propindex | magicbricks · 2 days ago · propindex | magicbricks residential market insights...

PropIndex | Magicbricks

Residential Market Insights

Affordability and NRI investments to steer housing sales amid COVID induced slowdown

Over the past few years, Ahmedabad gained better traction in affordable and mid-segment housing driven by itsstrong commercial market but took a hit at the backdrop of COVID-19. As a result, the city saw a slump in sales aswell as halt in new launches. Due to labor shortage, developers found it difficult to resume construction and theGujarat RERA exended project completion timelines by six months to support developers.

Although Ahmedabad observed a steady price rise over the past 2-3 years, Q2 2020 saw noticeable price declineacross most of the localities. Halt in sales activity led to the favoured localities of South Bopal, Prahlad Nagar,Satellite, Naranpura and Ghatlodiya, witnessing a price dip of 4 to 7.5%.

5 YearChange YoY QoQ

-3.5%0.4%13.0%

5 YearChange YoY QoQ

-0.6%3.9%14.4%

“Under-construction(UC) prices stoodstable, as developershad little scope to cutprices amidst risinginput costs and meeksentiments"

AhmedabadApr-Jun 2020

Parameters India Ahmedabad

Demand+ -27% -51%Supply++ -43% -39%Price Index+++ -1.5% -3.5%

“Ready-to-move-in(RM) properties

registered a price fall of3.5%, eroding YoY price

gains”

Notes:Above parameters represent QoQ change in Q2 2020 atIndia and city level + change in the volume of property searches ++ change in the volume of active listings +++ change in the weighted average price

Source: Magicbricks Research

Godrej Properties

Adani Realty

Gala Group

Goyal & Co.

JP Iscon Group

Kavisha Corporation

Shaligram Buildcon

Shivalik Group

Sun Builders

Swati Procon

Godrej Garden City SG Highway

Adani Shantigram SG Highway

Swaminarayan Park Naroda

Casa Vyoma Vastrapur

Bakeri City Vejalpur

Satyesh Residency Bopal

Shree Balaji Wind Park Vaishno Devi

Goyal Intercity Memnagar

Umang Narol Narolgam

Shree Narayan lotus Chandkheda

Average changes in prices for localities in various price segments

Market Dynamics

Ready to Move Price Index

Under Construction Price Index

- Upcoming projects, such as Metro Rail,Mumbai-Ahmedabad Bullet Train, andAhmedabad-Dholera Highway to boostoverall connectivity and spurresidential growth across Vastral,Thaltej, Chandkheda, Paldi and Vasnaareas.

- Recently approved new Town Planningschemes to drive urban infrastructuredevelopment in outskirts, includingKalana, Sanathal and Chharodi.

- State government considering a 1-3%cut in stamp duty and registration feesto encourage housing demand.

“All Ready-to-moveprice brackets had pricedecline of 2-4%, thoughaffordable segment was

harder hit”

Key Trends to Watch Out

2014

2015

2016

2017

2018

2019

2020

2,000

3,000

4,000

5,000

2014

2015

2016

2017

2018

2019

2020

2,000

3,000

4,000

5,000

Price Bracket (INR per sqft)

< 4,000 4,000-5,000 5,000-6,000 > 6,000

RM UC RM UC RM UC RM UC

-0.3%

-4.0%

-0.4%

-4.1%

-1.6%

-3.4%

-2.2%-1.9%

Key Projects

Key Developers based on activelistings

Project Name Locality

Average Price INR per sqft

Average Price INR per sqft

Note: The above table represents the top developers byshare of active listings on Magicbricks website in Q2 2020


Note:The above table represents the top projects by consumerpreference on Magicbricks website in Q2 2020


Notes:1. Ready to move price index represents the weighted average price of completed properties on Magicbricks website as on June 20202. The trend line represents the average prices of dominant asset class in each locality of the city. Source: Magicbricks Research

Note:1. Under-construction price index represents the weighted average price of under-construction properties on Magicbricks website as on June 20202. The trend line represents the average prices of dominant asset class in each locality of the city.


