PropInde2 S Magicbricks · Larger homes gaining popularity in Mumbai With the COVID-19 crisis...
Transcript of PropInde2 S Magicbricks · Larger homes gaining popularity in Mumbai With the COVID-19 crisis...
PropIndex | Magicbricks MumbaiJuly-Sep 2020
Residential Market Insights
Larger homes gaining popularity in Mumbai
With the COVID-19 crisis underlining the importance of owning a house, Mumbai witnessed a significant increase ofaround 52% in searches for residential homes in Q3 2020 that had in fact decreased by around 37% in Q2 2020.
As majority of builders focused on completing ongoing projects with very few new launches, the city inventoryoverhang has been reducing gradually which is likely to help the stagnant market in the long run.
The State Government’s decision to reduce the stamp duty in Mumbai to 2% (from 5% earlier) till December 2020,along with NAREDCO-member developers’ offer to absorb the remaining 2% stamp duty till September 2020 is likelyto provide the supply side push to the market, especially with festive season around the corner.
Market DynamicsParameters India Mumbai
Demand+ 53% 52%Supply++ -9% -17%Price Index+++ 0.3% -0.1%
Notes:Above parameters represent QoQ change in Q3 2020 atIndia and city level + change in volume of property searches ++ change in volume of active listings +++ change in the weighted average price
Source: Magicbricks Research
Ready to Move Price Index
2016
2017
2018
2019
2020
2021
14,000
16,000
18,000
20,000
22,000
Average Price INR per sqft
"Increasingpreference towardsReady-to-Moveproperties loweredthe decline in RMprices against Q2
2020"
5 Years YoY QoQ
-0.1%-1.6%-2.5%
Notes:1. Ready to move price index represents the weighted average price of completed properties on Magicbricks website as on Sep 20202. The trend line represents the average prices of dominant asset class in each locality of the city. Source: Magicbricks Research
Key Developers based on activelistings
Lodha Group
Kanakia Spaces Realty
Runwal Developers
Oberoi Realty
Sunteck Realty
JP Infra
Chandak Group
Kalpataru
The Wadhwa Group
Godrej Properties
L&T Realty #
#
#
#
#
#
#
#
#
#
#
Note: The above table represents the top developers byshare of active listings on Magicbricks website in Q32020
Source: Magicbricks Research
Under Construction Price Index
2016
2017
2018
2019
2020
2021
14,000
16,000
18,000
20,000
22,000
Averge Price INR per sqft
"Under Constructionprices marginally
declined YoY owing toweak economicconditions"
5 Years YoY QoQ
-0.7%-2.2%6.7%
Note:1. Under-construction price index represents the weighted average price of under-construction properties on Magicbricks website as on Sep 20202. The trend line represents the average prices of dominant asset class in each locality of the city.
Source: Magicbricks Research
Key Projects
Project Name Locality
Omkar 1973 Worli
Interface Heights Malad West
Lodha Fiorenza Goregaon East
Galaxy Heights CHS Malad West
Alpine Shapoorji Thakur Village
Evershine Crown Thakur Village
Runwal Greens Mulund West
One Avighna Park Lower Parel
Lodha The Park Worli
Raheja Exotica Madh
Note:The above table represents the top projects by consumerpreference on Magicbricks website in Q3 2020
Source: Magicbricks Research
Average changes in prices for localities in various price segments
< 10,000 10,000-15,000 15,000-20,000 > 20,000
RM UC RM UC RM UC RM UC
1.0%
0.2%
-0.8%
0.0%-0.2%
0.2%
-0.9%
-2.3%
"Localities with pricesabove INR 20,000 persqft witnessed
maximum price declineof about 1-2%"
Note:Above table represents the price changes for Ready to move (RM) and Under construction (UC) properties for dominant asset classes in each locality under various pricebuckets as on Sep 2020
Source: Magicbricks Research
In The News
- The Exclusion Plan cleared in Sept2020 would allow residentialdevelopment on around 9,150 acres ofland earlier marked as No DevelopmentZone in the suburbs. This would resultin an influx of affordable housing unitsin areas such as Dindoshi, Malad,Charkop, Vikhroli, Nahur, and Mulund.
- According to secondary sources, theGovernment has proposed to reducethe Ready Reckoner rates, along with a10-15% reduction (from 40% currently)in FSI premium payable by builders.This will help inn bringing down theoverall cost.
