Details of the Transactions

As per the documents available on the Inspector General of Registration (IGR) Maharashtra website accessed by Square Yards, Ghai sold two apartments within the same complex, on the same floor, for an identical price of ₹5.80 crore each.

• First Apartment
  • Sale Price: ₹5.80 crore
  • Carpet Area: 889 sq. ft (~82.59 sq. m)
  • Built-up Area: 1,067 sq. ft (~99.14 sq. m)
  • Stamp Duty: ₹34.83 lakh
  • Registration Fee: ₹30,000
• Second Apartment
  • Sale Price: ₹5.80 crore
  • Carpet Area: 889 sq. ft (~82.59 sq. m)
  • Built-up Area: 1,067 sq. ft (~99.14 sq. m)
  • Stamp Duty: ₹34.83 lakh
  • Registration Fee: ₹30,000

Why Jogeshwari?

Jogeshwari, located in Mumbai’s western suburbs, is known for its excellent connectivity to key commercial and entertainment hubs. The area is well-connected through:

• Western Express Highway
• Jogeshwari-Vikhroli Link Road (JVLR)
• Multiple railway stations and metro lines

This makes it a sought-after location for real estate investments, offering a blend of residential convenience and commercial accessibility.

About Subhash Ghai

Often referred to as the “Showman of Bollywood,” Subhash Ghai is a legendary filmmaker who has delivered iconic films like Ram Lakhan, Khalnayak, Taal, Pardes, and Saudagar. Over the years, he has won several prestigious accolades, including the Filmfare Award for Best Director and the National Film Award for his contributions to Indian cinema.

Apart from filmmaking, Ghai is also the founder of Whistling Woods International, one of India’s leading film schools, where he has been instrumental in mentoring aspiring filmmakers.

Market Impact

The sale of these premium apartments highlights the continued demand for high-end residential properties in Mumbai’s western suburbs. Industry experts believe that transactions like these further strengthen Jogeshwari’s reputation as a growing real estate hub.

For more updates on Mumbai’s real estate market, stay tuned.

Also Read: Subhash Ghai and Wife Mukta Ghai Buy ₹24 Crore Luxury Apartment in Mumbai’s Bandra

The post Subhash Ghai Sells Two Apartments in Mumbai’s Jogeshwari for ₹11.61 Crore appeared first on Square Feat India.

Skyrocketing property prices and geopolitical uncertainties have been cited as primary reasons for the decline in sales. “MMR and Pune accounted for 51% of the total sales, with MMR seeing a 26% yearly drop and Pune witnessing a decline of over 30%. Hyderabad recorded the highest annual drop in sales at 49%, while Bengaluru had the lowest decline at 16%,” said Anuj Puri, Chairman of ANAROCK Group.

New Launches Drop by 10% Y-o-Y

New housing supply also took a hit in Q1 2025, witnessing a 10% annual decline. The total number of new launches across the top seven cities fell from approximately 1.11 lakh units in Q1 2024 to just over 1 lakh units in Q1 2025.

Despite this decline, new launches in NCR, Bengaluru, and Kolkata surged by 53%, 27%, and 26%, respectively. However, other cities recorded substantial drops, with Hyderabad witnessing the highest decline of 55% Y-o-Y.

Luxury and ultra-luxury homes (priced above INR 1.5 crore) dominated the new supply, comprising 42% of the total launches. The premium segment (INR 80 lakh – INR 1.5 crore) followed with a 27% share, while mid-segment homes (INR 40-80 lakh) and affordable housing (under INR 40 lakh) accounted for 18% and 12%, respectively.

City-Wise Breakdown of New Launches

Among the top markets, Mumbai Metropolitan Region (MMR) and Bengaluru saw the highest number of new launches, accounting for 52% of the total supply in Q1 2025. While MMR witnessed a 9% dip in new launches, Bengaluru recorded a 27% Y-o-Y rise. Pune’s new supply declined by 10%, while NCR saw a significant increase of 53%.

Sales Performance Across Major Cities

In terms of sales, MMR led the market with 31,610 units sold in Q1 2025, marking a 26% decline from Q1 2024. Pune followed with 16,100 units sold, recording a 30% dip. Bengaluru saw the lowest drop at 16%, with 15,000 units sold.

