The residential real estate market in India\u2019s top nine cities experienced a 9% decline in sales in 2024, totaling 4,70,899 units, according to a recent report by PropEquity, an NSE-listed real estate data analytics firm. This decline follows a peak year in 2023 when 5,14,820 units were sold. In addition to the drop in sales, new supply also saw a reduction of 15%, with 4,11,022 units launched in 2024 compared to 4,81,724 units in 2023.<\/p>\n\n\n\n
The slowdown can be attributed to two quarters of market under-activity due to the General Elections and the monsoon season. PropEquity’s CEO and Founder, Samir Jasuja, explained that despite the overall decline, the supply to absorption ratio in 2024 remained consistent with 2023, highlighting that the real estate sector\u2019s fundamentals remain strong.<\/p>\n\n\n\n
Housing sales in 2024 saw an uptick in only two of the nine cities. Navi Mumbai<\/strong> recorded the highest growth in sales, with a 16% increase, reaching 33,870 units. Delhi-NCR<\/strong> also saw a modest 5% rise in sales, totaling 43,923 units. In contrast, other cities faced significant declines in sales, with Hyderabad<\/strong> experiencing the largest drop. Sales in Hyderabad fell by 25%, totaling 61,722 units, while Bengaluru<\/strong> saw a 9% decline, with 60,506 units sold. In Chennai<\/strong>, sales dropped by 11%, amounting to 19,212 units, while Mumbai<\/strong> saw a 6% decrease, with 50,140 units sold.<\/p>\n\n\n\n In the western region<\/strong>, Pune<\/strong> witnessed the sharpest decline in sales, with a 13% drop to 92,643 units. Thane<\/strong> experienced a smaller decrease of 5%, totaling 90,288 units. Meanwhile, Kolkata<\/strong> saw the smallest decline in sales, down by just 1%, with 18,595 units sold in 2024.<\/p>\n\n\n\n While the overall new supply decreased by 15% in 2024, some cities saw growth in new launches. Delhi-NCR<\/strong> recorded the highest increase in new supply, with a 54% rise to 45,503 units. Bengaluru<\/strong> also saw a notable increase of 27%, with 72,111 units launched. Chennai<\/strong> saw a modest increase of 6%, totaling 20,522 units, and Mumbai<\/strong> experienced a slight rise of 4%, with 40,963 units launched.<\/p>\n\n\n\n On the other hand, new supply in Hyderabad<\/strong> dropped dramatically by 49%, totaling only 48,164 units in 2024. Kolkata<\/strong> saw a 28% reduction, with only 14,764 units launched, while Navi Mumbai<\/strong> experienced a 10% drop in new launches, totaling 28,363 units. Pune<\/strong> and Thane<\/strong> also saw declines in new supply, with drops of 27% and 25%, respectively.<\/p>\n\n\n\n Hyderabad was notably the under-performing city in both sales and new supply, significantly affecting the overall market performance. Weak demand, possibly driven by economic uncertainties and a cautious investor sentiment, may have led to the city\u2019s poor performance. This resulted in developers in Hyderabad scaling back on new project launches, contributing to the sharp decline in both supply and sales.<\/p>\n\n\n\n Meanwhile, cities in Delhi-NCR<\/strong>, Bengaluru<\/strong>, and Chennai<\/strong> experienced relatively better performances, with new supply exceeding absorption in some cases. In these regions, the real estate market showed resilience despite broader market slowdowns.<\/p>\n\n\n\n Industry experts attribute the market slowdown to a combination of factors, including the general elections, the monsoon season, and macroeconomic challenges such as inflation and a cautious investor outlook due to geopolitical concerns. According to Vijay Harsh Jha<\/strong>, founder and CEO of VS Realtors, the decline in housing sales is reflective of these broader economic factors. He suggested that rising prices and weak demand may have prompted developers to slow down new launches. However, Jha expects developers to shift focus toward the affordable housing segment, particularly properties priced below Rs 1 crore, where there is significant unmet demand.<\/p>\n","protected":false},"excerpt":{"rendered":" The residential real estate market in India\u2019s top nine cities experienced a 9% decline in sales in 2024, totaling 4,70,899 units, according to a recent report by PropEquity, an NSE-listed real estate data analytics firm. This decline follows a peak year in 2023 when 5,14,820 units were sold. In addition to the drop in sales,…<\/p>\n","protected":false},"author":1,"featured_media":56,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[],"class_list":["post-55","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/posts\/55","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/comments?post=55"}],"version-history":[{"count":1,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/posts\/55\/revisions"}],"predecessor-version":[{"id":57,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/posts\/55\/revisions\/57"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/media\/56"}],"wp:attachment":[{"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/media?parent=55"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/categories?post=55"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/upcomingprop.com\/blog\/wp-json\/wp\/v2\/tags?post=55"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}New Housing Supply: Regional Variations<\/h3>\n\n\n\n
Regional Disparities and Market Challenges<\/h3>\n\n\n\n
Market Outlook and Developer Strategies<\/h3>\n\n\n\n