27 Dec 2021

Will Ignoring Mumbai real estate make you lose money?

Will Ignoring Mumbai real estate make you lose money?

A lot has changed during the pandemic including the Indian Real Estate Industry. While most major real estate markets saw slowdowns and declines, some major players in the real estate sector have been flourishing. 

Thane and Chennai both saw a 24 percent decline, Bengaluru saw a 31 percent decline, Navi Mumbai saw a 42 percent decline, and Kolkata took the most hit with a 74 percent decline in New Launches according to a report by Emkay Global Financial Services’ Real Estate Launch Tracker. 

Hyderabad, Mumbai, and Noida on the other hand showcased noteworthy increases owing to post-covid work culture changes. This phase has been the most exciting for the real estate market of Mumbai. With multimillion-dollar investments coming into the city, and several new projects being launched, anyone investing in the Mumbai property market is sure to reap great benefits.

Mumbai Real Estate achieves 10-Year High Peak

According to Maharashtra’s Inspector General of Registration, over 5553 registrations were recorded in Mumbai in the month of November. This was followed by 7582 registrations within the first three weeks of December. As a result, the total number of registrations in the country’s financial capital surpassed the mark of 1 Lakh in 2021 with one week still remaining. 

The last two quarters of 2021 have shown record-breaking numbers for Mumbai every individual month. After pushing the mark of 1 Lakh registrations in a year, Mumbai has officially reached a 10-year high real estate peak. 

Earlier this year, the Maharashtra Government had closed its window of reduced stamp duties. Property buyers in Mumbai initially held back and the month leading aforementioned closure, August, saw a decline in registrations. It indicated a slowdown approaching the Mumbai property market. 

Homebuyers picked up pace in the festive season and the slowdown soon turned into record-breaking registrations. The state exchequer reported over INR 900 Crore in revenue on stamp duty solely from the registrations in November and the first three weeks of December.

Property Rates in Mumbai 2021 for Residential Property

As of November 2021, the price of residential properties in Mumbai, approximate price per square feet, is as follows.

Location

Price Estimate per sq. ft.

