Today’s real estate market shows a unique trend. Sales of residential real estate decreased by almost half compared to the previous year. One of the main reasons is that the information technology (IT) boom is over and NRA rarely invests in real estate. Nonetheless, developers have refrained from lowering prices to keep their minds in mind.
Developers are unlikely to see real estate prices fall, despite lower sales. The reason is rising prices for labor, sand and construction. The landowner does not lower the price either. Therefore, it is impossible to reduce interest rates by more than 5-10%. In addition to the recent lifting of the ban on customer service charges by the Bombay High Court, apartment prices are rising further. The service tax is 2.5% of the total cost of the property. This means that if the fixed cost is 20,000,000 rubles, the customer will have to pay Rs. 50,000 service charges.
Examples of these high prices can be found in the Lower Parel area of Mumbai. Mumbai is now becoming a rich hotspot. Homes in the textile mill area that were previously sold somewhere from Rs 3,000 ($ 66) per square foot to Rs. Earlier in the decade, 6,000 ($ 132) per square foot was paid, but luxury home prices now range from 15,000 rupees ($ 330) to 30,000 rupees ($ 660). On the other hand, demand is declining because real estate prices are above average. Demand for residential real estate is high, but we are waiting for prices to fall. Thus, as sales decline by more than 50% compared to last year, there is increasing pressure on developers to lower prices. Therefore, you can expect a 10-15% discount immediately.
Today’s real estate market shows a unique trend. Sales of residential real estate decreased by almost half compared to the previous year. One of the main reasons is that the information technology (IT) boom is over and NRA rarely invests in real estate. Developers have refrained from lowering prices to keep their minds in mind.
Developers are unlikely to see real estate prices fall, despite lower sales. The reason is rising prices for labor, sand and construction. The landowner does not lower the price either. Therefore, it is impossible to reduce interest rates by more than 5-10%. In addition to the recent lifting of the ban on customer service charges by the Bombay High Court, apartment prices are rising further. The service tax is 2.5% of the total cost of the property. This means that if the fixed cost is 20,000,000 rubles, the customer will have to pay Rs. 50,000 service charges.
Does real estate services company Jones Lang LaSalle India (JLL) say prices for newly launched housing projects are on average 15% cheaper, especially in Delhi and Mumbai? The market is oversupplied in many pockets.
Examples of these high prices can be found in the Lower Parel area of Mumbai. Mumbai is now becoming a rich hotspot. Homes in the textile mill area that were previously sold somewhere from Rs 3,000 ($ 66) per square foot to Rs. Earlier in the decade, 6,000 ($ 132) per square foot was paid, but luxury home prices now range from 15,000 rupees ($ 330) to 30,000 rupees ($ 660).
On the other hand, demand is declining because real estate prices are above average. Demand for residential real estate is high, but we are waiting for prices to fall. Thus, as sales decline by more than 50% compared to last year, there is increasing pressure on developers to lower prices. Therefore, the plate
