Residential sales in Chennai grew by around 59 per cent in December quarter of 2020 as compared to the September quarter. The city witnessed total sales of 2,500 units as compared to 1,570 units in September quarter 2020.
According to JLL, sales were concentrated in the southern suburbs submarket which accounted for 60 per cent of total the sales in the quarter.
New launches in December quarter almost doubled compared to the previous quarter. More importantly, new launches during the quarter crossed the pre-Covid average quarterly levels of around 1900 units witnessed in 2019.
The southern suburbs (Padur, Shollinganallur, Perumbakkam, and Navalur) submarket accounted for 62% of the new launches during the quarter. Moreover, 95% of the new launches during the quarter were in the sub-Rs 1 crore category.
“The translation of pent up demand into sales, aided by historically low interest rates, flexible payment schemes and discounts offered by the developers led to an increased momentum in the offtake of residential units,” said Siva Krishnan, Managing Director and India Head, Residential Services, JLL India.
He added, maximum sales traction was witnessed in the affordable and lower-mid segments. At the same time, there is a growing demand for larger sized homes as preferences are shifting towards homes with more open spaces and study rooms.
While quoted residential prices remained stagnant, developers are offering various financial schemes, lower booking amounts and other freebies to attract home buyers.