Real estate is one of the major contributors to India’s GDP, and the market saw several progressive policy reforms in the last couple of years. While it’s true that most of these reforms were taken back in 2017-2018, the impacts were seen largely in 2019-2020

1. M u m b a i
Real Estate Analysis
2 0 1 9 - 2 0 2 0

2. It's not
h ow
big the house
is,
it's h ow happy
the home is.......

3. PRESENTATION
OVERVIEW
Main Points of Discussion
Mumbai Residential RealEstate Mumbai Factfile
MumbaiInfrastructure
All About RERA
Impact of RealEstateReformsin2019-2020
IncreaseinReal-Estate SalesandLaunches
Isit WisetoinvestinRealEstatein2019 and2020?
Major Infrastructure upgrades of 2018
Upcoming Infrastructure projectsin MMR
Howwill MumbaiRealEstateFare in2020?
Maharashtra leadsthe way inRERA Implementation
ThankYou

4. TheMumbai Residential Real EstateOverview July2012,looks atsome of the
key trends in theMumbai Residential real estate markets.
Real estate prices in Mumbai may continue tosee an upward trend in the
short term(1year view) duetoseveral factors. Hugeunmetdemand for
homes in thecity is accompanied with a slowdown in
supply duetotheslow paceof approvals from sanctioning authorities.
Thetimefor completion of projects has increased to4 - 5years from the
earlier 2- 3years, leading toincrease in input costs for developers. In
addition tothis, land continues tobeata premium and bank finance rates
have been
firm.
M u m b a i Residential Real Estate

6. Mumbai,whichwas previously knownas Bombay is a majormetropolitan cityof India.
It is thestatecapitalof Maharashtraandis knownas thebusiness capitalofIndia.
It has thelargest andbusiestporthandling India's foreign tradeanda majorinternationalairport.
India's largest stockexchange,whichranks as thethirdlargest in theworld,is situatedin Mumbai.
Established in 1875,it is oneof theoldeststockexchangesofAsia wheretrading of stocks is carriedoutin billions of Indian rupeeseveryday.
M u m b a i Fact File

7. M UM BAI
INFRASTRUCTURE
Western Express Highway
Western Express Highway in Mumbai (25.33kms in length) begins near Mahim
creekand extends to the
Mira - Dahisar toll booth, connecting Bandra,Andheri, Goregaon, Kandivali,
Borivali uptoDahisar. Beyond
thecity limits, it continues as theMumbai - Delhi National Highway8.
Eastern ExpressHighway
Eastern Express Highway in Mumbai (23.55kms in length) serves as a link to
theNational Highway 3.The
expressway has a total of 6lanes and it connects all thesuburbs of North
Mumbai with South Mumbai.
Sion Panvel Highway cuts theEastern Expressway at theRCFjunction and
connects it to theouterareas
of thecity where it is popular by thename of Dr.AmbedkarRoad

8. Proposed Santacruz - Chembur Link Road (SCLR)
TheSantacruz - Chembur Link Road, which is currently under
construction shall beconnecting theWestern
Expressway and theEastern Expressway in addition to the existing
connectors i.e.theGoregaon - Mulund
Link Road, theJogeshwari - Vikhroli Link Road and theAndheri -
Ghatkopar Link Road.
MMRDA is thenodal agency for theproject while Maharashtra State
Road Development Corporation (MSRDC) is theimplementing agency.
TheSCLR, part of theWorld Bank - funded Mumbai Urban Transport
Project, will enhance theconnectivity between theeastern and western
suburbs and cutthedistance between Chembur and Santacruz to a 15- 20
minute ride.
However, the 6.45km Santacruz - Chembur Link Road (SCLR) is
speculated to miss its fifth deadline of December 2012owing to a delay in
approvals.
Engineers working on theproject, theconstruction of which started in
2003,expect it to becompleted only by June 2013.

