India's Housing Market Sees Slump: Top 9 Cities Witness 11% Decline in New Launches
Hyderabad and Navi Mumbai see majority of new real estate launches in plots rather than apartments, indicating a decline in apartment supply and absorption.
Indian Real EstateHousing MarketPropequityNew LaunchesSalesReal Estate MumbaiSep 22, 2024
The NSE-listed firm tracks housing supply and absorption data in NCR, Mumbai, Navi Mumbai, Thane, Pune, Bengaluru, Hyderabad, Chennai, and Kolkata. According to the data, only NCR, Mumbai, and Thane saw a rise in new supply at 221%, 18%, and 11% respectively in this quarter compared to Q3 2023.
However, other cities witnessed a significant drop in new launches, with Hyderabad recording a 54% decline, followed by Kolkata (48%), Chennai (23%), Bengaluru (19%), Navi Mumbai (19%), and Pune (12%). The drop is not steep when compared to the previous quarter, i.e., Q2 2024.
On the other hand, the total absorption rose only in Delhi NCR (22%) and Navi Mumbai (4%) while falling in other seven cities. Hyderabad recorded the highest fall at 42%, followed by Bengaluru (26%), Kolkata (23%), Pune (19%), Chennai (18%), Mumbai (17%), and Thane (10%).
Frequently Asked Questions
What is the decline in new launches and sales in the top 9 cities in Q3 CY 2024?
New launches declined by 11% and sales declined by 18% in Q3 CY 2024.
Which cities saw a rise in new supply in Q3 CY 2024?
NCR, Mumbai, and Thane saw a rise in new supply at 221%, 18%, and 11% respectively.
What is the reason for the decline in new launches in Hyderabad?
The majority of new real estate launches in Hyderabad are in plots rather than apartments, indicating a decline in apartment supply and absorption.
Which city recorded the highest fall in absorption in Q3 CY 2024?
Hyderabad recorded the highest fall at 42%.
What is the outlook for the Indian real estate market?
According to Samir Jasuja, Founder & CEO, PropEquity, the demand for real estate continues to be robust, and the marginal drops in this quarter are a historic trend and not symptomatic of any adverse situation.
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