Several transactions worth Rs 15 to 100 crore were registered in the city during the first half of the year.
Mumbai’s luxury market saw a splendid run in the first half of 2021 despite muted buyer sentiments in a COVID-hit market. As per the latest report by Square Yards, tilted ‘List of Most Expensive Homes Sold in Mumbai — Jan-June 2021’, several transactions worth Rs 15 to 100 crore were registered in the city during the first half of the year. The approximate value of these transactions were pegged at around Rs 4000 crore plus.
It was clear that the surge in home sales in the city was driven by the stamp duty waiver which was valid till 31st March 2021. Nearly 60% of the total transactions captured for the homes priced above Rs 15 crore during this period were registered at a 2% stamp duty.
The list of high-net worth individuals who bought these uber-luxury homes included prominent names such as Amitabh Bachchan, Sunny Leone, Cabinet Minister Ashok Chavan, Smita Parekh, wife of HDFC Chairman, and Deepak Parekh, among others.
Talking about the luxury market in Mumbai, Anand Moorthy, Business Head, Data Intelligence & Asset Management, Square Yards, said, “Mumbai being undoubtedly the most attractive and expensive real estate market in India boasts of highest number of transactions over Rs 15 crore. It formed approximately 0.13% of the total residential sale transaction base of about 1.26 lakh units in 2021 (Jan-May). There was a 63% hike in these high-ticket transactions compared to 2019 and 2020 which is attributed to lesser stamp duty, price correction of 15-30% in high value transactions and the recent cheer in equity markets.”
Key Highlights of the Report
# More than 45% of the homes purchased in the above Rs 15 crore category were priced between Rs 15 and Rs 20 crore while 40% were priced at Rs 20-30 crore. Less than 10% of the transactions fell in the Rs 30-50 crore budget bracket while homes priced above Rs 50 crore formed 7% of the total share.
# Nearly 60% of the total transactions captured came from residential projects in Lower Parel.
# 60% of the total transactions were made at 2% stamp duty indicating that the slashed stamp duty charges spurred a major uptick in the luxury segment in Q1, 2021.
# Higher floors were more preferred by luxury property buyers as 34% of the transactions recorded were for units on the 40th and above floors.
# Maximum number of transactions were noted for properties sized between 4,000 and 6,000 sq. ft. with 43% share of the total sales.
# Almost 67% of the buyers in the list were aged above 40 years while 35% of the buyers belonged to the real estate sector.