Severely impacted by the COVID-19 pandemic, the top-seven cities saw homes worth approximately Rs 88,730 crore sold in the first three quarters of 2020 as against around Rs 1,54,320 crore in the corresponding period of 2019. This is a 43 percent decline, with total value reduction amounting to approximately Rs 65,590 crore during the period, a report by Anarock has said.
Between January to September, as many as 87,460 units were sold across the top seven cities as against approx. 2.02 lakh units sold a year ago. However, the quarterly numbers indicate that the worst is over for the residential sector.
In the third quarter of 2020, home sales values increased by more than 2.3 times to approximately Rs 29,731 crore - up from Rs 12,694 crore in the preceding quarter. The first quarter of 2020 saw home sales worth approximately Rs 46,306 crore.
The upcoming festive quarter (Oct.-Dec.) will very probably see home sales values go up on the back of increased demand fed by financial schemes and offers, it said.
Meanwhile, city-wise, MMR was on top and clocked sales worth Rs 49,313 crore in the first three quarters of 2020. On a yearly basis, MMR saw total sales value reduce by 22 percent - from Rs 62,964 crore in 2019 to Rs 49,313 crore this year. But, interestingly, as against 2018-period – when MMR recorded sales worth Rs 47,242 crore – it became the only city to witness an increase (of 4 percent).
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Bengaluru sales values in the first nine of months of 2020 stood at Rs 12,569 crore as against Rs 28,159 crore in the 2019-period. The city saw sales of nearly 17,020 units between January to September 2020, the report said.
Housing sales value in NCR was approximately Rs 9,430 crore in the first nine of months of 2020 as against Rs 24,860 crore in 2019 – registering a 62 percent annual drop. Total housing units sold this year was less than Bengaluru at 15,450 units.
Pune saw housing sales worth Rs 8,692 crore in the first nine of months of 2020 as against Rs 17,524 crore back in 2019. The overall units sold in the three quarters this year is 14,200 units.
Hyderabad witnessed housing sales worth Rs 3,116 crore in this period as against Rs 9,391 crore back in 2019. The overall units sold in the three quarters here is approximately 4,980 units.
Chennai saw housing sales worth Rs 2,777 crore in the three quarters of 2020 as against Rs 5,575 crore in 2019. The city recorded home sales of nearly 4,280 units in 2020-till September, the report said.
As for the third quarter of 2020, sales did go up. Despite the ongoing pandemic, end-users are making the most of bottomed-out property prices and historic low home loan rates and financial schemes offered by developers.
Housing sales value in the top 7 cities in Q3 2020 collectively rose to Rs 29,731 crore as against Rs 12,694 crore in the preceding quarter – a significant q-o-q jump of 134 percent over Rs 46,306 crore of the pre-Covid-19 quarter.
Chennai housing sales values jumped up almost 3.3 times - from Rs 314 crore in the second quarter of 2020 to over Rs 1,039 crore in the third quarter of 2020.
NCR was next, recording a jump of 157 percent in its sales value – from Rs 1,263 crore in the second quarter of 2020 to over Rs 3,246 crore in the third quarter.
MMR saw homes worth Rs 16,500 crore sold in the third quarter of 2020 against Rs 6,748 crore in the preceding quarter - an increase of 145 percent.
Bengaluru saw homes worth Rs 3,989 crore sold in the third quarter of 2020 against Rs 2,205 crore in the preceding quarter - an increase of 81 percent, the report said.“As was to be expected, the second quarter was lacklustre given the lockdowns and overall pressures on the economy. What is remarkable is how the third quarter stacked up, clearly indicating that buyer sentiment was in place and merely held at bay by uncertainty. There is now every reason to look at the coming festive season with confidence - homebuyers are back on the market,” said Anuj Puri, Chairman – ANAROCK Property Consultants.