Realty sector rates up 14% in Delhi NCR
Realty sector rates up 14% in Delhi NCR
Realty sector rates are up 14% in Delhi NCR, the highest increase year-on-year in residential real estate prices to Rs 7,741 per sq ft for July-September 2022.
However, the Mumbai Metropolitan Region (MMR) continued to be the costliest market. 19,485 per sq ft in the country, which has remained unchanged from last year.
Housing prices in the Realty Sector of India’s top eight cities – Delhi-NCR, MMR, Kolkata, Pune, Hyderabad, Chennai, Bengaluru, and Ahmedabad – up 6% year-on-year amid strong housing demand and quality launches by top developers, according to a combined Continuing to move north. Credai, Colliers and Liases Foras report. Delhi-NCR was followed by Kolkata and Ahmedabad with 12% and 11% year-on-year growth, respectively.
Since the beginning of 2022, Realty Sector prices are set to rise on account of increased demand from last year, coupled with a rise in input prices.
New launches in Realty Sector have been on the rise since the beginning of the year as the market regained momentum after a hiatus despite rising interest rates and input costs. Overall, inventory sold increased by 3% year-over-year.
Owing to the increase in launches over the last few quarters, around 94% of the unsold inventory in India is under construction.
Most cities saw a decline in unsold inventory, with Bengaluru witnessing the biggest decline of 14% year-on-year, led by higher sales. Only Hyderabad, MMR, and Ahmedabad saw an increase in unsold inventory, which led to significant new launches.
MMR continues to account for the highest share in unsold inventory at 37%, followed by Delhi-NCR and Pune at 13% each.
“While the real estate market across the country has witnessed a K-shaped recovery in terms of prices, consumer sentiment remains strong as the pandemic has reshaped the importance of home ownership.
CREDAI President Harshvardhan Patodia said, “As the festive season is expected to continue till the end of this year, we can expect sales to move northwards.” However, he added that the price hike is expected to continue due to strong demand.
According to Ramesh Nair, chief executive officer, of India and managing director (market development), of Asia for Colliers, while residential activity remains strong, the pressure of the slowdown could have an impact on the salaried class.
“The total sales for the three-quarters of CY22 is 16% higher than the total sales for the same three-quarters of CY21.
Despite rising interest rates and marginal asset prices, there is still a parity between price and affordability; The sales volumes are likely to remain strong,” said Pankaj Kapur, Managing Director, Liaises Foras.