Note:Above table represents the price changes for Ready to move (RM) and Under construction (UC) properties for dominant asset classes in each locality under various pricebuckets as on June 2020


Page 1© magicbricks.com

Above 3 BHK9%

3 BHK31%

2 BHK47%

1 BHK14%

DEMAND

Demand Supply Analysis Ahmedabad | Apr-Jun 2020

Demand-supply mostly matching except in the lowest price bracket

2 BHKs highest in demand while 3 BHKs top the supplyDemand moving to smaller apartmentconfigurations

As the pandemic reaffirmed the importance ofhome ownership, the city witnessed higherconcentration of residential demand within theaffordable segment.

“2 and 3 BHK configurationscontinue to dominate consumersearches, accounting for almost50% and 30%, respectively.”

- 2 BHK properties faced a clear demand-supplymismatch, as against 47% searches, the availablelistings were only 32%.

- About 60% of the demand and 50% of the supplyattributed to ‘less than INR 4,000 per sqft’ pricebracket, which formed a major chunk ofAhmedabad’s residential landscape for thequarter

- SG Highway, Bopal and Satellite remained thetop three micro-markets for two consecutivequarters, on the back of excellent connectivity,proximity to work places and presence ofdeveloped amenities, in addition to affordablepricing.

- Ahmedabad’s expansion to peripheral suburbs,such as South Bopal, Gota, Vaishno Devi, Ranip,Naroda, Nikol, Vastral and Maninagar garneredsubstantial interest from buyers as well asdevelopers who look for affordability andcheaper land parcels.

Top Micromarkets by consumersearches

Propensity of demand and supply in terms of searches andlistings by localities

Above 3 BHK18%

3 BHK44%

2 BHK32%

1 BHK7%

SUPPLY

5,000-6,00014%

4,000-5,00021%

> 6,00017%

< 4,00048%

SUPPLY Price buckets in INR per sqft

Top Micromarkets by active listings

5,000-6,00012%

4,000-5,00019%

> 6,00010%

< 4,00059%

DEMAND Price buckets in INR per sqft

Notes:1. Demand represents property searches on Magicbricks website during Q2 2020, segregated by Bedroom, Hall, Kitchen (BHK) configuration2. Supply represents active listings on Magicbricks website during Q2 2020, segregated by BHK configuration


Notes:1. Demand represents property searches on Magicbricks website during Q2 2020, segregated by price buckets2. Supply represents active listings on Magicbricks website during Q2 2020, segregated by price buckets


Note:1. Above map depicts the key localities of the city, with the size of the bubble depicting demand (consumer preference) /supply (active listings) forproperties in the localities on Magicbricks website in Q2 20202. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.


Note:1. Top micro-markets of the city, ranked by their active listings onMagicbricks in Q2 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.


Note:1. Top micro-markets of the city, ranked by number of searches onMagicbricks in Q2 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.


Navrangpura

Science City

Maninagar

Memnagar

New Ranip

Narolgam

Vejalpur

Motera

Naroda

Tragad

Thaltej

Vasna

Ranip

Shilaj

Shela

Gota

© OpenStreetMap contributors

Demand/SupplyDemand

SG Highway 2650 - 8150

Bopal 2850 - 9100

Satellite 4700 - 7500

Narol Naroda Road 1700 - 5700

Prahlad Nagar 3200 - 6750

Chandkheda 2850 - 4000

Chandkheda-Motera 2650 - 4200

11

22

33

44

55

66

87

SG Highway 2650 - 8150

Bopal 2850 - 9100

Satellite 4700 - 7500

Prahlad Nagar 3200 - 6750

Narol Naroda Road 1700 - 5700

Paldi-Ambadi 3500 - 7450

C G Road 4350 - 7450

11

22

33

44

65

56

87

Micro-Market Price Range Rank Rank Q2-20 Q1-20

Micro-Market Price Range Rank Rank Q2-20 Q1-20


Note:1. Size of the bubble depicts demand, measured by volume of property searches in localities in Q2 20202. Color of the bubble represents price change in Q2 2020, with green color representing price increase and red color price decrease.3. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.

