At the end of 2017, 7 major cities in India experienced unsold inventory. The total number of unsold inventory in these cities were as humongous as 4.4 lakh properties with Delhi-NCR contributing highest with 1.5 lakh flats, spread across Delhi, Gurgaon, Ghaziabad, Faridabad, Noida and Greater Noida. The seven major cities include Delhi-NCR, Mumbai, Chennai, Hyderabad, Kolkata, Pune, Bangalore.
As many as 4,40,000 residential units remain unsold across the country. Out of these, 34,700 units were ready-to-move-in flats. While Chennai had the highest percentage of completed unsold inventory close to 20 percent, Kolkata had the lowest volume of unsold inventory at about 26,000 units. Pune and Hyderabad have around 36,000 and 28,000 unsold flats respectively.
Reason For Unsold Inventory
Real Estate in India has experienced a bump due to the recent changes in policies brought in by the Government. RERA, demonetisation and GST have led to the overall slowdown of the construction work and Real Estate market. But the market is expected to rise once again in the second half of 2018 once the price gets stable for the buyers.
On the other hand, Mumbai and Bangalore had nearly 86,000 and 70,000 unsold units respectively. To counter the issue of unsold inventory, it is expected that capital values would be kept reasonable to ensure sales velocity in the market. The coming quarters are expected to be buyer friendly to further accelerate the sales of unsold inventory.
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