The Indian residential real estate market continued its upward trend in 2024, with nearly 5.77 lakh registered transactions in the primary and secondary property markets, marking a 4% year-on-year (YoY) increase compared to 2023. The total value of these transactions surpassed Rs. 4 lakh crore, reflecting a 2% YoY growth. This consistent expansion highlights the strong demand for residential properties and the market’s resilience.
Residential Transactions and Sales Value Trends
In 2024, the number of registered residential transactions reached 5.77 lakh, compared to 5.56 lakh in 2023, reflecting a 4% increase. The registered sales value also rose to Rs. 4.03 lakh crore, up 2% from Rs. 3.95 lakh crore in 2023. Despite a slight dip in the average sales value per unit (Rs. 0.70 crore in 2024 from Rs. 0.71 crore in 2023), the overall performance demonstrates the ongoing strength of the residential real estate sector.
Tanuj Shori, Founder and CEO of Square Yards, commented, “The Indian residential real estate market has entered a promising phase post-pandemic, fueled by pent-up demand and a renewed desire for homeownership. While the sector experienced exceptional growth in the past few years, the numbers in 2024 indicate a natural market cycle. Annual sales have consistently surpassed 5 lakh units and Rs. 4 lakh crore in total value—far exceeding pre-2020 levels. This is not a slowdown but rather a sign of a maturing market, poised for sustained growth in the coming years.”
Regional Performance
The western region emerged as the dominant player, with cities like Mumbai, Thane, Navi Mumbai, and Pune accounting for 61% of the total registered transactions and 69% of the overall sales value. In the southern region, Bengaluru and Hyderabad together contributed 25% of the total transactions. Bengaluru recorded nearly 0.8 lakh registrations, although a slight dip occurred due to the E-khata rollout. Hyderabad, however, continued its upward trajectory, recording 80% of Bengaluru’s volume, strengthening its position as a key real estate hub.
Price Trends Across Major Cities
The sustained demand in 2024 has led to significant property price hikes across major cities. Gurugram stood out with an extraordinary 132% rise in property prices since 2019, driven by high demand for luxury and ultra-luxury homes. Other northern cities like Noida and Greater Noida also saw substantial price increases, with the upcoming Jewar Airport further boosting interest in these areas. Over the past five years, property prices across key cities have witnessed remarkable growth, with prices rising by an average of 60%.
Price Growth Over the Last 5 Years (2019 vs. 2024):
- Gurugram: Rs. 5,820 to Rs. 13,500 (132%)
- Noida & Greater Noida: Rs. 4,500 to Rs. 7,500 (67%)
- Bengaluru: Rs. 5,450 to Rs. 9,050 (66%)
- Pune: Rs. 5,200 to Rs. 8,300 (60%)
- Ahmedabad: Rs. 3,580 to Rs. 5,500 (54%)
- Hyderabad: Rs. 5,250 to Rs. 7,500 (43%)
- Mumbai MMR: Rs. 9,500 to Rs. 14,200 (49%)
- Chennai: Rs. 5,200 to Rs. 6,940 (33%)
- Kolkata: Rs. 4,510 to Rs. 5,890 (31%)
Supply and Developer Confidence in 2024
Developers exhibited strong confidence in 2024, launching over 3.9 lakh new units and delivering more than 4 lakh units across major cities. The demand for gated communities and lifestyle amenities led developers to align their offerings with evolving consumer preferences. Developers also embraced cutting-edge technology and innovative designs. The NIFTY Realty Index, which tracks the performance of leading real estate stocks, outperformed other sectoral indices on the NSE in 2024, registering an impressive 40% gain year-to-date.
Outlook for 2025
Looking ahead to 2025, the outlook remains optimistic, with over 3.6 lakh units expected to be delivered across major cities. Leading developers have an ambitious pipeline of nearly 300 million sq. ft. for FY2025. This robust pipeline is anticipated to further boost transaction volumes and cater to the diverse needs of buyers. Despite a moderation in growth rates, the Indian real estate sector continues to perform well above pre-pandemic levels. The positive economic environment and shifting lifestyle preferences are expected to sustain momentum, ensuring another promising year for developers, homebuyers, and investors.
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