abhi

Hello Members,

I was wondering if members can share some insights/statistics about the Indian Real Estate Market in 2011.

A Year end review of how realty sector fared in India, how many units were sold, any predictions, trends etc.

Thanks

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Around 44% housing units under Rs 3.5mn unsold in India

Leading independent global property consultants - Knight Frank India Pvt. Ltd. announced the launch of their database product "eyestate" that is jointly developed by Knight Frank Research and Indicus Analytics, India's leading economics research firm. The product gives information and analysis of the residential, commercial and retail real estate market across the seven major metropolitan regions namely Mumbai, the National Capital Region, Kolkata, Bengaluru, Hyderabad, Pune and Chennai.

Eyestate, a comprehensive database solution of the real estate landscape of major Indian metropolitan regions has proved to be a myth buster. Results show that 28% of the properties under construction within the 7 urban centres cater to households looking for homes within the INR. 3.5 mn. category. This product caters to the needs of approximately 80% of urban households. Contemporary market belief would lead us to assume that all or most of this product would be absorbed as it is within the affordability criteria, but this is not the case. An astonishingly high 44% of these housing units are unsold today.

MORE Around 44% housing units under Rs 3.5mn unsold in India - Moneycontrol.com -

Published on Tue, Jan 24, 2012 | Source : Moneycontrol.com

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Number of unsold flats in city has risen to 33,600: Study - Hindustan Times

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Unsold flats stock rises to 112m sq ft - The Times of India

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Sale of residential plots at 2-yr low - Indian Express

Krazy Yuppie

If this is the situation,why RE prices are not crashing

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Mumbai falls from the global top 10 office market: C & W - Moneycontrol.com -

arrarrgee

yes..donno why RE prices arent crashing...the reason i am thinking is all these RE companies when they start their project, get the seed capital from Big Funds and Venture Capitalists...(not necessarily the legal type VCs that you and I know about..most likely black money too)..they wudnt want the builder to reduce the price lesser than what they initially pumped in..so the builder is less likely to reduce prices even if economics dictate other wise as long as NRIs and others lap up the inventory in a trickle...not sure how or when it wud stop. The RE prices cannot go on increasing ..therez a limit on how much the salaries could go up to in India even for IT...In the US there are lay offs..salary freezes..cost cuts..etc..not sure how long the music wud last in India though...my firm belief its gonna happen soon...my 2 cents..othere pls correct me if i am wrong

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CHENNAI BUREAU
February 25, 2012:
A realty report released by Pune-based Gera Developers, which surveyed 1685 projects across the city, indicates that till end of December 2011, there were 178,775 apartments at various stages of construction, of which around 20 per cent (36,124) were unsold. The comparable percentage in June 2011 was 22 per cent.
According to the Pune Realty Report 2012, the maximum number of unsold apartments – 58 per cent – is in the sub-1000 sq ft range, while 81 per cent of the stock is in the less-than-Rs 50 lakh cost bracket. The survey, which covers 20 micro-markets across the city, shows that the average price per sq ft ranges from Rs 2199 in Chakan to Rs 4961 in Baner. It also indicates 11.63 per cent appreciation since June 2011 in the average price per sq ft across the city.
The report places the highest number of new launches in Wagholi (3125), followed by Sinhagad Road, while the IT hub Hinjewadi ranks penultimate with 702 new units. Summarising the Pune market scenario, Mr Rohit Gera, Managing Director, Gera Developers, says, “It is evident home buying hasn't come down and the real estate sector is supported by active demand participation.”
Source:thehindubusinessline

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Bangalore gets a big bite of realty pie, absorbs 3rd of India's commercial space