Indian housing sales hit record in the second quarter, with sales of 1.15 lakh units

The housing market in India continued to surge and saw good demand in the second quarter of the calendar year despite a spike in home loan interest rates in the past and other economic hindrances like layoffs as well as the fears of recession, according to a report released by the real estate consultant Anarock group. 

“Current dynamics of the housing market reflect stability, with a promising outlook for the future. This will show resiliency going forward, demonstrating a steady demand from buyers. Although market factors may occasionally cause changes, the trend typically seems to favour stability, providing comfort to both investors and homeowners," Venkat K. Narayana, CEO, Prestige Group told Republic.

“The housing market continues to be on a roll with the momentum remaining strong even in the second quarter of 2023. Pune and MMR were the only two cities to see a quarterly rise in housing sales of 4 per cent and 10 per cent respectively while other cities saw some dip. But every year, most top 7 cities saw a significant jump in housing sales.”, says  Anuj Puri, Chairman, Anarock Group.

According to the reports, the quarterly housing sales are at an all-time high with 1,15,100 units sold in the second quarter of the current year across the top seven cities which include NCR(Near Capital Region), MMR (Mumbai Metropolitan Region), Bengaluru, Pune, Hyderabad, Chennai and Kolkata. Another major factor for the growth in sales would be the new real estate launches in the above-mentioned cities which is a 25 per cent rise in the current year as compared to the previous year.

The data further reveals that there has been an annual increase of 36 per cent against the 84,940 units sold in the second quarter of 2022. In terms of major share in supply, MMR region and Pune saw the maximum new launches accounting for over 63 per cent of the total launches in the seven cities. According to experts, the demand emphasises the real estate market's astounding potential and expansion possibilities. The in-depth study of the research confirms our belief in the industry's strong momentum, with favourable trends and rising demand. 

In terms of prices, the average residential property prices across the top 7 cities increased in the range of 6-10 per cent in the second quarter of this year compared to the same period last year. Available inventory across the top 7 cities reduced by 2 per cent every year to approx. 6.14 lakh units. NCR witnessed the highest yearly decline of 21 per cent amid reduced new supply from more than 1.41 lakh units in the same period last year.