PropTiger Q2 Report FY'16: End Users Drive The Demand For Real Estate

The recently released PropTiger Datalabs report, Realty Decoder - Q2'FY16, for the September quarter, showed that the sector continued to struggle with subdued demand, large unsold inventory overhang and lowered number of new launches. The report, however, also suggests that investors' confidence in the sector is now rising gradually.

The one thing that continued to impress the sector in the report was the end user demand for property in India.

• Hyderabad took the pole position with 95 per cent of its demand coming from the end users
• Gurgaon came last in the list of 13 cities that were under consideration with an average of 68 per cent end user demand
• Markets in Ahmedabad, Bengaluru, Chennai, Kolkata, Noida, Pune and Mumbai saw over 80 per cent demand coming from end users

One of the reasons for this continued trend could be the wait by investors to see further improvement in the Indian economy and real estate, in particular. The pending Realty Bill, once approved by Parliament, could give investors a clearer picture in the coming quarters.