a seasoned real estate and finance expert with over 20 years of
experience in the industry. Specializing as a Property Specialist and Investment Advisor, he
has a strong record of driving business growth, forming strategic partnerships, and providing
customized investment solutions. Ashok excels in identifying lucrative opportunities and
delivering results that align with client goals. His expertise spans market analysis, property
valuation, asset management, and financial planning. Known for his strategic thinking and
client-centric approach, Ashok is dedicated to building long-term relationships and guiding
investors towards successful and sustainable financial outcomes.
VISION

"To be the leading investment partner known for delivering consistent, exceptional returns
through a diversified and transparent approach, empowering our investors to achieve long-
term financial freedom and prosperity."

Mission

"To empower investors by transforming capital into sustainable wealth through a diversified,
research-driven, and transparent investment approach, always putting our clients' interests
first."
Strengths

1. Diverse Investment Portfolio: Brick Stories offers a broad range of asset classes—
from real estate to digital assets—allowing for risk minimization and maximized
returns.

2. Experienced Leadership: Led by experts like Ashok Kanakrajan, with over 20 years of
experience in real estate and finance.

3. Client-Centric Approach: Focus on building trust, transparency, and long-term

relationships with investors.

4. Research-Driven Philosophy: Investment decisions are backed by in-depth analysis,

ensuring well-informed choices.

5. Expert Management: A team of seasoned professionals dedicated to portfolio

optimization and regular rebalancing.

Weaknesses.

1. 1 Complexity in Asset Management: Managing a diverse range of asset classes can be

challenging and resource-intensive.

2. Market Volatility: Exposure to stocks, commodities, and digital assets increases

vulnerability to market fluctuations.

3. Dependence on Expertise: Success

Opportunities.

1. . Growing Interest in Alternative Investments: Increasing investor interest in

cryptocurrencies, private equity, and hedge funds provides opportunities for
diversification.

2. Emerging Markets: Expansion into emerging real estate and financial markets can
drive growth.
 3. Technology Integration: Utilizing advanced analytics and technology to enhance
investment strategies.

4. Sustainable Investments: Rising demand for environmentally friendly and sustainable

investments can attract a new investor base.

5. Educational Content: Offering educational resources or workshops can position Brick

Stories as a trusted authority in the field.

Threats.

1. Economic Downturns: Economic instability could negatively impact investment

returns, particularly in high-risk assets.

2. Regulatory Changes: Changes in investment, real estate, or tax regulations could

affect operations and strategies.

3. Competitive Market: Competition from larger, established firms with greater

resources.

4. Digital Asset Volatility: Cryptocurrency and blockchain investments are highly volatile
and pose risks to portfolio stability

5. Client Retention: Maintaining investor trust and long-term relationships is critical but
challenging in a dynamic market.

Companies Product/Service:

Brick Stories offers a comprehensive range of investment products and services designed
to cater to diverse investor needs, aiming for optimal returns while managing risks.
SWOT Analysis:

Strengths:

Industry Knowledge and Expertise:

Real estate advisors possess in-depth understanding of local markets, property types, pricing
trends, and legal regulations, providing valuable insights for clients navigating complex
transactions.

Negotiation Strong Skills:

Effective advisors excel in negotiating on behalf of clients, securing favorable terms, and
maximizing financial advantages in real estate deals.

Relationship Building:
Building robust relationships with clients, colleagues, and stakeholders is crucial, fostering
repeat business and referrals for real estate advisors.

Access to Networks and Resources:

Advisors often have extensive industry networks, offering clients access to off-market deals
and valuable resources within the real estate sector.

Weaknesses:

Commission-Based Income:
Dependence on commissions for income may create pressure to close deals quickly.
potentially leading to rushed decisions or insufficient client attention.

Competition:
The saturated real estate advisor market poses challenges in standing out and securing
clients due to varying levels of expertise and professionalism.
Limited Regulation:
Some markets lack rigorous licensing requirements, exposing clients to potential risks
associated with unscrupulous advisors.

