In a significant fallout of elevated property costs and lending fee hikes, the highest 7 cities noticed housing gross sales reasonable by 15% – from near 99,550 models in Q1 2022 to approx. 84,930 models in Q2 2022, finds the newest ANAROCK Research information. MMR recorded the best gross sales of approx. 25,785 models in Q2 2022, adopted by NCR with approx. 15,340 models.
Developers restricted new provide to approx. 82,150 models in Q2 2022 in opposition to 89,150 models in Q1 2022 – an 8% decline within the interval. MMR and Pune have been the one markets to see new launches enhance by 26% and 14% QoQ, respectively. The remaining prime 5 cities noticed lowered new launches.
MMR noticed approx. 29,730 models added in Q2 2022, whereas Pune added approx. 16,560 models. NCR noticed a large 56% drop in new provide – from 9,300 models in Q1 2021 to approx. 4,070 models in Q2 2022.
Commenting on the identical, Anuj Puri, Chairman – ANAROCK Group, stated, “Inflationary pressures on input costs compelled developers to increase property prices in the past few months, and RBI unleashed two rate hikes that swelled up home loan interest rates. These two factors combined to hike the overall property acquisition cost for homebuyers, leading to a dip in housing sales. The fact that after two years, there was no new Covid-19 wave to disrupt family travel plans during the school vacation months (April to June) could also have impacted sales.”
“As for the declining new launches, developers would have held back fresh supply while they sought clarity on the unfolding market sentiments amid increased housing purchase cost. Given that we saw two back-to-back quarters of robust housing sales and new launches (Q4 2021 and Q1 2022), a dip was to be expected,” added Puri.
New Launches Overview
The prime 7 cities recorded 82,150 new models launched in Q2 2022 as in comparison with 89,150 models in Q1 2022, an 8% lower over the earlier quarter.
The key cities contributing to new unit launches in Q2 2022 have been MMR (Mumbai Metropolitan Region), Hyderabad, Pune, and Bengaluru, which collectively accounted for 91% of the brand new provide addition. Only MMR and Pune noticed elevated new launches.
- Approx. 29,730 models have been launched in MMR – a rise of approx. 26% from Q1 2022. Over 66% of the brand new provide was added within the INR 40 lakh to INR 2.5 Cr funds section.
- Pune added approx. 16,560 models in Q2 2022, a q-o-q enhance of 14% over the earlier quarter. Over 73% of the brand new provide was added within the sub-INR 80 lakh funds section.
- Hyderabad added approx. 15,780 new models in Q2 2022 in comparison with 21,550 models in Q1 2022 – a 27% lower. Over 92% of the brand new provide was added within the INR 40 lakh to INR 2.5 cr funds section.
- Bengaluru added approx. 12,510 models in Q2 2022, a marginal quarterly decline of 5%. Approx. 74% of the brand new provide was within the mid and higher mid-segment (INR 40 Lakh – INR 1.5 cr).
- NCR noticed a major lower of 56% in new launches throughout this versus the earlier quarter, with approx. 4,070 models launched in Q2 2022.
- Chennai added approx. 1,480 models in Q2 2022, a quarterly lower of 52% over the earlier quarter. Approx. 65 % of the brand new provide was added in sub-INR 1.5 cr funds section.
- Kolkata added approx. 2,020 models in Q2 2022, a large lower of 48% over Q1 2022. Approx. 65% of the brand new provide was added in INR 40 lakh – INR 1.5 cr. funds section.
Housing Sales Overview
Approx. 84,930 models have been offered in Q2 2022 – a 15% lower over Q1 2022. NCR, MMR, Bengaluru, Pune, and Hyderabad accounted for 90% of the gross sales within the quarter.
- MMR recorded the best gross sales in Q2 2022 among the many prime 7 cities. With approx. 25,785 models offered in Q2 2022, town witnessed a quarterly decline of 11%.
- NCR recorded the second-highest gross sales of approx. 15,340 models in Q2 2022, a lower of 19% over the earlier quarter.
- Pune noticed approx. 12,500 models offered in Q2 2022 – a decline of 11% over Q1 2022.
- Bengaluru noticed approx. 11,505 models offered in Q2 2022 – a quarterly lower of 14%.
- Hyderabad recorded approx. 11,190 models offered in Q2 2022, reducing by 15% over Q1 2022.
- Kolkata recorded the sale of approx. 4,800 models in Q2 2022, a lower of 20% over the earlier quarter.
- Chennai noticed approx. 3,810 models offered in Q2 2022 – a 24% lower over Q1 2022.
Available Inventory
Available stock remained roughly secure at 6.25 lakh models in Q2 2022 (in opposition to 6.28 lakh models in Q1 2022) as a result of low quarterly gross sales. Annually, nonetheless, collected stock declined by 4% throughout the highest 7 cities.
Price Movements
Residential property costs throughout the highest 7 cities noticed a quarterly enhance of 2-3% in Q2 2022. Annually, costs have risen by between 4 and seven%, primarily as a result of elevated enter prices and good demand post-Covid-19.
Source: www.financialexpress.com”