With the real estate transactions starting to ooze down to a significant extent in last three months, a new bent has been noticed in the real estate sector, i.e. the major cities in the country have run into a steep fall by 32% in last few years. According to a number of reputed sources, the homebuyers were probably in a dilemma and refraining themselves from investing. The keenness to get better prices and discounts in other projects was perhaps the main reason why there has been a sharp decline in sale. When the property consultants in this segment think the property prices are less likely to soar up, they also assume the prices to remain stable.
With the festive season doing not so well, there has always been a tendency for the prices to remain stable. Especially, with the upshots of demonetization being just on the brink of fading away, the property market has come out to be stripped off the expected activity. At the same time, the builders have involved themselves in abiding by the new set of rules & guidelines which, somehow, has abstained them from new launches. It has not only caused a sharp nose-dive of 81%, but has also given birth to a stability in prices.
As per PropEquity, the sales in top eight cities in India were 22,669 units in July-September while the new launched units stood at 4,313. While the lack of new launches has mainly been caused due to the developers trying to comply with the new rules and decrees, the plummet has also glimpsed the unsold inventory of 4, 46,730 units in the quarter of September. Among all the cities, Noida market was the one to get the worst hit with new launch units. Experiencing a crash around 87%, the Noida market hardly witnessed any new launch in July-September. Also, the Mumbai region got affected with less new launches by 84%, while no new project turned up in Chennai during July-September.