Perception of High Fees:

Some clients may perceive advisor fees as unnecessary or expensive, requiring advisors to
effectively communicate their value proposition.

Vulnerability to Market Fluctuations:

Economic downturns can significantly impact the number of transactions and income for
real estate advisors.

Opportunities:

Specialization:
Focusing on specific niches like luxury properties, first-time buyers, or commercial real estate
enables advisors to cater to underserved markets and differentiate themselves.

Embracing Technology:
Utilizing cutting-edge technology such as artificial intelligence and virtual reality enhances
client experience, improves efficiency, and provides unique services.

Global Expansion:
Globalization and increased cross-border investment present opportunities for advisors to
expand their reach and serve international clientele.

Sustainability Focus:
The growing demand for sustainable properties offers an opportunity for advisors to
specialize in green buildings and energy-efficient homes.

Partnerships:
Collaborating with professionals like financial advisors, legal experts, and property managers
can offer clients comprehensive services and enhance advisor value propositions.

Threats:

Disruption from Online Platforms:

Online platforms and automated services may disrupt the traditional role of real estate
advisors, necessitating a shift in how value is delivered to clients.

Economic Downturns:
Economic recessions can lead to property value declines, decreased transaction volume, and
job losses within the real estate industry.

Changing Regulations:
Regulatory changes, such as stricter licensing requirements or tax reforms, could increase
compliance costs and impact advisor business models.

Rise of DIY Investors:

Access to online resources may empower clients to conduct transactions themselves,
reducing the need for advisor services.

Emerging Competitors:
Alternative housing models like co-living spaces and shared ownership could pose a
challenge to traditional real estate market dynamics.

Marketing Mix:

The marketing mix, often referred to as the 4 Ps, serves as a strategic framework for crafting
and executing effective marketing strategies. When applied to real estate advisors, this
framework aids in reaching target audiences, enhancing brand visibility, and attracting new
clients. Here's how the 4 Ps can be incorporated into an advisor's marketing strategy:
Product (Expertise & Services):

Emphasize your specialization: Clearly communicate if you specialize in luxury properties,

first-time buyers, or commercial real estate. Tailor your marketing efforts to reach relevant
audiences.

Highlight unique services: Offer distinctive services beyond basic transactional support, such
as market analysis, relocation assistance, investment consulting, or property staging
services.

Quantify value: Showcase the benefits you bring to clients through success stories, client
testimonials, and data on average deals closed or savings achieved.

Price (Fees & Commissions):

Prioritize transparency: Clearly communicate your fee structure upfront, whether it's
commission-based, a fixed fee, or an hourly rate. Provide flexible options to accommodate
diverse client budgets.

Embrace value-based pricing: Articulate how your services justify your fees and outline the
financial benefits clients receive.

Consider packages and incentives: Attract buyers and sellers by offering bundled services or
special packages tailored to specific client segments.

Place (Channels & Distribution):

Cultivate a strong online presence: Invest in a professional website and maintain active
social media profiles. Utilize online listings, market reports, and blog posts to position
yourself as a thought leader.

Network actively: Attend industry events, connect with professionals, and establish
relationships with potential referral partners like mortgage lenders and home inspectors.
Value traditional channels: Incorporate print marketing, such as local magazine ads, flyers,
and business cards. Implement targeted mailers to reach specific neighbourhoods or
demographics.

Promotion (Communication & Outreach):

Content marketing: Generate valuable and informative content through blog posts, market
Insights on social media, and the creation of video testimonials or property tours.

Engage with clients: Proactively communicate with clients by sending regular updates,
market reports, and personalized property recommendations.

Leverage online advertising: Use advertising platforms that are paid like Google ads & social
media to target your customers.

Public relations & community involvement: Take part in Local Events, and volunteer
activities & sponsor community to showcase a positive brand reputation & position yourself
as an advisor trusted by many.

