Property registrations in Mumbai surged 78% year-on-year with 9,523 units registered in May, according to data compiled by Knight Frank India. The substantial rise comes on the back of low sales registrations recorded in May 2021 due to the lockdown during the second wave of the pandemic.
On a month-on-month basis, property registrations declined 19%, which could be explained by the advance purchasing by homebuyers until the deadline of March 31, 2022, to potentially save 1% of metro cess cost.
Property sale registrations contributed over Rs 709 crore to state revenue in May. The number of units registered during the month was the best in a decade for May, while monthly state revenue collections were at a 10-year high.
Of the registrations done, 54% were in the price band of Rs 1 crore and over, while in terms of apartment size, houses ranged between 500 and 1,000 sq ft.
Shishir Baijal, chairman and managing director, Knight Frank India, said, “The real estate market in Mumbai held steady despite the pressures of inflation, rising input costs and rise in stamp duty. Owing to a paradigm shift in attitude, homebuyers, who now consider ownership important for long-term stability, were keen on completing their purchases while the affordability remained within the acceptable range. Going forward, while mounting economic pressures will play their part, other factors like rise in household savings and mid- to long-term financial stability as well as strong economic outlook, will help continue the home buying momentum.”