Hyderabad recorded the steepest fall in sales at 49%, with only 10,100 units sold compared to 19,660 in Q1 2024. NCR, Chennai, and Kolkata also witnessed significant drops ranging between 20% and 31%.

Price Trends and Unsold Inventory

Despite the decline in sales, property prices continued to rise. Average residential prices in the top seven cities surged by 17% annually, with NCR and Bengaluru recording the highest jumps of 34% and 20%, respectively.

At the same time, unsold inventory in these cities dropped by 4% Y-o-Y, falling from approximately 5.80 lakh units at the end of Q1 2024 to 5.60 lakh units by the end of Q1 2025. Pune saw the steepest decline in unsold inventory at 16%, whereas Bengaluru recorded a 28% increase in available stock.

Market Outlook

Industry experts believe that while India’s macroeconomic fundamentals remain strong, rising property prices and global uncertainties are creating short-term hurdles for the housing market. “India’s overall economic scenario remains positive, with GDP growth expected to be among the highest globally and inflation under control. However, rising housing prices and global headwinds have impacted the residential market in Q1 2025,” Puri added.

Going forward, developers may focus more on right-sizing and right-pricing strategies to boost affordability and attract demand, particularly in the mid and affordable housing segments. The market’s trajectory in the coming quarters will largely depend on interest rate movements, economic stability, and global geopolitical developments.

Also Read: Akshay Kumar real estate

The post Housing Sales Plummet by 28% in Q1 2025 Across India’s Top 7 Cities appeared first on Square Feat India.

The report, titled Real Insight: Residential Annual Round-up 2024 by PropTiger.com, revealed that while property prices saw a significant uptick across various cities during the October-December period of 2024, the rise varied by region. In particular, the NCR housing market recorded the sharpest surge in property values, reflecting the region’s growing demand for high-end real estate. This price escalation came despite a general slowdown in price growth in some cities, like Hyderabad, which saw a more modest 3% increase after nearly a decade of strong growth.

Price Growth Across Major Cities

The report highlights property price trends in key residential markets across the country, with Delhi-NCR standing out with the highest increase. The average price per square foot in Delhi NCR rose from ₹5,445 in Q4 2023 to ₹8,105 in Q4 2024, marking a 49% YoY growth. Other major cities also saw impressive growth:

• Ahmedabad: ₹4,000 to ₹4,402 (10% increase)
• Bengaluru: ₹6,744 to ₹7,536 (12% increase)
• Chennai: ₹6,200 to ₹7,173 (16% increase)
• Hyderabad: ₹6,842 to ₹7,053 (3% increase)
• Kolkata: ₹5,100 to ₹5,633 (10% increase)
• Mumbai Metropolitan Region (MMR): ₹10,712 to ₹12,600 (18% increase)
• Pune: ₹6,140 to ₹7,108 (16% increase)

These figures suggest that the demand for residential properties across these cities continues to grow, particularly in areas with strong economic prospects and increasing infrastructural development.

NCR’s Unstoppable Growth

The NCR region’s remarkable surge in property prices can be attributed to several factors, including a thriving economy, high-net-worth individuals (HNIs) making substantial investments, and the growing presence of newly-listed start-ups. Areas like Gurugram, Noida, and Greater Noida saw significant increases in home sales, with Gurugram experiencing a 144% rise in sales YoY. Despite a nationwide dip of 26% in home sales, key NCR cities have maintained strong growth in the residential market.

The report attributes this resilience in NCR’s housing market to developers’ focus on premium housing offerings, a trend driven by the high demand from HNIs and business professionals. Developers are prioritizing luxury properties over affordable housing, thus catering to the growing demand for high-end real estate in the region.

Mumbai and Other Key Markets

Similarly, Mumbai’s residential property market saw an 18% YoY increase in property prices, driven by similar factors of demand from high-net-worth individuals, the presence of Bollywood celebrities, and Mumbai’s status as India’s financial hub. The city continues to be one of the most unaffordable housing markets in the world, attracting significant interest from both domestic and international investors.