Internship Summary:
Making cold and warm calls to prospects and turning them into hot leads was part of the
responsibility. When interacting with clients, I spoke on behalf of Majestique project
Kohinoor project, Ravindo project, Brahma project. I made calls presented our value
propositions and products. Additionally, we turned into consultants and sought to
comprehend their needs, wants, aspirations, flaws, roadblocks, objections, and complaints
before pitching our products in accordance with the dialogue with the prospect. Since no
two customers are the identical, it feels warm in this alienating world hem salespeople
personalize and sympathize to lessen their search for the ideal house Getting a lead is only
half the battle won, therefore I concentrated on encouraging leads to visit our website over
the course of weeks. This is where my job ended, though. Knowing where a consumer is in
the buying process is crucial because it makes your job easier. For example, if's potential
customer is aware of government initiatives like PMAY and the RERA Act, it suggests that the
customer has recently engaged in property research and necessitates that I concentrate
more on product features, project locations, and why our offerings are the most affordable.
Along with clients, I also closely monitored rivals and their projects, such as

Majestique crown by Majestique Landmark, Kohinoor uptown by Kohinoor Project, Huge of

sky and Boulevard Tower by Brahma Crop.

The company provided training in the following areas:

1) Real estate training for 3 days

2) Lead life cycle management and script creation for one day,

3) Mock Calls: 1 days

4) Ongoing performance metrics, tracking tools, self-evaluation reports, and stack rankings.

5) Soft Skills: Voice Modulation, Communication & Persuasion.

6) Mock Sales Calle: Distributors, Doctors, and Retailers Selling Techniques Product
education and selling techniques.
 Research Methodology:

Research Objective:

 To understand the preferences of investors, comparing the factors influencing their

choice between both residential & commercial real estate investments.

 Analysing & comparing recent market trends in residential & commercial real estate
to identify patterns & potential areas of growth or decline.

Research design:

Exploratory research:

This research is done by collecting primary data from the clients whom I have worked with
during my internship to know about how they decide to invest in the Real Estate industry,
and it has some research done by connecting with the clients during their site visits & has
given some conclusions according to it

Sampling Technique:

Convenience Sampling
As all the data collected is through known mediums & my seniors were easily accessible.
being part of my professional environment.

Sample Population:
 Clients who have invested in Pune City or are willing to invest.
 Advisors who have been in Real Estate of Pune & help people find which is the best
purchase for clients.

Sample Size:
  This research is done on 68 people.

Variable:

Independent Variable:
 Economic Factors
 Psychological Factors

Dependent Variable:

 Factors Influencing Investment

 Level of Investment
 Satisfaction and Return on Investment
 Preference for Property Types

Data Collection Process:

 Data was collected by circulating a questionnaire to the known people of Pune who
invest in the Pune Real Estate industry or are looking for investment property.

 Advisors gave their input about how their clients have invested in Real Estate in the
past & through what factors they were influenced.

Data Analysis

Demographic Profile of the Respondents:

 Total respondents to the questionnaire are 64

 The respondents would purchase the property for investment purposes only and
have given their view on the factors that influence their decision while investing in
Residential & Commercial Property.
When considering real estate investments, which type do you prefer?
64 responses

Real Estate Investment No. of Response

Commercial

Residential

Total

The chart shows that people consider investing in Residential Property more than
Commercial. Here’s a more detailed breakdown of the results:
Residential: people have Selected Residential which is 56.3% of my total respondents

Commercial: people preferred going with Commercial i.e., 43.8%

It shows that people prefer to invest more in Residential property than Commercial.

Which type of real estate investment do you believe carries more risk?
64 responses

Carries more Risk No. of Response

Commercial

Residential

Usure

Total

This Pie-chart shows the respondents believe that which investment carries more risk. From
this chart, it is easily seen that out of all the responses majority of them that is 29.7%
believe that Commercial Property Investment has more Risk & Investing in Residential
Property is believed to be risk 51.6% which are people & the rest, respondents were not
sure that, which investment is more risky.

If you were to invest, which type of tenant would you prefer dealing with?
64responses

Tenant Preference No. of Response

Commercial

Residential

No Preference

Total

This Pie chart is for the Investor preferences for tenants as this is an important factor as
whenever invested in any Real Estate Property the return is acquired through Rents only. So,
it is necessary to know their preference while dealing with the tenants which will help us to
know who is more interested in investing in which property.

