Winning Bizness Desk
Mumbai.The Indian real estate market witnessed a decline in housing sales by 9% last year, with sales figures dropping to 4.71 lakh units across nine major cities. The drop is attributed to reduced demand and a dip in new supply, as revealed in a report by data analytics firm PropEquity.
Major Cities Under Review
The report, compiled by PE Analytics' PropEquity, analyzed housing demand and sales data from key cities including Bengaluru, Chennai, Hyderabad, Kolkata, Delhi-NCR, Mumbai, Navi Mumbai, Pune, and Thane.
43,000 Fewer Homes Sold
According to the report, residential property sales fell to 4,70,899 units in 2024, down from 5,14,820 units in 2023—a reduction of approximately 43,000 units. The supply of new homes also saw a 15% decline, dropping to 4,11,022 units due to lower activity during the two quarters impacted by the general elections and monsoon season.
Stable Home Prices Expected
Despite the slowdown, Samir Jasuja, CEO and Founder of PropEquity, emphasized that the decline stems from a high base effect, as 2023 saw record-high sales figures. He noted that the supply-to-sales ratio in 2024 remained similar to that of 2023, indicating resilience in the real estate sector.
City-Wise Performance
Bengaluru: Housing sales decreased by 9%, with 60,506 units sold in 2024 compared to 66,600 units in 2023.
Chennai: Sales dropped by 11%, falling to 19,212 units from 21,515 units in 2023.
Hyderabad: Witnessed the steepest decline of 25%, with sales reducing to 61,722 units from 82,350 units in 2023.
Kolkata: A marginal 1% dip in sales was observed, with 18,595 units sold compared to 18,697 units in 2023.
Mumbai: Sales fell by 6%, with 50,140 units sold in 2024 compared to 53,208 units in 2023.
Navi Mumbai: Contrary to the trend, housing sales increased by 16%, with 33,870 units sold, up from 29,085 units in 2023.
Pune: Sales saw a 13% decline, dropping to 92,643 units from 1,06,351 units in 2023.
Thane: Housing sales decreased by 5%, with 90,288 units sold compared to 95,336 units in 2023.
Delhi-NCR: Notably, the National Capital Region (NCR) experienced a 5% increase in sales, with 43,923 units sold, up from 41,678 units in 2023.
Real estate sector showed signs of resilience
While the overall housing sales and new supply in India witnessed a decline in 2024, the real estate sector showed signs of resilience, maintaining a stable supply-to-sales ratio. Cities like Navi Mumbai and Delhi-NCR stood out with positive growth in sales, suggesting localized demand trends. As the market adjusts to external factors such as elections and seasonal impacts, the sector’s long-term strength remains intact.
