property market
The demand for property is decreasing quarter on quarter (QOQ). The sales of houses have been continuously falling for the last four quarters i.e. one year. Let us tell you that in eight major cities of the country including Mumbai, Ahmedabad, Bengaluru, the sales of houses have declined by 26 percent on an annual basis in the October-December quarter of 2024. This information has been received from the report of Proptiger.com. The main reasons for the decline in sales have been said to be elections in Maharashtra and Haryana and skyrocketing property prices. In such a situation, is the boom period in the real estate market over? Are there signs of recession once again?
Experts in the property market say that it is too early to say that recession has started but the situation that is emerging is not good. The price of property in the market has gone beyond the budget of end users. The genuine home buyer is not able to buy the house even if he wants to. In such a situation, this market cannot be run for long on the basis of investors. If the situation continues like this then sooner or later a recession is sure to occur.
Demand for property decreased in these cities
According to the report, 33,617 homes were sold in the Mumbai region (MMR), a decline of 31 per cent year-on-year, compared to 48,553 homes in the same period last year. During this period, 18,240 houses were sold in Pune with a decline of 31 percent. Whereas in Bengaluru, 13,236 houses were sold with a decline of 23 percent, in Hyderabad, 13,179 houses were sold with a decline of 36 percent and in Chennai, 4,073 houses were sold with a decline of five percent.
Sales increased in Delhi-NCR
However, except Delhi-NCR, there has been a decline in house sales in all the other seven cities on an annual basis. Home sales in Delhi-NCR increased by 50 percent to 9,808 units in the December quarter compared to 6,528 units in the same period last year. The impact of the elections was also visible on new supplies. There has been a 33 percent decline in the launch of new projects in the fourth quarter of last year. The reason for this is the slowing down of the pace of approval of projects due to elections in the states. The number of new projects launched during the last quarter has declined in five out of eight cities.
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