Oversupply Of Flats In Pune Lead To Rise In Unsold Inventory

Current market trends point out that the inventory of flats for sale in Pune is rising up. For the second consecutive years real estate in Pune has seen a rise in unsold inventory. The slowing demand has badly hit the sale of flats in Pune. Whether it is Baner flats for sale or Hinjewadi property the number of unsold units are rising. But real estate experts differ on the opinion. They argue that number of unsold inventories is rising because of launch of number of new projects in real estate in Pune. Real estate experts argue that the demand for flats in Pune is very much stable as the city offers affordable property options. Baner flats for sale and Hinjewadi property are also witnessing a rise in demand of property. This is the reason why the developers are also not willing to reduce the price of flats for sale in Pune. They are ready to give cash discount of 2 to 3% and offer freebies but they are unwilling to sell their properties in case of a significant price correction. Therefore inspite of increasing unsold inventory they are unwilling to negotiate. They argue that there is an increase in the total projects and therefore the number of homes available in the market is high as compared to demand. Looking at the current market trend it is unlikely that the prices will go up or come down significantly. Currently the average rate of flats in Pune is approximately Rs 5,100 per square feet. For luxury properties the rate goes upto approximately Rs 7,800 per sq ft. So if we compare the rates with other metro cities buying flats for sale in Pune is very much affordable. Infact many people buy houses in this city so that they can earn a good ROI. Low property price means better ROI. Many investors buy Baner flats for sale and Hinjewadi property and then they put the property on rent. While their property on rent is appreciating they earn decent rental income. As soon as the property get a good deal the investors exit the market. Looking at investors and end-users interest the developers are also launching new projects. Even in this current situation where there is already an inventory overload builders are still optimistic about launching projects offering flats for sale in Pune. Therefore it is unlikely that the inventory of flats in Pune is going to get over soon.

Source : articlesbase.com