Sales drop but prices to re­main sta­ble

Noida ac­counts for the largest un­sold in­ven­tory, mak­ing up 60% of un­sold stock across In­dian cities, re­veals a re­port

HT Estates - - HTESTATES - HT Es­tates Cor­re­spon­dent

Sales in the real es­tate sec­tor dropped by 18% over the last quar­ter, but prices are likely to re­main sta­ble, says the quar­terly re­port re­leased by PropTiger.com, an online real es­tate ad­vi­sory firm funded by Newscorp. De­spite the drop in sales, the quar­ter wit­nessed key fund­ing trans­ac­tions in the sec­tor, it adds.

The quar­terly re­port pro­vides an anal­y­sis and re­view of real es­tate data col­lected from the top nine In­dian citi es of Mum­bai ( i nclud­ing Navi Mum­bai and Thane), Pune, Noida (in­clud­ing Greater Noida and Ya­muna Ex­press­way), Gur­gaon (in­clud­ing Bhi­wadi, Dharuhera and Sohna), Ban­ga­lore, Chen­nai, H y d e r a b a d , Ko l k a t a a n d Ahmed­abad.

As for the out­look for the sec­ond quar­ter, t he re­port says that the new launches will be slow, es­pe­cially in cities of Ben­galuru, Chen­nai and Hy­der­abad ow­ing to the Ashadh month. Ashadh is usu­ally not con­sid­ered an aus­pi­cious time for fresh launches, ac­cord­ing to some re­li­gious be­liefs.

Shraadh, another Hindu pe­riod, will hold back new launches in the north In­dian cities around the end of Septem­ber.

Dhruv Agar­wala, co-founder and CEO of PropTiger. com, says, “The drop in sales has been pri­mar­ily due to a drop in new launches. The launches might pick up in Oc­to­ber when the fes­tive sea­son be­gins. Fur­ther cuts in home loan rates might also help in the re­viv­ing sales in the real es­tate mar­ket”.

T h e r e p o r t s h ow s t h a t Mum­bai, Ben­galuru and Noida ac­count for the largest un­sold in­ven­tory, mak­ing up to 60% of the to­tal un­sold in­ven­tory across cities. Out of this, Ahmed­abad has the largest (15%) ready-to-move-in un­sold in­ven­tory.

Sales in the af­ford­able seg­ment (less than ₹ 50 lakh) came down to 52% in the quar­ter from 55% in the last quar­ter. Mean­while, 52% of un­sold in­ven­tory was in the af­ford­able cat­e­gory.

In Noida, sales in quar­ter four of fi­nan­cial year 2015 stood at 7,250 units and re­duced to 5,524 units in quar­ter one of fi­nan­cial year 2016, a fall of 24%. In Gur­gaon sales re­duced from 1,536 to 1,418 units, a re­duc­tion of 8%. In Bhi­wadi, the re­duc­tion in home sales was as much as 31% and in Sohna around 34%.

The un­sold in­ven­tory lev­els in Noida stood at 1,02,556 u n i t s , G u r g a o n at 2 1 , 4 3 6 units, Bhi­wadi at 17,189 units and Sohna at 4 , 2 3 0 units. Ahmed­abad led the way with t he most ready- t o- move- i n un­sold i nven­tory, fol­lowed by Hy­der­abad, Chen­nai and Ban­ga­lore. The re­port also said that prices across cities re­mained stag­nant.

As far as the un­sold in­ven­tory in the af­ford­able seg­ment was con­cer ned, Noida l ed with 62,912 units out of which Noida Ex­ten­sion and Ya­muna Ex­press­way had 49,989 units.

Gur­gaon’s un­sold in­ven­tory stood at 826 units, Bhi­wadi with 16,035 units and Sohna with 1,119 units.

Another trend no­ticed in the re­port was that Bhi­wadi, S o h n a a n d N av i Mum­bai had the high­est s hare of in­vestor de­mand.

PIC­TURE FOR REP­RE­SEN­TA­TIONAL PUR­POSE ONLY

IMAGESBAZAAR

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