24% decline in unsold homes priced above Rs 2.5 crore in MMR: Report

In Q1 of 2023, 2,460 units above Rs 2.5 crore were added in the inventory of MMR compared to 1,400 in Q1 of 2022 and 1,160 in Q1 of 2019, according to the data.

The Mumbai Metropolitan Region (MMR) reported a 24 percent yearly decline in unsold stock of homes priced  above Rs 2.5 crore at the end of the March 2023 quarter, according to data from real estate consultant Anarock Realty.

At the end of March 2022, the unsold stock in this category stood at approximately 20,480 units; this dropped to approximately 15,520 units by the end of March 2023. In end-March 2019, the unsold stock was approximately 23,130 units.

Overall, unsold housing stock across all price categories saw a yearly rise of 13 percent in MMR, from approximately 1,77,560 units in end-March 2022, to approximately 2,00,540 units by end-March, 2023. The luxury segment was the only one to see a decline in this period.

The unsold stock of mid-segment homes (priced Rs 40-80 lakh) saw the highest rise of 33 percent in the year, from approximately 40,245 units in end-March 2022 to approximately 53,550 units in March 2023, the report further said.

MMR's inventory of homes priced between Rs 80 Lakh to 1.5 crore rose by 23 percent in the period, from approximately 43,140 units to about 53,080 units, while the inventory of homes priced between Rs 1.5 to Rs 2.5 crore saw a 7 percent jump. The stock of affordable homes (priced within Rs 40 lakh) jumped 6 percent, from around 50,860 units in March-end 2022 to approximately 53,970 units in March-end 2023.

The report added that luxury housing sales continued to top the charts post pandemic, particularly in MMR, where prices in this segment had dropped during the first wave of Covid.

“Luxury homes are driving housing sales across most cities since the first Covid wave. The quest for more space — one of the defining characteristics of luxury homes — fuels most of this demand, which has helped developers clear a significant chunk of their unsold luxury stock," said Anuj Puri, Chairman, Anarock Group.

He added, "Data also reveals a 1 percent decline in the unsold stock of luxury homes priced above Rs 2.5 crore across all top seven cities. In fact, the current luxury stock of approximately 15,520 units is the lowest the city (MMR) has held in this category in a long time.”

Further, according to the Anarock data, in Q1 of 2023, 2,460 units above Rs 2.5 crore were added in the inventory of MMR compared to 1,400 in Q1 of 2022 and 1,160 in Q1 of 2019. In terms of total stock that was added across all pricing segments, in Q1 of 2023, 37,260 units were added in MMR followed by 23,640 in Q1 of 2022 and 26,850 in Q1 of 2019.