Despite strong demand, the rising costs of building materials, land, and labor have made affordability a growing concern. As construction costs continue to climb, affordability issues are expected to deepen, especially for the middle class, which heavily relies on government subsidies for homeownership.

The Need for Policy Measures

Dhruv Agarwala, Group CEO of Housing.com and PropTiger.com, highlighted the challenges posed by the steep rise in property prices, stressing that while this growth indicates strong demand and positive buyer sentiment, it also raises concerns over affordability, particularly for lower-income buyers.

Agarwala suggested that the government must introduce policy measures to address affordability issues, particularly in light of rising inflation and slowing growth. He emphasized that positive changes in tax laws in the upcoming Budget, coupled with potential rate cuts by the Reserve Bank of India (RBI), could help ease affordability challenges for India’s growing middle class.

The PropTiger.com report underscores the need for a balanced approach to the housing market that promotes both luxury and affordable housing to ensure that all segments of society can benefit from the country’s real estate growth.

Conclusion

The 2024 property market performance reflects continued strong demand in India’s key residential markets, with Delhi-NCR and Mumbai leading the surge. However, the rising costs of materials and labor pose a challenge to affordability, urging the government and industry stakeholders to take proactive steps to ensure sustainable growth and accessibility in the housing sector.

Also Read: auction of developer property

The post Property Prices Surge Across India’s Prime Residential Markets in 2024 Amid Rising Costs appeared first on Square Feat India.

Bengaluru’s residential real estate market saw a slight dip in both transaction volume and value during the July-September 2024 quarter, with a total of 25,259 residential units registered, amounting to a transaction value of Rs. 15,739 crore. While there was a year-on-year decline of 8% in transaction volume and a 15% decrease in the overall sales value compared to Q3 2023, demand remains strong, with North Bengaluru emerging as the leading region in terms of sales activity.

Market Overview for Q3 2024

According to data from Square Yards, the July-September 2024 quarter recorded a modest slowdown in Bengaluru’s residential real estate sector after a period of rapid growth. The total transaction value of Rs. 15,739 crore reflects a 15% year-on-year drop from Rs. 18,505 crore in the same quarter of 2023, while the average price per home decreased by 7% to Rs. 62 lakh.

• Residential Transactions: 25,259 units registered, an 8% drop YoY
• Transaction Value: Rs. 15,739 crore, down 15% YoY
• Average Home Price: Rs. 62 lakh, down 7% YoY

While the overall market showed signs of moderation, Sopan Gupta, Principal Partner at Square Yards, emphasized that demand remains robust, particularly in the northern micro-market, with increased interest in both apartments and plots. He expects continued growth in the coming quarters, supported by ongoing infrastructure developments such as metro expansion and increased office space uptake from global tech firms.

Leading Developers and Key Projects

In terms of sales value, Embassy Group led the market with Rs. 295 crore in sales, driven by their projects Embassy Springs (a residential plotted development in Devanahalli) and Embassy Lake Terraces (an apartment project in Hebbal). Close behind in sales value was Prestige Group, with Prestige Golfshire leading their portfolio for the quarter.

In terms of transaction volume, Artha Property and Tata Realty were the top performers. Artha’s Emprasa Startup City in Hoskote recorded the highest number of transactions, followed closely by Tata’s New Haven project. Other developers like Birla Estates and Godrej Properties also made significant contributions to the market.

Top Developers by Home Sales Value (Q3 2024):

1. Embassy Group – Rs. 295 crore (Embassy Springs Plots)
2. Prestige Group – Rs. 120 crore (Prestige Golfshire)
3. Birla Estates – Rs. 83 crore (Birla Alokya)
4. The Phoenix Mills – Rs. 57 crore (Phoenix One)
5. Tata Realty – Rs. 53 crore (Tata New Haven)

Top Developers by Residential Transactions (Q3 2024):

1. Artha Property – 100 units (Artha Emprasa Startup City)
2. Tata Realty – 98 units (Tata New Haven)
3. Godrej Properties – 96 units (Godrej Royale Woods)
4. Prestige Group – 94 units (Prestige Marigold)
5. Embassy Group – 81 units (Embassy Springs Plots)

Area & Budget Trends

In the July-September 2024 period, the majority of Bengaluru’s residential transactions (86%) were in the sub-Rs. 1 crore price range. This indicates continued demand for affordable and mid-segment housing. Notably, apartments between 1,000 and 1,500 sq. ft. accounted for 47% of all transactions, signaling an ongoing preference for spacious homes, likely driven by hybrid work models in the IT sector.

