The property prices in Delhi-NCR have dropped by an average of 1% on compared with the property prices of the last quarter with the antecedent quarters of 2015. While the housing markets of major satellite cities of NCR like Noida, Delhi, besides the emerging stretch Greater Noida witnessed a minimal 1% dip, Gurgaon witnessed a severe 2% dip in the last quarter, revealed a report.
The discrepancy between the splurging demand and the supply has been accounted as the primary reason for this downfall. Developers flipping the money of a project to coming up with multiple projects have paved the way to the housing markets to suffer this price dip as an aftermath of unsold inventory. However, the report also said that Greater Noida witnessed a splurge in affordable homes and office spaces.
The developers are also indulging in buying more land parcels to come up with new inventories. As ‘cash is the king’, in order to improve the liquidity, builders are also entering into Joint Ventures (JV) to improve efficiency while launching new projects when the markets witness a splurge.
However, the market is expected to bottom out soon and can be expected to bring more fervor to the housing market. The cabinet had approved the Real Estate Regulatory Bill by the end of last year and is widely anticipated to come up in the Parliament for the final approval. This will enable a status quo to the situation by boosting more projects and growth of real estate.