Property rates in Mumbai expected to correct by 20%

Q: It is expected that huge listing and rising demand from home buyers may result in falls in property prices by nearly 20% in the Mumbai metropolitan region over the next few months.

Kaushik Bardia,

26th November 2014

Real estate News in Mumbai

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Replies (8)

Mumbai property prices are irrationally kept high by the builders with support of politician and bank bureaucrats. Their contract should be broken. The builders should be forced to clear of their inventories by reducing rate by 25% and pay off their bank loan. This will have a advantageously effect in the economy.

Praveen Modi, Mumbai

17th February 2015

Comment

It's true Praveen,
But a given state of affairs over years. A broader view is to increase growth, create employment, bring down interest rates, remove corruption and uplift the whole country. Why only mention about a few paid employees? What about the Bollywood film stars who are making crores? And the Businessmen who have also earned in crores.

Abhishke Karule, Mumbai

17th February 2015

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Those who bought a house in Mumbai.. When the knife of loan will hangs around their neck . They can not sleep peacefully with the interest that they pay the builders family, the bankers family, the corporators family will enjoy a foreign vacation.

Praveen Modi, Mumbai

17th February 2015

Comment

You are right Puneet,
Property prices had increased by nearly 20-30 % in the last five years. In FY14, nearly 1.29 lakh units were launched, while the inventory was around 246700 units.

Locations like Chembur, Ghatkopar, Navi Mumbai and Andheri will be the future growth centres, mainly because of the infrastructure projects coming up in these localities.

Kunal,

26th November 2014

Comment

Well Kunal,
At the same time it is also expected that the increasing suburbanisation of the Mumbai region and population growth indicates a housing need of 1.20-1.25 lakh units annually over next 3 years.

They expect prices to not go up due to balanced demand-supply, while growth passage are expected to witness rise in demand from end-user,

Puneet Laskar,

26th November 2014

Comment

Yes Puneet,
It is expected that the fast economic growth would result in rising incomes, higher addition of jobs, and need for housing. The expectations of degradation in interest rates, standardisation in approvals and various policy initiatives will provide boost to the real estate sector.

Kunal,

26th November 2014

Comment

Hi Kunal,
The demand for residential property has been moved largely by sectors like finance, media, telecom, entertainment, IT/ITeS, gems and jewellery and trading industry and will continue to do so in the future as well.

Puneet Laskar,

26th November 2014

Comment

The demand for residential property in the MMR is expected to increase to nearly 1.20-1.25 lakh units yearly over the next three years, while the property prices are likely to correct to up to 20% in the next few months, mainly because of the huge inventory.

Kunal,

26th November 2014

Comment