Mumbai, Pune Lead Residential Sales In India's Housing Market In June Quarter, Says Anarock Report

The housing market in India's top cities experienced a shift in the second quarter of 2024, with the Mumbai Metropolitan Region and Pune emerging as the primary drivers of residential sales, according to data by Anarock Research on Thursday.

These two cities accounted for over 52% of the total housing units sold across the top seven cities, reinforcing their status as key real estate hubs in the country. This shift marks a change from the previous quarter, where the National Capital Region was the dominant market, according to the report.

In the second quarter of 2024, 1.17 lakh new units were launched across the top seven cities, reflecting a 6% increase over approximately 1.11 lakh units launched in the first quarter. The MMR, NCR, Pune, and Bengaluru were the key contributors, accounting for 82% of the new supply.

Sales are projected to have dropped by 8% to approximately 1.2 lakh from 1.3 lakh units in the January–March period.

The decline in housing sales for the quarter is attributed to the high sales figures in the preceding quarter, according to Anuj Puri, chairperson of Anarock. Puri highlighted that the decline is also influenced by the increase in property prices over the past year, leading many investors to pause their investments.

The MMR saw 44,120 units launched in the June quarter, marking a 31% increase over the first quarter and a 2% rise on a yearly basis. More than 64% of this new supply was in the sub-Rs 80 lakh budget segment. It witnessed the highest sales, with approximately 41,540 units sold in the second quarter, despite a 3% decline from the first quarter.

Pune added around 18,920 units in the second quarter, a slight increase of 1% from the first quarter. On a yearly basis, the city recorded an 11% decline in new supply. Over 73% of the new supply in Pune was in the mid and premium segments, priced between Rs 40 lakh and Rs 1.5 crore. It saw housing sales of 21,145 units in the second quarter, an 8% decrease from the first quarter.

Bengaluru added 16,020 units in the second quarter, a quarterly decline of 3%. There was a 40% increase on a yearly basis. Approximately 83% of the new supply in Bengaluru was in the premium and luxury segments, priced at Rs 80 lakh and above. It also experienced an 8% decline in sales, with 16,360 units sold in the second quarter.

The NCR witnessed a 134% increase in new launches compared to the first quarter, with approximately 17,030 units introduced in the June quarter. A substantial 82% of these new launches were in the luxury segment, priced above Rs 1.5 crore. It was the only city to see a quarterly growth of 6% in housing sales, from 15,650 units in the first quarter to 16,550 units in the second quarter.

New launches across the top seven cities continued to break previous records with a 6% quarterly rise.