Chennai realty sector sees 72 percent dip in 2017
Posted on: 24/Mar/2018 2:35:19 PM
According to recent reports by a property consultant, in the year 2017, Chennai’s residential real estate market has seen a massive hit last year. While new launches were 15,700 in 2016, the same was 72 percent lesser in 2017 and remained just 4,400.
In addition to Chennai market which has seen the lowest, markets in Pune, Bengaluru and Hyderabad have also seen dip by 67, 64 and 57 percent respectively, say reports. In 2017, the dip in realty sector in Mumbai and NCR are 45 and 33 percent, to note.
This dip in real estate market is attributed to disruptive reforms and unsold inventory and very strict RERA norms.
Amidst these, there is nearly 50 percent and 15 percent decline in 7 major Indian cities in terms of new launches and sales respectively. The report further quotes that the sector has got shattered last year.
The sector has turned more of a buyer-friendly one. The market is driven by the end users and investors are eventually disappearing. The developers are throttling with the new launches so as to look for scope for the staggering unsold inventory.
There is about 26 percent dip in sales in Chennai which is the highest among all other cities in 2016, about 17,800 units were sold whereas in 2017, it was only 13,200.
Furthermore, the report adds that the commotion in real estate sector and the other reforms would weed out corrupt players in the ecosystem.
