Kolkata’s new launches recorded a massive drop of 85% during the period with merely 1,000 units being launched in Q1 2019.
Category: Real Estate News
Anuj Puri, Chairman – ANAROCK Property Consultants
As widely anticipated, RBI has once again reduced its key lending rate by 25 basis point. The lending rate now stands at 5.75, and this is the third consecutive rate cut since February 2019.
Even though the Indian economy is perceived to be in the grips of a slowdown, the markets are quite bullish on Modi’s return to power with a thumping majority.
This may eventually lead to mitigated risks in fiscal deficit – in all likelihood, it is sensing this that the RBI has made this rate cut.
As for the housing sector, this rate cut may send only send out positive notional signals – its real gain can be realised only if banks pass on the benefits to actual homebuyer borrowers.
The apex bank will need to ensure that this actually happens at the ground level since there has been little evidence of such transmissions in the recent past.
In the current scenario bereft with rising NPAs and the ongoing NBFC crisis, things look quite bleak at the moment.
The reason why most banks are not really able to pass on the benefits of RBI’s rate cuts is that their deposit rates are still very high.
India's leading real estate services firm, ANAROCK Property Consultants, announced the launch of its office and operations in Lucknow.
ANAROCK’s most recent data reveals that residential inventory in the top 7 cities overhang plunged to 30 months' worth in Q1 2019.
Can the real estate industry’s strongest champion to date finish what he started?
Anuj Puri, Chairman – ANAROCK Property Consultants
Billions of Indians have given their verdict and the real estate sector has every reason to cheer. After all, the sector got the maximum policy-related attention during this government’s first tenure.
In retrospect, Modi’s victory in 2014 ushered in a new era of Indian real estate, unambiguously marked by his vision to set the ‘house’ in order.
He tightened the Centre’s grip on real estate – the favourite ‘laundromat’ for black money hoarders – and brought speculative activity to an all-time low even as big-bang schemes benefited genuine homebuyers and long-term investors.
His government gave a decisive impetus to all-around infrastructure development, major policy overhauls such as DeMo, RERA and GST, amended old Acts like Insolvency & Bankruptcy Code and the Benami Transactions (Prohibition) Act, and envisioned schemes like 100 Smart Cities, Housing for All by 2022, Make in India, AMRUT Cities etc.
Historically, no other government has done as much for the real estate sector. In just one tenure, Modi set the stage for Indian real estate to flourish in the long-term.
Attractive Prices Lure 61% Hyderabad Homebuyers, 50% in NCR Respond to RERA Implementation – ANAROCK
Attractive Prices Lure 61% Hyderabad Homebuyers, 50% in NCR Respond to RERA Implementation – ANAROCK
- Current avg. property prices in Hyderabad hover around INR 4,170 per sq. ft. – the lowest among all top 7 cities
- In the last 5 yrs. the city’s average prices have risen by 15% – 3rd only to Pune & Bangalore that saw 25% and 16% appreciation respectively
- Hyderabad micro markets with max. absorption in last one year was Pocharam, Bachupally, & Kondapur
- 50% of buyers in NCR bought property due to effective RERA implementation while 58% of buyers in Kolkata were driven by lower home loan rates
E-commerce biggies may be toning down their offers, but discounts and freebies are still alive and kicking in real estate – and developers are going all out to lure buyers with attractive deals and discounts. Is it working?
As per the recent ANAROCK Consumer Sentiment Survey, as many as 50% buyers across the country bought homes due to attractive prices.
Anuj Puri, Chairman – ANAROCK Property Consultants
Co-living, like car-pooling and co-working, is the result of demand for more evolved rental housing solutions coming from millennials, students and young working professionals whose choices differ vastly from those of previous generations.
Currently, this new accommodation option is most popular with young and unmarried millennials aged anywhere between 20-30 years. Professionals who don’t live with their families in the city of work are also considering this option.
Co-living provides such individuals with a way to circumvent the isolation and loneliness that is often integral to a hectic, driven urban experience.
While the primary demand for co-living spaces currently comes from such tenants, the concept itself is a lot more ‘accommodating’. In fact, the future may very possibly see demand for co-living solutions coming single seniors, as well.
Cities such as Pune, Bengaluru, Gurgaon, and Mumbai first saw this new concept emerge in force, and it is now also taking root in smaller cities such as Lucknow and Jaipur – basically, in cities with a large student and millennial workforce population.
So, How Is Co-Living Different?
Anuj Puri, Chairman – ANAROCK Property Consultants
- Maharashtra still leads with 20,718 projects & about 19,699 RERA-registered real estate agents
- Gujarat comes second – 5,317 RERA-registered projects & 899 registered agents and agencies
- Karnataka – 2530 projects & about 1342 RERA-registered real estate agents; Andhra Pradesh – 307 RERA-registered projects
- West Bengal the only state with its own real estate law WBHIRA
It’s been two years since the deployment of the Real Estate Regulatory Authority (RERA) across the country and the Centre’s aim to enforce it in each state is gathering visible momentum.
Even the north-eastern states including Manipur, Meghalaya, Mizoram, Nagaland, and Sikkim – which earlier shied away from it – have agreed to officially notify RERA rules soon.
West Bengal is the only state which notified its own real estate law under West Bengal Housing Industry Regulatory Authority (WBHIRA).
It may be recalled that RERA intended to cover developers as well as real estate agents seamlessly across the country.
As it stands now,
PRESS RELEASE
18% Homebuyers Prefer New Launch Homes Against Previous 5%: ANAROCK Consumer Sentiment Survey
- RERA implementation & lower GST revive consumer faith in new launches; 36% of buyers still prefer ready-to-move-in units
- Lower prices influenced >50% homebuyers to purchase homes in 2018; nearly 52% would buy again with the same developer
- End-user-driven Bangalore saw 44% of respondents buy homes for investment
- 70% of prospective buyers prefer properties under INR 80 lakh
- Tier 2 & 3 cities new investment hotspots; Bangalore favourite investment destination for NRIs
Mumbai, 24 April 2019: While ready-to-move-in homes remained the preferred choice for several homebuyers, new launches (which drew the least consumer interest in the previous survey) saw a decent revival according to ANAROCK’s Consumer Sentiment Survey H1 2019.
Over 18% of respondents now prefer new launch properties as against mere 5% in the previous survey.
Interestingly, 44% NRIs would now consider new launch properties over under-construction (to be completed in 1 year) or ready-to-move-in homes (obviously a welcome development for developers facing funding issues due to previously negligible advance sales).
- Approx. 8,574 keys to hit the market in 2019; nearly 19% increase over the last 2 years
- Revenue per available room (RevPAR) sees 17% growth between 2016 and 2018
- Average daily rates saw a 6.25% rise in 2018, faster than 4.5% long-term inflation rate
- Goa saw the largest signing of keys in 2018 at nearly 2,209 keys, eclipsing Bengaluru by just 192 keys
- Hotel transaction volume hit an all-time low in 2018 at INR 5,354 mn since 2007; 2019 likely to witness the sale of high-value hotel assets valued USD 800 mn across key markets
Mumbai, 10 April 2019: With demand finally outpacing supply, the Indian hospitality industry is on an upswing. The ‘India Hospitality Industry Review 2018’ report by HVS ANAROCK predicts RevPAR to grow by 9.5% in 2019.
Interestingly, Q1 2019 itself saw unexpected growth in the India hotel industry. The successful transaction of the Leela Hotels & Keys portfolio in Q1 2019 set a healthy tone for the start to the year, and trends indicating that 2019 could see transaction volumes reach around USD 800 mn.