Home Sales See Decline in Major Indian Cities, Particularly Mumbai and Pune
PropTiger.com's 'Real Insight Residential Report' highlights a 5% year-on-year decline in home sales and a 25% drop in new launches in eight major Indian cities for the July-September quarter of 2024. The decline is attributed to the sharp rise in house p
Home SalesReal EstateProptigercomHousing MarketIndian CitiesReal Estate PuneOct 09, 2024
Key Findings
The report reveals that 1,01,221 homes were sold in the quarter in 2023, which dropped to 96,544 homes sold in the third quarter of 2024. Meanwhile, the number of new homes launched in major cities fell from 1,23,080 in the third quarter of 2023 to 91,863 in the third quarter of 2024.
Mumbai, Pune, and Hyderabad See Significant Declines
Despite leading in overall sales numbers, Mumbai witnessed a slight 1% decline in home sales, with 30,010 homes sold in the third quarter of 2024 compared to 30,299 homes sold in the same period last year. Pune and Hyderabad, however, saw more substantial drops. Pune's sales fell by 36%, with 21,287 homes sold this year compared to 31,543 homes sold last year. Hyderabad experienced a 19% decline, with 11,564 homes sold this year compared to 14,191 homes sold last year.
Other Cities
Bangalore saw an 11% decline in sales, with 11,160 homes sold in the third quarter of 2024 compared to 12,588 homes sold in the same quarter last year. Ahmedabad also experienced a 9% drop, with 9,352 homes sold this year compared to 10,305 homes sold last year.
New Launches
Mumbai saw a 13% drop in new housing supply, with 31,123 homes launched this year compared to 35,923 homes launched last year. Hyderabad experienced a steep 58% decline in new launches, with only 8,546 homes launched this year compared to 20,481 homes launched last year. Pune also saw a significant 36% drop in new launches, with 21,287 homes launched this year compared to 31,543 homes launched last year.
Kolkata, while seeing an increase over the previous quarter, experienced a 61% decline in new launches compared to the same quarter last year. Only 1,516 new homes were launched this quarter, compared to 3,850 new homes launched in the third quarter of 2023.
Delhi NCR Shows Robust Growth
In contrast, Delhi NCR witnessed a robust 76% growth in new launches in the third quarter of 2024 compared to the same period in 2023. A total of 11,955 new homes were launched this year, up from 6,810 homes launched last year, indicating strong developer confidence.
Conclusion
The decline in home sales and new launches in major Indian cities, particularly Mumbai and Pune, is a reflection of the increasing house prices. Despite these challenges, some cities like Delhi NCR are showing signs of resilience and growth in the real estate market. PropTiger.com's report provides crucial insights into the current state and future trends of the Indian real estate sector.
Frequently Asked Questions
What is the main reason for the decline in home sales in major Indian cities?
The main reason for the decline in home sales is the sharp rise in house prices, as highlighted by PropTiger.com's 'Real Insight Residential Report.'
Which cities saw the biggest decline in home sales?
Pune and Hyderabad saw the biggest decline in home sales, with Pune experiencing a 36% drop and Hyderabad a 19% drop.
What was the percentage decrease in new home launches across major cities?
There was a 25% decrease in new home launches across major cities in the July-September quarter of 2024 compared to the same period in 2023.
Which city saw the most significant increase in new home launches?
Delhi NCR saw the most significant increase in new home launches, with a 76% growth in the third quarter of 2024 compared to the same period in 2023.
What does the report indicate about the future of the real estate market in India?
The report indicates that while some cities are facing challenges, others are showing resilience and growth, suggesting a mixed but dynamic future for the Indian real estate market.
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