2.75 Lakh Ready Homes to Hit Top 7 Cities by 2020-End, 41% in Affordable Category

Approx. 13.1 lakh units are in various stages of construction (launched since 2014) in top 7 cities; 21% to be delivered by 2020-end
  • Nearly 1.13 lakh ready-to-move supply to be in the affordable category, 33% in the mid-segment; only 10% in luxury
  • NCR to see highest RTM stock with over 68,070 units; Chennai least with 10,860 units
  • MMR & Pune to collectively see over 1.01 lakh RTM homes; IT hubs Bangalore & Hyderabad nearly 55,000 units
  • With overdue projects attracting RERA penalties, emphasis will be on timely delivery
Mumbai, 25 Nov 2019: The top 7 cities may see nearly 2.75 lakh new ready-to-move (RTM) homes over the next one year, provided developers stay on schedule. There are currently 13.1 lakh units, launched between 2014 to Q3 2019, in various stages of construction in the top 7 cities. Nearly 21% are to be delivered by 2020-end.
Among the top 7 cities, NCR will see maximum RTM supply with 68,070 units, and Chennai the least at about 10,860 units.
Out of the total projected ready supply:
  • Over 41% (nearly 1.13 lakh) units will be in the affordable segment (priced below INR 40 lakh)
  • 33% (approx. 90,770 units) will be in the mid-segment (INR 40-80 lakh price range)
  • 16% in the INR 80 lakh – 1.5 Crore budget range
  • Only 10% in the luxury and ultra-luxury segments
Anuj Puri, Chairman – ANAROCK Property Consultants says, “RERA is gaining stronger ground in most states and many of these projected 2.75 lakh units are likely to be completed on time by December 2020. Delhi-NCR may see some projects delayed by a few months due to the construction ban. Also, developers are keenly aware that ready-to-move homes are in greatest demand and will spare no effort in completing their projects on time.”
“Most buyers are focused on the affordable and mid segments (priced below INR 80 lakh) and will have ample choice once this ready inventory hits the market by the end of next year. A whopping 74% – or approx. 2.04 lakh units – fall in these two segments.”

Of the total 2.75 lakh units to complete by December 2020:

  • NCR will see the maximum inventory of nearly 68,070 units, followed by MMR with 56,760 units and Pune with 44,480 units.
  • Bangalore, Hyderabad and Chennai will be 37,860, 17,100 units and 10,860 units of ready supply respectively.
  • In Kolkata, approx. 15,690 units will be added by the end of 2020.

Affordable Tops the Budget Bands

Homebuyers seeking affordable and mid-segment properties in the top 7 cities will be spoiled for choice with ample ready-to-move-in supply over the next one year. Of the 2.04 lakh ready units priced within INR 80 lakh to hit the top 7 cities over the next one year, 1.13 lakh units will be in the affordable category and over 90,800 units in the mid-segment. Another 44,000 units are in the price budget of INR 80 lakh to INR 1.5 Cr, and over 27,500 units are priced > INR 1.5 Crore.