In 5 years, flat sizes shrunk by 16% across NCR, reveals study

  • | Thursday | 14th March, 2019

The average size of properties in this segment was 1,830 sqft in 2014 that came down to 1,460 sqft in 2018. “It is true that flat sizes are becoming slightly smaller than before. While in 2014, it was about 1,485 sqft, the average launch size in 2018 was about 1,250 sq ft.“Homebuyers prefer affordability, coupled with good location, over larger-size homes in far-flung suburbs. Frequent switching of cities is rapidly becoming the new normal for millennials on the lookout for faster career growth. But at the same time, there are big luxury flats that are also available.

Noida: Builders , in an attempt to keep the price point intact, have been reducing the average flat size across the country over the past five years, a study conducted by a Mumbai-based real estate research group has said.In NCR , including Noida, Greater Noida, Gurgaon and Ghaziabad, over the past five years, the average launch size of flats has reduced by 16% since 2014. While in 2014, it was about 1,485 sqft, the average launch size in 2018 was about 1,250 sq ft.“Homebuyers prefer affordability, coupled with good location, over larger-size homes in far-flung suburbs. So, to keep the prices in place, the sizes are being corrected,” said Anuj Puri, the chairman of Anarock Property Consultants that published its report on Tuesday.According to him, the reason for the shrinking apartment sizes is that most millennial homebuyers are averse to high maintenance costs and putting in that extra effort that large houses require for upkeep. They are, however, buying smaller houses because they want to own such homes where they can live independently in big cities.“Millennials attribute high value on location flexibility and do not get attached to neighbourhoods the way the earlier generations did. Frequent switching of cities is rapidly becoming the new normal for millennials on the lookout for faster career growth. Also, they are in no hurry to start families,” the report states suggesting that the small flats are mostly being bought by young and urban professionals.The maximum reduction in average property size has been seen in the budget housing segment priced at about Rs 40 lakh. The average size of homes priced below Rs 40 lakh was 750 sqft in 2014, and it reduced by 23% in 2018, the report stated.Interestingly, apartment sizes in the luxury housing segment that are priced above Rs 80 lakh also saw a 20% reduction in the past five years. The average size of properties in this segment was 1,830 sqft in 2014 that came down to 1,460 sqft in 2018. Mid-segment housing, priced between Rs 40 and Rs 80 lakh, saw the least size reduction of 17%, from 1,150 sqft in 2014 to 950 sqft in 2018, the report added.Reduction in flat size has invariably been achieved by elimination of extra balconies — and in many cases all balconies — and better apartment designs that allow more efficient use of smaller spaces, it said. “It is true that flat sizes are becoming slightly smaller than before. But at the same time, there are big luxury flats that are also available. We can say the range is expanding. Overall, it is true that affordability is leading to size correction in the low-price categories to get more first time buyers on board,” Prashant Tiwari, the president Credai-NCR, said.

If You Like This Story, Support NYOOOZ

NYOOOZ SUPPORTER

NYOOOZ FRIEND

Your support to NYOOOZ will help us to continue create and publish news for and from smaller cities, which also need equal voice as much as citizens living in bigger cities have through mainstream media organizations.


Stay updated with all the Noida Latest News headlines here. For more exclusive & live news updates from all around India, stay connected with NYOOOZ.

Related Articles