propinde2 s magicbricks · larger homes gaining popularity in mumbai with the covid-19 crisis...

PropIndex | Magicbricks MumbaiJuly-Sep 2020

Residential Market Insights

Larger homes gaining popularity in Mumbai

With the COVID-19 crisis underlining the importance of owning a house, Mumbai witnessed a significant increase ofaround 52% in searches for residential homes in Q3 2020 that had in fact decreased by around 37% in Q2 2020.

As majority of builders focused on completing ongoing projects with very few new launches, the city inventoryoverhang has been reducing gradually which is likely to help the stagnant market in the long run.

The State Government’s decision to reduce the stamp duty in Mumbai to 2% (from 5% earlier) till December 2020,along with NAREDCO-member developers’ offer to absorb the remaining 2% stamp duty till September 2020 is likelyto provide the supply side push to the market, especially with festive season around the corner.

Market DynamicsParameters India Mumbai

Demand+ 53% 52%Supply++ -9% -17%Price Index+++ 0.3% -0.1%

Notes:Above parameters represent QoQ change in Q3 2020 atIndia and city level + change in volume of property searches ++ change in volume of active listings +++ change in the weighted average price

Source: Magicbricks Research

Ready to Move Price Index

2016

2017

2018

2019

2020

2021

14,000

16,000

18,000

20,000

22,000

Average Price INR per sqft

"Increasingpreference towardsReady-to-Moveproperties loweredthe decline in RMprices against Q2

2020"

5 Years YoY QoQ

-0.1%-1.6%-2.5%

Notes:1. Ready to move price index represents the weighted average price of completed properties on Magicbricks website as on Sep 20202. The trend line represents the average prices of dominant asset class in each locality of the city. Source: Magicbricks Research

Key Developers based on activelistings

Lodha Group

Kanakia Spaces Realty

Runwal Developers

Oberoi Realty

Sunteck Realty

JP Infra

Chandak Group

Kalpataru

The Wadhwa Group

Godrej Properties

L&T Realty #

#

#

#

#

#

#

#

#

#

#

Note: The above table represents the top developers byshare of active listings on Magicbricks website in Q32020


Under Construction Price Index

2016

2017

2018

2019

2020

2021

14,000

16,000

18,000

20,000

22,000

Averge Price INR per sqft

"Under Constructionprices marginally

declined YoY owing toweak economicconditions"

5 Years YoY QoQ

-0.7%-2.2%6.7%

Note:1. Under-construction price index represents the weighted average price of under-construction properties on Magicbricks website as on Sep 20202. The trend line represents the average prices of dominant asset class in each locality of the city.


Key Projects

Project Name Locality

Omkar 1973 Worli

Interface Heights Malad West

Lodha Fiorenza Goregaon East

Galaxy Heights CHS Malad West

Alpine Shapoorji Thakur Village

Evershine Crown Thakur Village

Runwal Greens Mulund West

One Avighna Park Lower Parel

Lodha The Park Worli

Raheja Exotica Madh

Note:The above table represents the top projects by consumerpreference on Magicbricks website in Q3 2020


Average changes in prices for localities in various price segments

< 10,000 10,000-15,000 15,000-20,000 > 20,000

RM UC RM UC RM UC RM UC

1.0%

0.2%

-0.8%

0.0%-0.2%

0.2%

-0.9%

-2.3%

"Localities with pricesabove INR 20,000 persqft witnessed

maximum price declineof about 1-2%"

Note:Above table represents the price changes for Ready to move (RM) and Under construction (UC) properties for dominant asset classes in each locality under various pricebuckets as on Sep 2020


In The News

- The Exclusion Plan cleared in Sept2020 would allow residentialdevelopment on around 9,150 acres ofland earlier marked as No DevelopmentZone in the suburbs. This would resultin an influx of affordable housing unitsin areas such as Dindoshi, Malad,Charkop, Vikhroli, Nahur, and Mulund.

- According to secondary sources, theGovernment has proposed to reducethe Ready Reckoner rates, along with a10-15% reduction (from 40% currently)in FSI premium payable by builders.This will help inn bringing down theoverall cost.

