India’s prime property market Delhi-NCR has remained buoyant during the December quarter, with home sales and new launches estimated to rise 25 per cent and 59 per cent, respectively, according to PropEquity, as reported by PTI.
While reporting that housing sales are estimated to fall 21% annually across nine major cities (Delhi-NCR, Mumbai, Navi Mumbai, Kolkata, Bengaluru, Pune, Hyderabad, Chennai, Thane) during the October-December period to 1.08 lakh units on high base effect, the real estate data analytics firm estimated sales to rise only in Delhi-NCR.
The data indicates that total sales of residential properties in the nine cities are projected to decrease to 108,261 units in the current quarter, compared to 137,225 units during the same period last year. Nevertheless, there is an anticipated increase of 5% from the 103,213 units sold in the previous September quarter.
Samir Jasuja, CEO and Founder of PropEquity, noted that the annual decline in sales can be attributed to the high base effect. He further stated that sales are expected to improve on a quarter-on-quarter basis due to increased demand during the festive season.
A scrutiny of the numbers indicates that, despite the decline, the supply-to-absorption ratio for 2024 remains consistent with that of 2023, suggesting that the underlying principles of the real estate market are robust and stable, Jasuja stated.
In Hyderabad, housing sales are projected to decrease by 47%, totaling 12,682 units in the period from October to December 2024, compared to 24,044 units in the year-ago period. In Bengaluru, a 13% reduction is anticipated, bringing sales down to 14,957 units from 17,276 units. Meanwhile, Chennai is expected to witness a 9% decline, with sales falling to 4,266 units from 4,673 units.
Housing sales in Mumbai are projected to decrease by 27 percent, falling to 10,077 units from the previous total of 13,878 units. In Navi Mumbai, a decline of 13 percent is anticipated, resulting in sales of 7,478 units compared to 8,607 units. Thane is expected to experience a 16 percent reduction, with sales dropping to 21,893 units from 26,099 units.
In Kolkata, a significant decline of 33 percent is forecasted, leading to sales of 3,763 units, down from 5,653 units. Additionally, the residential property market in Pune may see a 24 percent decrease, with sales expected to reach 20,230 units, down from 26,641 units.
However, the Delhi-NCR market is set to defy prevailing trends. Projections indicate that sales in the NCR region are expected to increase by 25%, reaching 12,915 units in the December quarter of 2024, compared to 10,354 units during the same period last year.
Vivek Singhal, CEO of Smartworld Developers, noted that the Delhi-NCR market, particularly Gurugram, is experiencing robust demand from both end-users and investors. He emphasized that the interest in luxury residences in Gurugram has reached unprecedented levels in recent years.
Vijay Harsh Jha, founder and CEO of the property brokerage firm VS Realtors, remarked that the real estate sector continues to exhibit significant growth. He stated, “The increase in sales and new launches compared to the previous quarter suggests that the demand during the festive season met our expectations.”
P E Analytics, a company listed on the NSE, operates PropEquity, which covers over 170,000 projects from more than 57,000 developers across 44 cities in India.
