The slump in Indian real estate sector is real, but it hasn’t impacted the housing market in Hyderabad, which is likely to see a positive growth with new house launches. With constant policy changes in the last two years, the national realty market has been under a sort of recession.
Being the second largest employer in the country, it was important to fill the gaps in the real estate sector. Understanding the need, the Modi government has been implementing various policies with an aim to lead the sector towards a positive direction. It has initiated several policies to protect the interests of home buyers, including Real Estate Regulatory Act (RERA), Real Estate Investment Trust (REITs), Benami Property Act, Goods and Services Tax (GST) and demonetization.
Although the policies were to make a positive impact, the Indian realty sector is still working towards adapting these policies effectively. Experts at Modi Builders assessed that with all the policy changes, the Hyderabad real estate market is the one to beat all other cities in recovery. In spite of the nationwide gloom, it has been observing a remarkable growth in the new house launches.
Statistics for the fourth quarter of 2017 show that new house launches fell by 12 per cent across the country. However, quarter-over-quarter (Q-o-Q) basis records show a promising growth rate of over 100 per cent in Hyderabad. During the last three months, the city has been progressing on the road of increasing sales and home bookings.
Incorporating the policy changes, Hyderabad-based developers like Modi Builders, Prestige Group and Ramky Group among others, are ensuring the availability of affordable housing in the city. Home buyers making investments in properties of these builders are relishing timely possessions of their property.
Statistics of year-over-year (Y-o-Y) basis showed a decline of 10 per cent in the unsold stocks of Hyderabad realty market, while of three per cent on Q-o-Q basis. The fourth quarter of 2017 witnessed the launch of 1,656 units in affordable,mid and premium segment. Moreover, the stock inventory and various on-going projects were counted to be in good numbers.
While the Hyderabad real estate sector is growing in new house launches, the national market saw a decline. New home launches in top nine cities of India dipped by 12 per cent in the fourth quarter of 2017. This fall from 15,593 units to 13,666 units was majorly because the developers were focused on complying with policies such as GST and demonetization.
Experts are expecting a rise of new launches in Hyderabad real estate sector in the upcoming months. Moreover, with the increasing development and brilliant facilities, outskirts of the city are likely to attract a considerable amount of home buyers.
Experts at Modi Builders are predicting the Hyderabad realty sector to remain stable in 2018, as both developers and buyers are more adjusted to the regulatory changes. Developers are now focussed on completing the on-going projects, and consumer interest in the market has also improved.
However, national market is facing issues of delay due to the long documentation procedure under RERA. Most developers are holding the new launches, as they are finding it difficult to adapt to the regulations. While new problems are making the situation tricky for the developers, home buyers can now be confident in making investments in the housing market.
