For the beleaguered real estate sector, 2015 saw their unsold inventory in the city piling up. But housing for a large number of Puneities remained a distant dream as property prices continued to remain unchanged in most parts of the city.
Although there were hardly any rate corrections on paper, bill boards put up by realtors talked of waiver on various taxes, which builders say was an indirect price correction.
In the beginning of the year, there were about 70,000 unsold housing units in the city, according to various property reports. Industry sources say supply of tenements in the city might have dipped to around 31,000 units while the demand remained around 36,000 units during the year. The dip in supply this year was the second such dip during the last four years.
Although there was a slight increase in sales towards the end of the year and during the festive season, sentiments in the sector remained negative overall.
However, property prices in the city refused to go down.
Studies showed property prices increased by almost 10 per cent on an average with some areas in th city witnessing a steeper rise.
In the last three years, places like Hinjewadi and Wakad have seen price appreciation of almost 50 and 29 per cent respectively.
Although affordable housing is being billed as the new mantra for the industry, most of the projects in the Rs 10-15 lakh (the definition of affordable housing in terms of price quotient in Pune) are located in far-flung places. Lack of infrastructure like transport has been a major hindrance in the way of attracting potential customers to such projects. Also, many property watchers have questioned the basic definition of affordable housing, pointing out that their prices were out of reach for many.
For the first time in the last four years, the real estate sector in Pune has started registering negative in terms of absorption. Property watchers say inflated rates are acting as a deterrent for many who want to invest in property. With many realtors and prospective home buyers adopting a wait-and-watch attitude, it remains to be seen who blinks first in the next year.