Housing Sales Decline in Top 8 Indian Cities: Q3 2023 Report
New Delhi, Oct 15 (PTI) India's top eight housing markets witnessed a 1% decline in sales during the July-September period, with 95,547 units sold, compared to 96,544 units in the same period last year. This decline is mainly attributed to lower demand in Mumbai, Pune, and Delhi-NCR, according to data released by PropTiger, a leading real estate consultant recently acquired by listed entity Aurum PropTech Ltd.
Although sales volumes have stabilized, the total value of properties sold during the quarter surged 14% annually to Rs 1.52 lakh crore. Commenting on the data, Onkar Shetye, Executive Director of Aurum PropTech, stated, 'The Indian residential market is clearly transitioning from a broad-based, volume-led recovery to a more mature and sustainable phase of value-driven growth.'
The performance of the September quarter underscores the remarkable resilience of the premium segment, supported by stable macroeconomic fundamentals and strong buyer sentiment. Among the eight cities, housing sales in the Mumbai Metropolitan Region (MMR) fell 22% to 23,334 units during July-September from 30,010 units in the year-ago period.
In Pune, sales declined 28% to 12,990 units from 18,004 units. Sales of residential properties in Delhi-NCR decreased 21% to 7,961 units from 10,098 units. Ahmedabad saw a 5% dip in sales to 8,889 units from 9,352 units.
However, the PropTiger data showed that sales rose in Bengaluru, Hyderabad, Chennai, and Kolkata. In Bengaluru, sales rose 18% to 13,124 units from 11,160 units. Sales in Chennai more than doubled to 7,862 units from 3,560 units. In Hyderabad, housing sales rose 53% to 17,658 units from 11,564 units. Lastly, the sales of residential properties in Kolkata increased 33% to 3,729 units during July-September this year from 2,796 units in the same period last year.
On the outlook, Shetye felt that favorable conditions, such as stability in interest rates and proactive policy reforms like the recent GST reduction on cement, have provided a crucial buffer against rising input costs and bolstered developer confidence. 'We are optimistic about the upcoming festive quarter, which will serve as a key indicator of consumer demand. However, it will also be a true test of the market's ability to balance this growth momentum with emerging affordability challenges, particularly in the mid and entry-level segments,' he observed.
The report highlighted that new supply across these top eight cities saw a 5% annual decline at 87,179 units during the latest September quarter. Aurum PropTech owns and operates a rental marketplace NestAway Technologies, data analytics firm Aurum Analytica, sales automation platform Sell.do, and housing brokerage firm PropTiger.
