Mumbai: In a decade, the average flat size in the Mumbai Metropolitan Region (MMR) has shrunk by almost 43%, on the other hand the real estate prices have continued to soar in several of the micro markets of the region.
Back in 2014, a 3 BHK apartment would be spread over 960 square feet (sq. ft.), which got reduced to 700 sq. ft. in 2018.
Since 2018, the average apartment size has further shrunk to 550 sq. ft, shows property consultant Anarock’s data.
"MMR is the only city where average flat sizes reduced"
With such a substantial decrease in the carpet area, “MMR is the only city where average flat sizes reduced,” said Anuj Puri, Chairman, Anarock Group. This also means that the liveable area has been on a constant decline.
However, an average Indian family continues to live in the traditional manner with heavy on furniture and non-utilisation of space saving equipment. Therefore, not having any breathing area left.
Among the top seven cities, the National Capital Region (NCR) saw the highest growth in average flat size in the last five years, from approximately 1,250 sq. ft. in 2018 to about 1,700 sq. ft. in Q1 2023.
An earlier report of the same property consultant showed a 33% increase in property prices between 2010 and 2020. If the data between 2015 and 2022 is looked at, there was approximately a 13% hike in the average property prices.
Stagnant property rates in MMR despite an average decline of 1%
The entire region’s property price analysis done by Pankaj Kapoor, Managing Director of real estate research company Liases Foras shows that there has been an average decline of 1%. In December 2013, the average real estate price in the MMR was ₹18,845 per sq. ft. that stood at ₹18,708 as of March 2023.