The Census 2011, shows that supposedly almost 10% of Mumbai’s housing stock is vacant-
around 4.6lac residences..
Also presently there is almost 112 million Sq/ft of area lying as new unsold inventory
So there is an abundance of available housing stock !!
But sadly Census 2011 also says that Mumbai has among the worst records in the state and perhaps nationally for the huge number of people who don’t possess their own homes.
“The state average for ownership of houses is 81 per cent.
In comparison, Mumbai city (67 per cent), Mumbai suburban (75 per cent) and Thane (72 per cent) have the least number of ownership houses of the 35 districts in the state.
Even the state’s most under-developed districts such as Nandurbar, Gadchiroli and Osamabad--that are most deprived of basic facilities such as access to clean drinking water or sanitation--have 90 per cent or more of its population owning houses”. (TOI, 16th March12)
Mumbai is also the costliest, with the average price of a flat now being Rs1.09 crore, where the price per square feet of area is Rs10,500 on an average.
So the sad moral of the story is that there is a huge demand for residential space in Mumbai and there is also a huge available stock....
Most builders are continuing building 2, 3, 4 BHK flats. They don’t seem to understand that the market demand. A huge number of projects are stuck at various stages for lack of buyers who just cannot afford to buy into these golden pigeon holes.
The problem appears to lie, in the builders GREED for higher profitability. The asset bubble is growing at an alarming rate.
I can only see a dark horizon as of now –
There are so many product & service companies associated with the Reality industry... all these are going to take a huge hit.
I predict labour retrenchment beginning 6 months from now ( in Mumbai) if the situation does not improve soon....
I pray that my predictions don’t come true !!
around 4.6lac residences..
Also presently there is almost 112 million Sq/ft of area lying as new unsold inventory
So there is an abundance of available housing stock !!
But sadly Census 2011 also says that Mumbai has among the worst records in the state and perhaps nationally for the huge number of people who don’t possess their own homes.
“The state average for ownership of houses is 81 per cent.
In comparison, Mumbai city (67 per cent), Mumbai suburban (75 per cent) and Thane (72 per cent) have the least number of ownership houses of the 35 districts in the state.
Even the state’s most under-developed districts such as Nandurbar, Gadchiroli and Osamabad--that are most deprived of basic facilities such as access to clean drinking water or sanitation--have 90 per cent or more of its population owning houses”. (TOI, 16th March12)
Mumbai is also the costliest, with the average price of a flat now being Rs1.09 crore, where the price per square feet of area is Rs10,500 on an average.
So the sad moral of the story is that there is a huge demand for residential space in Mumbai and there is also a huge available stock....
Most builders are continuing building 2, 3, 4 BHK flats. They don’t seem to understand that the market demand. A huge number of projects are stuck at various stages for lack of buyers who just cannot afford to buy into these golden pigeon holes.
The problem appears to lie, in the builders GREED for higher profitability. The asset bubble is growing at an alarming rate.
I can only see a dark horizon as of now –
There are so many product & service companies associated with the Reality industry... all these are going to take a huge hit.
I predict labour retrenchment beginning 6 months from now ( in Mumbai) if the situation does not improve soon....
I pray that my predictions don’t come true !!