The Mumbai real estate bumper sale has begun
The ask price across the board has fallen in the 10-15 percent range according to a poll of brokers.
In January 2020, a homebuyer put up a token amount of Rs 5 lakh to purchase an apartment that was to be transacted at Rs 6.75 crore in the luxurious Omkar 1973 project at Worli. As with most in real estate, the investor who had previously purchased the apartment at around Rs 13 crore lost his patience with falling prices and opted to cut his losses.
Then a small challenge occurred. The buyer who made the token amount had calculated a certain value for his own apartment to get sold first. That didn’t materialise. Thereafter COVID-19 struck and both sides in the prospective Omkar 1973 deal knew that it wasn’t going to happen and the token amount of Rs 5 lakh was returned.
A month later the investor gave a not so subtle hint that a transaction at even Rs 6 crore may work for him. At that price – the property is priced at Rs 30,000/sqft on carpet or 50 percent lower from the prices it once routinely attracted. I suspect it will see some demand once the lockdown and its hangover are settled.