Significant decline of 69% in residential property sales in Ahmedabad

Residential sales hit a decade low in the first six months of 2020

Ahmedabad. 16 July 2020, Thursday

During the first half of the calendar year 2020, Ahmedabad saw a significant decline in residential property sales by 3% year-on-year. While office transactions have declined by 12 per cent

According to a half-yearly report released today by Knight Frank India, which operates in the country's property market, office transactions in Ahmedabad fell by 15 per cent in H-1 2020 to 0.5 mnsqft. Even in the new office comparations, the city has a reduction of 8% to 7.5 mnsqft. In H-1 2020, the weighted average transactional rental in the market in Ahmedabad has decreased by about .15%.

During the period under review, home sales in the Ahmedabad residential market declined by 4 per cent to 2,50 units. While Ahmedabad home launching has come down by 3% to 4.5 units. The city's weighted average price rose 1.5 per cent. During this period, Ahmedabad's micro-markets saw a decline in sales, with the South falling by 9 per cent and the North by 4 per cent. In the first six months of 2020, a total of six residences have been sold, which is at a decade low.

The commencement of new construction also declined by 5 per cent to 203 during the period. Developers are offering discounts or other financial offers to sell goods that have resulted in discounts in prices, a report said.

Sales in the office space have also declined by 5 per cent. In the first six months of 2020, a total of 12 million square feet of office space has been sold, which is also a decade low.

If we talk about the second quarter of 2020, the period of lockdown, during this period, the sales of the country's real estate market have declined by 8% and new launches by 30%.

The disruption in revenue due to Corona had a serious impact on the real estate market in Hyderabad, Bengaluru, Mumbai, NCR, Ahmedabad, Chennai and Pune.