Record home loan rates and lucrative holiday season offers from realtors have helped boost sales throughout the good times that began on October 7. The city recorded 3,205 cumulative registrations during this period. In contrast, daily enrollment rates in August and September were 219 and 260 units, respectively, according to a study by Knight Frank India.
A large but limited reduced stamp duty window that ended on March 31 was previously seen as the catalyst for residential property sales in Mumbai. The closing of that window coincided with the second wave of Covid, which hit sales momentum.
Since then, the Mumbai property market has started to show signs of recovery.
“After nearly half a decade of depressed holiday sales, this year could break the cycle and could be one of the best,” said Shishir Baijal, CMD, Knight Frank India. “It is encouraging to see that the daily average home listings have jumped over the holiday season without the incentive support of the stamp duty.”
As the central bank maintains its position on low key interest rates and promoters offer attractive offers, the sales trajectory has picked up again. Cumulative sales in July and August of this year were higher than in the same months of 2018 and 2019.
“The holiday season has started off with a bang. Homebuyers take full advantage of the best market conditions, including record mortgage rates and competitive real estate prices, ”said Ram Naik, Co-Director of The Guardians Real Estate Advisory.
Robust Diwali sales likely
“We have sold apartments worth over 1,200 crore in the last eight days alone and almost 750 crore is from the luxury and semi-luxury segments, while the affordable and middle income segment also displays a robust selling speed. Diwali sales are also expected to be strong. Developers have forecasted further housing starts to benefit from buyers’ optimism and these factors are expected to help drive sales through Diwali in Mumbai.
According to Knight Frank, daily registrations this month through October 13 are 17% higher than August intensity. Shradh’s bad times saw a slowdown in sales of high-value assets like real estate. In the first two weeks of October, property registrations in Mumbai stood at 4,052 units, yielding the Government of Maharashtra stamp duty worth 260 crore.