Pune: Affordable housing stock reduced by 33% in last two years

The stock of affordable housing units in Pune has seen a reduction of 33 per cent in the last two years. The number of such units has come down from 46,630 in the first quarter of 2020 to the present tally of 31,090, said a report by property consultant firm Anarock. The report added that there has been a 21 per cent decline in unsold inventory in the affordable housing segment across the country in the same period.

While demand for affordable housing remains strong, realtors observed that supply has been constrained. Of the 70,480 units launched in the first quarter of 2019, affordable housing had accounted for 44 per cent of the supplies. Since then, the share of affordable stock declined to 38 per cent in the first quarter of 2020, 30 per cent in Q1 of 2021 and a mere 25 per cent in the first quarter of the current year. Affordable housing has taken the biggest hit as the end consumers of the same were hit hardest during the two years of Covid-19 pandemic, said realtors.

Read | Pune man arrested for plotting attack on Pawar residence

Anju Puri, the chairman of Anarock Group, said the absorption rate is the highest in the budget group and reflects enduring demand for affordable housing.

Story continues below this ad

Check Out Express Premium

• Express Investigation — Part 3: Textbook revision slashes portion in history on Islamic rulers of India
• Big shortfall in hiring of ex-servicemen across govt depts, posts: Data
• What West Seti power project can mean for India-Nepal ties

Click here for more

In the country, Chennai saw the maximum decline in the stock of affordable housing – from 9,220 units in Q1 of 2020 to 4,440 units in Q1 of 2022. Pune came second with the Mumbai Metropolitan Region (MMR) reporting a decline of 27 per cent from 69,210 units (Q1, 2020) to 50,860 units in Q1, 2022.

Kolkata is the only city among the top seven cities in the country to have not witnessed any decline in its stock.

The report that was released on Tuesday also noted a 5 per cent decline in supply across the top seven cities in the same period, despite the addition of several units in the ultra-luxury segment. The MMR and Kolkata saw the highest inventory reduction of 16% and 15%, respectively.

Notably, the premium and luxury segments (Rs 80 lakh to Rs 2.5 crore) witnessed an increase in total unsold stock in the same period.