Monthly Watch: Home Sales Up 22% in Bengaluru
At a time when major property markets across India, reeling under the impact of demonetisation, registered a drop in home sales and new launches, Bengaluru's real estate market broke the jinx. The southern city's tagging as India's information technology capital is helping it weather the storm, it seems.
According to a PropTiger DataLabs report, new project launches in the city increased 67 per cent in December over the previous month. When compared to November, home sales figures also increased 22 per cent.
The annual figures, however, do not present the same picture. When compared to new launches in December 2015, there has been an annual decline of 74 per cent. Home sales figures, too, underwent a 54 per cent decline during the period.
Also read: Why Bengaluru, Mumbai Are Becoming Investors' Favourite
While there has been no monthly change in property prices, rates have appreciated three per cent on an annual basis. Effectively, properties in the city have become much cheaper as compared to the past.
Pitching in
Developers who launched new projects in Bengaluru in December include Asset Builders, Chhabra Properties, Dhammanagi, House of Hiranandani and MV Vajra — a majority of them catering to the affordable housing segment. For instance, Chhabra Properties' Windmill project at Kolar would offer buyers units at an average price of Rs 2,800 per square foot (sqft) . On the other hand, you can book a flat at House of Hiranandani's Kingston project at Begur at an average price of Rs 5,753 per sq ft.
Also read: Bengaluru Residential Real Estate Spinning Around IT/ITeS Wheel
Star performers
In the city that is known as the information technology capital of India, localities that have emerged as IT hubs are fuelling the demand. The report shows localities of Whitefield Hope Farm Junction, Varthur, Electronic City Phase-I, Budigere Cross and Sarjapur contributed the highest to the December homes sales. These localities offer buyer properties in the range of Rs 3,500 sq ft to Rs 7,000 sq ft.