<p>Bengaluru: Amid a strong rally in the Indian real estate market, 2023 registered the highest housing sales in at least a decade, across the top seven cities, a new report by property consultancy Anarock revealed on Thursday.</p><p>With approximately 4.77 lakh units sold across the seven biggest cities in 2023, the residential segment registered a 31% year-on-year growth over the 3.6 lakh units in the previous year.</p><p>“The last peak in the decade was seen in 2022, after 2014, when approximately 3.43 lakh units were sold in the top-7 cities,” the report highlighted.</p>.Retail sector set for 10-13% growth in 2024 on luxury, value purchases. <p>“2023 has been phenomenal for the Indian housing sector, despite global headwinds, rising domestic property prices and interest rate hikes over the first half this year,” Anarock Group Chairman Anuj Puri remarked.</p><p>The report credited unchanged home loan rates in the back half of the year for sustaining the overall positive consumer sentiment.</p><p>The sales momentum was led by the western markets of Mumbai Metropolitan Region and Pune, which sold around 1,53,870 and 86,680 units, respectively. Kolkata stood at the bottom of the chart with approximately 23,030 units sold during the year.</p><p>At the same time, fresh supply of newly built homes saw a 25% year-on-year growth with around 4.6 lakh units launched in 2023, against 3.6 lakh units in 2022. About 31% of the overall supply of residential units in 2023 ranged in the Rs 40-80 lakh bracket. With 51% of launches in the Rs 80 lakh-plus bracket, affordable housing - comprising homes priced below Rs 40 lakh - secured the smallest share of the pie at 18%.</p><p>Industry players blame difficulties in sustaining profit margins for the declining share of the budget housing segment.</p><p>As per the report, the annual jump in housing prices across the seven geographies ranged between 10-24% - driven by demand and increased input costs. Murali Malayappan, chairman and managing director of Bengaluru-based Shriram Properties cited a 5-8% increase in expenditure on raw material, cost of capital and labour.</p><p>Unsold inventory, on the other hand, saw a 5% year-on-year decline towards 2023-end, despite a strong supply of new units during the year.</p><p>According to the report, housing demand is expected to remain undeterred in 2024, even with a likely average price hike of 8-10% across the top-7 cities. “The Indian economy remains bullish, and this directly correlates to residential demand,” Puri said.</p>
<p>Bengaluru: Amid a strong rally in the Indian real estate market, 2023 registered the highest housing sales in at least a decade, across the top seven cities, a new report by property consultancy Anarock revealed on Thursday.</p><p>With approximately 4.77 lakh units sold across the seven biggest cities in 2023, the residential segment registered a 31% year-on-year growth over the 3.6 lakh units in the previous year.</p><p>“The last peak in the decade was seen in 2022, after 2014, when approximately 3.43 lakh units were sold in the top-7 cities,” the report highlighted.</p>.Retail sector set for 10-13% growth in 2024 on luxury, value purchases. <p>“2023 has been phenomenal for the Indian housing sector, despite global headwinds, rising domestic property prices and interest rate hikes over the first half this year,” Anarock Group Chairman Anuj Puri remarked.</p><p>The report credited unchanged home loan rates in the back half of the year for sustaining the overall positive consumer sentiment.</p><p>The sales momentum was led by the western markets of Mumbai Metropolitan Region and Pune, which sold around 1,53,870 and 86,680 units, respectively. Kolkata stood at the bottom of the chart with approximately 23,030 units sold during the year.</p><p>At the same time, fresh supply of newly built homes saw a 25% year-on-year growth with around 4.6 lakh units launched in 2023, against 3.6 lakh units in 2022. About 31% of the overall supply of residential units in 2023 ranged in the Rs 40-80 lakh bracket. With 51% of launches in the Rs 80 lakh-plus bracket, affordable housing - comprising homes priced below Rs 40 lakh - secured the smallest share of the pie at 18%.</p><p>Industry players blame difficulties in sustaining profit margins for the declining share of the budget housing segment.</p><p>As per the report, the annual jump in housing prices across the seven geographies ranged between 10-24% - driven by demand and increased input costs. Murali Malayappan, chairman and managing director of Bengaluru-based Shriram Properties cited a 5-8% increase in expenditure on raw material, cost of capital and labour.</p><p>Unsold inventory, on the other hand, saw a 5% year-on-year decline towards 2023-end, despite a strong supply of new units during the year.</p><p>According to the report, housing demand is expected to remain undeterred in 2024, even with a likely average price hike of 8-10% across the top-7 cities. “The Indian economy remains bullish, and this directly correlates to residential demand,” Puri said.</p>