Both the regions contributed 55% share of the overall new budget housing supply between 2014 and 2018.
Property markets of Mumbai Metropolitan Region (MMR) and National Capital Region (NCR) have witnessed a major shift as both new supply and housing sales have led the thrust of affordable housing over the last five years since 2014.
Both the regions contributed 55% share of the overall new budget housing supply between 2014 and 2018. The total number of units launched, during this period, around 3.98 lakh were budget homes. NCR and MMR MMR contributed the highest share of sales also at 57%, showed a report by ANAROCK Property Consultants.
“The ‘Housing for All by 2022’ mission threw a much-needed lifeline to the affordable housing segment. The term ‘affordable’ has become respectable and builders who earlier shied away from it now hold huge portfolios in this category. This segment grew tremendously on the back of multiple sops introduced to both buyers and developers over the last five years,” said Anuj Puri, Chairman, ANAROCK Property Consultants.
Among various measures, the government has provided affordable housing infrastructure status, and it has also expanded the definition of affordable housing to accommodate more units under this key category.
According to Puri, the anticipated 8-10% annual growth of this segment is also luring investors. The data further suggests that out of the total 15.3 lakh units launched across the top 7 cities between 2014 and 2018, affordable housing contributed about 6 lakh units or 39% of the overall supply. The rise in affordable housing supply has also helped improve sales numbers in later years, indirectly resulting in a 16% drop in unsold inventory between 2016 and 2018.
The government’s flagship mission of providing one crore homes to the urban poor by 2022 under Pradhan Mantri Awas Yojana (PMAY) was squarely in the spotlight during this five-year period. As on date, 79% homes have already been sanctioned but the pace of development needs to pick up.