Buoyed by the demand in the affordable segment, residential real estate in India, especially Kolkata, has reported signs of recovery with marked improvement in sales during Jul-Sep 2020. 

As per a recently released report by Knight Frank India, the real estate market of Kolkata, particularly the affordable segment, has witnessed an increase of 139 percent in residential sales in Jul-Sep 2020, as compared to the quarterly average of 2019. In the commercial segment, too, the city has reported a surge of 62 percent in the studied quarter, as compared to the average office space transactions in 2019.  According to the study, active usage of digital platforms helped the developers in garnering buyer interest even amid the times of distress. In addition, lower home loan interest rates helped bolster housing sales.

To apprise, quarterly sales of housing units during the studied quarter stood at 3,921 units. Of all major metros, Chennai reported a substantial growth of 73 percent in residential sales, followed by Pune (60 percent), NCR (57 percent), and Mumbai (50 percent). In terms of commercial real estate, Kolkata recorded 0.2 million sq ft in the studied quarter.

As apprised by Swapan Dutta, Director East, Knight Frank India, several developers have linked their projects with Pradhan Mantri Awas Yojana (PMAY) so that the customers can avail subsidy benefits. Moreover, GST reduction for affordable housing projects has been an added advantage.