Mumbai’s Brihanmumbai Municipal Corporation jurisdiction marked the highest-ever property revenue collection in the last 10 years for the month of April. A total property sales registration of 9,867 units is over Rs 840 crore to the state exchequer, according to Knight Frank India, a real estate consultancy firm.
The significant revenue growth was pertaining to high-value property transactions compromising about 83 per cent of residential and 17 per cent of non-residential properties.
The total property registrations, however, dipped in April 2023 marking a downward trend at 9,867, 16 per cent year-on-year (YoY). This decline according to Knight Frank India, a real estate consultancy firm is mainly due to two reasons – a spill of registrations from the previous months with 17 per cent of properties registration in April 2022 being filled in March 2022 and a seasonal impact over the last eight years in a decade.
According to reports, the top contributor to April 2023 was the age group between 31 to 45 years, accounting for 44 per cent of all residential property registrations. Subsequently, the number of house buyers under the age of 30 years stood at 12 percent, the one in the 46 to 60 age range at 30 percent and the one over 60 years old at 14 per cent.
Commenting on this remarkable registration, Shishir Baijal, Chairman and Managing Director of Knight Frank India, credited the market vibrancy for benefitting the state exchequer, marking its best April month’s revenue collections.
He said, the YoY registration momentum in April 2023 lowered due to the base effect, and the financial year closing in March played its role in lower MoM numbers following which the month saw a big cheer in the form of a pause in policy interest rate hikes. Thus, providing a breather to homebuyers and keeping their affordability intact played a crucial role in fulfilling their desire to own a home, Baijal added.
Meanwhile, the apartments measuring 500 square feet to 1,000 square feet continued to be purchasers’ preference, accounting for 44 per cent of all apartments in April 2023. A marginal decline was noticed in apartments below 500 square feet by 36 per cent in April 2022 to 32 per cent in April 2023, while the share for apartments larger than 1,000 square feet increased from 17 per cent in April 2022.
On the whole, the two markets of Central and Westerns Suburbs witnessed a robust demand in recent months.