Property registrations up 19% in Mumbai

Property registrations in Mumbai and its suburbs has seen a 19% jump in October 2013 at 4900 units, said a report by HDFC Securities. The increase was due to continued registrations of properties sold under revised development control rules in FY 2011 to Fy 2013, the report said.

However, for year to date FY14, registrations have grown by 9% YoY to 35,948 units from 33,142 in year to date FY13, led by 20% YoY growth in Island City registrations, but muted 6% YoY growth in Mumbai suburbs, the report said.

" We retain our view that registration numbers may continue to see 10-15% YoY improvement in FY14 as apartments sold in FY11-13 (new launches and re-launches) under the amended DCR continue to see registrations. At the same time, we expect fresh sales/transaction volumes to remain tepid as developers continue to hold prices in the face of deterioration in volumes," said HDFC securities analyst Adidev Chattopadhyay said.

"We maintain our view that with the developers not officially trimming quoted prices across projects; investors will continue to account for the bulk of sales across new launches," he said.