Year 2015 is coming to an end. And like last year, this year was no biggie for Real estate community. We summarize how this year unfolded for Realty business:
- Rental market saw one of its biggest fall since last decade. Flat rentals have dropped from 7% to 10% on an average across established regions. Biggest fall was seen in NCR region with same falling by 10-15% across sectors (Source: http://www.magicbricks.com/Property-Rates-Trends).
- In fresh residential market, luxury segment saw a near steady business in comparison to last year. The MIG and budget segment though saw a sharp decline in sales. Rates saw a marginal decline by 2-5% across geographies (Source: http://www.magicbricks.com/Property-Rates-Trends).
- Residential resales saw a sharp decline with more and more new launches attracting originally resale inclined buyers.
- No improvement in customer experience even though media got actively involved in buyers plight. Real estate related Consumer cases (from Gurgaon, Noida and Faridabad) in national forum stood at 17 which was almost double the number of cases registered last year (Refer http://go4reviews.in/2015/02/consumer-case-database-of-consumer-court-judgments/ for details of consumer cases and their judgments)
- The most talked about real estate bill couldn’t be passed this year after having been tabled once in front of the house. While real estate is eventually a state subject, this would have helped buyers from states that have a meek or nonexistent real estate regulations.
- Commercial market saw an unprecedented decline of 10-15% rates due to declining demand (Source: http://www.magicbricks.com/Property-Rates-Trends).
Overall, the disappointment continues and forecast for year 2016 is nothing merrier. But, we hope that things get better from consumer perspective.