According to a recent report by Knight Frank, the Hyderabad real estate market has witnessed meagre new launches in the second half of 2017. However, housing sales have remained firm during the period. Home launches hit an all-time low during July-December 2017 with 940 units. A steep dip of 84 percent has been identified as compared to the same period in 2016.
The report adds the implementation of Real Estate (Regulation and Development) Act (RERA) as the primary reason behind such poor number of launches between July and December 2017.
In terms of sales, the residential sector has fared well. However, the total numbers were marginally down compared to the same period in 2016. Demand for ready-to-move-in houses was higher during the second half of 2017. The burden of the Goods and Services Tax (GST) on under construction units were the main reason for such buying preference.
It has also been deduced that developers have also shifted their focus towards building affordable homes. About 40 percent of the total launches were under Rs 50 lakh.