According to the official stats by property brokerage firm Knight Frank India, property registrations in Mumbai amounted for 8,276 units in October 2022, providing over Rs 705 million to state income. In October 2021, the state government received Rs 550 crore from Mumbai.
This rise in registration is remarkable given that affordability has been influenced by different initiatives over the last several months.
“The Diwali season has boosted Mumbai’s property market, which has remained robust despite continuous challenges.” The cost of housing is soaring because of a variety of factors, such as the execution of the metro cess, which enhanced stamp duty by 1%, developers preferring for price increases to combat rising input costs, and a rise in housing mortgage rates as the repo rate increased by 190 basis points in the last two quarters to control inflation pressures. Despite these obstacles, affordability remains favorable of demand, and the residential market fared well in October 2022, as seen by optimistic sentiment in the festival season, according to the research.
“Aside from Diwali 2020, when the stamp duty drop was implemented, Diwali 2022 was the second-best festival season for home sales in Mumbai city.” Regardless of the issues of rising home loan interest rates and property costs, consumers persisted to purchase homes. With revived excitement for house ownership, a supporting economic situation, and a strong domestic economy, we believe the market has room for expansion in housing sales. But, if headwinds build, growth may slow,” says Shishir Baijal, chairman and managing director of Knight Frank India.
The RBI’s latest successive rate rises have momentarily slowed the real estate sector’s growing pace. There is genuine demand for houses in the MMR market, and if the united states decided to keep costs in check, we are going to experience a bull run in the coming months,” says Ram Naik, director of The Guardians Real Estate Advisory.
“This Christmas season Mumbai has experienced mild property registrations notwithstanding the hike in loan rates and rise in property prices,” says Pritam Chivukula, co-founder and director of Tridhaatu Realty and Treasurer of CREDAI MCHI.
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