Housing Sales in Top 9 Cities to Drop 21% in December Quarter; NCR Sees 25% Demand Surge: PropEquity
Vijay Harsh Jha, founder and CEO of property brokerage firm VS Realtors, stated that the real estate market is showing robust growth. 'The rise in demand and steady supply have been driving the market forward, particularly in key regions like the NCR,' he
Real EstateHousing SalesNcrProperty MarketPropequityReal Estate NewsDec 21, 2024
According to a recent report by PropEquity, housing sales in the top nine cities are expected to fall by 21% in the December quarter.
This decline is attributed to a combination of economic factors and market dynamics.
However, the National Capital Region (NCR) has seen a significant uptick in demand, with a 25% increase in the same period.
The real estate sector in India has been a critical driver of economic growth, contributing significantly to employment and infrastructure development.
Despite the global economic slowdown and the impact of the pandemic, the sector has shown resilience and continues to attract both domestic and international investors.
Key Trends
- Decline in Housing Sales The report highlights that the top nine cities, which include Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Kolkata, Pune, Ahmedabad, and Lucknow, are witnessing a 21% drop in housing sales in the December quarter.
This is primarily due to high property prices, ongoing inflation, and a cautious approach from buyers amid economic uncertainties.
- Rise in NCR Demand In contrast, the National Capital Region (NCR) has seen a 25% surge in housing demand.
Factors contributing to this include affordable property options, robust infrastructure, and a steady influx of migrants due to job opportunities.
- Market Sentiment Despite the overall decline, the market sentiment remains positive.
Property brokerage firms like VS Realtors report a steady flow of inquiries and a growing interest in premium and mid-segment properties.
Impact on the Market
The decline in housing sales in the top nine cities is likely to have a ripple effect on the overall economy.
It may lead to a slowdown in construction activities, reduced employment opportunities, and a decrease in related industries such as furnishings and home appliances.
However, the surge in demand in the NCR provides a silver lining, indicating that there are still pockets of strong growth in the real estate sector.
Future Outlook
Real estate experts predict that the market will continue to be driven by a balance of supply and demand.
Factors such as interest rates, government policies, and economic stability will play a crucial role in shaping the future of the sector.
The focus is likely to shift towards affordable housing and the development of smart cities, which are expected to attract a younger demographic of buyers.
PropEquity
PropEquity is a leading real estate analytics and advisory firm, specializing in providing in-depth market insights and strategic recommendations to developers, investors, and policymakers.
With a strong team of industry experts and a data-driven approach, PropEquity aims to enhance decision-making in the real estate sector.
VS Realtors
VS Realtors is a prominent property brokerage firm known for its extensive network and industry expertise.
Founded by Vijay Harsh Jha, the company offers a wide range of services, including property sales, rentals, and investment advisory, catering to both individual and corporate clients.
Conclusion
While the real estate market in the top nine cities faces challenges, the robust demand in the NCR and other key regions offers a promising outlook.
Stakeholders in the sector are optimistic about the future, with a focus on strategic planning and innovation to navigate the evolving market dynamics.
Frequently Asked Questions
What is the expected decline in housing sales in the top nine cities in the December quarter?
Housing sales in the top nine cities are expected to fall by 21% in the December quarter, according to a report by PropEquity.
Why is there a 25% surge in housing demand in the National Capital Region (NCR)?
The NCR has seen a 25% surge in housing demand due to affordable property options, robust infrastructure, and a steady influx of migrants due to job opportunities.
What are the key factors driving the real estate market in India?
Key factors driving the real estate market in India include economic stability, government policies, interest rates, and the development of smart cities and affordable housing.
How might the decline in housing sales affect the economy?
The decline in housing sales may lead to a slowdown in construction activities, reduced employment opportunities, and a decrease in related industries such as furnishings and home appliances.
What is the future outlook for the real estate sector in India?
The future outlook for the real estate sector in India is positive, with a focus on affordable housing, smart city development, and a balance of supply and demand driven by economic stability and government policies.
Related News Articles
Maharashtra Budget 2024: ₹7425 Crore Allocated for Affordable Housing
Maharashtra government's interim budget for 2024-25 allocates ₹7425 crore for construction of 35 lakh affordable homes through various housing schemes, including Pradhan Mantri Awas Yojana (PMAY).
Property Registration in Mumbai Surges by 22% in October, Reaching 12,960 Units
Property registrations in Mumbai saw a 22% increase last month, with a total of 12,960 units registered, driven by the festival season demand.
Maximizing Savings: How Tax Harvesting Can Benefit Investors
Tax harvesting is a strategic method that allows investors to offset capital gains by selling investments that have declined in value. This reduces the overall tax burden, making it a valuable tool for those looking to optimize their financial returns.
Mumbai Real Estate: Alkem Labs Promoter Buys Luxury Apartment in Worli
Seema Singh, promoter of Alkem Labs, has recently acquired a top-floor luxury apartment in Worli, setting a new benchmark in Mumbai's high-end real estate market.
Luxury Home Sales Soar by 37.8% in the First Nine Months of 2024
Mumbai led the pack with 3,820 units, marking an impressive 18% year-on-year growth. Real estate consultant Vestian's latest report highlights the surge in investment in the Indian real estate market.
MMRDA Signs $12 Billion MoU with Brookfield to Revitalize MMR
The Mumbai Metropolitan Region Development Authority (MMRDA) has signed a $12 billion Memorandum of Understanding (MoU) with Brookfield to transform the region into a modern, sustainable, and vibrant urban center.