New home launches plunge 78% in 2017

Housing Sales Down 6% In NCR Supply Falls 56% Knight Frank

According to Samantak Das, chief economist and national director at Knight Frank, this 5 per cent drop in prices effectively translates to a total cost benefit of 11 per cent to 12 per cent for home buyers in Mumbai. However, the July-December sales figures of these cities in 2017 were still significantly lower than the second half of 2014 and 2015, clearly depicting an underlying declining trend, the report said. Even though the average price of the residential weakened by 3 percent due to developers offered discounts, many units remain unsold.

"Apart from the base price reduction, which developers have been forced to undertake in order to prioritise offloading inventory level, a bouquet of incentives such as waivers, free of charge floor rise and assured rental schemes, which are available a dime a dozen in the market lends significantly to the price advantage", said Das. Approximately 37,653 units were sold in NCR a year ago, a drop of 6% from 2016.

"Select markets wherein Rera has matured, have seen developers re-launch projects at attractive prices which led to an uptick in sales in 2017".

Little wonder then that residential sales in the Mumbai Metropolitan Region (MMR) jumped up 19% in the second half of past year compared to the same period in 2016. But from the sales peak of 2011 when 3,68,568 units were sold, this is a step decline of 62 per cent in 2017 at 2,28,072 units.

"At the end of 2017, India's residential sector appears to have shrunk to a fraction of its size in less than a decade". "Collectively discounts add up to 11-12%", the report said.

More news: Form Premier League star linked with summer switch to Real Madrid

The stagnation in the market, according to the report, is owing to ambiguity over Real Estate (Regulation and Development) Act and concerns of job security in IT sector. "From an annual perspective 2017 saw 32% fewer launches YoY and new projects and same was down by staggering 83% from peak in 2010", as per the report.

Meanwhile, Chennai city's office space market also plummeted as the share of largest office space consumer, IT and ITeS sectors, halved from 43 percent in second half of 2016 to 25 percent in second half of 2017. The age of unsold inventory is a matter of concern, said Krishnan.

New launches across the eight key metros of Mumbai, Delhi-NCR, Bengaluru, Pune, Chennai, Hyderabad, Kolkata and Ahmedabad, declined 41 per cent in the second half of 2017 to 40,832 units from 68,702 units in the same period in 2016.

"The office market has witnessed newfound buoyancy with new completions recording double digit growth for the first time since 2012".

Related News:



Most liked

MoneyGram and Ant Financial call off merger plans
Also in accordance with the merger agreement, Ant Financial will pay MoneyGram a $30 million termination fee. The country launched a formal review of China's intellectual property practices in October previous year .

Diet Coke says millennials thirsty for new experiences, introduces four new flavors
The Diet Coke varieties will be sold in tall silver 12-ounce cans and available nationwide in mid-January, the company said. The company reported $0.50 earnings per share for the quarter, beating the Zacks' consensus estimate of $0.49 by $0.01.

Greitens acknowledges affair, denies blackmail allegations
This is a three-year-old personal matter that presents no matters of public or legal interest. "The facts will prove that fully". The claim that this almost three-year old story has generated or should generate law enforcement interest is completely false.

Suspect in Knoxville police shooting added to TBI's Top 10 Most Wanted
A man listed in a database as an Aryan Nations gang member shot an officer and is on the run, police in Tennessee said. The Tennessee Bureau of Investigation has a new addition to its "Top 10 Most Wanted" list - Ronnie Lucas Wilson.

Pence to lead USA delegation in South Korea for Winter Olympics
The North has long denounced the drills as a rehearsal for northern invasion and used them as an excuse for provocations. Then on Saturday at Camp David, the President said he would "absolutely" be willing to talk to Kim by phone.

Zimbabwe anti-corruption body investigates Grace Mugabe's PhD
The atrocities targeted members of the ethnic Ndebele population believed to support former Vice President Joshua Nkomo, then an opponent of Mugabe.

UNRWA says it received no official US notice on aid cuts
Official reports said the U.S. was the largest donor to the agency, with a pledge of almost 370 million dollars as of 2016. He went on to suggest the USA shouldn't make any future payments due to their refusal to accept his peace process.

3 jawans hurt in freak copter rope mishap
The helicopter being used for the slithering operation was indigenous Dhruv Advanced Lightweight Helicopters. The Indian army has ordered an investigation into the incident. "No one suffered any serious injury".

SNK Women Take Over in "SNK Heroines ~Tag Team Frenzy~" Fighter
NIS America is inviting the leading ladies from several of SNK's fighting game to the Switch for SNK Heroines: Tag Team Frenzy . Those winnings can be spent to buy voice clips and other cosmetic accessories that will let players customize their characters.

Watch a Toyota 'bobsled' down a hill in California mudslide
Burbank California residents are grateful they are unscathed after a wave of mud picked up their Prius, lifting it off the ground.

Queen gives rare personal account of her coronation in BBC documentary
Speaking to the Queen for the BBC documentary, Bruce told Her Majesty - who had been only 14 at the time - the story. Bruce discusses the crown jewels with Queen Elizabeth in an exceptionally rare conversation recorded for television.

Free Amazon Prime Membership for Airtel customers: Here's how to claim it
Airtel had infinity plans of Rs. 499, Rs. 799 and Rs.1,199 in which the users get 30GB, 50GB, and 75Gb data respectively. It comes soon after the country's biggest telecom operator made the Airtel TV app free for subscribers till June 2018.

HTC U11 EYEs Launch Expected January 15; Price and Specifications Leak Alongside
The company has put up a post on Weibo asking fans to "save the date", and tipping asking users to keep their "Eye" open. HTC will launch the all-new HTC U11 EYEs on January 15 in a confirmation coming directly from the Taiwanese major.

Fresh Embryos as Good as Frozen Ones for In Vitro Fertilization
They also implanted, on average, two at a time. "There is no need to completely go around the first fresh transfer". Vuong from the University of Medicine and Pharmacy at Ho Chi Minh City.

Bella Thorne's Mom Claims She Never Knew About Sexual Abuse
Santa Barbara Sheriff Bill Brown attempted to reassure residents who have been forced from their homes due to recent events. Pictured: Lowe attends the 2017 iHeartRadio Music Festival at T-Mobile Arena on September 22, 2017 in Las Vegas, Nevada.