Ready-to-move-in Supply in NCR

Ready-to-move-in Supply in NCR

• QuikrHomes data indicates that out of the total new launches since the year 2013, nearly 16 per cent of the projects are slated to be completed and ready-to-move-in anytime in 2016. While nearly 84 per cent of these are still under-construction in NCR.

• Interestingly, talking about the market segmentation, majority of this ready-to-move-in supply in NCR is in the affordable segment(<60 lakhs), followed by mid-segment (Rs 61 lakhs – Rs 1 crore) and luxury segment (>Rs 1 crore).

Fig. 1: Residential Supply Trend in NCR

• Fig. 1 indicates that approximately 560 projects comprising nearly 3,10,000 units are expected to be ready for possession in 2016. These projects have been launched since the year 2009. Out of the total unit launches since 2009, nearly 25 per cent are already completed while 30 per cent are slated to be completed within 2016. Remaining 45 per cent will be ready for possession from 2017 onwards.

What do Buyers Want?

As per the recent consumer survey titled “Consumer Sentiments Survey H2 2016”, as many as 89 per cent respondents in NCR voted for ready-to-move-in as the most preferred stage for property buying, followed by a mere 11 per cent prospective buyers voting for under-construction properties. This clearly reflects that buyers in NCR are taking a more cautious approach these days.

Table 1:Top 5 micro markets with maximum ready-to-move-in supply in 2016

Source: QuikrHomes data

Table 1 indicates the top 5 markets that will see maximum ready-to-move-in supply in Delhi-NCR in 2016. These include the projects that were launched from 2013 onwards and are expected to be completed anytime during 2016.

NCR vs Other Cities

QuikrHomes research clearly indicates that the situation in NCR is at par with almost all the other metros. At present, maximum projects across metros are in the under-construction stage. While many projects have been delayed due to unforeseen circumstances, it is anticipated that with the Real Estate Regulatory Act in place, builders will essentially focus on completing their previously launched projects. This will also boost buyers’ confidence in carrying a transaction in under-construction projects.

Note: The ready-to-move-in supply has been considered based on the completion date provided by the builder.