Skip to main content

Impact Of Coronavirus On Indian Real Estate?

REAL ESTATE HIT BY COVID SECOND WAVE

 

New project launches declined by over 90% after March, says a report by the website

The second wave of COVID-19 caused a mighty blow to real estate in the twin cities with new launches declining by over 90%, inquiries having dipped by 30%, and sales plummeting up to 90% post-March onwards, said real estate website ‘99acres.com’ in a report released on Wednesday.

“The economy went through a tumultuous time in April-June battling one of the biggest healthcare crises ushered by the unprecedented second wave of COVID-19. Like most sectors, transactions in the real estate market too came to a grinding halt in April with lockdown restrictions across the country,” said chief business officer Maneesh Upadhyaya.

The January-March quarter witnessed site visits, home inquiries, and sales volume going up in both new home and resale segments but April and May recorded a dip in numbers unheard of. Owner listings, too, saw a 5% de-growth but home inquiries picked up in June with active COVID caseload reducing and lockdown restrictions dropped.

Affordable housing within ₹40 lakh: Chandanagar ₹3,200- ₹4,100; average rental asks per sqft/monthly ₹13 & rental yield 3.54%. Nizampet ₹3,400- ₹4,300 average rental ask per sqft/monthly ₹11 & rental yield 3.32%.

Mid-income housing between ₹40 lakh and ₹1 crore: Miyapur ₹3,500- ₹4,500; average rental ask per sqft/monthly ₹11 & rental yield 3.10% Kukatpally ₹4,300- ₹5,500; average rental ask per sq. ft ₹15 & rental yield 3.04%. Manikonda ₹4,100- ₹5,200, average rental ask per sqft/monthly ₹14 & rental yield 3.34%

Luxury housing – (₹1 crore & above): Gachibowli ₹5,600- ₹7,800; average rental ask per sqft/monthly ₹18 & rental yield 2.98% Kondapur ₹5,500- ₹6,600, average rental ask per sqft/monthly ₹16 & rental yield 3.11%. Hitec City ₹6,600- ₹8,600; average rental asks per sqft/monthly ₹20 & rental yield 3.19%. Rental yield has been calculated for a 1,000 sqft apartment.

Property prices in most localities remained stable throughout the quarter. However, Gachibowli, Nallagandla, Manikonda, Pragati Nagar, and Chandanagar posted an appreciation of up to 4%. Ultra-luxury properties, priced above ₹2 crores garnered some traction, particularly those reconfigured as 4 BHK units with some deals closed at 5-10% lower than the rates quotes in property listings by owners.

 

Areas in the North and the West, such as Kukatpally, Miyapur, Kondapur, and Madhapur, remained popular among tenants due to their proximity to prominent IT hubs like Hitec City and Gachibowli.

Mid-sized 2/3 BHK homes available at a monthly rent between ₹18,000-₹30,000 continued being in demand.

Labels:

Comments

Post a Comment

Popular posts from this blog

WHAT IS FTL LAND (FULL TANK LEVEL) IN TELANGANA?

                                            FTL  LAND (FULL TANK LEVEL)   Full Tank Level Lake maps are being prepared to show Full Tank Level (FTL) boundaries, showing Lat-long coordinates and buffer zones all around the lakes, and subsequently superimposed with Revenue survey numbers of the relevant part of the village map. Restriction of building activities in the vicinity of water bodies.   The Hyderabad Metropolitan Development Authority is constituted under the provisions of HMDA Act, 2008 for the purpose of planning, coordination , supervisi ng, promoting, and securing the planned development of the Hyderabad Metropolitan Region. The Hyderabad Metropolitan Region has a large number of lakes and water bodies that are of critical importance to the Hyderabad Metropolitan Region for many reasons, including some as mentioned below:  • Recharging of gr...
Post a Comment
Read more

Demystifying Foreign Exchange Remittance Certificate (FERA) for Indian NRIs

In an era of global mobility, Non-Resident Indians (NRIs) play a significant role in contributing to India’s economic growth. Remitting funds to their home country is a common practice among NRIs. To ensure transparency and compliance, the Indian government has introduced various regulations, one of which is the Foreign Exchange Remittance Certificate (FERA). In this blog, we will delve into the essentials of FERA and provide a comprehensive guide for Indian NRIs. Understanding FERA: The Foreign Exchange Remittance Certificate (FERA) is an official document issued by authorized banks in India to NRIs. It serves as proof of the inward remittance of funds from a foreign country to India. FERA plays a crucial role in maintaining a transparent record of foreign transactions and helps NRIs meet regulatory requirements. Importance of FERA for NRIs: Tax Compliance: FERA assists NRIs in complying with Indian tax regulations. The certificate provides documented evidence of the source of f...
Post a Comment
Read more

Top Mistakes to Avoid in Your Rental Agreement in India

When it comes to renting a property in India, a well-drafted rental agreement is crucial to protect both landlords and tenants. However, many individuals make common mistakes that can lead to legal disputes and financial losses. In this blog post, we will discuss the top mistakes to avoid in your rental agreement in India to ensure a smooth and hassle-free renting experience. Incomplete or Vague Terms and Conditions One of the most critical mistakes to avoid is having an incomplete or vague rental agreement. This can lead to misunderstandings between the landlord and tenant. Your rental agreement should clearly outline all the terms and conditions of the lease, including the rent amount, security deposit, duration of the lease, and any specific rules or restrictions. Be specific and include details like the due date for rent payments and the consequences of late payments. Neglecting to Include Important Clauses Another common mistake is neglecting to include essential clauses in the re...
Post a Comment
Read more