© magicbricks.com Page 1

Demand Supply Analysis Mumbai | July-Sep 2020

1 BHK36%

2 BHK38%

3 BHK21%

Above 3 BHK5%

DEMAND

Above 3 BHK5%

3 BHK23%

2 BHK42%

1 BHK30%

SUPPLY

15,000-20,00028%

10,000-15,00020%

> 20,00033%

< 10,00019%

SUPPLY

Thane-Kalyan-Dombivli

Naigaon East

Ambernath

Vasai West

Mulund West

Mira Road

Chembur

Andheri West

Worli

Thakur Village

Goregaon East

Kanjurmarg East

Malad West

© 2020 Mapbox © OpenStreetMap

Propensity of demand and supply in terms of searches andlistings by localities

Top Micromarkets by Consumer Searches

Malad-Kandivali 9900-22800

Goregaon 8300-21700

Beyond Mira Road 3500-7800

Worli-Lower Parel 24600-46200

Andheri East 14000-22700

Mira-Bhayandar 6700-11400

Andheri West 9000-31500

11

42

23

64

75

56

37

Micro Market Price Range RankQ3-20

RankQ2-20

Malad-Kandivali 9900-22800

Goregaon 8300-21700

Kanjurmarg-Bhandup 11500-19400

Beyond Mira Road 3500-7800

Mira-Bhayandar 6700-11400

Mulund 13100-21000

Borivali-Dahisar 9100-22200

11

22

53

44

35

66

107

Micro Market Price Range RankQ3-20

RankQ2-20

Top Micromarkets by active listings

Buyers return to Mumbai city limits

The searches for mid-sized homes including 2 BHKand 3 BHK surpassed the 1 BHK configuration, withthe share of 1BHK shrinking from 44% in Q1 of2020 to 37% in Q2, and to 36% in Q3.

"2 BHK homes in Western suburbswas the dominant criteria forproperty searches in Mumbai"

Further, the lowering of Repo rates to 4% in May2020 from 5.15% in Feb 2020 resulted in cheaperhome loans, providing more purchasing power tobuy larger homes or homes within the city limits.

- In Q3 2020, we observed a reduction in searchesfor the peripheral localities such as Nalasopara,Mira-Bhayandar, Vasai-Virar and Boisar. Withmore and more people realizing the benefits ofbetter civic amenities, healthcare facilities andliving close to work places , demand was seenrising for more established and well connectedlocalities.

- Magicbricks data showed an increase in demandfor localities priced between INR 10,000-20,000per sqft such as Andheri, Goregaon, Malad,Kandivali, Borivali, Kurla, Powai and Bandraascribing to the growing IT/ITeS and othercommercial presence surrounding these.

- As per Magicbricks data, market dynamics areenhanced in the Q3 2020 against Q2, with demandalmost in line with the supply across all pricebrackets. Now, as serious buyer enquiries arerising, developers can convert this demand intotransactions by fulfilling the buyers’ requirements.

Notes:1. Demand represents property searches on Magicbricks website during Q3 2020, segregated by Bedroom, Hall, Kitchen (BHK) configuration2. Supply represents active listings on Magicbricks website during Q3 2020, segregated by BHK configuration


2BHK most preferable configuration

Healthy demand-supply dynamics across all price brackets

Notes:1. Demand represents property searches on Magicbricks website during Q3 2020, segregated by price buckets2. Supply represents active listings on Magicbricks website during Q3 2020, segregated by price buckets


Note:1. Above map depicts the key localities of the city, with the size of the bubble depicting demand (consumer preference) /supply (active listings) forproperties in the localities on Magicbricks website in Q3 20202. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.


Note:1. Top micro-markets of the city, ranked by their active listings onMagicbricks in Q3 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.


Note:1. Top micro-markets of the city, ranked by number of searches onMagicbricks in Q3 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.


