Realty markets get worse, current mood pessimistic: Realty sentiment index
Feb 15, 2014
Source : The Times of India

 

MUMBAI: Property market across top markets including National Capital Region and Mumbai Metropolitan Region has deteriorated further compared to last six months and current sentiments are pessimistic across all zones, showed the maiden real estate sentiment index jointly developed by industry FICCI and Knight Frank India.

The index is based on findings of the quarterly survey capturing the supplier side perspective on the real estate market condition across top seven markets in the country. Apart from NCR and MMR, the survey also considered Pune, Chennai, Bangalore, Hyderabad and Kolkata to represent Indian real estate scenario.

Most respondents that included realty developers, contractors, private equity funds, banks and financiers are positive about the economic scenario and expect an improvement in the next six months. While there remains an evident optimism for the residential real estate, the office market is expected to be pessimistic in the next two quarters.

The report showed that residential unit launches and absorption level in these seven markets in October-December quarter is close to the bottom witnessed in January-March quarter.

The current real estate sentiment score stands at 33 implying that supply side stakeholders believe the property market is worse than six month back scenario. Future sentiment score, which indicates expectation for next six months, stood at 50 indicating a status quo for the overall realty sector.

Credit lending and funding situation appears worse now compared to six months back and is not expected to improve in the near-term future, the report said.

All parameters including economy, residential launches, sales, price appreciation, new office supply, leasing volume, office rental appreciation and funding scored less than 50 for current index on scale of 100, indicating pessimism. Of these parameters future score for economy, residential launches, housing sales and price appreciation rose above 50 indicating optimism in the next six months.

For commercial real estate, respondents are skeptical and expect a contraction in demand, supply as well as prices during January to June period.

While current sentiment is pessimistic across all zones, respondents from the east and south were slightly more optimistic about the next six months compared to other zones and expect the real estate development to remain stable.

According to residential price index that uses January-March quarter of 2009 as base showed Mumbai and Pune are frontrunners in price appreciation during 2009-13. Prices in NCR market trended downwards till the end of 2010, post which they have grown more than any other major residential market in India.

 

 

 

 

 

 

Latest Realty News

Experts advise end-user needs to figure out a good project with decent location and not get caught u...
Feb 15, 2014
MUMBAI: The real estate industry, which till a few months ago was plagued with issues of oversupply, low demand and weak sentiments has started buzzing with activity.
Indrani Dasgupta launches Balewadi F-Residences in Pune
Feb 15, 2014
PUNE: Ever thought of making a keyless entry to your home, not looking for switches to turn on the lights and air-conditioning, always welcomed by an auto deodorized and cleansed toilet, and many more of such hi-tech, fashionable amenities at your disposal?
Knight Frank sees revival in real estate market
Feb 15, 2014
MUMBAI: While developers and financial institutions believe that the present residential and office markets are weaker they were six months ago, they are optimistic that the next six months would see a change.
Ambekar arrested in fresh case of property grabbing
Feb 15, 2014
NAGPUR: City police continue to tighten the screw on gangster-turned-real estate dealer Santosh Ambedkar who was on Thursday arrested in a fresh case of alleged property grabbing. Ambekar, produced before the magisterial court on Friday along with two others, has been remanded to police custody till February 17.
Realty market slipped over 6 months: Study
Feb 15, 2014
MUMBAI: The real estate market has deteriorated compared to the last six months, according to a report released by Knight Frank India and the Federation of Indian Chambers of Commerce & Industry.
'Realty market worse than 6 months ago, but hope builds up’
Feb 15, 2014
MUMBAI: Property markets, including the National Capital Region and Mumbai Metropolitan Region, have got worse than they were in the last six months and the current mood is pessimistic across all zones, showed the maiden real estate sentiment index jointly developed by industry body Ficci and Knight Frank India, a residential and commercial property consultancy.
Vote on Account 2014: Indian real estate embracing change in the time of economic revival
Feb 15, 2014
MUMBAI: The past decade has seen the Indian real estate industry ride on a roller coaster ride through many highs and lows. This period has seen the expansion fury which gripped the sector with the market peaking in 2006 -2007 characterized by a growth in demand, substantial development and increased foreign investments. By mid-2008, this fervour was replaced by cautious evaluation of business models and plans, which was the key agenda of the business houses when the market loomed large with unc
Piramal, Canada pension fund set up $500-m realty venture
Feb 14, 2014
MUMBAI: Piramal Enterprises and Canada Pension Plan Investment Board (CPPIB) have jointly set up a $500-million fund to finance residential property projects in India.
Pune sees highest office space addition in Q4 2013
Feb 14, 2014
PUNE: Close to 7.3 million sq ft of office space supply entered the market in Q4 2013, as compared to less than 3 million sq ft in Q3 2013, in the city of Pune. This was led largely, by a number of commercial realty and SEZ developments that had been delayed over the previous two quarters, and were finally completed in Q4 2013. Pune led these project completions, followed by Bengaluru and Hyderabad, together, contributing to about 71 per cent of the total new supply in India’s top office markets
Top seven metros account for over 70% of India's total retail stock
Feb 12, 2014
MUMBAI: Mumbai, NCR Delhi, Chennai, Kolkata, Bangalore, Pune and Hyderabad are the leading cities for retail and real estate operations in India as they account for over 70% of the country's total retail stock.

Latest Realty News Of State

Realty Talk's