Housing Prices Surge In Top 7 Indian Cities, Witnessing A 13% To 39% Yearly Rise: Report

[ad_1]

Latest Anarock Research data reveals that housing sales witnessed a quarterly drop of 8% and stood at approx. 1,20,340 units in Q2 2024 across the top 7 Indian cities, against approx. 1,30,170 units sold in Q1 2024. However, every year, there has been a 5% rise in residential sales.

The bullish trend in residential sales across the top 7 cities eased slightly in the second quarter of 2024, against a backdrop of rising property prices and a high baseline set in the previous quarter (Q1 2024).

Also Read: Budget 2024: From Interest Subsidy To Tax Relief, Housing Sector Expects Growth and Stability

The two western cities – MMR and Pune – accounted for over 52% of the total sales in the top 7 cities with over 62,685 units sold altogether in these cities in Q2 2024. NCR is the only city to see a quarterly rise (of 6%) in housing sales in the quarter against Q1 2024.

New launches across the top 7 cities continued to break previous records with a 6% Q-o-Q rise – from approx. 1,10,870 units in Q1 2024 to approx. 1,17,170 units in Q2 2024.

MMR and Pune saw the maximum new supply, accounting for 54% of the total new launches across the top 7 cities. Individually, the two cities saw 31% and 1% quarterly increases in their new supply, respectively.

Notably, NCR witnessed a 134% Q-o-Q jump in new supply in Q2 2024 against Q1 2024.

Anuj Puri, Chairman, Anarock Group, says, “The quarterly decline seen in housing sales is essentially because of the all-time high base considered in the previous quarter, when more than 1.30 lakh units were sold. Most importantly, this drop is also due to the significant hike in property prices over the last year, which in turn has prompted many investors to take a breather.”

Data indicates that average residential prices have seen a quarterly jump of 7% while an annual rise of a significant 25% in the top 7 cities.

“NCR witnessed the highest quarterly jump of 10% in Q2 2024 while Hyderabad saw the highest yearly jump of 38% in average residential prices,” says Puri. “However, if prices are kept in check henceforth, housing sales may not be majorly impacted in the upcoming quarters.”

New Launch Overview

The top 7 cities recorded approx. 1,17,170 new units launched in Q2 2024, against approx. 1,10,870 units in Q1 2024 – increasing by 6% over the previous quarter.

The key cities contributing to new launches in Q2 2024 were MMR (Mumbai Metropolitan Region), NCR, Pune, and Bengaluru, which together accounted for 82% of the supply addition.

  • MMR saw approx. 44,120 units launched in Q2 2024 – increasing by 31% over Q1 2024 and over 2% on yearly basis. More than 64% new supply was added in the sub-Rs 80 lakh budget segment.
  • Pune added a new supply of approx. 18,920 units in Q2 2024 compared to approx. 18,770 units in Q1 2024 – an increase of 1%.
  • On a yearly basis, Pune recorded a 11% decline in new supply. Over 73% of the new supply in Q2 2024 was added in the mid and premium segments (units priced between Rs 40 lakh to Rs 1.5 Cr.)
  • Hyderabad added approx. 13,750 units in Q2 2024, a quarterly decline of 40% but a 31% rise against the corresponding period in 2023. Over 69% of the new supply in Q2 2024 was added in the mid and premium price segments.
  • Bengaluru added approx. 16,020 units in Q2 2024, declining quarterly by 3%. On a yearly basis, there was a 40% rise. Approx. 83% of the new supply was added in the premium and luxury segments (Rs 80 Lakh onwards) combined.
  • NCR saw a whopping 134% increase in new launches against Q1 2024, with approx. 17,030 units launched in Q2 2024. A whopping 82% of the new launches in the second quarter this year were in the luxury segments priced >Rs 1.5 Cr.
  • Chennai added approx. 5,180 units in Q2 2024, a quarterly decline of 29% against Q1 2024 and a yearly increase of 3% over Q2 2023. Over 93% was added in the mid and premium segments.
  • Kolkata added approx. 2,150 units in Q2 2024, a decrease of 50% over Q1 2024 and a 13% drop against Q2 2023. Approx. 64% new supply was added in the mid-segment priced between Rs 40 lakh – Rs 80 lakh.

Overall Sales Overview

Approx. 1,20,340 units were sold in Q2 2024 across the top 7 cities – a quarterly decline of 8% over Q1 2024. NCR, MMR, Bengaluru, Pune, and Hyderabad together accounted for 92% of sales in the quarter.

On a yearly basis, the top 7 cities recorded a 5% increase in housing sales with approx. 1,15,090 units sold back in Q2 2023.

  • NCR is the only city to see quarterly growth (of 6%) in housing sales among the top 7 cities – from approx. 15,650 units in Q1 2024 to approx. 16,550 units in Q2 2024.
  • MMR witnessed the maximum sales at approx. 41,540 units in Q2 2024, against approx. 42,920 units in Q1 2024 – declining by 3%.
  • Pune witnessed housing sales of 21,145 units in Q2 2024, decreasing by 8% over Q1 2024.
  • Bengaluru too saw housing sales decrease by 8% in Q2 2024 against Q1 2024, with approx. 16,360 units sold in the second quarter this year.
  • Chennai saw approx. 5,020 units sold in Q2 2024 – decreasing by 9% against Q1 2024.
  • Hyderabad recorded sales of approx. 15,085 units in Q2 2024, a drop of 23% over Q1 2024.
  • Kolkata saw housing sales decrease by 18% in the quarter against the preceding quarter (Q1 2024); approx. 4,640 units were sold in Q2 2024.

Price Movement

Average residential property prices across the top 7 cities increased in the range of 4-10% in Q2 2024 when compared to Q1 2024 amid high residential sales. NCR recorded the highest quarterly jump of 10% with the average price at Rs 6,800 per sq. ft. as of Q2 2024-end.

On a yearly basis, the top 7 cities recorded a significant average price rise of between 13 – 39%. Hyderabad recorded the highest yearly jump of 39% in average residential prices in Q2 2024 against Q2 2023.

Available Inventory

Amid robust sales, available inventory across the top 7 cities reduced by 1% every quarter to approx. 5.78 lakh units as of Q2 2024-end. Yearly, there has been a 6% decline in the available inventory across the top 7 cities.

NCR witnessed the highest yearly decline of 22% – from approx. 1.11 lakh units by Q2 2023-end to approx. 86,900 units as of Q2 2024-end. This is a significant reduction in this top realty hotspot in the country which reeled under excessive unsold stock in previous years.

[ad_2]

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *