New project launches in Delhi-NCR slow down
The new project launches in Delhi-NCR is highly affected by project approval delays, increasing costs and lackluster demand from the buyers.
The new launches in NCR has dropped by 35 percent to 5,208 when compared to the statistics of last year which was around 8, 041 units. Launches were limited to few areas like Greater Noida, Yamuna Expressway, Noida Extension and Faridabad.
According to the experts, there are are various reasons due to which this slowdown took place.
When compared with the launches of 2010 and 2011, within this two years, NCR hardly witnessed any fresh allotments by the government or authorities, which is a big reason for the slowdown.
According to few experts, the price properties increased due to high interest rates. So the developers have to depend on buyers for their selective new launches. It is also been noticed that until there are new projects coming up in this region, fresh property launches will continue to remain under pressure.
Few areas which will get hampered due to this factor are Yamuna expressway and Sohna road. The new launches will be limited in this areas. New launches have already slowed down in Delhi-NCR and the developers are waiting to revival of the fortunes demand for the affordable housing.
One of the reasons that’s hampering the real estate in Delhi-NCR is the crunch due to cautious approach by banks and this in turn has increased the cost of projects.
The main reason for NCR real estate loosing its pace is the substantial increase in the construction cost of a project. Due to this, the developers demand that they should have substantial funding before launching a project.
As per the market experts, NCR has a great potential for growth and this slowdown will be absorbed by new launches and high demand from buyers.
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