Colaba

₹37,000 to ₹45,000

Cuffe Parade

₹51,000 to ₹62,000

Nariman Point

₹58,000 to ₹92,000

Churchgate

₹48,000 to ₹52,000

Fort

₹30,000 to ₹50,000

Ballard Estate

N/A

Marine Lines

₹39,000 to ₹51,000

Marine Drive

₹46,000 to ₹53,000

Girgaon

₹26,000 to ₹35,000

Walkeshwar

₹66,500 to ₹74,000

Nepeansea Road

₹55,000 to ₹75,000

Peddar Road

₹44,000 to ₹54,000

Kemps Corner

₹45,000 to ₹58,000

Carmichael Road

₹60,000 to ₹1,00,000

Breach Candy

₹55,000 to ₹75,000

Warden Road

₹50,000 to ₹62,000

Altamount Road

₹60,000 to ₹90,000

Grant Road

₹30,000 to ₹45,000

Tardeo

₹40,000 to ₹52,000

Mumbai Central

₹31,000 to ₹39,000

Gamdevi

₹36,000 to ₹43,000

Opera House

₹22,000 to ₹40,000

Mahalaxmi

₹35,500 to ₹46,000

Worli

₹30,000 to ₹40,000

Lower Parel

₹24,000 to ₹28,000

Prabhadevi

₹30,000 to ₹37,000

Byculla

₹21,000 to ₹28,800

Parel

₹22,000 to ₹32,000

Dadar West

₹28,600 to ₹37,000

Dadar East

₹25,000 to ₹32,000

Sewri

₹26,000 to ₹30,000

Matunga

₹28,000 to ₹32,000

King Circle

₹13,000 to ₹18,000

Wadala

₹19,000 to ₹21,500

Mahim

₹25,000 to ₹34,000

Sion

₹16,500 to ₹21,600

Bandra West

₹33,000 to ₹42,000

Bandra East

₹28,000 to ₹31,000

Khar West

₹33,000 to ₹39,000

Santacruz West

₹29,500 to ₹38,000

Santacruz East

₹19,000 to ₹26,000

Vile Parle West

₹26,000 to ₹31,000

Vile Parle East

₹23,000 to ₹31,000

Juhu

₹30,000 to ₹40,000

Andheri West

₹18,000 to ₹26,000

Andheri East

₹14,000 to ₹18,500

Jogeshwari

₹12,000 to ₹16,000

Goregaon West

₹14,000 to ₹19,500

Goregaon East

₹14,000 to ₹19,000

Malad West

₹13,500 to ₹18,500

Malad East

₹12,000 to ₹15,000

Kandivali West

₹13,000 to ₹17,500

Kandivali East

₹11,000 to ₹13,000

Borivali West

₹12,000 to ₹15,000

Bandra Kurla Complex

N/A

Borivali East

₹11,000 to ₹13,500

Dahisar West

₹12,000 to ₹15,500

Dahisar East

₹9,000 to ₹11,000

Kurla

₹10,600 to ₹14,200

Chembur

₹15,500 to ₹21,500

Mankhurd

₹11,000 to ₹13,000

Ghatkopar West

₹16,000 to ₹18,000

Ghatkopar East

₹12,400 to ₹15,500

Vikhroli

₹11,000 to ₹17,200

Kanjur Marg

₹11,500 to ₹14,600

Powai

₹17,000 to ₹25,000

Bhandup

₹11,000 to ₹12,000

Mulund West

₹12,400 to ₹16,000

Mulund East

₹11,000 to ₹13,000

Ambernath

₹3,400 to ₹3,900

Dombivali

₹5,300 to ₹6,500

Kalyan

₹5,000 to ₹6,000

Nahur East

₹12,000 to ₹15,000

Airoli

₹8,000 to ₹9,200

Neral

N/A

Koparkhairne

₹8,800 to ₹11,600

Turbhe

₹3,500 to ₹5,000

Seawoods

N/A

Sanpada

₹11,500 to ₹15,800

Vashi

₹10,500 to ₹14,600

Juinagar

₹8,000 to ₹10,000

Nerul

₹10,600 to ₹14,500

Belapur

₹8,000 to ₹10,000

Kharghar

₹6,900 to ₹9,500

Khandeshwar

₹5,200 to ₹6,000

Taloja

₹3,800 to ₹5,500

New Panvel

₹4,800 to ₹6,600

Kalamboli

₹5,000 to ₹6,500

Ulwe

₹4,500 to ₹5,500

Kamothe

₹5,700 to ₹7,000

Ghansoli

₹8,300 to ₹10,700

Dronagiri

N/A

Karjat

N/A

Rasayani

N/A

Mira Road

₹7,000 to ₹8,000

Bhayandar

₹7,000 to ₹8,000

Naigaon East

₹3,500 to ₹4,000

Vasai

₹4,000 to ₹6,000

Nalla Sopara

₹3,500 to ₹5,000

Virar

₹4,000 to ₹5,000

Builders and developers in Mumbai you need to look out for


To get a good picture of how the already thriving Mumbai real estate market is on the way up you need to understand the investments cooking into it. The uptick in real estate trends for Mumbai has created a lot of interest amongst investors, local and foreign alike. A lot of big organizations are investing in the Mumbai property market by the end of 2021.

Some of the big projects and investments coming into Mumbai real estate are as follows:

1. Adani Realty bid for Ten BKC, a premium residential project next to Bandra Kurla Complex. The builder of the project, Radius Estates, and Developers had filed for insolvency leaving 400 units under construction. If accepted, this bid would give a solution to many more unfinished projects in the city.

2. Morgan Stanley Real Estate Investing and Macrotech Developers, the real estate arm of the Lodha Group, have entered into an agreement to develop 72 acres of a logistic park at Palava Industrial and Logistics Park. The early estimate of required investment has been made up to INR 600 Crores.

3. Wall-street giant Goldman Sachs is planning 2-3 Billion Dollars in Indian real estate. A sizeable chunk of this investment is supposed to enter the Mumbai property market. A report in Bloomberg suggests.

4. Birla Estates is set to launch a high-end luxury residential tower in Mumbai’s Worli. The real estate leader will be investing 1500 INR Crore in the project.

5. Tata Realty has announced the development of an INR 5000 Crore IT Park project in Navi Mumbai. The construction will be done over an area of 2-3 million square feet.

6. Arkade Group has acquired an 11.5 lakh square feet area spread across six residential projects with an investment of INR 215 Crore.


Amongst the three leading cities, Mumbai Real Estate has performed exceptionally well in the last quarter of 2021. The reduced home interest rates offered by major financers like HDFC, LIC Housing Finance, Indiabulls, ICICI Home Finance, L&T Housing Finance Ltd., and others, combined with the introduction of work from home policies and hybrid work policies are considered major factors in increased demand for homeownership.

However, these changes aren’t here to stay. With banks rolling back the decreased home loans, the benefits of buying a property post-covid are ending. Homebuyers can still hope for relief from the government as the experts expect an increase in Tax Benefits on Home Loan Principal and Interest from the 2022 Budget.

Mumbai being one of the most expensive real estate markets in the country, this might be the lowest property cost the city will see within the next decade. This makes 2022 the ideal time to invest in the real estate market in Mumbai. 

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