Gurgaon's High-End Real Estate Market Cools Down, Noida Remains Resilient
While Gurugram's high-ticket property market is experiencing a slowdown, Noida continues to see steady demand. Developers are offering significant discounts to attract buyers, but the overall market remains competitive.
Real EstateProperty MarketGurugramNoidaDevelopersReal EstateSep 07, 2025
A report by Antique Stock Broking Limited highlights that developers are increasingly offering steep discounts to serious buyers. Reputed developers, however, are unlikely to face much challenge, the report added.
Meanwhile, in Noida, demand remains steady as the market continues to grapple with a supply shortage, the report added. The report further noted that buoyed by strong balance sheets and a focus on boosting pre-sales, competition for project acquisitions is intense. Many players are vying for opportunities and pushing up valuations—particularly for redevelopment projects in MMR and those in Gurugram.
While this is likely to put pressure on profit margins, companies with a healthy pipeline of ongoing projects over the next few years could find themselves in a favorable position, the report added. Outside the north region, July and August real estate absorption in Bengaluru was very encouraging, contrary to expectations of muted absorption on the back of IT job layoffs.
The conversion from footfalls was healthy. Ticket sizes below Rs 20 million are in the comfort zone. Units with higher ticket sizes greater than Rs 20 million are also witnessing healthy absorption, but with some inducements, such as relaxed payment plans, etc., are the order of the day. Pune too has been witnessing strong absorption in Hinjewadi and Hadapsar micro-markets, the report added.
The report further added that macroeconomic factors like interest rates are falling (the current repo rate is 5.5 per cent, with another 25 bps cut expected). Low inflation (1.55 per cent in July), income tax relief for earnings up to Rs 12 lakh per year, a good monsoon, and a strong first-quarter GDP growth of 7.8 per cent have all been positive signs, especially for the real estate sector. However, trade uncertainties with the US and layoffs in IT companies pose some risks, the report added.
Frequently Asked Questions
What is driving the softening demand in Gurugram's high-end property market?
The softening demand in Gurugram's high-end property market is driven by a combination of economic factors, including trade uncertainties and layoffs in the IT sector. Developers are offering significant discounts to attract buyers.
How is Noida's real estate market performing compared to Gurugram?
Noida's real estate market remains steady despite a supply shortage. The market is competitive, with many players vying for project acquisitions, particularly for redevelopment projects.
What are the key macroeconomic factors affecting the real estate sector in India?
Key macroeconomic factors affecting the real estate sector in India include falling interest rates, low inflation, income tax relief, a good monsoon, and strong first-quarter GDP growth. These factors are generally positive for the real estate market.
How are developers in Gurugram and Noida responding to the current market conditions?
Developers in Gurugram and Noida are offering significant discounts and inducements to attract buyers. They are also focusing on boosting pre-sales and acquiring new projects to maintain their competitive edge.
What is the current trend in property absorption in major cities like Bengaluru and Pune?
Bengaluru and Pune are witnessing strong property absorption, particularly in micro-markets like Hinjewadi and Hadapsar. The conversion from footfalls is healthy, and units with higher ticket sizes are also seeing good absorption with some inducements.
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