Here, it is seen people prefer to have Residential Tenants which is 54.7% of the total
respondents & people which is 20.3% prefer Commercial Tenants & the rest of the
respondents have no preference they are okay with dealing with any tenants whether it is
Commercial or Residential.

When investing in real estate, what is your primary financial goal?

64 responses

Primary Financial Goal No. of Response

Regular retail income

Property appreciation

Both are equally important

Total
This pie chart describes the Primary Financial Goal of the respondents which they have while
investing in the Property.
Respondents which are 25% have a goal of Property appreciation while respondents which
are 46.9% have a goal of Regular Rental Income while the majority of respondents which are
28.1% have both Goals in mind while investing.

In the long run, which type of real estate do you believe will be more stable and profitable?
64 responses

Stability & Profitability No. of Response

Commercial

Residential

Equally Stable

Total

Stability & Profitability play an important role while investing in the Real Estate industry if
the investors don’t find it Profitable, they will refrain from investing in the property.
Thus, from the data collected, it is seen that respondents which are 56.3% of the total
respondents feel that investing in Residential is more Stable & will be Profitable compared to
Commercial, while respondents have a different opinion, they prefer Commercial for
Stability & Profitability.

When considering real estate investments, do you typically prefer smaller or larger-scale
properties?
64 responses

Scale No. of Response

Residential – Smaller

Commercial – Larger

Depends on the Factors

Total

Mostly Large-scale properties are said to be commercial Buildings & Smaller to be residential
Here, for Long Run Investment purposes respondents which are 54.7% preferred Smaller
Scaled properties that is Residential Property & respondents which are 2% have a knack for
Larger Scaled properties which is Commercial properties while the rest is 43.8% depending
on the other factors.

The Other Factors in the above question may include various types of elements like Money,
Location, etc. If the investor doesn’t have enough money they might go for Residential or
Commercial whichever is in his budget or if they have a sufficient budget & both Residential
& commercial are of the same range then they might go for the one that is giving them more
return in Future & which might have a higher appreciating value in Future.

How much do environmental concerns and sustainability influence your decision-making in

real estate investments?
64 responses

Scale No. of Response

A lot

Somewhat

Not at all

Total
This Google Forms pie chart illustrates the responses of 64 participants to the question:
"How much do environmental concerns and sustainability impact your choice in real estate
investments?"
 "Not at all" (56.3% of responses): The majority, of respondents (over half) indicated that
environmental and sustainability factors have no impact on their decisions in real estate
investments. This suggests that for a significant portion of the participants, traditional
factors such as financial returns, location, or market trends are likely prioritized over eco-
conscious considerations. It also reflects that environmental sustainability may not yet be a
critical criterion in the real estate sector for this group.
"Somewhat" (25% of responses): A quarter of the participants recognized that these
concerns play a moderate role in influencing their investment choices. This group represents
individuals who are beginning to incorporate sustainability into their decision-making
process, albeit not as a primary factor. This trend might grow as awareness and the market
for sustainable real estate increase.
"A lot" (18.8% of responses): Less than one-fifth of respondents strongly prioritize
environmental concerns and sustainability in their investment decisions. This group likely
comprises early adopters or investors aligned with environmentally responsible practices,
reflecting a niche but growing interest in sustainable real estate projects.
In summary, while environmental concerns influence a minority of respondents significantly,
the majority either disregard these factors entirely or consider them secondary. This
highlights an opportunity for increased awareness and advocacy about the benefits of
sustainable real estate investments. It also emphasizes the need for the industry to adapt to
evolving preferences as sustainability becomes an increasingly critical global issue.

How familiar are you with financing options available for real estate investments?"
64 Responses

Scale No. of Response

 Very familiar

Somewhat familiar

Not familiar

Total

The chart represents responses to a question about familiarity with financing options for real
estate investments. The survey included 64 participants, and their responses are categorized
into four levels of familiarity: Very familiar, somewhat familiar, Familiar, and Not familiar.

