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Barring a 9 per cent growth in sales, Indian residential real estate market has been stagnant on all other parameters in the September quarter.
Property prices and unsold stock remained almost unchanged while new launches were down 16 percent over the June quarter, according to data released by Liases Foras on Friday.
Sales growth
Tier-I cities recorded sale of 70,435 units during the second quarter, a growth of one per cent over the last quarter where the sales was 69,897 units.
“Though the market has turned sluggish due to NBFC crisis at present, sales in second quarter of FY 19 was better than the year-ago period,” it said in a report.
Mumbai Metropolitan Region (MMR) contributed almost one-fourth of the quarterly sales in tier-I cities. On a quarter-on-quarter basis, the maximum growth in sales was witnessed in Hyderabad at 17 per cent followed by Chennai and Ahmedabad at 12 percent and 5 per cent respectively.
On a yearly basis, the maximum growth in sales was witnessed in Bengaluru at 26 per cent followed by Hyderabad and Chennai at 24 per cent and 21 per cent respectively. NCR recorded a quarterly drop of 12 per cent in sales in Q2 FY19.
Unsold stock
Close to 55 per cent of the sales this quarter were contributed by sub-₹50 lakh segment, in which the ₹25-50 lakh bracket is beginning to gain traction, growing at 16 per cent year-on-year. Quarterly drop at 18 percent was witnessed in sales of units priced below ₹25 lakh. Unsold stock increased by a per cent on a year-on-year basis and is now around 9.5 lakh units in the top seven cities. Hyderabad and Chennai recorded maximum increase in unsold stock at 5 per cent.
It will take 40 months to clear the unsold inventory.
The weighted average prices across all tier-I cites remained stagnant on an annual basis at ₹6,770 per sq ft. It was ₹6,788 per sq ft in the year-ago quarter. New launches were down by 16 per cent on a quarterly basis. Over 84 per cent of the new launches in the September quarter were in the sub-₹1 crore segment, the report added.
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