It seems prices has started falling in Mumbai, many builders have started quoting less than what is being advertised, also many flats owners have reduced their prices to sell their flats as soon as possible before the price drops more, any first hand input welcome...:D
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  • I see prices only going up on sites like ! The projects I am tracking (in Thane) have seen huge rise in asking price advertized on these sites! Anyone care to explain?
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  • Originally Posted by AJ2008oo
    I see prices only going up on sites like ! The projects I am tracking (in Thane) have seen huge rise in asking price advertized on these sites! Anyone care to explain?


    prolly to create a sense of urgency in buyers, there isnt too much demand to justify 20% hike in asking rates on websites like Magcbricks etc
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  • Rates are virtual. Real are for those who have colored money?
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  • My sense is that the affordable and premium segments of the market will not see much price correction but come 2013 and where things are at right now prices are only bound to correct at certain price points.

    The Rupee dollar index play will be interesting one as some NRI's will remit the money and buy real estate or some will pare the gains and take a double whammy of low ROI's and lower appreciation of dollar.

    Interesting times, some might say the glass is half full some might say the glass is half empty.
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  • With Spain now needing a bail-out soon, the world economy looks in no hurry to get back on its feet, let alone running on it. There is no doubt it is going to affect the Indian economy and the Mumbai real estate market. I dont think even NRIs find Mumbai affordable. I am a professional working in the UK for 6 years and I cant even think of buying a decent 2 BHK flat anywhere south of Andheri. I know of doctor/ software engineer couples here, both working but are in the same boat as me. Most of them have given up on the dream of owning a flat of their in Mumbai. Its much easier to buy a house here with much better returns and lower interest rates (3-4%).And why would somebody want to make their hard earned money into BLACK money which most of the builders ask for.

    With stagnation in the real estate market there is no hope of getting any meaningful return especially when you consider the very high inflation and poor rentals in India. By January 2013, prices will definitely some down but dont think it will come down by more than 20% mainly because of high inflation and more importantly because builders have greedily shelled out billions of rupees for land hoping to make trillions out of it. Hope they realise their folly as soon as the milk burns their tongue at the first sip.
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  • You are better off, I am in US for 5 years and i cannot even think of buying a new 1BHK between Andheri and Dahisar :bab (59):

    Originally Posted by Hasmukh
    With Spain now needing a bail-out soon, the world economy looks in no hurry to get back on its feet, let alone running on it. There is no doubt it is going to affect the Indian economy and the Mumbai real estate market. I dont think even NRIs find Mumbai affordable. I am a professional working in the UK for 6 years and I cant even think of buying a decent 2 BHK flat anywhere south of Andheri. I know of doctor/ software engineer couples here, both working but are in the same boat as me. Most of them have given up on the dream of owning a flat of their in Mumbai. Its much easier to buy a house here with much better returns and lower interest rates (3-4%).And why would somebody want to make their hard earned money into BLACK money which most of the builders ask for.

    With stagnation in the real estate market there is no hope of getting any meaningful return especially when you consider the very high inflation and poor rentals in India. By January 2013, prices will definitely some down but dont think it will come down by more than 20% mainly because of high inflation and more importantly because builders have greedily shelled out billions of rupees for land hoping to make trillions out of it. Hope they realise their folly as soon as the milk burns their tongue at the first sip.
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  • Originally Posted by jigneshbhai
    My sense is that the affordable and premium segments of the market will not see much price correction but come 2013 and where things are at right now prices are only bound to correct at certain price points.

    The Rupee dollar index play will be interesting one as some NRI's will remit the money and buy real estate or some will pare the gains and take a double whammy of low ROI's and lower appreciation of dollar.

    Interesting times, some might say the glass is half full some might say the glass is half empty.


    What is the definition of affordable/premium segment?? The prices are quoted in per square basis irrespective of segment. If it is so how it can be limited to only one or two segments.
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  • Originally Posted by rohu01
    You are better off, I am in US for 5 years and i cannot even think of buying a new 1BHK between Andheri and Dahisar :bab (59):



