Mumbai witnessed maximum growth of 23 percent, followed by NCR at 19 percent.
Residential sales across tier-1 cities grew by 8 percent in 2017, when compared with 2016, with Mumbai Metropolitan Region (MMR) witnessing the maximum growth of 23 percent, followed by NCR at 19 percent and Pune at 14 percent.
Sales in the affordable housing segment, which comprises units less priced less than Rs 25 lakh, increased 6 percent quarter-on-quarter and 67 percent year-on-year, according to a report by Liases Foras titled Residential Real Estate Market Q3 2017-2018.
New launches dropped in all cities except Chennai, where new launches rose in number by 11 percent, according to the report.
As far as unsold stock is concerned, overall unsold stock in tier-1 cities decreased marginally by 3 percent year-on-year, with NCR, Ahmedabad and Bengaluru witnessing a decline of 14 percent, 12 percent and 10 percent, respectively.
Residential sales increase 8 percent
Annual sales across tier-1 cities have grew 8 percent year on year (from 238,956 units to 257,755 units) in 2017, according to the report.
Cities in the south zone have shown a slow down, with sales in Chennai and Bengaluru dropping by 30 percent and 20 percent, respectively. Meanwhile, Hyderabad just about held its the grounds with a miniscule growth of 3 percent.
As for the city-wise sales of units in the third quarter of 2017-18, the contribution of the affordable segment to overall sales in eight tier-I cities stood at 19 percent.
NCR contributed the most to sales in the affordable segment with 3,254 units i.e. 25 percent, followed by MMR with 2,984 units (23 percent), Pune with 2,599 units (20 percent) and Ahmedabad with 2,530 units (20 percent) of total sales in the segment.
All 8 cities cumulatively sold 23,095 units in the price range of Rs 25 lakh-Rs 50 lakh, which was 35 percent of total sales. This was followed by the price range of Rs 50 lakh-Rs 1 crore, which accounted for 11 percent of total sales.
MMR contributed the highest to overall sales at 16,831 units i.e. 25 percent of total sales, followed by NCR at 15,945 units, which was 24 percent of total sales, the report said.
For the third quarter of 2017-2018, MMR saw the highest number of new launches, nearly 35 percent of the country’s total, followed by NCR at 15 percent.
Among various price segments, the price bracket of Rs 50 lakh-Rs 1 crore witnessed the maximum number of new launches, amounting to 29 percent of the total supply, followed by the price bracket of Rs 25 lakh-Rs 50 lakh, which accounted for 28 percent of the total.
The Rs 50 lakh-Rs 2 crore segment of MMR witnessed the maximum number of launches at 6,917 units, which was 23 percent of all new launches across eight tier 1 cities.
NCR contributed 38 percent of all new launches in the affordable housing segment (less than Rs 25 lakh), followed by Ahmedabad (18 percent) and MMR (17 percent), the report said.
Unsold stock declines
On a quarter-on-quarter basis, the overall unsold stock decreased marginally by 2 percent. NCR witnessed a 5 percent drop in unsold stock during the period, followed by Ahmedabad and Bengaluru, both of which saw a decline of 4 percent.
Unsold stock in Hyderabad increased by 3 percent from the previous quarter, followed by Pune at 1 percent. Chennai and MMR did not witness any major change in unsold inventory.
On a year-on-year basis, overall unsold stock in tier-I cities decreased marginally by 3 percent.
Chennai witnessed a 19 percent increase, which was the highest, followed by Kolkata at 9 percent and MMR at 3 percent. NCR, Ahmedabad and Bengaluru saw a decline of 14 percent, 12 percent and 10 percent, respectively.
Movement in prices
On a quarter-on-quarter basis, in the third quarter of 2017-2018, the weighted-average price level remained more or less stagnant. Prices in Chennai, NCR and Pune declined marginally by 1 percent. MMR is the only city that witnessed a marginal price rise of 1 percent.
On a year-on-year basis, weighted average price across tier-I cities witnessed a marginal increase of 1 percent and reached Rs 6,835 per square foot from Rs 6,741 per square foot a year ago.
Prices declined marginally (1-3 per cent) in five out of eight tier-1 cities. Bengaluru witnessed no change while a slight increase was observed in Ahmedabad and MMR.
