- Bangalore’s realty saw significant improvement in site visits, enquiries and sales in Oct-Dec 2020.
- The city witnessed about 45 percent hike in sales volume in Oct-Dec 2020 vs Jul-Sep 2020.
- Attractive offers, such as EMI-holiday scheme, free car/modular kitchen/gold coins etc., helped in higher sale conversions for 2BHK homes priced at Rs 50 – 75 lakh and 3 BHK homes priced at Rs 75 lakh – 1 Cr, this quarter.
- With around 10.6 million sq ft, Bangalore topped the charts for flexible office space inventory in India.
- The city witnessed a hike of eight percent, YoY, i.e. 7.5 million sq ft, in leasing activities in H2 2020.
- Bangalore accounted for 11 percent of the total residential launches across the top eight metro cities in India.
- The enquiries and offtake for rental homes, including paying guest accommodations and co-living spaces, were low as the migrant population continued to operate from their hometowns.
* Supply is basis properties listed on 99acres.com * Demand is basis queries received on 99acres.com
Bangalore’s realty saw significant improvement in site visits, enquiries and sales in the Oct-Dec 2020 quarter. The gradual recovery, post lockdown, was evident with the enquiries reaching pre-COVID levels. Serious homebuyers preferred physical site visits before finalising sale deals.
The delay in completion of underconstruction units retained buyers’ interest towards ready homes. With builders rolling out attractive offers during the festive season, the fencesitters were encouraged to close deals. The city witnessed about 45 percent hike in sales volume in Oct-Dec 2020 vs Jul-Sep 2020. With the current economic slowdown and job insecurities, it will take a few months for the city to match the pre-COVID sale figures.
About 44 residential projects were launched in Bangalore this quarter. Category A developers launched around 10 projects priced beyond Rs 75 lakh. Many builders relied on virtual launches in the wake of COVID-19 pandemic. The city held the fourth largest share in the overall launches across the top eight metro cities in India.
Further, Karnataka RERA added four new benches to clear about 2,500 pending complaints. The authority has planned to take up on-site verification of all the registered projects to ensure accuracy of the details. Karnataka RERA’s consistent efforts towards instilling transparency may help propel market sentiment towards the under-construction segment in the ensuing quarters.
Key micro-markets across budget segments
|Key micromarkets||Average Capital 'Asks'||Average Rental 'Asks'||Rental Yield|
|Within Rs 40 lakh||Electronic City||3,940-5,030||15||3.64%|
|Rs 40 lakh - Rs 1 crore||Yelahanka||4,710-5,780||14||3.29%|
|Rs 1 crore and above||Whitefield||4,940-6,470||19||3.52%|
* Note: Rental Yield has been calculated for a 1,000 sq ft apartment. **Average property prices and rental rates have been calculated as per listings posted on 99acres.com in the studied quarter. ***The range of property prices may vary by 10 percent depending on the age and furnishing status of the residential apartments