Nifty Realty index enters bear market, Oberoi Realty, Sobha among top losers

The Nifty Realty Index has fallen close to 4% in Tuesday’s trading session. The index has now declined 26% from the peak of 1,157.35, which it had made on June 18 last year. A correction of over 26% from the peak means that the index has slipped into a bear market.

For today’s session, all constituents of the 10-pack index are trading with losses.

Stocks like Oberoi Realty, Sobha, Phoenix Mills Godrej Properties, and Mahindra Lifespace Developers, Brigade Enterprises, DLF, and Prestige Estates are trading with losses between 3-6% today.

Nifty Realty Stocks	Real Estate Stocks Today
Phoenix Mills	-4.09%
Godrej Properties	-4.94%
Prestige Estates	-3.69%
Brigade Enterprises	-3.11%
Raymond Ltd	-3.05%
DLF	-3.13%
Macrotech Developers	-2.07%
Sonha	-5.26%
Oberoi Realty	-5.83%
Mahindra Lifespaces	-4.04%

The sell-off is part of the larger risk aversion in the Indian stock market. India’s real estate pack had been riding on a boom in the demand for luxury homes, which grew much faster than the sale of relatively affordable alternatives. The Nifty Realty index hit its highest ever level of 1,150.3 on June 18, 2024.The tide turned in June after the elections, as it became increasingly obvious that the year wasn’t going to be as good as the developers had hoped for. Election-related hurdles led to a delay in approvals and launch of new projects.

By the end of 2024, the index had pared its gains down to 34.3%.