Visit to National Capital Region of Delhi (NCR) and meetings with property developers, brokers and property consultants reveal that sales volume in the city has fallen by 50-70% YoY. This is much higher than our earlier estimate of about 40% decline. We are also witnessing decline in the sales volume in cities like Hyderabad, Chennai and Bangalore, but to a lower extent.Most listed developers were selling apartments at an average ticket size of Rs8mn and more (Rs7,000/sq ft and average apartment size of 1,500sq ft). Sales volumes fell sharply probably due to the high prices of apartments, which were beyond affordability levels.
Sales volumes appear to be falling even in other cities like Bangalore, Chennai and Hyderabad. For eg, Hyderabad is seeing a slowdown in sales of high-end properties (sales value of Rs4,000 / sq ft and above) and a few property experts there have also indicated cancellations on earlier sales.
No comments:
Post a Comment