Housing sales: Chennai & other south metros on recovery track

Chennai: After two quarters of a lull, housing markets in the southern part of the country – Bengaluru, Chennai and Hyderabad, showed signs of revival, with new launches as well as sales numbers showing an improvement in the October-December period of 2020.

Mani Rangarajan, Group COO, Housing.com, Makaan.com and Proptiger.com, said, “The pace of recovery in the southern markets can well be gauged from the fact that the three cities of Bengaluru, Chennai and Hyderabad, have accounted for 43 per cent of the launches nationally, in the last quarter, while also accounting for 29 per cent of the sales nationally, during the same period. The affordable housing segment has been the leading segment in all three cities”.

In terms of sales as well as new supply, all three cities underwent an increase when compared to the July-September period in 2020.

In Bengaluru, the affordable housing segment (units priced up to Rs 45 lakh) contributed 27 and 25 per cent to launch and sales numbers, respectively. In Chennai, this segment contributed 38 and 37 per cent to launch and sales numbers, respectively. In Hyderabad, this segment contributed 35 and 17 per cent to launch and sales numbers, respectively.

At the center stage of the office activity, localities of Hyderabad west had the highest share in both, supply and demand. In Chennai, on the other hand, Mogappair and Perumbakkam in Chennai west and Sholinganallur on OMR emerged on top in terms of sales.

Even though Chennai has the lowest unsold stock as on 31 December, 2020, Hyderabad has the lowest inventory overhang nationally, at 29 months.

In Chennai, too, the unsold stock showed an increase of five per cent year-on-year while Bengaluru saw an 11 per cent decline in the unsold stock during the same period.

 

NT Bureau