Transaction Distribution by Area (Q3 2024):

• 1,000-1,500 sq. ft.: 47% of total transactions
• 500-1,000 sq. ft.: 18%
• 1,500-3,000 sq. ft.: 18%
• Below 500 sq. ft.: 3%

Transaction Distribution by Budget:

• Below Rs. 50 lakh: 68%
• Rs. 50 lakh-1 crore: 18%
• Rs. 1-2 crore: 8%
• Above Rs. 3 crore: 3%

Micro-Market Performance

North Bengaluru remained the dominant micro-market, accounting for 40% of all residential transactions. The area’s proximity to the Kempegowda International Airport, combined with growing demand for plots, particularly in areas like Chikkasanne and Chikkasandra, has driven activity. South Bengaluru came second with 25% of the market share, with prominent localities like Jayanagar and Electronic City standing out. Jayanagar also recorded the highest home sales value in the city at Rs. 469 crore.

Micro-Market Breakdown (Q3 2024):

• North Bengaluru: Rs. 5,826 crore (10,000 units)
• South Bengaluru: Rs. 3,539 crore (6,323 units)
• Central Bengaluru: Rs. 2,595 crore (1,927 units) – Highest average sales value of Rs. 1.35 crore
• East Bengaluru: Rs. 1,999 crore (3,003 units)
• West Bengaluru: Rs. 1,781 crore (4,006 units) – Most affordable micro-market with average sales of Rs. 44 lakh

Outlook

While Bengaluru’s residential market saw a slight correction in Q3 2024 following a period of strong growth, the city’s real estate sector remains buoyant due to strong end-user demand, favorable macroeconomic conditions, and infrastructure advancements. With the metro expansion, new tech parks, and improved office space uptake, the residential market is expected to continue its positive trajectory in the coming quarters, supported by both domestic and investor demand.

Also Read: Urban Vault Expands Office Space in Bengaluru’s CBD to Meet Rising Demand

The post Bengaluru Registers Rs. 15,739 Crore in Residential Transactions in Q3 2024, North Bengaluru Leads Market Activity appeared first on Square Feat India.

As of 5:30 PM on September 30, a total of 9,012 home registrations were recorded in the city, generating a revenue of ₹872 crore. This marks the lowest number of registrations for the month since the beginning of the financial year.

In comparison, September 2023 saw 10,693 registrations and revenue of ₹1,126 crore. The Shradh period last year began on September 29, while this year it commenced on September 19, impacting buyer sentiment.

For context, earlier this year, registration figures were markedly higher: April recorded 11,648 registrations with a revenue of ₹1,057 crore; May saw 12,000 registrations and ₹1,034 crore in revenue; June had 11,673 registrations generating ₹1,013 crore; July reported 12,373 homes registered and ₹1,064 crore in revenue; and August concluded with 11,631 registrations and revenue of ₹1,061 crore.

The substantial drop in September’s sales highlights the influence of cultural beliefs on the real estate market, as buyers often refrain from making significant purchases during the Shradh period.

Also Read: Mumbai in September sold 8560 homes more than August & in spite of Shradh

The post Shradh Spoils Home Sales in September 2024 appeared first on Square Feat India.

Key Highlights:

• Transaction Surge: The real estate market saw a significant increase in registered transactions, rising by 50% year-over-year, although there was a 30% quarter-over-quarter decline compared to the previous quarter.
• Record Sales Value: The average home sales value hit an all-time high of ₹69 lakh, marking a 17% increase from the previous year. This uptick reflects a growing demand for high-end and premium properties.

Market Performance:

In the June quarter, Pune’s residential segment saw 20,190 transactions with a total sales value of ₹13,995 crore, representing a 3% annual growth. The surge in average registered home sales value underscores a strong market preference for premium properties.

