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Altering GDP growth has put brakes on overall housing growth in second half of 2019: ANAROCK

Top 7 cities saw housing sales of over 2.61 lakh units in 2019 against 2.48 lakh units in 2018, rising by 5%, ANAROCK said.

According to property consultant Anarock, approximately 2.37 lakh units were launched in 2019 as compared to 1.95 lakh units in 2018 (up by 21%). But on the other hand supply in H2 slipped by 30% against H1 in 2019. The affordable housing supply has increased by 22% on y-o-y basis. Around 94,530 units were sold, from which 40% units were sold in MMR and Pune for residential housing. Last year, Bangaluru topped the chart. According to the data, housing sales rose maximum by 22 per cent in Mumbai Metropolitan Region (MMR) to 80,870 units this year from 66,440 units in 2018.

Across seven major cities, sales rose by 5 per cent to 2,61,370 units in 2019 compared to 2,48,310 units in the previous year. Sales dropped by 22 per cent in the second half of this year to 1,47,120 as against 1,14,250 units during January-June period this year.

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Pune saw 18 per cent rise in sales to 40,790 units from 34,460 units during the period under review. Sales in Delhi-NCR increased to 46,920 units from 44,300 units, while sales in Chennai rose by 4 per cent to 11,820 units from 11,340. However, Bengaluru witnessed 12 per cent drop in sales to 50,450 units from 57,540 units. Sales in Kolkata and Hyderabad decreased by 11 per cent each and were recorded at 13,930 units and 16,590 units, respectively, in 2019. Average residential property prices across the top cities increased by 1 per cent in 2019 when compared to 2018 except Kolkata and NCR, where prices remained stagnant.

“The unrelenting liquidity crisis, lower-than-expected buyer sentiments and faltering GDP growth eventually put brakes on the overall housing growth in the second half of 2019. However, among the top cities, MMR and Pune were clearly the showstoppers of residential real estate in 2019 as they recorded housing sales rise of 22% and 18% respectively, leaving Bangalore (which saw sales fall 12% yearly) far behind. Both top cities collectively saw residential sales of nearly 1.22 lakh units as against 78,860 units in all south cities (Bangalore, Chennai and Hyderabad) and 46,920 units in NCR in the north. In terms of new launch supply too, MMR and Pune came out on top in 2019 with annual increases of 30% and 89% respectively. Among the top 7 cities, MMR saw maximum new launches during the year at 78,000 units while Pune was second best at over 46,100 units," said Anuj Puri, Chairman – ANAROCK Property Consultants.

Segment-wise analyses reveals that affordable housing continued its growth momentum yet again in 2019 with overall new supply rising by 22% - from 77,590 units in 2018 to nearly 94,530 units in 2019. Of this, 54,660 units were launched in the first half alone.