LocalityAvg.Price

PriceChange

Vatva

Narolgam

Nava Naroda

Naroda

Vastral

New Maninagar

Nikol

Ranip

RTO Circle

Tapovan Circle

Tragad

New Ranip

Chandkheda

New C G Road

-4.4%

-5.0%

-5.0%

-3.5%

-6.8%

-2.0%

0.0%

-7.5%

-2.3%

-2.8%

-4.6%

-4.4%

-7.0%

-4.1%

-7.5%

-4.8%

-1.1%

-5.1%

0.0%

-4.1%

-5.4%

-7.5%

-0.3%

-5.8%

-1.0%

3.2%

-5.9%

-4.5%

-7.5%

3,995

3,972

3,960

3,919

3,916

3,897

3,850

3,840

3,787

3,783

3,729

3,679

3,638

3,500

3,419

3,411

3,331

3,307

3,270

3,228

3,157

3,033

2,820

2,720

2,524

2,408

2,331

2,046

1,914

< INR 4,000 psf INR 4,000-5,000 psf INR 5,000-6,000 psf > INR 6,000 psf

Price Analysis Ahmedabad | Apr-Jun 2020

- COVID-19 had a major impact on property prices in Ahmedabad, and most localities across all price brackets experienced a plunge in capital values.

- However, the fall was negligible across the developing fringes of Gota, Tragad, Nikol and Vastral, as they continued to attract buyer interest due toaffordability.


LocalityAvg.Price

PriceChange

Naranpura

Memnagar

Sola

Prahlad Nagar

Paldi

Science City Road

Science City

Vastrapur

Jodhpur

Thaltej

Satellite

Nehru Nagar -3.3%

-3.6%

-4.9%

-6.0%

-2.3%

-0.4%

-3.9%

2.5%

-6.1%

0.0%

-5.9%

-6.4%

5,993

5,922

5,884

5,846

5,679

5,593

5,413

5,373

5,366

5,263

5,259

5,216

Locality Avg. PricePrice

Change

Ambli - BopalRoad

Ambli

Ambawadi

Iskon AmbliRoad

Bodakdev

Navrangpura

Shahibuag

Thaltej-ShilajRoad

C G Road 1.5%

0.0%

0.0%

-0.2%

-0.3%

-2.5%

-3.2%

-5.5%

-6.8%

6,060

6,125

7,193

6,070

6,427

6,871

6,088

7,189

6,807

Note:1. Above is the list of major localities of the city, with information about their average prices and QoQ price changes in Q2 2020. This is an interactive table available on Magicbricks.com under Propindex section.2. The locality prices are calculated by averaging the prices of all properties in a locality in multi-storey and builder floor segment, after removing the outlier properties that might distort the overall prices.3. The four tables above categorize the localities in various price buckets.4. The color of the numbers represent the price change in Q2 2020, with green color representing price increase, red color price decrease, and grey as neutral. Source: Magicbricks Research

Disclaimer: The data represented above is compiled by MagicBricks from multiple sources. MagicBricks gives no warranty, express or implied, as to the accuracy, reliability, and completeness of any information and does not acceptany liability on the information which may or may not be subject to change from time to time due to Governmental or non Governmental regulations/directions.

Q2 2020 Price changes for the city's major localities

LocalityAvg.Price

PriceChange

Vasna

Ghatlodiya

Gurukul

Maninagar

SG Highway 0.0%

-3.7%

-4.1%

-5.1%

-7.5%

4,026

4,329

4,813

4,102

4,102

Surabhi Arora | Head of Research Devendra Lohmor | Chief Manager Ankur Upadhyay | Data Manager Prateek Pareek | Assistant [email protected] [email protected] [email protected] [email protected]

Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.

For more information and research related queries, please contact:

Sanand - Sarkhej Rd-3.5%

Thaltej-Shilaj Road0.0%

New Maninagar-5.8%

Tapovan Circle-4.1%

Chandkheda-1.1%

Maninagar-3.7%

Shahibuag0.0%

Jivraj Park-7.0%

Narolgam-4.5%

Vasna-7.5%

Vatva-7.5%

Ambli-5.5%

Nikol-0.3%

Shela-4.1%

Gota0.0%

© OpenStreetMap contributors

-7.5% 7.5%

-5% -2.5% 0% 2.5% 5%


propindex | magicbricks · 2 days ago · propindex | magicbricks residential market insights...

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