The largest group, comprising 56.3% of respondents, indicated that they are somewhat
familiar with financing options for real estate investments. This suggests that while many
individuals have a basic understanding of these financial mechanisms, their knowledge may
not be deep enough to make highly informed decisions.

The second-largest group, 25%, reported being familiar with financing options. This group
demonstrates a moderate level of understanding, which is likely sufficient for engaging with
standard real estate investment practices. However, they may lack expertise in more
complex financial instruments or strategies.

A smaller segment, 18.8%, claimed to be very familiar with financing options. These
respondents likely have a strong grasp of the various tools available for real estate
investment, such as mortgages, REITs, or private equity funding. Their advanced knowledge
may position them to make more strategic and profitable investment decisions.

Interestingly, none of the respondents indicated being not familiar with financing options.
This implies that all participants have at least some level of awareness, possibly due to their
exposure to real estate markets or educational backgrounds.

Overall, the data highlights a general awareness of financing options among participants,
with most falling into the “somewhat familiar” category. However, the relatively low
percentage of highly knowledgeable respondents underscores a potential need for more
accessible education or training in advanced real estate financing techniques. Increased
familiarity with diverse financing options could empower more investors to make confident,
strategic decisions in the real estate sector.
Which sector do you think has shown more positive trends in recent years?"
64 Response

Scale No. of Response

Residential

Commercial

No noticeable difference

Total

The chart showcases responses to a question about which real estate sector has shown
more positive trends in recent years. A total of 64 participants shared their perspectives,
with three response options: Residential, Commercial, and No noticeable difference.

The Residential sector received majority of votes, with 50% of respondents indicating that it
has shown more positive trends. This suggests a significant perception of growth or
improvement in the residential real estate market. Factors contributing to this trend could
include increasing housing demand, urbanization, government incentives for
homeownership, or shifts in preferences toward housing post-pandemic.
The Commercial sector was identified by 31.3% of respondents as demonstrating positive
trends. While commercial real estate has faced challenges, such as remote work impacting
office space demand, some areas like retail warehousing and logistics have seen growth due
to the e-commerce boom. This percentage highlights ongoing interest and perceived
opportunities in specific commercial sub-sectors.

The remaining 18.8% of respondents believed that there has been no noticeable difference
between the sectors in terms of positive trends. This indicates a segment of participants who
may perceive stagnation or uniformity in the performance of real estate markets, possibly
due to broader economic conditions or their limited exposure to sector-specific
developments.

Overall, the data emphasizes the strength of the residential sector in the eyes of investors or
observers, with commercial real estate maintaining a solid but secondary position. The
responses also suggest that some individuals may remain unconvinced of significant sector-
specific growth trends, pointing to potential opportunities for deeper market analysis or
tailored strategies to attract investors.

Do you think technological advancements impact real estate investment decisions?

64 Responses

Scale No. of Response

Yes, significantly
 Yes, to some extent

No

Total

The pie chart above represents the responses to the question, "Do you think technological
advancements impact real estate investment decisions?" with a total of 64 participants. The
results indicate varying degrees of agreement and disagreement among respondents.

The largest segment, 45.3%, signifies individuals who believe that technological
advancements significantly influence real estate investment decisions. This result highlights
the importance of technology in modern real estate practices. Innovations such as property
management software, online real estate platforms, data analytics, virtual tours, and
blockchain for property transactions are likely perceived as transformative factors. These
tools improve decision-making efficiency, transparency, and market insights, making
technology integral to investment strategies.

Another significant portion, 29.7%, acknowledges that technological advancements impact

real estate investment decisions, but only to some extent. This suggests that while
technology is recognized as a contributing factor, some participants may feel that other
factors, such as market trends, location, and economic policies, still hold more weight. These
individuals might see technology as supplementary rather than central to their investment
strategies.

