After nearly 18 months of slowdown, property developers are looking at marginally increasing the prices of affordable homes. Whether it would help these cash-starved firms to improve their profit margins is yet to be seen, but such a move would send a strong signal that the phase of price correction is over.
Unitech, the countrys second largest property developer, has already increased its apartment prices by Rs 50 a sq ft to Rs 3,000 a sq ft. These projects were launched under the brand names The Residency and Uniworld Garden-II in April and May, under the affordable home category, with unit areas of around 1,000 sq ft. These were one of the few projects that help in reversing the downward trend in the realty space.
We had not thought we will see such a huge success for our mid-income projects. Though the price hike is minimal, it shows our projects are selling quickly, even with increased prices, said Unitech MD Sanjay Chandra. The company is planning to build 20 million sq ft of property in fiscal year 2010.
More : business-standard.com
Send an E-Mail for Delhi Property Enquiry!
Related News from Delhi
This festive season may be a good time to buy your dream home, for property developers are showering discounts.
Most realtors are already advertising cash discounts of 5-10 per cent on upfront payment and buyers can get up to 25 per cent discount if they book properties and are willing to wait for two to three years until possession. According to consultants, developers may even give 15-20 per cent discount on the price as they are eager to clear inventories.
Normally, the October-December period accounts for 60 per cent of the sales. What is worrying developers is the sharp decline in property
NEW DELHI: Hinting at appointment of a price monitoring committee to keep a close watch on the prices of essential commodities in various markets of the Capital, Food and Supplies Minister Raj Kumar Chauhan on Thursday claimed that market intervention by the Delhi Government had led to a fall in prices indicating that there had been an artificial hike.
Asserting that a constant watch was being kept on price movements in various mandis across the Capital, Mr. Chauhan said the prices of tomatoes had already touched Rs.15 to Rs.20 per kg for the best variety and Rs.5 to Rs.10 for
Housing sector is facing a queer situation of pulls from two sides, as the realty players are still holding on to the high prices but potential buyers are deferring purchases on hopes of a price correction, rating agency ICRA has said.
Currently, while property developers are still holding on to these elevated prices, potential home buyers are deferring purchase in anticipation of a price correction, ICRA said in a report.
It added besides high prices and interest rates, another factor that has affected demand for homes during the past one year is the cautious approach that banks have adopted toward
BJP workers on Wednesday blocked traffic at many major intersections in the city in protest against the recent hike in petrol and diesel prices, causing traffic snarls across the capital.
Addressing party workers at Moti Nagar in west Delhi, BJP president Rajnath Singh demanded that either the Congress-led UPA government at the Centre bring the price rise under control or resign.
Prices of petrol and diesel had been increased six times in the last two years. While prices of petrol had jumped 50 per cent, it had increased 45 per cent for diesel, he said.
DLF has slashed rates for one of its upcoming housing projects in its home market Gurgaon by 20%. The move is to discourage existing buyers from defaulting on payment and induce new buying, following cuts in home prices in Bangalore and Chennai. DLFs move is likely to pressure on other developers to bring down property prices in the national capital region, which has not seen many property firms so far coming forward and significantly cutting prices.
The inability to start construction after almost a year of launch, mounting pressure from buyers, rising non-payment of instalments and demand for refund together
