The real estate market in Kolkata continues to show decline in housing sales as well as new supply as it continues to reel under the impact of a demand showdown. According to a recent report by online real estate company PropTiger.com, new launches in Kolkata declined 50% year on year in Q12022 that is less than a thousand units were launched in Kolkata during the quarter.
Home sales dipped 15% YoY in the January-March period of 2022, shows the report, titled Real Insight Residential–January-March 2022. Only 2,860 homes were sold in Kolkata during the three-month period. This decline in sales shows the state government’s move to extend the 2% stamp duty concession till March 31, 2022. The West Bengal stamp duty concession was first announced in the state budget on July 7, 2021.
Average values of new residential property in Kolkata increased by 5% in Q12022. Kolkata not only has the lowest unsold inventory of 23,850 units, it also has the lowest inventory overhang of 31 months like Bangalore, indicating greater demand potential.
The Group CFO of PropTiger.com, Housing.com & Makaan.com Mr. Vikas Wadhawan said, “In a housing market that is primarily driven by demand from end-users, activity in terms of new supply seems to be limited.”