© magicbricks.com Page 1
Demand Supply Analysis Mumbai | July-Sep 2020
1 BHK36%
2 BHK38%
3 BHK21%
Above 3 BHK5%
DEMAND
Above 3 BHK5%
3 BHK23%
2 BHK42%
1 BHK30%
SUPPLY
15,000-20,00028%
10,000-15,00020%
> 20,00033%
< 10,00019%
SUPPLY
Thane-Kalyan-Dombivli
Naigaon East
Ambernath
Vasai West
Mulund West
Mira Road
Chembur
Andheri West
Worli
Thakur Village
Goregaon East
Kanjurmarg East
Malad West
© 2020 Mapbox © OpenStreetMap
Propensity of demand and supply in terms of searches andlistings by localities
Top Micromarkets by Consumer Searches
Malad-Kandivali 9900-22800
Goregaon 8300-21700
Beyond Mira Road 3500-7800
Worli-Lower Parel 24600-46200
Andheri East 14000-22700
Mira-Bhayandar 6700-11400
Andheri West 9000-31500
11
42
23
64
75
56
37
Micro Market Price Range RankQ3-20
RankQ2-20
Malad-Kandivali 9900-22800
Goregaon 8300-21700
Kanjurmarg-Bhandup 11500-19400
Beyond Mira Road 3500-7800
Mira-Bhayandar 6700-11400
Mulund 13100-21000
Borivali-Dahisar 9100-22200
11
22
53
44
35
66
107
Micro Market Price Range RankQ3-20
RankQ2-20
Top Micromarkets by active listings
Buyers return to Mumbai city limits
The searches for mid-sized homes including 2 BHKand 3 BHK surpassed the 1 BHK configuration, withthe share of 1BHK shrinking from 44% in Q1 of2020 to 37% in Q2, and to 36% in Q3.
"2 BHK homes in Western suburbswas the dominant criteria forproperty searches in Mumbai"
Further, the lowering of Repo rates to 4% in May2020 from 5.15% in Feb 2020 resulted in cheaperhome loans, providing more purchasing power tobuy larger homes or homes within the city limits.
- In Q3 2020, we observed a reduction in searchesfor the peripheral localities such as Nalasopara,Mira-Bhayandar, Vasai-Virar and Boisar. Withmore and more people realizing the benefits ofbetter civic amenities, healthcare facilities andliving close to work places , demand was seenrising for more established and well connectedlocalities.
- Magicbricks data showed an increase in demandfor localities priced between INR 10,000-20,000per sqft such as Andheri, Goregaon, Malad,Kandivali, Borivali, Kurla, Powai and Bandraascribing to the growing IT/ITeS and othercommercial presence surrounding these.
- As per Magicbricks data, market dynamics areenhanced in the Q3 2020 against Q2, with demandalmost in line with the supply across all pricebrackets. Now, as serious buyer enquiries arerising, developers can convert this demand intotransactions by fulfilling the buyers’ requirements.
Notes:1. Demand represents property searches on Magicbricks website during Q3 2020, segregated by Bedroom, Hall, Kitchen (BHK) configuration2. Supply represents active listings on Magicbricks website during Q3 2020, segregated by BHK configuration
Source: Magicbricks Research
2BHK most preferable configuration
Healthy demand-supply dynamics across all price brackets
Notes:1. Demand represents property searches on Magicbricks website during Q3 2020, segregated by price buckets2. Supply represents active listings on Magicbricks website during Q3 2020, segregated by price buckets
Source: Magicbricks Research
Note:1. Above map depicts the key localities of the city, with the size of the bubble depicting demand (consumer preference) /supply (active listings) forproperties in the localities on Magicbricks website in Q3 20202. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by their active listings onMagicbricks in Q3 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by number of searches onMagicbricks in Q3 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Demand/SupplySupply
15,000-20,00025%
10,000-15,00020%
> 20,00033%
< 10,00023%
DEMAND
© magicbricks.com Page 2
Price Analysis Mumbai | July-Sep 2020
Q3 2020 | Price Changes in Key Localities
Locality Avg.Price
PriceChange
Beverly Park
Bhayandar
Bhayandar East
Bhayandar West
Dombivli
Dombivli West
Kalyan
Mira Bhayandar
Mira Road
Mira Road East
Nai Gaon
Naigaon East
Nalasopara
Nalasopara East
Nalasopara West
Ramdev Park
Vasai
0.1%
3.2%
2.3%
-0.1%
5.1%
1.9%
5.4%
-1.4%
-0.3%
0.8%
-2.0%
-1.8%
-0.9%
2.8%
1.6%
-0.4%
-7.5%
6.5%
-5.5%
7.5%
-2.4%
6.7%
1.4%
5,016
4,658
5,015
8,102
6,553
5,187
5,752
8,267
4,644
5,148
4,728
4,836
4,869
8,042
8,544
8,332
5,564
7,328
6,345
9,201
8,414
9,110
8,105
Locality Avg. Price PriceChange
Aarey Milk Colony
Bhandup
Lokhandwala Twp
