5 hours ago
- copy link
- There was a jump of 22 to 150% on an annual basis in 8 important cities of the country
- House sales up 67% to 99,416 units from January to June across the country
In the first half of the year, sales of houses below Rs 50 lakh declined. This is mentioned in Knight Frank’s report ‘India Real Estate-Residential, January-June 2021’. According to this, the reason for the decrease in the demand for affordable houses is the pressure on the economy from Kovid. The second reason is that the employment of many people ready to buy houses is lost due to the lockdown.
The reason for the decrease in the percentage of affordable houses is Kovid
According to Knight Frank, the decline in the percentage of affordable homes in the first half of the first half has been due to the challenges created by Kovid. In fact, due to the epidemic, employment loss, income loss, inflation and other challenges have arisen. Due to all this, the confidence of the people wanting to buy houses has decreased in their financial condition.
Up to 150% jump in eight important cities
If we talk about city-wise house sales in the first half, then there has been a jump of 22 to 150% on a yearly basis in eight important cities of the country. A look at the house sales at the All India level shows that the sales of houses from January to June this year increased by 67% to 99,416 units as compared to the first half of last year.
There has been a strong trend in the total sales of houses
According to Shishir Baijal, CMD, Knight Frank India, “There has been a big change in the perception of people regarding the need to buy a house in the last four quarters due to Kovid. Barring the decline in affordable housing sales, overall sales have shown a strong trend. This trend may continue once the situation normalises and sales may pick up.
Home sales get a boost in Mumbai and Pune
According to the report, home sales in the first half got a boost in two markets – Mumbai and Pune. According to Knight Frank, both markets accounted for 45% of home sales in the country’s key property market. The sale of houses got a boost due to the reduced rate of stamp duty exemption given by the Maharashtra government for a limited time.
The price has remained the same in the four major cities.
According to Knight Frank, the increase in sales has been due to the decline in house prices last year. In four of the eight major cities, house prices declined marginally or remained the same on a year-on-year basis in the first half. To increase sales, the developer offered flexible payment schemes, but direct discounts were less.
Highest launch of new houses in Hyderabad
On the other hand, in the first half of this year, the launch of new residential houses has grown by 71% year-on-year. Interestingly, the leading markets on this front are not markets like Mumbai and Pune. According to the report, Hyderabad, Kolkata, Ahmedabad and Delhi-NCR saw the highest annual launch of new houses.