It varies from company to company. For eg, I was invested in a small cap real estate firm…Asiana Housing…they recognised revenue after receiving full amount against a particular flat. (PS not invested anymore)
Most of the companies, however, recognise revenue on flat’s booking.
Prestige Estates upcoming launches expected to have a Gross
Development Value of 752,000 crore, potentially resulting in pre-sales of ‹20,000 crore to ‹22,000 crore.
Issues with approvals for most of the real estate plays. Overhang and dead inventory may arise or might have arisen due to such developments.
But short term pain for a long term investor in real estate businesses. All due to elections last year