    Hmmm.......... Was just getting a bit over the top ambitous.............. May be I should be looking at 1 BHK as well.
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  • Mumbai realty is dead. It’s time to move on | Firstpost With a little over one lakh residential flats lying unsold in Mumbai, an inventory which will take more than three years to clear as not much of it is available for immediate possession, consumer resistance in Mumbai’s real estate market is peaking. Sale of Mumbai apartments in the financial year 2012 dropped by more than 60 percent from its peak in 2007 and 35 percent from 2011, according to data from property research firm Knight Frank. What’s worse, of the market average of 80,000 units, only 45,000 apartments were sold in the Mumbai Metropolitan region during 2011-2012. When buyers are not biting, it also implies gloom for investors who buy more than one flat because they expect good appreciation. From the looks of it, even investor sentiment has turned bearish as interest rates are high, regulatory approvals are stuck and developers are not being able to deliver the returns they had earlier promised to PE investors. Apart from losing its top position in home financing, recently real estate data firm Qubrex replaced Mumbai with Noida as the second-most sought after real estate destination. Reuters Surprisingly, even resale homes – usually cheaper than new property – aren’t selling for want of buyers. “I have been trying to sell my flat in Goregaon at a 20 percent discount, but even at Rs 70 lakh there are no buyers,” says Amit Ghoshal, a Mumbai-based resident. The two biggest reasons why Mumbaikars aren’t buying are expectations of a decline in prices and lack of confidence in the developer’s ability to deliver. This is also evident from loan growth at India’s housing finance companies. Loan growth at LIC Housing Finance has slipped to 17 percent in 2011-12 from 28 percent a year ago, forcing the company to set a lower target of 20 percent for the current fiscal. “The sharp rise in interest rates, high property prices in some locations and economic slowdown have resulted in a meaningful reduction in demand for housing in the two biggest cities, Delhi and Mumbai. Were rates to continue at these high levels and the economic environment were to deteriorate significantly we could see growth rates for the housing finance companies (HFCs) coming down”, noted Esprito Santo Securities in its latest report . With the financial situation worsening thanks to poor infrastructure and economic slowdown, Mumbai has slipped behind Pune and NCR in the mortgage market too as record realty prices keep customers away. “Lending in Mumbai has come down. Prices have shot to unsustainable levels,” VK Sharma, MD and CEO, LIC Housing Finance, was quoted as saying in the Economic Times. ”The real estate market is under stress. New projects are not coming up and existing ones are getting delayed. Also, with prices at this level, expectation of returns has also fallen.” Apart from losing its top position in home financing, recently real estate data firm Qubrex replaced Mumbai with Noida as the second-most sought after real estate destination, citing better price appreciation in three years, emerging connectivity, potential growth in economic activity, nationally reputed builders, infrastructure and low land acquisition risk. “Currently the price range in Noida is attractive and that is driving investor demand. In Mumbai, or Mumbai Metropolitan Region (MMR), new project launches in the last 18 months have not been attractive/large/affordable,” Om Ahuja, CEO – Residential Services, Jones Lang LaSalle India, told Firstpost. Mumbai has also become unattractive since it caters to mid-to-high end segments while low-income homes are difficult to find. According to Pankaj Kapoor, Managing Director at property consulting firm Liasas Foras, 80 percent of the demand for residential homes is in the Rs 45 lakh to Rs 70 lakh segment. But supply to meet this demand exists only in the far-flung suburbs of Panvel, Neral, Dombivli, Badlapur and beyond – where infrastructure and community life is weak, and the daily one-way commute to Mumbai can take as much as two hours. This essentially means no affordable homes exist in Mumbai and its immediate closest satellite towns of Navi Mumbai and Thane. Says Mudassir Zaidi, Regional Director at Knight Frank, “In Mumbai, the problem is space. Most offices and business centres are either in the centre or on the Western Corridors. Areas like Navi Mumbai are developed, but the business community hasn’t taken to them yet.” On the other hand, areas like Noida and Gurgaon, despite being suburbs, are independent cities in themselves with proper infrastructure, offices, schools and all other amenities. And the average ticket size of a property here costs anything between Rs 25 lakh and Rs 75 lakh. “There has not been any dramatic governmental initiative to improve infrastructure in Mumbai compared to Noida. Inventory in specific areas has piled up but in key areas the scenario is quite different. There are always buyers for the right product, right location and right price,” explained Ahuja. But the biggest game changer has been expectations of capital appreciation and development. “Mumbai is an investors’ market, but investors in times of slowing economic conditions are looking for other options to invest, instead of heated-up markets,” Anshuman Magazine, head, CB Richard Ellis, was quoted as saying in Business Standard. And there is the magic of infrastructure and development. An era of development has already begun in Delhi NCR with the opening up of the Yamuna Expressway. Property experts believe that that realty market in the region is going to witness a boom and the NCR and western UP belt will become a hot destination for home buyers and investors. In the last one year, property prices have shot up 30 percent in Noida and Gurgaon and 38 percent in Greater Noida. This is expected to rise another 30 percent this year. Against this, property prices in Mumbai have more or less remained stagnant in the last one year, with many developers being forced to offer discount schemes to lure buyers. This is of course in the high-end segment. Secondly, infra planning has been a major flop show in the city. The Andheri to King’s Circle monorail project and the Mumbai-Trans Harbour Link have already been delayed and so is the elevated road near the Chhattrapati Shivaji International Airport. There’s no word on the Navi Mumbai airport, which has run into land-acquisition problems now. Mumbai can get back into the game only if the affordability factor is first addressed. Without real buyers, realtors cannot hope to push sales.
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  • Completely agree. If professional NRIs like you are finding prices unaffordable, what are the chances for middle class salaried persons? The prices are so ridiculous that I have almost given up hope on buying any Mumbai property. Infact I found property at Singapore more affordable and with interest rate close to 1%, sensible to purchase here.


    Originally Posted by Hasmukh
    I dont think even NRIs find Mumbai affordable. I am a professional working in the UK for 6 years and I cant even think of buying a decent 2 BHK flat anywhere south of Andheri. I know of doctor/ software engineer couples here, both working but are in the same boat as me. Most of them have given up on the dream of owning a flat of their in Mumbai. Its much easier to buy a house here with much better returns and lower interest rates (3-4%).And why would somebody want to make their hard earned money into BLACK money which most of the builders ask for.
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  • Originally Posted by jigneshbhai
    My sense is that the affordable and premium segments of the market will not see much price correction but come 2013 and where things are at right now prices are only bound to correct at certain price points.

    The Rupee dollar index play will be interesting one as some NRI's will remit the money and buy real estate or some will pare the gains and take a double whammy of low ROI's and lower appreciation of dollar.

    Interesting times, some might say the glass is half full some might say the glass is half empty.


    I completely fail to understand the currency angle to real estate. Wont the recent sharp hikes in deposit rates for NRIs which now offer around 9-10% also provide the same benefit of currency depreciation that all builders and news agencies keep harping upon? So why buy overheated property? Secondly, like Jigneshbhai pointed out, in dollar terms, the appreciation may not look as great despite all the rally in real estate in last few years. peope who invested at around 39-45 Rs/USD level have lost 20-35% of their amount merely in INR to USD conversion. and if NRIs dont gain confidence on rupee, they wont invest in India if they ever want to encash the gains and take it back.
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  • Buying a home in Mumbai makes no sense at these prices. One month back, I know someone who bought a 550 sq ft 1 bhk (without parking) in Dosti Acres in Wadala East for Rs 1.15 cr Rs 20,000 psf. Dosti Acres is a great apartment complex from inside, BUT surrounded by huge slums on all four sides. It takes 20 minutes to cross the first 2 kms on ANY side.

    In the same price you can get a 1500 sq ft 3 BHK apartment in some of the best locations in Gurgaon. I was looking for an apartment in Mumbai (since I work here) but finally decided not to buy an apartment in Mumbai and bought a 2100 sq ft 4 bhk luxury apartment in one of the best areas of Gurgaon for Rs 1.8 cr. What would have I got in Mumbai for Rs 1.8 cr? Probably a 900 sq ft 2 bhk in Dosti Acres. Or a 1 bhk in Bandra.

    For people who want to live in Mumbai in their own house, they might have no alternative but to buy at whatever price. But if you are fine with living on rent, buy a house in some other part of the country (Gurgaon, Pune, Bangalore etc.) and live on rent in Mumbai. You will end up living in a better location in Mumbai, and your real estate investment will appreciate faster than if you were to buy in Mumbai.

    Unless something is done fast, Mumbai as a city would decline. There have been hardly any infrastructure improvements (though there's always a lot of talk) and prices are sky high. Any one who travels to Delhi/ Bangalore/ Hyderabad can see the infra improvements happening in these cities. If this continues, businesses will slowly start moving their offices to other parts of the country and Mumbai will decline.
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  • Thanks..

    Originally Posted by Amitau
    Buying a home in Mumbai makes no sense at these prices. One month back, I know someone who bought a 550 sq ft 1 bhk (without parking) in Dosti Acres in Wadala East for Rs 1.15 cr Rs 20,000 psf. Dosti Acres is a great apartment complex from inside, BUT surrounded by huge slums on all four sides. It takes 20 minutes to cross the first 2 kms on ANY side.

