“The prolonged economic slowdown, led by weak consumer demand, has been manifesting itself in the form of sluggish sales with buyers postponing purchase decisions,” it said. While the three key markets—Mumbai, Bengaluru and Delhi NCR—continued to account for a major chunk of sales, the number of houses sold in Hyderabad increased 21 per cent YoY. Ramesh Nair, CEO and Country Head, JLL India, said, “The residential market has seen a gradual shift in consumer behaviour. Homebuyers are now looking at mostly ready-to-move-in houses or under-construction properties by developers with good track record about completion of projects.”

Recent reforms and developers’ focus on delivery would increase lead to more supply in 2020 and revival of buyers’ sentiments, he said. “Sales will continue to rise and are likely to increase beyond the pre-demonetisation year of 2016. The revival signs of the residential segment will be more visible through affordable housing demand, which will drive long-term institutional funds to invest in this segment,” Nair said.