Bangalore graded best in residential sale

Bangalore: Over the past year amid the residential property sales have remained sluggish In India moderating economic growth. In the second quarter the analysts witnessed the volumes are picking up slowly.
 
Knight Frank, International Property asset management firm stated the property sales are rising up from recent months; Election results and union budget offering for housing segment have changed the home buyers’ negative sentiment into positive.

It reported, among top major cities, Bengaluru is the main city that revealed a positive growth in residential sale in 2014 with numerous residential project launches. Due to the high property prices and poor sentiments, NCR and Mumbai along with other cities are expected to see a downturn. Compared to last year, in the third quarter of 2014 Bangalore has a high absorption of residential units.

According to the Knight Frank quick estimates, In India the residential sale of major cities namely Mumbai, Pune, Hyderabad, NCR and Bangalore accounts 70 percent and over the last year the six major markets will collectively see a 10 percent fall in sales.

Samantak Das, executive of Knight Frank consultancy said the firm has estimated a four percent decline in sales across the markets in June, but the sharpest declines in the NCR and Mumbai have offended those calculations.

Bangalore is the only city that will see a development of 3-5 percent by the end of 2014 year. Bangalore has sold 15,000 residential units in Q3 2014 and it is evaluated to achieve 60,000 at the 2014 year end, where last year reported 57,300 units.

Mumbai, which was anticipated to grow by 8 percent with absorption of 80,000 units is probable to drop by 10 percent. NCR estimated to drop by 17 percent of 60,000 units is probable to decline by more than 20 percent. Compared to the same quarter last year, NCR reported a decline of 35 percent with absorption of 11,000 residential units. The positive factor of Bangalore realty market is the thousands of unsold properties are anticipated to absorb in next 21 months.

 “In Mumbai and NCR the rate of inquires are increasing, but it is not turning into an actual sale. But, Bangalore market is buoyant as the IT development is supporting for the growth of real-estate, Mr Das added.

According to CBRE December report, due to the buyers’ sentiment and raised costs the realty market continues to suffer from fading demand.