Housing sales across nine major Indian cities fell 6% in the July-September quarter, with Pune, Chennai and Kolkata recording some of the sharpest declines. However, Hyderabad, Navi Mumbai and Bengaluru saw sales rise during the quarter.
According to PropEquity data, around 1.03 lakh housing units were sold across the nine cities during the quarter, compared with 1,09,420 units in the same period last year. Weak demand and fewer new project launches kept the market subdued.
HOUSING SALES AND NEW SUPPLY BOTH FALL
PropEquity data showed that 1,03,170 housing units were sold across Mumbai, Navi Mumbai, Thane, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune and Kolkata during July-September.
This was around 6,000 units fewer than the 1,09,420 units sold a year earlier.
New supply also declined during the quarter. Developers launched 98,165 units, compared with 1,00,330 units in the same period last year, a fall of around 2%.
The data covers the primary residential market across the nine cities.
HYDERABAD, NAVI MUMBAI AND BENGALURU BUCK THE TREND
While sales fell across most of the cities, Hyderabad, Navi Mumbai and Bengaluru recorded an increase.
Hyderabad saw sales rise 11% to 15,470 units from 13,890 units a year earlier.
Navi Mumbai recorded a 12% increase, with 9,810 units sold during the quarter compared with 8,730 units in the same period last year.
In Bengaluru, sales rose 1% to 17,340 units from 17,170 units a year earlier.
PUNE, CHENNAI AND KOLKATA SEE SHARP FALL
Chennai and Kolkata recorded the steepest fall in housing sales, with both cities seeing a 17% decline.
In Chennai, sales fell to 4,680 units from 5,640 units a year earlier. Kolkata recorded 3,860 units in sales, down from 4,640 units.
Pune saw sales decline 16% to 17,860 units from 21,190 units last year. Despite the fall, it recorded the highest number of housing sales among the nine cities during the quarter.
Delhi-NCR also saw a 12% decline, with sales falling to 8,090 units from 9,230 units.
In Thane, sales fell 11% to 16,230 units from 18,240 units, while Mumbai recorded an 8% decline to 9,830 units from 10,690 units a year earlier.
WHY JULY-SEPTEMBER IS USUALLY A SLOW QUARTER
The July-September period is generally considered a slower quarter for the real estate sector. Monsoon rains often affect construction activity, while developers tend to hold back on launching new projects.
The December quarter usually sees stronger activity because of festive demand. Developers also tend to increase new supply and offer deals and incentives to attract buyers during this period.
Despite the decline in the latest quarter, housing sales and new supply in Tier-1 cities have remained around the 1 lakh-unit mark each quarter.
