India’s IT capital Bengaluru witnessed a downfall of 55% in home sales in Q2 2021 at 5,487, says a report from PropEquity, India’s leading real estate data, research and analytics firm.
Bengaluru’s new launches decreased by 65% at 3,203 units, adds the report.
While Chennai saw a 59% downfall in home sales in Q2 2021 and new launches down by 66% to 1,440 units, Hyderabad witnessed a decrease of 49% in home sales in Q2 2021 at 1,603 units with new launches down by 65% to 5,016 units.
Real estate sales or absorption fell by a massive 58% as India witnessed the major brunt of the COVID second wave in April and May.
Stringent lockdown across major cities in India impacted housing sales as home registrations were also suspended including slow pace of home loan disbursals.
Bengaluru, Chennai, Hyderabad, Kolkata, MMR, NCR and Pune are the cities where home sales witnessed a fall in Q2 2021 versus Q1 2021 at 55%, 59%, 49%, 57%, 63%, 43% and 62%, respectively.
Also, the new supply or new launches of housing units decreased by 54% in the same period to 34,053 units from Q1 2021 at 74,196 units. Bengaluru, Chennai, Hyderabad, Kolkata, MMR, NCR and Pune are the cities where 65%, 66%, 65%, 30%, 52%, 55% and 38%, respectively.
However, sales or absorption of housing units were up by 51% across top 7 cities in India in the second quarter of 2021 to 45,208 units versus 29,942 units in Q2 2020.
“These are unprecedented times for the world economy and India is one of the hardest hit countries due to COVID-19 epidemic,” PropEquity Founder and Managing Director Samir Jasuja said.
“Real estate sector which was slowly recovering by March was hit with the second wave. Going ahead, we may witness resizing of units, marketing led discounts, amenities and special payment schemes to be offered by developers to boost demand, especially during the beginning of the festive season,” he added.