Suhas Paithankar, Associate Principal Partner at Square Yards, noted, “Pune continues to excel as one of India’s top real estate markets. The June quarter’s data reveals a 17% annual increase in average sales value, reaching a historic high. This reflects a robust demand driven by economic growth and shifting buyer preferences.”

Micro Market Insights:

Pimpri Chinchwad and the Western suburbs remain dominant in Pune’s residential market, with these areas accounting for 67% of total registered transactions and 64% of the sales value in Q2 2024. Pune’s central suburbs recorded the highest average transaction value at ₹1.08 crore, while Pimpri-Chinchwad offered a more affordable average transaction value of ₹56 lakh.

Leading Developers and Projects:

VTP Realty emerged as the market leader in both total registered transactions and sales value, with notable projects like VTP Verve and VTP Dolce Vita. Kolte Patil Developers and Godrej Properties followed closely, with Kolte Patil’s Life Republic and Godrej’s Urban Retreat performing strongly.

Top Developers by Registered Home Sales Value (Q2 2024):

1. VTP Realty – ₹525 crore
2. Kolte Patil Developers – ₹393 crore
3. Godrej Properties – ₹352 crore

Top Developers by Number of Registered Residential Transactions (Q2 2024):

1. VTP Realty – 573 transactions
2. Kolte Patil Developers – 422 transactions
3. Godrej Properties – 402 transactions

New Launches:

In Q2 2024, Pune saw the launch of 16,783 new residential units across 177 projects, covering nearly 15 million square feet. Pimpri Chinchwad led the new supply with 47% of the total units launched, driven by its strategic location and growing IT hub.

Square Yards’ report suggests that both local and national developers are thriving in Pune, with a diverse range of mid-to-high segment offerings catering to various buyer preferences. With the festive season approaching, the residential market is expected to experience increased activity.

Also Read: Rents Rise by 2.6% QoQ Across 13 Key Indian Cities; Ahmedabad, Pune, and Kolkata Lead in Rental Yields: Magicbricks Report

The post Pune Real Estate Market Sees 50% Surge in Registered Transactions; Average Home Sales Value Hits Record appeared first on Square Feat India.

The under-construction projects in the top 3 cities have witnessed higher price appreciation up to 30% over the year compared to ready properties as new launches offered newer amenities and configurations. The continued price movement indicates strong demand in the premium housing market.

The heightened demand is further supported by the RBI that maintained interest rates for the sixth consecutive time which is expected to add momentum to the residential market.

The key trends these cities witnessed through the year:

Price trends:

Mumbai

• The rise in capital values for under-construction properties in Mumbai is sharper than ready properties that saw a 3% YOY rise compared to a 5% YOY increase for under-construction properties.
• The micromarkets of Central Mumbai and Western Suburbs (Others) witnessed a significant increase of 12%-21% YOY in capital values on account of new launches at prices higher than the existing market average.
• The market witnessed significant traction in demand for the luxury segment. Larger spaces in bungalows and prime residences were preferred due to the increasing trend of hybrid working, especially by professionals in the financial services industry as well as in legal domain.

Bengaluru

• Bengaluru’s premium residential market witnessed a growth of 5-6% YOY in capital values over the year. The under-construction projects saw higher growth averaging 7.2% YOY compared to about 5.2% YOY increase in newly completed projects as new projects were being launched at higher prices along with strong demand.
• Central Bengaluru has witnessed the highest growth in capital values in completed projects at 7.5% followed by 6.2% in East Bengaluru. The completion of the new metro route in Eastern Bengaluru and strong demand from HNIs in the Central Bengaluru have been the major driving factors for capital appreciation in these markets.  

Delhi

• The city overall witnessed an increase of 16% YOY in the average capital value of luxury floors.
• The micromarket of South-East Delhi witnessed the highest price appreciation of 27% on an annual basis for luxury floors. This is followed by the South-West micromarket which registered a YOY growth of 21%.
• The average capital values of residential plots witnessed a YOY growth of 25% at the city level. The South-Central and South-West micromarkets led this trend, with both recording the highest YOY growth rates at 29%

Gurugram

• The average capital values of completed and under-construction properties hit a fresh peak with 37% and 30% YOY growth registered at city level respectively. 
• New Gurugram & Dwarka Expressway were the top performing micromarkets with an annual growth of 53% and 34% respectively in average capital values of under construction properties.
• The city overall witnessed an increase of 26% YOY in the average capital value of residential plots. The Dwarka Expressway micromarket registered the highest price growth, with a 43% YOY increase.