Lastly, 25% of the respondents do not believe that technological advancements impact real
estate investment decisions. This group may be skeptical about the tangible benefits of
technology or may prioritize traditional methods, such as personal networks, physical site
visits, and manual data analysis. This perspective could also stem from limited exposure to
or trust in technological innovations in the industry.

In summary, majority of respondents (75%) believe that technology plays a role in real estate
investment decisions, either significantly or partially. This underlines the growing influence
of technology in shaping investment practices, although a quarter of participants remain
unconvinced, possibly pointing to resistance to change or reliance on established methods.
These findings underscore a gradual but steady shift towards technological integration in the
real estate sector.

Learnings/Findings/Observations:
Research Findings:

People prefer to invest in Residential Property more than Commercial ones.

Residential properties are often sought after for personal use, such as living space or
rental Income, while commercial properties are primarily sought for business
purposes.

They think that Commercial Investment is risky compared to Residential Investment.

Residential properties are often seen as less risky due to stable demand for housing.
while commercial properties may be perceived as riskier due to factors such as
economic downturns, changing market trends, and tenant turnover.

Most people Prefer to Invest in Real Estate properties due to both the Regular rental
Income & the Property Appreciation as they have the vision that at last this property
should give them the return they are expecting. Consumers looking into residential
properties are often motivated by factors such as long-term capital appreciation,
rental income potential, and lifestyle considerations. Conversely, those interested in
commercial properties are driven by factors such as rental yields, tenant stability, and
potential for business expansion

When it comes to stability & Profitability customers trust Residential More compared
to Commercial properties. The real estate market for residential and commercial
properties may exhibit different trends based on economic conditions demographic
shifts, and industry dynamics. Understanding these trends is crucial for making
informed decisions regarding investment or purchase.

Consumers looking into residential properties are often motivated by factors such as
long-term capital appreciation, rental income potential, and lifestyle considerations
Conversely, those interested in commercial properties are driven by factors such as
rental yields, tenant stability, and potential for business expansion

Research-Based Learnings:

Due to varying demands and objectives, clients have a wide range of preferences
when it comes to residential & commercial buildings.
 Consumers' decisions regarding residential and commercial properties are
influenced by a range of elements that affect their assessment and selection.

When comparing residential and commercial properties, consumers are driven by

distinct incentives. For example, they are more motivated by immediate business
demands as opposed to long-term investment returns.

The residential and commercial real estate markets are subject to certain patterns
and fluctuations that are impacted by changes in the economy and industry trends.

Investors' propensity to participate in each market sector is influenced by their

perception of the various degrees of risk connected to residential and commercial
real estate investments.

Learnings from Internship as a Sales Intern in the Real Estate Industry:

 Product Knowledge: Acquired a thorough understanding of a range of

residential and commercial properties, including their features, amenities,
and value propositions, enabling more effective sales pitches and client
consultations. Sales Techniques: Acquired and practiced

 a variety of sales techniques, including active listening, objection handling,

and persuasive communication, to effectively showcase properties and close
deals.

 Market Research Skills: Conducted market research to identify trends, pricing

strategies, and competitive offerings, helping to tailor sales approaches and
pricing recommendations to meet client needs.

 Negotiation Skills: Acquired practical expertise in negotiating techniques and

approaches, such as negotiating terms of contracts, closing agreements, and
prices, to achieve win-win solutions for buyers and sellers.

 Relationship Building: Maintained solid bonds with customers, associates, and

business leaders, understanding the value of rapport and trust in promoting
long-term company success.
 Legal and Regulatory Compliance: Gained knowledge of the laws and
regulations about real estate transactions, making sure that all sales activities
adhere to ethical standards.

 Time management and prioritization: Acquired the ability to efficiently handle

a variety of tasks and priorities, striking a balance between lead generation,
client meetings, property viewings, and administrative duties to optimize
output

 Adaptability and Resilience: Showed resilience in the face of difficulties and

seized chances as they related to the dynamic and competitive nature of the
real estate sector.

Suggestions/Future Scope
Suggestions:

Residential Property seems more attractive due to the perception of it being less-
riskier & more stable. Investors should consider going through different alternatives
from both the Residential & Commercial Investment. This diversification can provide
a more balanced Investment strategy.

