Real Estate Nov, 23 2009

The Real Growth In Real Estate

Real estate in India has taken a turn towards being one of the most flourishing sectors. With franchising backing its growing significance, it is an ideal sector to be a part of. Read on to know more

By Ramanjit Kaur
Feature Writer
The Real Growth In Real Estate

The real estate sector in India is booming with the property bloom spreading in all directions. It is a highly productive sector that not just contributes in the gross domestic production but also in employment generation. Even the Government of India has hastened the growth of real estate sector by opening the doors to Foreign Direct Investment (FDI). Besides this, the increasing industrialisation, urbanisation and outsourcing businesses have entailed huge demands for the commercial buildings and urban residential areas.  These rising demands have generated immense franchising opportunities in the real estate sector. Many well known realtors have also realised the potential of franchising, thus, finding innovative ways to generate lucrative real estate franchise opportunities.

Real estate sector in India is growing at a rate of 35 per cent and is estimated to be worth US $ 15 billion. It is expected that the sector will grow at a rate of 30 per cent annually in the coming years and will attract the foreign investment of $ 30 billion. Real estate is one such sector, which is flourishing and expanding constantly in India. If you also aspire to move along with this progression, then franchising is the best way forward. Let us discuss the various aspects of franchising in real estate.

Franchising brands in real estate sector

The sector is witnessing great developments in residential and commercial areas. That is the reason, many national and international brands have taken up the franchise business route to expand their business and fetch maximum profit out of this budding sector. There are number of well established players in the real estate franchising such as Re/Max, Century 21, MSX Group,,, Kritagya Associates, MBS Infrastructure, and many more. These companies help the aspiring entrepreneurs to nurture under their brand name by offering them all the required support and guidance to establish their business.

Advantageous real estate franchise

A large number of people in India are taking up the real estate franchising as it provides: 

  • Maximum returns on investment: The buying and selling of land or property involves large amount of money (in crores, millions and billions), thus, offering huge profit margins for the realtors.  
  • Paramount opportunities: With the booming economy, favourable demographics and stand taken by the Government on FDI, the real estate franchising presents the most profitable opportunity for the aspiring entrepreneurs.
  • Healthy contacts: Apart from these, the real estate franchising offers tremendous opportunities to enhance your contacts by dealing with the elite, bureaucrats, celebrities, VIPS and VVIPS.   

Franchise requisites

If you have decided to take up a real estate franchise, then you need to have the following basic requisites that include:

  • Finance: An aspiring entrepreneur must have enough capital to maintain a good quality office. The real estate franchising requires an initial investment of Rs 5- 10 lakh (that may vary from company to company).  
  • Location: It is one of the most flexible sectors that can be located anywhere from a small town to a big city. It works efficiently and profitably almost everywhere, though the developing areas offer more lucrative opportunity.  
  • Skills: As an entrepreneur, you are expected to have a good knowledge of the geographical area (where you are planning to start your franchise) and an ability to provide professional services. Besides, you must possess integrity and offers a complete transparency (in transactions) to your clients.   

As real estate business works through brokers, therefore, the brokers also constitute an important part of the franchise system. The brokers are hired either by the franchisor or the franchisees. To wear a broker’s hat, an entrepreneur must have good communication skills and an extensive network.

Franchise offers

Being a part of the real estate franchise system, your franchisor will support you with training and technology, network, marketing support and a widely established brand name. As Vic Viswanath, CEO, Century 21 India says, “We provide our franchisees with a complete support that consist of brand building, marketing support, training, real estate industry foresights and motivation.” Therefore, it is highly beneficial for an entrepreneur to take up the franchise route to own a real estate business and in turn generate good profit.

As the sector is highly unorganised, therefore, association with a well known brand can offer you a wonderful and lucrative opportunity. So, be a part of this escalation and get succeeded.

Related: Realtor expands horizons

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