Unsold inventory of real estate properties in the National Capital Region (NCR) declined by 12 percent in the first quarter of 2022 from the pre-pandemic comparable period of 2020, while the main southern cities like Bengaluru, Hyderabad, and Chennai saw their collective unsold stock rise 32 percent. MMR and Pune in the West saw their cumulative unsold stock reduce by 10 percent, an analysis by Anarock showed.
This is the first time that in a quarter, NCR’s total unsold stock clocked in lower than in South India's collective unsold stock. In the West's MMR and Pune, the unsold stock declined from approximately 3.07 lakh units in Q1 of 2020 to 2.75 lakh units in Q1 of 2022.
NCR also outstripped both the southern and western markets in supply additions with a massive 204 percent rise in launches in the Q1 of 2022 compared to Q1 of 2020 – from 6,190 units to 18,840 units.
Of the total unsold inventory in NCR, Gurugram has the maximum stock with approximately 63,870 units – an increase of 6 percent over pre-pandemic period Q1 2020. The rise is largely because of newly added supply, it said.
Greater Noida comes next with approximately 31,240 unsold units by the end of the first quarter of 2022. Unlike Gurgaon, Greater Noida reduced its unsold stock by 24 percent since Q1 of 2020. Ghaziabad saw its unsold stock decline to 18,900 units in Q1 2022 from 27,140 units in Q1 2020 – a massive 30 percent yearly reduction. Noida has approximately 13,800 unsold units as against 18,150 units - a decline of 24 percent.
Delhi, Faridabad and Bhiwadi together have over 24,700 unsold units as on Q1 of 2022 from 24,790 units by Q1 of 2020 – a minimal change, the analysis showed.
"NCR’s unsold stock declined from approximately 1.73 lakh units in Q1 2020 to 1.53 lakh units by Q1 of 2022. In the same period, the main southern cities saw their unsold stock increase from 1.21 lakh units in Q1 of 2020 to over 1.60 lakh units in Q1 of 2022. However, it bears highlighting that this rise in unsold inventory was primarily because of a massive new launch rate in Hyderabad,” said Santhosh Kumar, Vice-Chairman of ANAROCK Group.
“We attribute NCR's significantly upbeat performance to returning consumer confidence, prompted by the fact that several leading and listed players have amplified their supply pipeline in the region," he said. "With a 204 percent increase of new homes between Q1 of 2020 and Q1 of 2022, NCR has resoundingly broken its previous trend of restricted new supply. Remarkably, despite this massive new supply, the region's unsold stock saw the steepest reduction among all other regions.”
Collectively, the southern cities saw approximately 37,810 launches in Q1 of 2022 - a 142 percent increase against the 15,650 units in Q1 of 2020, while the western cities saw a 109 percent jump - from 18,270 units to 38,130 units.
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