Saturday, 1 June 2013
New Property Project Launches in NCR offer Discounts
New discounted property and price cuts in residential projects offered by different real estate companies in India who have actually led to pick-up of sales volumes throughout cities. New real estate project launches at appealing costs to the customers, price cuts and schemes available to draw in purchasers and launches by distinguished designer brand names led to pick-up the sales of various projects in January to March duration.
Last couple of months we noticed that the property demand in Gurgaon is slow down just because of new project launches is very slow as builders are focus on the project execution as well as project clearance. Increasing the property cost is influencing the demand of gurgaon properties.
We think this cost recognition is unsustainable and rates will have to stay and fix subdued over the coming 2-3 years. Many of new residential project launches throughout January to March 2013 have been at the much lower cost compare to normal market costs.
Bangalore experienced biggest residential sales in a 2008 quarter, primarily led by spurt of new project launches in run-up to the local new financial year in April and discounted price, as property rates here have actually increased by CAGR of 8% in last 10 years.
Increase in number of property investors in Bangalore and end users becoming more comfortable with high salary and job safety in recent year have actually resulted in the boost in property sales in Bangalore.
In respect of budged friendly property in Tier-1 cities, Noida is a no. 1 choice for everyone. Despite the budged friendly city, Noida's property rates has actually continued to be subdued and unsold various property projects remains to increase considering that 2010.
We preserve an unfavorable outlook on Noida and Greater Noida as we think builders will more struggle in regards to timely possession than project sales. We restate that timely possession will be the differentiating considers this area in near future. If builder concentrate on the timely deliver their project in coming years then thousand of inventory will come in the market and slow down the property price in Noida. That’s the big reason Noida property developers are focusing on the market their newly launched project rather than timely possession of old projects. They offer various discounts and gifts to the customers in their newly launched projects and want to sell various unsold inventory.
Some of the real estate projects are remaining unsold across India even the discount offered by builders. For these types of unsold inventory builders offer 50:50 scheme and want sell off as soon as possible.