Housing sales which had hit rock bottom during the pandemic period are bouncing back to normalcy. As per Kerala Real Estate Regulatory Authority (K-RERA), there has been a rise in the number of new projects and drop in unsold units since April.
As many as 95 new projects were registered with the K-RERA in the second and third quarters of 2022 compared to 50 during the corresponding period last year.
While Q2 saw 48 new projects, 47 were registered in the Q3. The figures were 22 and 28, respectively, last year.
The number of unsold properties declined in October pointing to a resurgence in residential demand. 5BHK units and above seem to be the most moving segment now with nearly 80% of them getting buyers — a steep climb from 56% in February.
The number of unsold homes has come down in other categories as well. The sales percentage of 3BHK units is now 52 and 4BHK units 51. Villas and 1 BHK are the worst performers with 20% and 36% sales, respectively.
K-RERA chairman P H Kurian said the rise in the number of new projects reflects the increasing demand. “Realty sector is gaining momentum as is evident from the rise in new projects and drop in unsold inventory. Now, it is time for efforts to sustain this upward trend,” he said.
CREDAI Kerala chairman M A Mehaboob said many people, including NRIs, who had put their plans on hold due to the pandemic are turning up now.
“The number of new projects would have been higher if not for the steep rise in construction material prices. Builders are finding it hard to complete committed projects. We have to hand over projects at the previously agreed prices though the cost went up by at least Rs 1,000 per square feet compared to the 2021 financial year,” he said.