Bhandup West
Dahisar
Charkop
Jankalyan Nagar
Dahisar East
Vaishali Nagar
Kurar Village
Kurla East
Malad East
Film City Road
Thane
Akurli Nagar
Vikhroli West -7.5%
-6.2%
-4.3%
-4.2%
-1.7%
-1.4%
-1.0%
-0.4%
-0.4%
-0.1%
0.5%
0.5%
1.8%
1.9%
2.2%
7.5%
13,942
14,823
11,242
14,864
14,937
14,624
13,117
12,241
12,265
13,444
14,031
12,996
14,935
14,254
14,921
12,710
Locality Avg.Price
PriceChange
Link Road
Kurla West
Dindoshi
Oshiwara
Dahisar West
Borivali West
Tilak Nagar
Mulund East
Jogeshwari West
Gokuldham
LBS Marg
Powai
Amboli
Hanuman Nagar
Chakala
Goregaon East
-6.2%
-4.6%
-4.2%
-4.0%
-3.5%
-3.5%
-3.2%
-3.0%
-2.8%
-2.8%
-2.5%
-2.3%
-2.3%
-2.2%
-2.1%
-2.0%
-1.8%
-1.8%
-1.6%
-1.3%
-1.0%
-0.9%
-0.7%
-0.7%
-0.6%
-0.3%
-0.3%
-0.2%
0.0%
0.3%
0.3%
0.5%
0.5%
0.7%
0.9%
1.8%
1.9%
2.2%
2.3%
2.6%
3.5%
4.7%
6.7%
7.5%
7.5%
7.5%
16,130
16,828
16,456
18,287
17,723
15,376
16,737
19,731
15,948
15,791
18,962
15,227
16,605
16,312
19,000
15,619
17,986
15,751
15,605
17,895
17,241
15,391
16,656
16,737
15,463
17,043
17,881
16,413
19,125
17,071
16,966
19,261
19,152
18,235
19,413
17,155
16,790
17,270
17,363
16,674
18,201
16,462
17,571
17,040
16,926
17,859
Locality Avg.Price
PriceChange
4 Bunglows
Agripada
Andheri
Andheri Link Road
Andheri West
Bandra
Bandra East
Bandra West
Bhakti Park
BKC
Byculla
Central Area
D.N. Nagar
Dadar
Dadar East
Dadar West
-7.5%
-3.9%
-4.2%
0.9%
1.7%
0.1%
6.1%
4.7%
-2.8%
6.6%
-4.5%
-4.7%
-7.5%
1.7%
-1.4%
-0.2%
-0.9%
-1.0%
5.2%
0.1%
-7.1%
-1.0%
0.8%
7.5%
7.2%
-4.1%
2.6%
-0.6%
-1.8%
-3.0%
-5.4%
3.2%
1.3%
2.8%
3.3%
-4.6%
-0.5%
-7.2%
7.5%
1.1%
-7.5%
6.4%
3.8%
-7.2%
-2.7%
-5.9%
-5.5%
-5.1%
-5.3%
-7.5%
37,198
35,148
33,747
21,123
21,260
31,341
28,555
29,280
20,490
25,487
20,053
45,371
24,455
22,969
33,299
21,942
23,070
34,444
20,625
27,298
27,394
29,306
30,845
34,714
33,165
28,798
34,425
31,196
25,142
36,799
36,145
22,941
35,648
21,118
34,642
27,531
30,355
21,602
24,730
26,030
27,474
21,790
39,313
28,195
32,882
21,706
21,746
20,169
27,349
21,810
< INR 10,000 psf INR 10,000-15,000 psf INR 15,000-20,000 psf > INR 20,000 psf
Note:1. Size of the bubble depicts demand, measured by volume of property searches in localities in Q3 20202. Color of the bubble represents price change in Q3 2020, with green color representing price increase and red color price decrease.3. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
- Predominantly, expensive localities such as Kanjurmarg West, Vikhroli West, Marol and Bandra Kurla Complex witnessed the highest price decline of 6-8%.
- On the back of growing commercial footprint, localities in Eastern suburbs such as Bhandup, Mulund, Kurla and Tilak Nagar saw prices increase by 2-8%.
Source: Magicbricks Research
Note:1. Above is the list of major localities of the city, with information about their average prices and QoQ price changes in Q3 2020. This is an interactive table available on Magicbricks.com under Propindex section.2. The locality prices are calculated by averaging the prices of all properties in a locality in multi-storey and builder floor segment, after removing the outlier properties that might distort the overall prices.3. The four tables above categorize the localities in various price buckets.4. The color of the numbers represents the price change in Q3 2020, with green color representing price increase, red color price decrease, and grey as neutral. Source: Magicbricks Research
Surabhi Arora | Head of Research Devendra Lohmor | Chief Manager Ankur Upadhyay | Data Manager Deepak Rajput | Sr. Research [email protected] [email protected] [email protected] [email protected]
Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
Disclaimer: The data represented above is compiled by MagicBricks from multiple sources. MagicBricks gives no warranty, express or implied, as to the accuracy, reliability, and completeness of any information and does not acceptany liability on the information which may or may not be subject to change from time to time due to Governmental or non Governmental regulations/directions.
For more information and research related queries, please contact:
Thane-Kalyan-Dombivli-5.5%
Mulund East2.3%
Chembur-3.5%
Mulund West-0.3%
Worli-4.2%
Andheri West-5.9%
Malad West-3.5%
Mira Road1.6%
© 2020 Mapbox © OpenStreetMap
-7.5% 7.5%
© magicbricks.com Page 3
-5% -2.5% 0% 2.5% 5%