September 23, 2021

The real estate market in the state of Vizag, India has been in free fall in recent months.

As the real estate industry is in a state of meltdown, the average price of an apartment in the city has dropped by more than 50 per cent in just two years.

And with the economy on the ropes, the real Estate Board of India (REB) is struggling to make up the shortfall.

Real estate agent Kishore Shukla says the industry has been hit hard in the past two years, as many developers are facing bankruptcy and large numbers of apartments have gone empty.

Shuklas says the city is still a big player in the realty industry, but it is losing ground.

“The market is very competitive and I do believe that the prices are coming down.

The market has been going down for two years now,” Shuklas told AM.

“But the market is still struggling and it’s very tough to compete with a real estate company.”

Mr Shuklias believes that the current shortage of apartments in Vizag is due to the government’s recent decision to set up a national agency to manage the sale and purchase of apartments.

“It is only a matter of time before the market picks up again and prices go up again.

The only thing that can slow down the market are government measures that restrict the supply of apartments, such as a cap on number of apartments,” he said.

Realty broker Shukelas believes the government should look at setting up a central agency to sell and purchase apartments in different states.

“This would give them the tools to manage and control the market.

It is a very good idea.

The government has taken a strong stand to restrict the availability of apartments and real estate developers should follow suit,” he added.

The realty board of India is now considering a proposal to set a cap for the number of units per person in each residential area in the national capital.

This would help the board manage the market, Mr Shuklieas said.

The REB is currently working on an updated real estate plan to address the problems caused by the shortage of apartment rentals in the capital.

In the meantime, he said that some of the units sold by the developers would be returned to the developers.


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