NOIDA

• Average Capital values of completed and under-construction properties in NOIDA witnessed a significant YOY increase of 30% & 29% respectively.
• With 43% YOY growth, sector 150 micromarket witnessed the highest growth in capital value for under-construction properties.

North Goa

• Average capital values for villas in North Goa witnessed a steep rise of 28% YOY. This increase in prices is attributed to its rising popularity among homebuyers as a second home location owing to high rental yields, a growing preference for gated villas and a demographic shift towards younger, lifestyle-focused buyers.
• The market is witnessing a trend of young professionals, especially from major cities like Mumbai, Delhi and Bengaluru, moving to Goa. These professionals often work in creative fields or are digital nomads seeking a better work-life balance.
• Homebuyers preferred gated villas along the coastal belt locations, such as Anjuna, Arpora, Baga, Calangute, Candolim and Vagator.
• Due to rising land prices, the supply of villas in North Goa has seen a tremendous shift. The standard sizes of villas have shrunk to almost half from 5,400 sq ft. to 2,700 sq ft. over the past five years.

Rental trends

Mumbai

• All micromarkets witnessed an increase in rental values, estimated in the range of 3%-8% YOY. The rise in rental values can be partly attributed to pent-up demand for rental properties due to redevelopment of dilapidated buildings in the city.
• The market gained momentum as end-users increasingly considered leasing larger homes in projects with amenities.
• Properties located near metro stations witnessed a substantial increase in rental values. The convenience of a quick and reliable commute to major business hubs and entertainment districts is highly sought after by homebuyers.

Bengaluru

• South and North Bengaluru saw a significant growth of ~3% YOY in rentals in premium residential developments.​Similarly, East and Central Bengaluru recorded a growth of ~2% YOY in premium properties.

Delhi

• The rental values increased by 31% YOY in H1 2024 at city level.
• South-Central micromarket witnessed the highest annual growth in rentals at 38% followed by the Central 1 micromarket which observed 36% YOY increase.

Gurugram

• Average rentals witnessed an increase of 18% YOY at city level.
• Dwarka Expressway and Golf Course Road saw the highest rise in rentals with 28% & 19% YOY growth, respectively.

NOIDA

• Sector 150 and NOIDA Others micromarkets with 12% YOY growth, saw the maximum hike in rentals in H1 2024.

New launches across key cities:

• Luxury unit launches in Delhi increased over 4X, with 1,300 new units launched in H1 2024.
• With approximately 9,500 luxury units, new launches in Gurugram increased 2X in H1 2024
• New launches of luxury units in NOIDA saw a significant increase, with approximately 2,200  units added in H1 2024.
• With 5,632 units launched in H1 2024 in the premium segment, Bengaluru saw a 156% YOY growth. East Bengaluru accounted for 55% of the new launches while North Bengaluru contributed 23%. 

Shveta Jain, Managing Director, Residential Services, Savills India said, “In H1 2024, the buyer sentiment was upbeat, with investor interest gravitated towards new launches, while end-users sought ready-to-move-in properties. Older developments in grade A corridors witnessed increased demand from both buyers and tenants. The velocity of sales was better for villas and apartments with large balconies and green patches. The 4-bedroom format also garnered more attention in the luxury segment, applicable to both primary and secondary markets. The increase in new launches in Gurugram and Delhi also reflects a growing appetite for luxury residences. Interestingly, discerning buyers also sought green buildings, reflecting a growing demand for upscale, sustainable living beyond traditional amenities.”

Also Read: Prices of under-construction projects increase 15.2% QoQ across top 13 cities

The post Prices in premium markets of the top 3 cities continue growth streak appeared first on Square Feat India.

