Pune: The residential real estate sector has witnessed a boom in the second half of 2021. Developers have worked together to bridge the supply gap in the residential real estate market in Pune. According to the Gera Pune Residential Realty Report 2021, the year-end has indicated an unprecedented number of new units. Around 61,151 new homes have been added to the market in the last six months, an increase of 48.6 per cent in 2021 as compared to the six months ending 2020.
Gera Developments – the founder of the real estate business and award winning builder of premium residential and commercial projects in Pune, Goa and Bengaluru released the December 2021 edition of its bi-annual report ‘The Gera Pune Residential Realty’. These are the results of a long-running, census-based study of Pune’s Residential Realty Markets. Covers all existing projects within a 30 km radius of the city centre.
Increase in prices due to increase in material prices
Rohit Gera, Managing Director, Gera Developments explained that the higher size not only reflects the increasing demand for larger homes, but also increases affordability. The carrying capacity is continuously increasing and is now 3.56 times of the annual salary. However, going forward we see that excess supply in some segments creates challenges which will eventually correct the market forces as we have seen in the past. With heavy price pressure on commodity prices and challenges for developers, the risk of oversupply on selling prices will continue.