Half of New Launches are Affordable Housing Units below Rs 40 Lakh
Affordable Housing Units below Rs 40 Lakh: Realtors have started developing more affordable homes instead of focusing on the premium segment. This is evident given the fact that the inventory of affordable housing units below Rs 40 lakh across all top Indian cities is more than half of the overall new supply.
As per Anarock Property Consultants data, 52% of the newly-launched affordable units have an average ticket price of below Rs 40 lakh, followed by Rs 40-Rs 80 lakh category wherein another 32% of the housing inventory share has been launched in the recent past. The other apartments available in the price range of Rs 80 lakh to Rs 1.20 crore constitutes 9% of the homes and the balance available apartments are available for above Rs 1.20 crore.
This data has been collated from the cities of Bengaluru, National Capital Region (NCR), Chennai, Hyderabad, Kolkata, Mumbai Metropolitan Region (MMR) and Pune.
In this fiscal, Bengaluru, MMR, NCR and Pune are close together in terms of volumes, each accounting for around 16-19% share of units in the sub-Rs 40 lakh price bucket. “In MMR, the new launch supply in this segment is led by the Ambernath, Badlapur, Neral and Karjat micro-markets,” said chairman, Anarock Property Consultants.
According to him, skyrocketing property prices, land saturation and subdued demand for mid-range homes in the Tier-I cities have led buyers and investors to explore more cost-effective markets in non-metro (Tier-II & Tier-III) and suburban cities. Among the most important factors for these cities that are growing at a faster pace, is improving connectivity.
As per recent estimates, real estate investments in Tier-II and III cities have risen around 17% till August 2017 over the last year, which signals buyers’ and investors’ movement towards such cities. Jaipur, Chandigarh, Amritsar, Sohna, Lucknow, Nagpur, Surat, Vadodara and Visakhapatnam, are some of the key cities which are witnessing more real estate action of late.
As the core areas in almost all major cities are saturated along with steeply-priced properties combined with land scarcity, development of employment centres and business parks on the periphery of cities will be a catalyst for revival in housing demand.
The locations that may become focus areas for affordable housing segment are south Gurugram in NCR, Hinjewadi, surrounding areas in Pune, beyond Thane, Airoli-Ulwe-Nerul, areas in MMR, some of the areas in Bengaluru like Hennur Road, Sarjapur Road, Tumkur Road, Thanisandra Road, etc., in Chennai it is Sholinganallur and Siruseri, while Kokapet and Manikonda are for Hyderabad.
Source Link- http://www.dnaindia.com/business/report-half-of-new-launches-are-sub-rs-40-lakh-homes-for-affordable-housing-2561167