Due to weak investors demand post demonetisation, the launch of new houses in India during the first quarter (Q1) of present year has declined over 19% in eight key cities with Gurugram (earlier Gurgaon), Mumbai recording minimal launches during the quarter, according to PropEquity's latest report. 

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PropEquity has recently conducted a study titled 'India Residential Real Estate Update -Q1, 2017' wherein it considered eight cities - Gurugram (Gurgaon), Noida, Mumbai, Kolkata, Pune, Hyderabad, Bengaluru and Chennai-for studying housing demand in these cities. 

The real estate data, analytics and research firm in a press release on Wednesday, “The home launches dipped 19.46% across top eight cities in the first quarter (Q1) of 2017 from 28,428 units to 22,897 units.”  

 

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However, the unsold inventory during the first quarter (Q1) dipped slightly by 3.12% to 4,71,855 units from 4,87,043 units in the fourth quarter (Q4) of 2016 due to lower new launches and developers focussing on clearing their existing unsold inventories.

The findings showed that the housing demand (absorption) across key cities stayed almost muted and declined by just 1.2% at 28,131 units as against 28,472 units in the fourth quarter (Q4) of 2017.

Among the eight cities surveyed by the real estate research firm, Kolkata registered the highest growth in the number of new launches at 53.9% during the quarter with unsold inventory at 0.5%.

 

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