• MMR & Pune led with addition of approx. 44,120 units & 18,920 units respectively, accounting for 54% of total launches in the top 7 cities; NCR recorded the highest quarterly rise of 134% in new launches in Q2 2024
• New supply in luxury (>INR 1.5 Cr) & premium segments (INR 80 lakh – INR 1.5 Cr) outpaced the mid segment (INR 40 lakh – INR 80 lakh) supply for the first time – 28% share each vs mid segment’s 26% supply share; affordable supply at 19%
• Available inventory in top 7 cities sees 1% quarterly decline & 6% yearly fall despite addition of new supply; NCR witnessed highest yearly decline of 22%
• Avg.  property prices in top 7 cities altogether see 7% quarterly rise but a significant 25% yearly rise – NCR records highest 10% quarterly jump, followed by Hyderabad with 9% increase & Bengaluru with 8% jump

The bull run in residential sales across the top 7 cities tamed down marginally in the second quarter of 2024, to the backdrop of increasing property prices and a high base record of the previous quarter (Q1 2024). 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 cities,against approx. 1,30,170 units sold in Q1 2024. However, on a yearly basis, there has been a 5% rise in residential sales.

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 one 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 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-INR 80 lakh budget segment.
• Pune added 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, the city 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 INR 40 lakh to INR 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 in2023. 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 40% rise. Approx. 83% of the new supply was added in the premium and luxury segments (INR 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 second quarter this year were in the luxury segments priced >INR 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 13% drop against Q2 2023. Approx. 64% new supply was added in the mid segment priced between INR 40 lakh – INR 80 lakh.

Source: ANAROCK Research

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% 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 toosaw 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 preceding quarter (Q1 2024); approx. 4,640 units were sold in Q2 2024.

Source: ANAROCK Research

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 INR 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% on a quarterly basis to approx. 5.78 lakh units as of Q2 2024-end. On a yearly basis, 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.

Also Read: New-age buildings dominate India’s office market, accounting for 84% of total net absorption since 2021

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 Inflation, the gradual increase in the general prices of goods and services, erodes the purchasing power of money over time. For investors seeking to preserve and grow their wealth amidst inflationary pressures, real estate has emerged as a popular hedge against this dreaded but inevitable dynamic, finds ANAROCK research.

Price growth over the last three elections

Shobhit Agarwal, MD & CEO – ANAROCK Capital, says, “After the 2019 elections, average residential prices across the top 7 cities have appreciated at a Compound Annual Growth Rate (CAGR) of 6% – rising from INR 5,600/sq.ft. in June 2019 to INR 7,550/sq.ft by the end of FY 2024. A similar trend was witnessed in relation to the 2014 elections. Average prices across the top 7 cities saw an annual rise of over 6% in 2014 when compared to the preceding year – from INR 4,895/sq.ft in 2013 to INR 5,168/sq.ft in 2014.”

Conversely, before the 2019 elections, average prices rose by a mere 1% annually, and remained rangebound during the tenure.

Source : ANAROCK Research, Data for Top 7 cities

Supply – Demand Dynamics

In the last decade, there were periods when the supply of real estate exceeded demand, resulting in stable price growth that kept pace with inflation in the pre-pandemic era. Between 2013-2020, the top 7 cities recorded a cumulative supply of 23.55 lakh units against a demand for 20.68 lakh units.

Gradually, demand rose in tandem with new supply. Available inventory peaked at approx. 8 lakh units by the end of 2016. However, following the pandemic, residential real estate saw rapid recover, leading to significant price growth that has outpaced general inflation.

Source: ANAROCK Research, Data for Top 7 cities

Real estate – a hedge against inflation

Inflation, the gradual increase in the general prices of goods and services, erodes the purchasing power of money over time. For investors seeking to preserve and grow their wealth amidst inflationary pressures, real estate has emerged as a popular hedge against this dreaded but inevitable dynamic.

Steady population growth coupled with urbanization consistently fuels housing demand. As more people migrate to cities for better opportunities, rising residential demand exerts upward pressure on prices.

Moreover, real estate investments can generate rental income, which potentially grows over time in response to inflation. As the cost of living rises, landlords typically adjust rental rates. Also, investors can leverage their real estate assets to borrow funds for further real estate acquisitions.

During inflationary periods, the cost of borrowing (interest rates) typically rises. However, investors who have secured fixed-rate financing before inflationary pressures set in can benefit from lower borrowing costs in real terms, enhancing the profitability of real estate investments.

