This Diwali urban realty is not doing a show to celebrate anything at all in India housing industry. Instead, it is declaring this a Black Diwali on behalf of stuck home buyers across the country who have knocked on every door from the government to the highest court of the country with just one plea, “Please give us our homes. We have paid up 90 percent of our life-savings to buy these homes.”
There are projects worth Rs 3.3 lakh crore stuck across India. In terms of number of units, it is 4.57 lakh units or homes which are behind delivery deadlines.
Around 1,600 projects which faced daunting construction challenges and they had no delivery date in sight. Around 39 percent of these stuck projects are in the National Capital Region (NCR), which is not surprising at all. The absolute number is 1.8 lakh units and the total value is Rs 1.22 lakh crore which means Rs 1 lakh crore out of this is definitely home buyers’ money if they have paid up 90 percent.
Majority of the projects here are also sold out and that is the reason why the pain in NCR is the deepest and the highest.
The other big market MMR is not too behind. It accounts for 32 percent of stuck projects which translates to over 1 lakh units valued at Rs 1.12 lakh crore which are pending completion today.