Greater Mumbai Registered 9700 Properties in June 2023 - Knight Frank Report

Greater Mumbai (area under BMC jurisdiction) registered 9,729 property registrations in June 2023, generating Rs 804 crore in revenue for the state government.

According to data compiled by Knight Frank India for the month, 84% of the total properties were residential units, while the remaining 16% were non-residential.

During the first half of 2023 (H1), the city registered 62,071 units, making it the second-best H1 period in the past decade for property registrations.

In addition, the revenue collected from property registrations in the first half of 2023 reached Rs 5,483 crore, the maximum amount recorded for the corresponding period in the previous decade. 

In June, property registrations remained optimistic, albeit at a reduced rate, due to factors such as rising income levels and favourable attitudes towards home ownership. In June, the trend of property registrations maintained its level from the previous month and from the previous year.The rise in property registrations resulted in an increase in state revenue, which benefited the Maharashtra government the most.

The increase in revenue can be attributed to a number of factors, including the higher value of properties being registered, the implementation of the Metro cess, and consumers' continued robust demand.

In recent years, the Mumbai real estate market has faced a number of nagative factors, including higher interest rates and increased acquisition costs due to higher stamp duty rates.

Despite these challenging factors, it has maintained its equilibrium. Between 2021 and the first half of 2023, the average number of property registrations will increase to 10,583 units from 5,778 units between 2013 and 2019. This demonstrates that the market has effectively navigated these obstacles and is now sustaining itself at its newly discovered levels.The quarterly trends in Mumbai aligned with the overall performance observed in the first half of 2023, as total registrations remained at the second-highest level and revenue collections reached the highest level in the past decade. 

Recent trends indicate that the residential market in Mumbai remains on an upward trajectory, with sustained demand. Consumers' enthusiasm for homeownership persists despite the negative factors. This has increased the number of registrations on the market by close to 85 percent, from a monthly average of approximately 5,700 units prior to Covid to over 10,000 units on average. In addition, demand has increased in the Rs 1 crore and above category, in part due to a preference for larger residences and a general increase in average prices.