November 2016 | Back to all Real Estate Articles
Realty Decoded report 02 FY`17 reveals that residential sales in top 9 cities witnessed growth of 12% annually
The top9 cities of India witnessed launches of about 47.000 new residential units compared with 41.000 units in Q1 FY'17 to clock a quarterly growth of 14%. shows the leading online real estate advisor 'Realty Decoded' report for the July-September quarter of financial year 2016-17 (Q2 FY'17). Residential sales across top9 cities of India in Q2 FY'17 increased by 12% over Q2 FY'16, an increase in sales from 48.976 units in 02 FY'16 to 54,721 in Q2 FY'17.
The report further highlights that, Ahmedabad, Chennal, Hyderabad, Kolkata and Nine noted an uptick in housing sales during Q2 Fr 17, even as most other cities witnessed subdued sales. Sales in Kolkata and Hyderabad in creased by 35% and 24% respectively over the previous quarter. The study covered nine key Indian cities of Mumbai, Pune, Noida. Gurgaon, Bengaluru, Chennai, Hyderabad. Kolkata and Ahmedabad.
Pune and Bengaluru contributed nearly SA% to the to tai absorption wIlmased In Q2 1.1"17. Mumbal contributed the most to sales, accounting for 21% or total sales during the quartet folkiwed by Pune and Benialum accounl for 19% and 17% respectively. during the Q2 fl' 17.
Commenting on the report Sunil Mishra. Chief Business Officer (Primary Sales and Developer Solutions). "The repo rate cut by the Reserve Bank of India (RBI). discounts and schemes offered by developers and the Real Estate (Regulation and Development) Act (RERA) are all expected to in-crease the confidence of customers resulting in higher sales in subsequent quarters."
According to the research and analysis presented in the report. the inventory overhang remained unchanged at 35 months. indicating that demand is moving in tandem with supply. Unsold inventory across the top 9 cities declined barring Ahmedabad, Kolkata and Pune.
The report also highlights that developers across top 9 cities of India have been reluctant to reduce residential prices and have in stead been offering deferred and flexible payment schemes to entice buyers. Thus overall prices across the cities remained rangebound during the quarter.