8,149 property sale registrations took place in August in Greater Mumbai

Mumbai, Aug 31: The revenue of Maharashtra went up by Rs 620 crore thanks to the 8,149 property sale registrations in Greater Mumbai in the month of August.

A report by Knight Frank India said that as much as 60% of all registrations in August 2022 were in the price band of over Rs 1 crore, while in terms of size, homes between 500 and 1,000 sq ft were the most preferred.

"Registration of property sales recorded a 20% increase YoY in August 2022. However, it was a drop of 28% month-on-month (M-o-M), mostly due to the strong registrations in July this year. August traditionally records a MoM drop in realty registrations. Over the last decade, eight out of ten times, August has seen a MoM drop in registrations, with 2018 and 2019 being the exceptions with a MoM rise of 7% and 2% respectively," the report also said.

Consumers are now expected to be cautious while purchasing property in anticipation of additional rate hikes effectively leading to an increase in mortgage rates, impacting their affordability. "However, it is too early to gauge the impact of repo rate hikes and if consumer sentiment is affected by the same," the report said.

"August has historically been a slower month, recording a MoM decline in eight out of the last ten years. The rise in repo rate of 140 bps, leading to an increase in home loan rates, and the raise in stamp duty have had their impact on buyer sentiments. Despite that, Mumbai's home sales momentum has remained comparatively buoyant and recorded a 20% growth over the same period last year," Shishir Bail the Chairman and Managing Director of Knight Frank said.