Delhi-NCR Realty market looking towards a revival, says Dhoot Group
The real estate market in Delhi-NCR has started picking up. The growth may occur at a slow pace but its growth nonetheless. Analysts at Dhoot Group say term this is an assurance of the impending revival of the realty market in Delhi-NCR. However, at present, the situations are better than what it was a few years ago. The last few years have seen property market enduring a great fall but the scenario is indicating towards a hopeful resurrection.
Various regions in Delhi like Chattarpur and Kundli are leading this bandwagon of improving property rates. Both the places have seen a surge of 9% in the property rates. This is closely followed by Kalkaji where the rates increased by 8%. Dhoot Group says that Kalkaji largely benefits from the presence of MIG flats which are in demand as there is rapid urbanization in Delhi-NCR.
There is still a dark side of the moon to this story. The already existing slump in the real estate market is still a little deep and has also led to a 30 to 35 per cent decline in new launches in just over six months. According to a report by 99acres.com , over 1.7 lakh units in Delhi-NCR remain unsold. Noida has witnessed the maximum pile-up of about one lakh flats, while Gurgaon witnessed 26,000 units remaining in the developers’ inventory.
Elaborating on the report, Narasimha Jayakumar, Chief Business Officer ( 99acres.com ) said: “The residential real estate segment of the NCR continued to be in a state of inertia from July to September 2015. The slew of infrastructure developments and government reforms failed to bolster spirits, thus, leading to an increased probability of price slump in the forthcoming quarters.”
Rupee devaluation and numerous freebies by developers attracted investment from Non-Resident Indians (NRIs), especially in the luxury and ultra-luxury segments.”
On the other hand, the rental market in the Capital showed a positive trend. The plan of constructing new roads and to strengthen existing infrastructure in the region seems to have buoyed rental sentiments in West Delhi, especially in areas like Vikas Puri and Patel Nagar.