Realty sector eyes New Year to end multi-year slowdown

Q: With a multi-year slowdown continuing in 2015 in spite of huge supply and fall in prices, the real estate market is hopelessly looking for a recovery in the New Year.

Arup rajan, Mumbai

31st December 2015

Real estate News in Mumbai

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slow down in realty sector

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property developers in mumbai

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Replies (4)

The real estate sector in India certainly wasn’t at its best during the year 2015. Developers are looking at the New Year as an opportunity to improve real-estate sales. There are a number of upcoming realty projects coming up in various parts of the country. When I try to think of some popular new projects, the first ones that come to mind are the Vivante and Solaris tower. These projects in Mumbai and Gurgaon respectively have been in the real estate grapevine recently, with the growing interests in these new projects.

Sam V,

2nd February 2016

Comment

Hi Sam,
These are only imagination that new year will bring hope for realty sector or festival will bring some hope for builders. But the realty is that if you there is no transparency, there will be no buyers an investors. Now, people have understand the trick of the builders and they don't want that there money stuck.

Devika, Mumbai

18th February 2016

Right Devika,
Now, they are waiting for the budget, 2016. Builders are thinking that this budget will bring cheers on their face but it is only possible, if interest rate will be down, single window clearance and on time delivery of the property.

Giri, Noida

18th February 2016

Hi folks!!!
The year 2015 did not bring the hoped-for growth in housing segment but the silver lining is that the bad days seem to have bottomed out, But 2016 may bring an end to the long and painful journey this sector has had.

Giri, Noida

31st December 2015

Comment

Hi,
New launches homes reduced huge this year, still over 6 lakh housing units remain unsold in 8-big cities. Developers tried their best to boost sales by offering apartments, on both offline and online platforms, at discount laced with freebies and easier payment plans, but potential buyers chose to wait for further correction in housing prices.

Ramdas Palsule, Pune

31st December 2015

Comment

Right Ramdas,
That is why the housing sales, which stood at 1.75 lakh units during last year in the primary markets of 7-major cities, are likely to be around same level in 2015. That sales were marginally down to 1.16 lakh units in the first 9-months of this year.

Karan Manjrekar, Bhiwadi

31st December 2015

@Karan,
Overall, sales remained same as in 2014. However, realtors are confident of turnaround in 2016, banking on the RBI's move to reduce key interest rate by 125 basis points and the government's steps like easing of FDI rules and launch of Housing for All and Smart Cities schemes that could provide new growth opportunity for the sector.

Ramdas Palsule, Pune

31st December 2015

Yes, with banks passing on the interest rate cuts in the form of reduction in home loan rates, we are already seeing signs of buyers coming back to the sector. As the impact of these measures unfolds, we expect buyers to make a comeback to the property market in 2016.

Kishore Pathak, Mumbai

31st December 2015

But if we look in the existing year, the housing sales have remained flat despite 15-20% fall in prices and multiple interest rate cuts, while a overload continued in the market because of investors still sitting on old inventories.

Brinda.S, Delhi

31st December 2015

Comment

YEs, the proposed law which was recently cleared by the Cabinet and would now go to Parliament for approval, can boost customers confidence, which has dented a lot because of delays of up to 5 years in delivery of projects forcing buyers to protest on streets and even go to courts.

Karan Manjrekar, Bhiwadi

31st December 2015