Investors should be educated by proper advisors as most of them thinks that they
will be able to receive more return through Residential Property but it is not true as
the Rate of Return on Commercial Property is much higher than that of Residential
ones.

The people who are unsure of their own investment goal should become specific for
their goal as it is crucial, so that they can be sure if they want a Regular Rental
Income or they are more inclined for potential property appreciation will be suitable
for them.

Emphasize the importance of thorough research when selecting properties. Factors

such as location, market demand, property condition, and potential for growth
should all be carefully evaluated. For residential properties, proximity to amenities,
schools, and transport links can influence desirability. For commercial properties,
factors such as accessibility, visibility, and local economic conditions are key.

Real estate markets are dynamic, and investors should be prepared to adapt to
changing conditions. Flexibility in adjusting strategies, such as switching between
residential and commercial properties based on market trends, can optimize returns
and mitigate risks.

Reference:
 About Company:

https://brickstories.com/

https://www.rtu.lv/en

https://trafford.tscg.ac.uk/

IBEF. (ei pvm). Noudettu osoitteesta

https://www.ibef.org/industry/realestate-india

IBEF. (2023). Noudettu osoitteesta IBEF: https://www.ibef.org/industry/real- estate-

india

IICA. (2023). Noudettu osoitteesta

https://iica.nic.in/images/sclmr_research/Real%20Estate%20Sector.pdf

Intelligence, M. (ei pvm). Noudettu osoitteesta

https://www.mordorintelligence.com/industry-reports/real-estate-industry-
inindiahttps://www.mordorintelligence.com/industry-reports/real-estate- industry-
in-india

Appendix

Questionnaire:
1) When considering real estate investments, which type do you prefer?

 Residential

 Commercial

 No preference

2) How crucial is the location and accessibility of a property to your investment

decision?

 Very important

 Somewhat important

 Not important

3) Which type of real estate investment do you believe carries more risk?

 Residential

 Commercial

 Unsure

4) Have you or someone you know invested in real estate?

 Yes, residential

 Yes, commercial

 No

5) How much do local rules and regulations influence your decision to invest?

 Significantly

 Moderately
  Not at all

6) If you were to invest, which type of tenant would you prefer dealing with?

 Residential

 Commercial

 No preference

7) Do you think technological advancements impact real estate investment

decisions?

 Yes, significantly

 Yes, to some extent

 No

8) In the long run, which real estate type will be more stable and profitable?

 Residential

 Commercial

 Equally stable

9) How much do environmental concerns and sustainability impact your choice in

real estate investments?

 A lot

 Somewhat

 Not at all

10)How familiar are you with financing options for real estate investments?
  Very familiar

 Somewhat familiar

 Not familiar

11) Which sector do you think has shown more positive trends in recent years?

 Residential

 Commercial

 No noticeable difference

12)In your opinion, which type of property tends to have more stable and long-term
tenants?

 Residential

 Commercial

 Unsure

13)When considering real estate investments, do you typically prefer smaller or

larger-scale properties?

 Depends on other factors

 Larger (e.g., commercial buildings)

 Smaller (e.g., residential units)

14) Which type of real estate investment do you believe is more liquid, meaning
easier to buy or sell quickly?

 Residential

 Commercial
  Both have similar liquidity

15)How much do you consider the impact of your investment on the local
community?

 Very important

 Somewhat important

 Not important

16) Do you think technology plays a significant role in managing residential or

commercial properties?

 Yes, for residential

 Yes, for commercial

17)If you were building an investment portfolio, would you include both residential
and commercial properties for diversification?

 Yes

 No

 Unsure

18) Are you aware of any government incentives or programs that influence your
choice between residential and commercial investments?

 Yes, for residential

 Yes, for commercial

 No awareness

19)How much do economic conditions influence your decision to invest in real

estate?
  A lot

 Somewhat

 Not much

20) When investing in real estate, what is your primary financial goal?

 Regular rental income

 Property appreciation

 Both are equally important