Reduction in guidance values in Delhi and banks softening the house loan interest prices helped lift the house getting sentiment in Delhi NCR in Jan-Mar 2021. While residential enquiries remained steady, conversions improved QoQ amid the pent up demand, resulting in about 10 % surge in housing sales in the quarter, according to 99acres.com.
The typical home costs, nevertheless, failed to register any development, QoQ. New launches enhanced in the critique period though the market place nonetheless demands to cover a lot of ground to attain the pre-COVID-19 momentum. Around 16 new and redeveloped projects/ phases have been launched across zones, with maximum share in the inexpensive segment. Barring a handful of builders such as Godrej Developers, Express Builders and Trident Builders, numerous deferred their launches. Besides, developers played defensive owing to the current surge in COVID-19 instances in the capital and the ongoing liquidity crunch.
The rental market place continued to be the worst-hit across zones, as numerous firms continued to operate with a restricted workforce. Rentals also plummeted by about 15-20 % YoY, and amid the increasing COVID-19 instances, it is unlikely to see normalcy any time quickly. Unsold inventory in Delhi NCR stood at more than 1.5 lakh units about March 2021-finish. Around 65 % of unsold residential stock is in Noida, followed by Gurgaon at 22 % and Faridabad at 3 %. The remaining is spread across Delhi and Ghaziabad.
Speaking on the report, Maneesh Upadhyaya, Chief Business Officer, 99acres.com, mentioned, “The first quarter of 2021 witnessed a resurgence in sales volume across metro cities, particularly in Pune and Mumbai, amid a stamp duty cut till March. In line with the recovering market sentiment, site visits and sales, pricing power returned to the sellers. Based on properties listed on 99acres, none of the eight metro cities recorded a downward revision in average listing prices of residential apartments in Jan-Mar 2021 against the previous quarter. Buyer responses also reported a 7% surge in the same period on 99acres. Owner listings posted on 99acres also went up by 20% in Jan-Mar 2021 against Oct-Dec 2020.”
“The green shoots of recovery seen so far will have to stand the test of the time with a steep surge in COVID-19 cases and the resultant lockdowns in many parts of the country, impacting project construction timelines and buyer site visits. Nevertheless, measures such as reduction in stamp duty and a downward revision in circle rates could help counter-balance the impact of these adversities.”
Price Movement in Key Micro-Markets
Note: Rental Yield has been calculated for a 1,000 sq ft apartment. Average home costs and rental prices have been calculated as per listings posted on 99acres.com in the studied quarter.
The variety of home costs may well differ by 10 % based on the age and furnishing status of the residential apartments
The housing market place in Noida, Greater Noida and Ghaziabad remained positive in Jan-Mar 2021. While enquiries have been steady, residential sales enhanced QoQ amid the reduced house loan interest prices, fresh housing provide and people’s continued affinity for homeownership.
Greater Noida West, and Sector 150 and 43 in Noida close to the industrial hub of Sector 137 remained well-liked for 2 BHK and 3 BHK units, respectively. Growth propellers incorporated availability of housing units priced Rs 35-50 lakh in Greater Noida West. For Sector 150 and 43 in Noida, direct connectivity to the planned Jewar Airport and projects by well-liked builders are noticed as demand stimulators. Residential units priced in Rs 80-85 lakh spending budget have been most well-liked in the sectors.
Authority-authorized plots along Noida-Greater Noida Expressway and Yamuna Expressway attracted purchasers nevertheless, the latter captured larger traction amid the proposed Film City and Furniture Park. Residential plot prices along Yamuna Expressway have surged by about 10-15 % in the last six months to Rs 18,000-25,000 per sq m.
Residential enquiries in Gurgaon went south by about 15 % QoQ in Jan-Mar 2021 due to the restricted quantity of new house purchasers in the market place. Transactions, nonetheless, enhanced by more than 10 % amid the spillover demand from the preceding quarter and developers extending versatile payment schemes.
The speedy improvement of Dwarka Expressway, enhanced provide of prepared properties and the presence of reputed builders, which includes Tata Housing, ATS Group and Mahindra Lifespaces, boosted enquiries in residential Sectors 102-115 along the stretch. Housing plots also garnered traction but almost 60 % of demand in Gurgaon was recorded for resale properties priced among Rs 1 crore and Rs 1.5 crore.
New Gurgaon and Golf Course Road Extension remained well-liked owing to the news about the Khekri Daula Toll Plaza removal, ample residential possibilities and proximity to Southern Peripheral Road and NH-8. The typical advertised prices of residential apartments in the regions have been about Rs 7,000-11,000 per sq ft.
A reduction in the guidance worth and reduce in house loan interest prices helped lift the residential sales in Delhi in Q1 2021. Premium localities of South Delhi and North West Delhi witnessed maximum traction, with about a 7-10 % hike in the advertised values of home amid demand outpacing provide for prepared properties with new payouts and parking.
High-net-worth Individuals searching for luxury properties and major edge amenities preferred the VIP addressed of Vasant Vihar, Greater Kailash, Vasant Kunj, Pitampura, and Punjabi Bagh. Units configured as 3 BHK and priced about Rs 3-3.5 crore posted maximum demand.