Mumbai realty: Developers struggle for funds, prices crash, buyers wait

Faced with no movement in sales in the past three-odd months due to lockdown and Covid-19-related issues, property developers are resorting to price cuts

“Today developers are ready to sell at Rs 40,000 per square (sq.) foot (ft). Last year, they were selling at Rs 50,000 per sq. ft,” says Sudha Kumari, a real estate broker in the Dadar East area of Mumbai. That is 20 per cent lower than last year’s prices. “Developers are worried about their loans. They want to sell, but buyers are in no mood to purchase,” says Kumari, highlighting the desperation of developers.

Kumari hits the spot. Sunil Solanki, a real estate investor in the same area, says he will buy properties when prices come down 30 per cent.