As per reports, the real estate market in Chennai is somewhat subdued but is still chugging along steadily. There seems to be a slight revival in demand and this augurs well for the property market in the city over the long run as per experts. There was growth of 15% overall for the third quarter of 2018 as far as new residential real estate supply was concerned. This indicates higher demand and better market dynamics as per reports.
40% of the new residential supply catered to the affordable housing segment, i.e. units that are priced lower than Rs. 40 lakhs. According to reports, overall supply went up to 4, 850 units in Q3 2018 as compared to 4, 200 units in Q2 2018 which indicates growth of 15%. Overall, Chennai, Bangalore, Kolkata, NCR and MMR had 52, 150 new units being launched in Q3 2018 which is higher than 50, 600 units launched in Q2 2018.
Chennai also played a part in contributing the most to the new supply addition along with Pune, MMR and Bangalore. Sale of properties also went up in this period in Chennai. The increase of 8% is heartening for real estate developers and strongly indicates that buyers are steadily returning to the market. Property sales went up to 2, 925 units from 2, 700 units in this period. 33% of new launches were in the mid-range category, i.e. units priced between Rs. 40-80 lakhs and 25% of launches were in the ultra-luxury and luxury segments. Areas like the Old Mahabalipuram Road (OMR) and East Coast Road are witnessing higher real estate sales volumes. Several premium projects are also being developed throughout Chennai in order to cater to growing demand. These include Shriram Divine City Code Kovil, Ozone Metrozone and Brigade Xanadu to name just a few.
Chennai real estate market chugs along steadily
59 sec read