Housing sales recorded over 75% growth on a year-on-year basis across top seven cities in H1 2021, according to a recent report by CBRE South Asia. Pune led sales activity with an approximately 26% share, followed by Mumbai (19%). It was closely followed by Hyderabad and Delhi-NCR with 18% and 17% shares respectively. “The residential segment has played a major role in the real estate sector’s growth in India. The initiatives undertaken by the central and state governments have been crucial and commendable for the revival in the residential segment.”

 

Policy impetus from the central as well as state governments coupled with lower lending rates have encouraged housing sales, the report said. States including Karnataka, Telangana, West Bengal, Maharashtra, and Tamil Nadu have introduced stamp duty cuts and rebate in property tax to boost housing sales.

 

The residential sector is witnessing green shoots of recovery, but developers are still navigating through issues such as higher input costs leading to rising construction costs.

 

Source: CBRE