Sales of housing units dropped by 19 per cent across the top 9 cities in India in the first quarter of 2020 to 55,138 units versus 68,216 units in Q4 2019, says a report released by PropEquity, a real estate data, research and analytics firm.
The new supply or launches of housing units also decreased by 13 per cent during the same period to 50,361 units from 58,049 units in Q4 2019.
Real estate transactions in Q1 2020 primarily happened in January and February as the industry almost came to a halt in March due to the lockdown. Noida, Bengaluru, Mumbai and Thane were the only cities where new launches witnessed a growth in Q1 versus Q4 at 9 per cent, 16 per cent, 20 per cent and 4 per cent, respectively.
These new launches were also primarily witnessed in January and February. The beginning of QI was relatively better for the real estate sector as many projects which were rightly priced attracted decent demand, especially for projects nearing completion.
Gurgaon saw a fall of 51 per cent in new launches as compared to the last quarter. The new launches stood at 3,060 units in Q1’20. Sales also decreased by 45 per cent in the sequential quarter at 1,650 units. Noida witnessed a 9 per cent increase in new launches on a quarter -on quarter basis.
Sales, on the other hand, decreased by 26 per cent to 1,177 units during the same period. In Mumbai, new launches witnessed an increase of 20 per cent on a quarterly basis with 4,668 units launched in Q1’20 while the absorption dropped by 11 per cent to 5,332 units.
Kolkata saw 2,740 new launch units in Q1’20, decreasing by 40 per cent on a Q-o-Q basis. Sales dropped by 24 per cent to 3,673 units in Q1’20. Hyderabad saw a decline of 32 per cent in new launches on a quarterly basis.
The new launches stood at 3,777 units. Sales fell by 25 per cent to 4,349 units. Bengaluru saw a quarterly increase of 16 per cent in new launches with 9,766 units launched in Q1’20. Sales dropped by 17 per cent to 9,059 units during the same period.