Nearly 83,000 Inventories Are Still Unsold In Mumbai

Bangalore: Currently, the real estate market of Mumbai is witnessing around 83,000 units of unsold inventories which is equivalent to 39 percent of the units lying under construction, according to the survey done by Knight Frank Research.

Year-on-year, the rate of unsold inventories have increased in Mumbai. Last year, the central suburban corridor that starts from Sion up to Badlapur in the outskirts witnessed the maximum number of new residential launches, which in turn have increased the level of unsold inventory in the real estate market. However, 2013 will see about 35 percent of planned new launches in these areas which perhaps can create pressure on existing unsold levels, reports Amit Shanbaug of Economic Times.

Besides, properties in the outskirts attract investors’ attention because of lower prices and good returns over time. Investors demand for properties in these micro-markets add up to 25 percent - 30 percent.

The micro-markets of South and Central Mumbai have observed few new launches last year but the rate of unsold inventories have reduced the most during the year.

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The real estate prices remained stable throughout the year 2011 and the beginning of 2012. But this above mentioned scenario has changed after the soaring rate of new residential launches, which proved difficult for the realty market to maintain the steady price levels, said the report.