Demand/SupplySupply

15,000-20,00025%

10,000-15,00020%

> 20,00033%

< 10,00023%

DEMAND


Price Analysis Mumbai | July-Sep 2020

Q3 2020 | Price Changes in Key Localities

Locality Avg.Price

PriceChange

Beverly Park

Bhayandar

Bhayandar East

Bhayandar West

Dombivli

Dombivli West

Kalyan

Mira Bhayandar

Mira Road

Mira Road East

Nai Gaon

Naigaon East

Nalasopara

Nalasopara East

Nalasopara West

Ramdev Park

Vasai

0.1%

3.2%

2.3%

-0.1%

5.1%

1.9%

5.4%

-1.4%

-0.3%

0.8%

-2.0%

-1.8%

-0.9%

2.8%

1.6%

-0.4%

-7.5%

6.5%

-5.5%

7.5%

-2.4%

6.7%

1.4%

5,016

4,658

5,015

8,102

6,553

5,187

5,752

8,267

4,644

5,148

4,728

4,836

4,869

8,042

8,544

8,332

5,564

7,328

6,345

9,201

8,414

9,110

8,105

Locality Avg. Price PriceChange

Aarey Milk Colony

Bhandup

Lokhandwala Twp

Bhandup West

Dahisar

Charkop

Jankalyan Nagar

Dahisar East

Vaishali Nagar

Kurar Village

Kurla East

Malad East

Film City Road

Thane

Akurli Nagar

Vikhroli West -7.5%

-6.2%

-4.3%

-4.2%

-1.7%

-1.4%

-1.0%

-0.4%

-0.4%

-0.1%

0.5%

0.5%

1.8%

1.9%

2.2%

7.5%

13,942

14,823

11,242

14,864

14,937

14,624

13,117

12,241

12,265

13,444

14,031

12,996

14,935

14,254

14,921

12,710

Locality Avg.Price

PriceChange

Link Road

Kurla West

Dindoshi

Oshiwara

Dahisar West

Borivali West

Tilak Nagar

Mulund East

Jogeshwari West

Gokuldham

LBS Marg

Powai

Amboli

Hanuman Nagar

Chakala

Goregaon East

-6.2%

-4.6%

-4.2%

-4.0%

-3.5%

-3.5%

-3.2%

-3.0%

-2.8%

-2.8%

-2.5%

-2.3%

-2.3%

-2.2%

-2.1%

-2.0%

-1.8%

-1.8%

-1.6%

-1.3%

-1.0%

-0.9%

-0.7%

-0.7%

-0.6%

-0.3%

-0.3%

-0.2%

0.0%

0.3%

0.3%

0.5%

0.5%

0.7%

0.9%

1.8%

1.9%

2.2%

2.3%

2.6%

3.5%

4.7%

6.7%

7.5%

7.5%

7.5%

16,130

16,828

16,456

18,287

17,723

15,376

16,737

19,731

15,948

15,791

18,962

15,227

16,605

16,312

19,000

15,619

17,986

15,751

15,605

17,895

17,241

15,391

16,656

16,737

15,463

17,043

17,881

16,413

19,125

17,071

16,966

19,261

19,152

18,235

19,413

17,155

16,790

17,270

17,363

16,674

18,201

16,462

17,571

17,040

16,926

17,859

Locality Avg.Price

PriceChange

4 Bunglows

Agripada

Andheri

Andheri Link Road

Andheri West

Bandra

Bandra East

Bandra West

Bhakti Park

BKC

Byculla

Central Area

D.N. Nagar

Dadar

Dadar East

Dadar West

-7.5%

-3.9%

-4.2%

0.9%

1.7%

0.1%

6.1%

4.7%

-2.8%

6.6%

-4.5%

-4.7%

-7.5%

1.7%

-1.4%

-0.2%

-0.9%

-1.0%

5.2%

0.1%

-7.1%

-1.0%

0.8%

7.5%

7.2%

-4.1%

2.6%

-0.6%

-1.8%

-3.0%

-5.4%

3.2%

1.3%

2.8%

3.3%

-4.6%

-0.5%

-7.2%

7.5%

1.1%

-7.5%

6.4%

3.8%

-7.2%

-2.7%

-5.9%

-5.5%

-5.1%

-5.3%

-7.5%

37,198

35,148

33,747

21,123

21,260

31,341

28,555

29,280

20,490

25,487

20,053

45,371

24,455

22,969

33,299

21,942

23,070

34,444

20,625

27,298

27,394

29,306

30,845

34,714

33,165

28,798

34,425

31,196

25,142

36,799

36,145

22,941

35,648

21,118

34,642

27,531

30,355

21,602

24,730

26,030

27,474

21,790

39,313

28,195

32,882

21,706

21,746

20,169

27,349

21,810

< INR 10,000 psf INR 10,000-15,000 psf INR 15,000-20,000 psf > INR 20,000 psf

Note:1. Size of the bubble depicts demand, measured by volume of property searches in localities in Q3 20202. Color of the bubble represents price change in Q3 2020, with green color representing price increase and red color price decrease.3. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.

- Predominantly, expensive localities such as Kanjurmarg West, Vikhroli West, Marol and Bandra Kurla Complex witnessed the highest price decline of 6-8%.

- On the back of growing commercial footprint, localities in Eastern suburbs such as Bhandup, Mulund, Kurla and Tilak Nagar saw prices increase by 2-8%.


Note:1. Above is the list of major localities of the city, with information about their average prices and QoQ price changes in Q3 2020. This is an interactive table available on Magicbricks.com under Propindex section.2. The locality prices are calculated by averaging the prices of all properties in a locality in multi-storey and builder floor segment, after removing the outlier properties that might distort the overall prices.3. The four tables above categorize the localities in various price buckets.4. The color of the numbers represents the price change in Q3 2020, with green color representing price increase, red color price decrease, and grey as neutral. Source: Magicbricks Research

Surabhi Arora | Head of Research Devendra Lohmor | Chief Manager Ankur Upadhyay | Data Manager Deepak Rajput | Sr. Research [email protected] [email protected] [email protected] [email protected]

Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.

Disclaimer: The data represented above is compiled by MagicBricks from multiple sources. MagicBricks gives no warranty, express or implied, as to the accuracy, reliability, and completeness of any information and does not acceptany liability on the information which may or may not be subject to change from time to time due to Governmental or non Governmental regulations/directions.

For more information and research related queries, please contact:

Thane-Kalyan-Dombivli-5.5%

Mulund East2.3%

Chembur-3.5%

Mulund West-0.3%

Worli-4.2%

Andheri West-5.9%

Malad West-3.5%

Mira Road1.6%

© 2020 Mapbox © OpenStreetMap

-7.5% 7.5%


-5% -2.5% 0% 2.5% 5%

propinde2 s magicbricks · larger homes gaining popularity in mumbai with the covid-19 crisis...

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