Photo: IENS

Bombay: The real estate sector is booming with a lot of interest for home buyers to make their property purchases despite inflation and rising interest rate scenarios. The city of Mumbai (BMC region) recorded property sale registrations of 8,351 units in August, contributing over ₹633 crore to state revenue as assessed by Knight Frank India. Home buyers prefer the price range of Rs. 1 Crore while in terms of apartment size, an area of ​​500 to 1000 square feet is eagerly awaited. State revenue from property registrations is up 50% year-over-year (YoY), the real estate consultancy firm said.

Speaking of interest rate hike scenarios, the repo rate hike of 140 basis points, leading to higher home loan rates, and the stamp duty increase impacted buyers’ sentiments. However, the pull and desire to have one’s own abode has always been strong. The momentum of home sales in Mumbai remained relatively strong and recorded a growth of 23% compared to the same period last year.

For property developers and buyers alike, the upcoming festival season is a big beacon of hope. Buyers and developers will be keen to see real estate growth during the festivities. Buying a house is one of the key purchases that are heavily considered during festival times and hence the demand will increase in the coming quarters.

Stocks that could benefit from a revival in Mumbai Real Estate

Mumbai-based organized property developers would benefit from a pick-up in home sales. The following Mumbai-listed real estate companies will be in focus:

-Plans to develop a luxury residential project

– Robust launch pipeline

-leveraging its strong balance sheet to further develop the business

-Continued adoption of sustainability measures

Macrotech Developers (Lodha):

-Successful launch of a new residential project

-Increase in residential prices + Debt reduction

-Entry to the Bangalore market

-The consumer-driven momentum was seen in business

-The commercial and retail portfolio also rebounded

– Positive free cash in 1Q

Aggressive evaluation of projects for BD

At least one new project launched in Q2 and Q3