Housing Demand

The Union Housing and Urban Affairs (HUA) Ministry has received 26 proposals from 21 states to develop new cities to meet the demand for urban expansion in the country and they are currently at scrutiny and evaluation stage, the Rajya Sabha was informed on Monday. In a written response to a question, Minister of State for HUA Kaushal Kishore said the 15th Finance Commission has allocated Rs 8,000 crore for performance-based challenge fund for incubation of eight new cities and the amount available for each proposed new city is Rs 1,000 crore. "A state can have only one new city through this fund. Thus, maximum nine new cities in nine states can be selected," the minister said. Considering the small urban population in north-east and hill states, Rs 1,000 crore for two new cities (Rs 500 crore each) for two different states has been proposed, he said. "The Ministry has specified minimum eligibility conditions and bid parameters for the states to compete in the challenge. The last da

Seeking to expand business amid strong housing demand, realty firm Godrej Properties has acquired 15 land parcels so far this fiscal with sales potential of Rs 27,500 crore and looks to add more land by March to construct new projects. In an interview with PTI, Godrej Properties Executive Chairman Pirojsha Godrej said the company's new business development -- which means acquisition of land parcels through outright purchases and joint ventures with landowners to build new projects -- will cross at least Rs 30,000 crore in the 2022-23 financial year, double than the annual guidance of Rs 15,000 crore. "We are very happy with the quarter gone by. Operationally, it has been a very strong quarter. It ended up being an extraordinary quarter for business development. As opposed to the full year annual guidance of Rs 15,000 crore, just within the quarter we did Rs 23,000 crore. We are very happy about the outcome," he highlighted. The company has added 15 new projects so far this fiscal wi

Rising input costs, global uncertainties have made it more difficult for developers to launch budget homes in a cost-sensitive market

The RBI's decision to hike the repo rate will have a moderate short-term impact on housing demand on likely rise in home loan interest rates, according to the real estate industry. With borrowing costs for developers set to rise, many builders said that housing prices might also increase. On Wednesday, the RBI increased the Repo rate by 35 basis points amid inflationary concern. Realtors apex body CREDAI President Harsh Vardhan Patodia said: "Any increase in repo rate has a direct impact on the end consumers, including home buyers, as banks will ultimately pass on this increase to customers and this may impact the current momentum in the short term". Property consultant Anarock Chairman Anuj Puri said there may be some repercussions on housing sales. "This hike will undoubtedly push up home loan interest rates, which had already crept up after four consecutive rate hikes this year. However, as long as interest rates remain in single digits the impact on housing will at best be ...

'Conditions are ripe for a private capital expenditure cycle over the next few years'

Bengaluru-based realty firm Puravankara Ltd's sales bookings have risen 43 per cent to a record Rs 1,306 crore during April-September period of this fiscal year on better housing demand. Its sales bookings stood at Rs 910 crore in the year-ago period. According to an operational update, the company's sales bookings in volume terms rose 32 per cent to 1.76 million square feet during the first six months of this fiscal, from 1.33 million square feet in the year-ago period. Sales realisation improved to Rs 7,421 per square feet in the April-September from Rs 6,845 per square feet in the corresponding period of the previous year. The company achieved its highest sale value of Rs 1,306 crore for the first half of any financial year since inception. Puravankara is on track for its launch pipeline of over 15 million square feet and doing necessary investments for the same. "The demand for real estate is seeing new peaks with each passing day specially with festive starting, we expect th

While rising interest rates are expected to hamper affordability among buyers, analysts expect the underlying need for homeownership to remain strong, which would buoy housing sales going ahead

Supply of such housing insufficient to meet demand, says study

Realty firm Macrotech on Thursday reported a 57 per cent increase in its sales bookings during the July-September quarter to Rs 3,148 crore on strong housing demand. Macrotech Developers, which sells its properties under the Lodha brand, is one of the leading real estate firms in the country. Its sales bookings stood at Rs 2,003 crore in the year-ago period. "Lodha achieved its best ever Q2 pre-sales performance of Rs 3,148 crore, showing a growth of 57 per cent on a YoY (year-on-year) basis," the company said in a regulatory filing. The company's sales bookings have reached Rs 6,004 crore, which is 52 per cent of its guidance of Rs 11,500 crore for the full 2022-23 fiscal. On operational performance, Abhishek Lodha, MD and CEO of Macrotech Developers said, "Despite this being the seasonally weakest quarter, it is the 2nd time in the last 3 quarters when we have surpassed Rs 3,000 crore of pre-sales, suggesting a strong underlying housing demand, the attraction of Lodha Brand amon

Housing sales have risen 49 per cent year-on-year to 83,220 units in the July-September period across eight major cities on pent up demand, despite rise in interest rates and property prices, according to PropTiger.com. Sales stood at 55,910 units in the same quarter last year. The sales have surpassed the pre-pandemic levels of 2019's Q3 (July - September), housing brokerage firm PropTiger.com said on Thursday in its quarterly report Real Insight Residential -- July-September 2022. "The real estate industry is bouncing back from the pandemic and subsequent disruptions," said Vikas Wadhawan, Group CFO, PropTiger.com, Housing.com and Makaan.com. Despite the slight increase in overall interest rates, he said the demand for housing has not dipped. He attributed the rise in demand to renewed thrust towards home ownership. As per the data, housing sales in Mumbai jumped over two-fold to 28,800 units in the third quarter of this calendar year, from 14,160 units in the corresponding pe

Housing market better investment option than it was 12 months ago, respondents tell CII-ANAROCK Consumer Sentiment Survey

The buoyant outlook for India's housing market has barely changed in the last three months despite the Reserve Bank of India embarking on its most aggressive tightening cycle in a decade

A home loan is for a long tenor and during this period there are bound to be both upward and downward interest rate cycles, he said

Soon after the central bank Reserve Bank of India (RBI) raised the repo rate by 40 basis points, the banking sector imitated the same by increasing interest rates in lending and deposit schemes.

Changing city to pursue better career options, or taking a sabbatical for higher studies becomes difficult

Technology-led real estate consultant Square Yards sells homes on behalf of builders and facilities home loans to consumers

According to a quarterly operational update, the company's sales bookings in volume terms increased by 22% to 49,09,567 sq ft during the last fiscal from 40,13,581 sq ft in the 2021-22 fiscal year

The prices of ready-to-move properties increased 1.7 per cent QoQ and 5.8 per cent year-on-year

The report said that sales momentum is expected to continue in 2022 as prospective homebuyers' preferences for bigger homes, better amenities, and attractive pricing will keep them interested

Housing finance companies (HFCs) are likely to witness a growth of 8-10 per cent in fiscal 2022 helped by rise in economic and higher demand, says a report