Delayed by 30 months and not ready yet! This is the status quo of ready-to-move residential units in Mumbai.

The developers' body Confederation of Real Estate Developers Association of India (CREDAI) and JLL India have done a study in Mumbai, which tells that ready-to-move yet unsold flats in the region comprise of 3.5% of total unsold property. The total value of the unsold inventory is over Rs 2,430 crore, suggests an Economic Times report.

The report quotes Navi Mumbai as the most adversely affected part of Mumbai metropolitan.

On the one hand, where the property extend went beyond thirty months, the other side stresses on the fact that most of the parts are not yet ready to occupy. The report also suggested that even after providing various discounts and offers, the project could not fetch ample buyers.

Navi Mumbai, for instance, has to sell 8.13% ready-to-occupy flats of total unsold inventory. Mumbai and Thane however are ready to offer possessions with 1.10% and 1.33% respectively of the total inventory. Only 2,600 of the total unsold inventory of 77,460 residential units have been completed in Mumbai as well as Thane and Navi Mumbai.

Of the total unsold inventory, 5,311 units are priced above Rs 5 crore, nearly 17,000 are priced between Rs 2 and Rs 5 crore. Over 35,700 units are priced between Rs 65 lakh and Rs 2 crore, while 19,500 units are priced below Rs 65 lakh.

"There is slow absorption due to buyers holding on to their purchase decisions with the expectation of a price correction in this weak market. It also goes on to show how buyers prefer to buy into completed projects. Also, the market has become largely end-user driven and investors no longer park funds in residential real estate as the high returns that it was once known for, have considerably diminished," told Ashutosh Limaye, national director, research, JLL India.

Image: indiatimes