If purchasing a property, select one before elections are over
Discounts and offers from real estate developers are common but during this Navaratra the real estate developers are offering huge discounts and flexi payment scheme to attract buyers. The reasons behind this response are that the real estate market is noticing oversupply.
As per Cushman and Wakefield there was 12 percent decrease in new launches in top 8 cities and the supply is more than demand. Prices have remained same in last few months.
As per the research, the housing prices have decreased by an average 8 percent in Delhi NCR during 2013, as compared with last year because of decrease in real estate market and economic and political uncertainties
Mr. Sachin Sandhir, MD, RICS South Asia, says that property prices in some of the developed markets are decreased due to oversupply.
Mr. Om Ahuja, CEO, Residential Services, JLL India, says that they are not noticing increase in jobs in cities like Mumbai and Kolkata. Both these cities are doing well in luxury segment but budget segment is not up to the mark due to the prices is not affordable for common man.
Mr. Sandhir also added that the growth momentum is not same as it was in the period of 2006 and 2008. But the economic indicators suggest that the market is likely to improve gradually after the polls.
Mr. Ahuja further added that many cities have oversupply in specific pockets and some main pockets witnessed lack of supply as compared to the demand. They haven’t notice price correction in main pockets of many cities.
Demand is more than the supply in regions like Mount Road, Adyar and Nungumbukkam in Chennai. The demand in north Chennai is not catching up with the supply hitting the ground. This shows the capital appreciation of these areas. Demand in the Bandra-Andheri belt, Worli and Powai in Mumbai is far higher than the supply. The demand in areas like Wadala and Lower Parel is not matching up with the supply and this shows decrease in capital appreciation.
Source: The Economic Times
Adyar, Bandra-Andheri belt, Chennai, Cushman and Wakefield, Delhi, Housing process, JLL India, Kolkata, Lower Parel, Mumbai, NCR, Om Ahuja, Real Estate Developers, Real-estate market, Sachin Sandhir, Wadala
