During the period from January to March, home sales improved in Mumbai and Bangalore. Meanwhile the home sales dropped in Gurgaon.
Mumbai and Bangalore saw home sales improving while Gurgaon faced a fall in the home sales.
New launches in Bangalore and Mumbai were received with a good response. This was mainly because the builders offered various discounts to the takers. The buyers’ sentiments were improved by these discounts.
This improved home sales show how the discounts impact the home sales. Builders offer discounts to woo buyers. Buyers on the other hand find it easier to own homes at lower prices than the normal market price.
US financial major Merrill Lynch, in its report, stated that the sales of new launches improved in Mumbai. The city witnessed a price appreciation by 14%. The report added that the city will have to undergo a price correction to make it affordable.
Home sales in Bangalore improved on the verge of Ugadi. The local New Year befalls in April. The people here consider it propitious to own home before the New Year. On the prospect of this New Year, saw highest number of residential sales were reported from Bangalore.
In the opinion of Merrill Lynch’s Research analyst Abhishek Gupta, the new launches receive good response mainly because of the discounts. New projects are launched at lucrative prices.
Sale of housing units fell in Gurgaon. This was mainly because the city saw a fall of new home launches. The builders concentrated on selling off the unsold inventories. This affected the new launches and the home sales.
Another important thing which drove the buyers away was property prices in the city. The property prices have gone far up in the sky that the city remains unaffordable.
Increased salary a hike in the number of investors, etc. affected the Bangalore residential market. The city attracted vast end-users and buyers with job security.
