The investment bank estimates office and retail property valuations could fall as much as 40% from peak to trough, increasing the risk of defaults
That in turn has pushed up rents sharply in most markets, leaving the overall cost of housing much more expensive in just the past few years
Urban housing inflation rose to 4.47% year-on-year in December 2022
The real estate development arm of Godrej Group said it would develop a residential project on the land
According to the report, despite the downturn across many areas of the country, housing values generally remain 11.7% above where they were at the onset of the Covid-19 pandemic
By the time interest rates moderate, prices could move higher
'Good sustenance in home buying', says mortgage lender in statement
But ensure repair expenses don't erode initial gain; also carry out title check
Services activity, hiring and stable unemployment rate helping consumer confidence, it says
A runaway surge in global house prices is drawing to a close as interest rates rise along with the cost of living, according to Reuters polls of housing analysts
Rising interest rates, higher inflation and increasing cost of construction are likely to slow down growth of affordable housing finance companies in the current fiscal, a report said on Thursday. Affordable housing finance (ticket size below Rs 25 lakh) has proven to be one of the most resilient sectors to economic cycles and seen rapid progress over the past decade, India Ratings and Research said in a report. With 25 per cent compound annual growth rate, the affordable housing sector has outpaced the overall housing finance sector growth in the past five years. However, some tailwinds that had supported the sector earlier seem to be moderating and thus could slow down the pace of sector loan growth, it said. "Rising interest rates, reduced cash flow of borrowers on account of the high inflation rate, increasing cost of construction, leading to both a rise in property costs and slowdown in new inventory launches, and halting of the government's Credit-linked Subsidy Scheme (CLSS)
In the performance compared to previous quarter (Q2 2020), the ranking remains unchanged to 54th spot among the 56 countries and territories tracked in Q3 2020 index
GDP growth forecast for FY20 has been revised downwards from 6.1 per cent in the October policy to 5 per cent
Housing inflation, which hit a peak of 8.50% in April following the implementation of the Seventh Pay Commission's recommendations, has fallen steadily since to stand at 5.1% in January