By Accommodation Times Bureau
Housing sales rose by 12 percent in seven major cities to 49,200 units during January-March period over the previous quarter on better demand from end-customers post-enactment of new realty law RERA. Sales stood at 43,800 units in the October-December quarter of 2017 across seven cities — Delhi-NCR, Mumbai Metropolitan Region (MMR), Kolkata, Chennai, Bengaluru, Hyderabad and Pune, the consultant said in its housing report for the first quarter of 2018.
New supply increased by 27 percent to around 33,300 units in Q1 2018 from 26,300 units in Q4 2017. As a result, unsold inventory decreased by mere 2 percent from 7.27 lakh units in Q4 2017 to 7.11 lakh units by Q1 2018.
The series of policy reforms and structural changes have transformed the way Indian real estate business is conducted. This has been a definite blessing. The sector is by no means out of the woods yet, but we are now seeing some green shoots of recovery.
The Real Estate (Regulation and Development) Act, which aims to bring transparency and eliminate fly-by-night developers from the sector, came into effect from May last year.
Housing sales in Delhi-NCR increased by 11 percent from 8,200 units in Q4 2017 to 9,100 units in Q1 2018. Sales in Hyderabad were up 3 percent at 3,800 units.
Residential property prices remained largely range-bound in Q1 2018 when compared to the previous quarter. The primary reason was the significant unsold stock to the backdrop of limited improvement in demand, a consultant said.