June 11, 2025: In Mumbai, it’s not unusual to find matchbox-sized flats commanding luxury-level price tags. While this issue has persisted for years, a wave of redevelopment projects has intensified the housing crunch, sending rental prices soaring and forcing both buyers and tenants to tread carefully.
The ongoing redevelopment boom, aimed at modernising old buildings, is reshaping the city’s property market—but not without consequences. “Rental rates have risen by 40%,” reveals Chintan Vasani, Partner at Wisebiz Developers, highlighting the growing cost burden on residents. He attributes this spike to the sheer number of properties currently undergoing or awaiting redevelopment.
“Roughly 3,000 buildings are already under redevelopment, with an additional 6,000–7,000 expected to follow. That’s nearly 10,000 buildings undergoing construction, displacing families and increasing demand in the rental market,” Vasani explains. This, he adds, has created a unique 10-year property cycle in Mumbai—one seen in few other Indian metros apart from certain areas of Pune.
For those planning to buy or rent, due diligence is critical. Vasani outlines several legal checks, starting with the chain of ownership documents, followed by the encumbrance certificate to ensure the property is free of legal liabilities. He also advises securing a no-objection certificate from the society or bank.
Seeking professional guidance is crucial. “A lawyer and a chartered accountant can help verify all legal and financial details,” Vasani notes. Additionally, if a bank sanctions a loan, it can often serve as an informal assurance that the paperwork is sound.
Lastly, understanding local property trends is essential. “Study how the area has evolved over recent months, its current rates, and the likelihood of redevelopment,” he advises. In Mumbai’s volatile housing market, knowledge and caution go hand in hand.
Source: NDTV