“Real estate investments offer diversification benefits within a portfolio,” says Agarwal. “Unlike financial assets such as stocks and bonds, which may be negatively impacted by inflationary pressures, real estate – including residential, commercial, and retail – provides a tangible asset with intrinsic value. Diversifying investment portfolios with real estate holdings can mitigate overall portfolio risk and enhance long-term returns.”

Residential real estate prices have risen continuously since 2013, and in the last two years, appreciated at a CAGR of 13% while CPI inflation moderated by 1.3% on an annual average basis to 5.4% at the end of FY24. This trend signifies a clear outperformance of real estate prices compared to inflation.

With tangible real estate, in response to growing investor demand for inflation protection, financial instruments such as real estate investment trusts (REITs) and inflation-linked bonds have gained popularity. REITs, which invest in income-generating real estate, offer investors exposure to the real estate market coupled with liquidity and diversification benefits. Similarly, inflation-linked bonds adjust their principal and interest payments based on changes in inflation rates.

Also Read: Home Prices To Go Up Or To Remain The Same?

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The real estate industry has seen a drastic shift in consumer behavior in the last three years. Everything has been impacted by the pandemic, from how people search for homes to what they expect from real estate developers. A key sentiment which has emerged across the board is that consumers not only want to be the centre of attention but also want an elevated customer experience and a good relationship with the brand. Customer centricity, however, goes beyond simply prioritizing your customers; it also entails giving them the greatest possible experience both before and after they buy a home and during the house-hunting and purchasing processes.

Today, there is no one-size-fits-all solution to understand consumer needs. Modern homebuyers have more access to information than ever; they are well-read, well-traveled, and committed to the environment. Some customers appreciate tech-enabled, efficient designs, while some are looking to safeguard their future and have become key contributors to the demand for residential real estate, all of whom have evolving home-buying preferences. With perceptions around lifestyle changing rapidly, the value proposition becomes crucial. Hence, simply delivering ‘exceptional residences’ is not enough. The developer community now needs to adopt a buyer-centric business approach and provide truly differentiated customer experiences as they will aid in making one stand apart from the competition, building a loyal consumer base, and eventually creating brand identity.

Here are some key parameters which could redefine a seamless customer experience in the real estate sector:

Meeting the needs of the consumer

The value that buyers place on community, neighborhood, spatial design, amenities, and services is a reflection of the shift in lifestyle attitudes brought about by the new post-pandemic realities. It is critical for developers to constantly map the customers’ changing needs and develop projects that meet the needs of the customers and their family members. 

Establishing trust

Every real estate success story revolves around trust. Building trust is essential because sellers and buyers approach real estate transactions with conflicting feelings shaped by past experiences. Building trust is built on the foundation of transparent communication. It entails disclosing every aspect of the property, including any potential downsides. A strong foundation of trust is established with clients when they perceive that developers truly care about their needs. Efficient communication reduces uncertainty and facilitates well-informed decision-making, encompassing property specifics and legalities.

Transparent communication

Investing in a state-of-the-art Customer Relationship Management tool (CRM) could do wonders to improve your relationship with your customers. The CRM should be used efficiently to have a seamless customer communication flow. Key details like project completion, status on multiple permissions, slab-wise construction details, etc., are information points that help customers know every possible detail about their dream home and increase their trust. For buyers, transparency means access to comprehensive property information, including pricing, history, and condition. It also entails being forthright about potential challenges and risks associated with a property. For sellers, transparency involves realistic pricing and a clear understanding of the market dynamics. Real estate professionals can build trust and create a more positive client experience by openly sharing information and setting realistic expectations. This leads to successful transactions and fosters long-term relationships and referrals as well.

Conclusion

Developing a reputation for trust and loyalty is essential in the fast-paced real estate industry, where properties influence many narratives. The cornerstones of success are open and honest communication, customized experiences, and regular follow-ups. Real estate agents who invest in excellent customer relations generate a positive feedback loop that benefits them and their esteemed clientele. In a field that is always evolving, these long-lasting connections are assets that endure the test of time and market swings.

CJ Mathews – Vice President Marketing, Ashar Group.

Also Read: RBI Keeps Repo Rate Unchanged

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