10. IMPACTS OF
THE REAL-ESTATE
REFORMS
2 0 1 9 - 2 0 2 0

11. Real estateis oneof themajorcontributorstoIndia’s GDP,andthemarketsaw several progressive policy
reforms in thelast coupleof years.While it’struethatmost of thesereforms weretakenbackin 2017-
2018,theimpacts wereseenlargely in 2019-2020
Thetwomajorreforms – theintroductionof GST,thelaunchof RERAandthegrant of infrastructure
status toaffordable housing properties
The GST was introduced in 2017with the ideology, “OneNation,OneTax.” GSThas madeit easy todo
business in thecountry,seeing a markedincreasein infrastructuredevelopmentsandotherreal-estate
projects.
TheRERA(Real EstateRegulationAct)was introducedin 2016tobring uniformity in thereal-estate
market.
Today,theresults of theRERAcanbeseen– it has increasedtransparency in real-estate deals,
improvedaccountabilityof builders,whichin turnhas ledtoincreaseddemandfrombuyers

12. Increase in
Real- Estat e
Sales and
Launches

13. Real-estateprojectlaunches,andsales havegrown significantly.
Onemajorshift in residential realty trendsis theincrease in demandfor mid-segment
andaffordable housing,comparedtoluxury,high-end properties.
Otherfactors thatdrovereal-estatesales in thelast year include– availability of a wide
range of flexible paymentplans from NBFCs anddigital lenders,whichallows home
buyers tobuypropertiesatlower EMI andinterestrates,comparedtotraditional
lenders;incometax rebatesonhomeloans;CLSS;nofloor rise cost;discounts and
freebiesoffered by builders.

14. Is it Wise to Invest
in Real Estate in
India in 2019 and
2020?

15. Abig YES! Consideringthevarious beneficialreal estatetrendslisted
above,expertsareoptimistic aboutthefutureof thereal estateindustry
in thecountryandlook forward tobrighterdays.
As mentionedin thebeginning,land is a scarceresource,and
fundamentalsupply anddemandprinciples dictatethatwithhigher
demandandlesser supply,propertyprices aresuretogoup.
So, if youarelooking toaddreal estatetoyour investmentportfolio,
thennowis theperfecttimetoget started.

16. M ajor Infrastructure
upgrades of 2018

17. According to TheEase of Living Index (an initiative of the Ministry of Housing and Urban
Affairs) Survey 2018,Mumbai tops the physical infrastructure segment among all cities in
India.
Thissegmentincludesaspectssuchas infrastructure,transport,housing,andpollution
levels,amongother parameters.
Additionally, thestategovernmenthas also extendedits supporttoreal estatedevelopment
by revising its policy toallow developerstoutilise theavailable land parcels.
Theyhavealso includedunutilised land in special economiczones,land under
environmentally sensitive zones,andafforestation areas tounlockthemaximum
developmentpotentialof theland.

18. Upcoming
Infrastructure
Projects
in
MMR

19. How Wi l l
Mumbai Real Estate
Fare i n 2020?

20. Mumbai has witnessed rapid urbanisation over thelast two decades.So muchso thatthecity
has now expanded to include theMumbai Metropolitan Region (MMR) which comprises of
Greater Mumbai,Navi Mumbai,Thane,and thetwo peripheries, namely, western peripheries
suburbs and thecentral peripheral suburbs.
MMR, today, is one of the largest real estate markets in India. It contributes about 25% of
the overall supply across the top metro cities.
This will betheyear of affordable housing, and not surprisingly, outof thetotal new supply,
48% was in theaffordable segment(less than Rs 40 Lakh),34% in thepremium segment
(Rs 70 Lakh and above),and 18%in themid-segment (Rs 40-70 Lakh).
In terms of BHK configuration, 1BHKsand studio apartments ruled theroost with
maximum supply (47%), closely followed by 2BHK apartments.
Micro-markets such as Malad, Kandivali, Nerul, and Byculla saw a numberof new
projects launched in 2018with growing demand from homebuyers.

22. Maharashtra leads
the way i n
RERA implementation

23. Maharashtra was thefirst statetoadopt theReal Estate(Regulation and Development)Act
(RERA).It also has oneof themost comprehensiveand updatedRERA websites.