    In the same price you can get a 1500 sq ft 3 BHK apartment in some of the best locations in Gurgaon. I was looking for an apartment in Mumbai (since I work here) but finally decided not to buy an apartment in Mumbai and bought a 2100 sq ft 4 bhk luxury apartment in one of the best areas of Gurgaon for Rs 1.8 cr. What would have I got in Mumbai for Rs 1.8 cr? Probably a 900 sq ft 2 bhk in Dosti Acres. Or a 1 bhk in Bandra.

    For people who want to live in Mumbai in their own house, they might have no alternative but to buy at whatever price. But if you are fine with living on rent, buy a house in some other part of the country (Gurgaon, Pune, Bangalore etc.) and live on rent in Mumbai. You will end up living in a better location in Mumbai, and your real estate investment will appreciate faster than if you were to buy in Mumbai.

    Unless something is done fast, Mumbai as a city would decline. There have been hardly any infrastructure improvements (though there's always a lot of talk) and prices are sky high. Any one who travels to Delhi/ Bangalore/ Hyderabad can see the infra improvements happening in these cities. If this continues, businesses will slowly start moving their offices to other parts of the country and Mumbai will decline.


    thanks Amitau for the decision to NOT buy property in Mumbai but chose Gurgaon as ur base-location. Now, we have one person less in the purchasing list of home owners - hope to see many more to join your list soon.

    BTW - Mumbai is Maya Nagari - dreams come true and one can make tonnes of monies also (if lucky favors ur hard work) - well, if u make monies here than as per the rules of nature nothing can be moved out of the city limits.

    Ground reality is that Mumbai has limited land mass and demand is high hence the exhorbitant property prices. Very few are fortunate to chose some place outside Mumbai as base-location - ask a typical Delhiite to move out GK-1 or GK2 types enclaves- will they move out? Naa!!

    Mumbai ek sone ka pinjra hai aur shayad tum bhi yahaa fas gaye ho...:):):)
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  • Originally Posted by Amitau
    Buying a home in Mumbai makes no sense at these prices. One month back, I know someone who bought a 550 sq ft 1 bhk (without parking) in Dosti Acres in Wadala East for Rs 1.15 cr Rs 20,000 psf. Dosti Acres is a great apartment complex from inside, BUT surrounded by huge slums on all four sides. It takes 20 minutes to cross the first 2 kms on ANY side.

    In the same price you can get a 1500 sq ft 3 BHK apartment in some of the best locations in Gurgaon. I was looking for an apartment in Mumbai (since I work here) but finally decided not to buy an apartment in Mumbai and bought a 2100 sq ft 4 bhk luxury apartment in one of the best areas of Gurgaon for Rs 1.8 cr. What would have I got in Mumbai for Rs 1.8 cr? Probably a 900 sq ft 2 bhk in Dosti Acres. Or a 1 bhk in Bandra.

    For people who want to live in Mumbai in their own house, they might have no alternative but to buy at whatever price. But if you are fine with living on rent, buy a house in some other part of the country (Gurgaon, Pune, Bangalore etc.) and live on rent in Mumbai. You will end up living in a better location in Mumbai, and your real estate investment will appreciate faster than if you were to buy in Mumbai.

    Unless something is done fast, Mumbai as a city would decline. There have been hardly any infrastructure improvements (though there's always a lot of talk) and prices are sky high. Any one who travels to Delhi/ Bangalore/ Hyderabad can see the infra improvements happening in these cities. If this continues, businesses will slowly start moving their offices to other parts of the country and Mumbai will decline.


    best location of gurgaon ?
    best locations of gurgaon r as expensive (if not more) than mumbai.
    2100 sq ft in one of good soceties will cost u not less than 3 crores +

    the one which u hav booked for 1.8 cr must b under construction and in a compartitively new sector of gurgaon
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  • BTW - Gurgaon is not a metro hence one can't compare Gurgaon with Mumbai.

    Just becos couple of yrs ago Gurgaon got noticed due to proximity to ND - ppl started investing in gurgaon.

    Gurgaon is approx abt 31km from Karol Bagh western Delhi which if mapped to Mumbai maybe Vasai/Virar or Thane GB Road. Once can surely get 3BHK for less than 1.5cr in any of these locations with gud social and civic infra.

    It is incorrect to compare Gurgaon RE prices with Mumbai city / Suburb land prices.
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