Home sales rose 9% to 78,627 units in the January-March period, the highest quarterly sales in four years, in eight major cities, according to real estate consultant Knight Frank India. Last week, two other consultants Anarock and PropTiger released their data for residential markets.
“This significantly exceeded the pre-pandemic quarterly average sales volume for the third consecutive quarter, signifying a sustained recovery in demand across the country,” he added. Home sales in Delhi-NCR more than doubled to 15,019 units, while Bengaluru recorded a 34% growth in home sales to 13,663 units.
Ahmedabad grew by 35% with sales of 4,105 units. Home sales in Hyderabad rose just 1% to 6,993 units, while Kolkata also saw a very marginal 1% increase in new home sales to 3,619 units.
However, Mumbai recorded sales of 21,548 new units in January-March 2022, registering a decline of 9% from the prior year period. “Pune recorded sales of 10,305 new homes in the first quarter of 2022, down 25% year-on-year. sales due to the reduction in stamp duty planned by the state government to encourage sales at that time,” said Knight Frank.
Chennai saw a 17% drop in sales to 3,376 units from January to March 2022, compared to the year-ago period. Shishir Baijal, President and Managing Director of Knight Frank India, “Residential market growth has been impressive for India’s key markets over the past few quarters, driven by the strengthening economy as well as the financial confidence of individuals”.
“Low interest rates, better levels of affordability, healthy wage growth and the waning pandemic with less risk of further disruption have created a favorable environment for homebuyers who have rediscovered the need for new homes. and better quality,” he added.
While financial stress remains a major factor for developers in all markets, Baijal said healthy and sustained activity by homebuyers should pave the way for gradual price increases and allow them to weather the rise. costs of critical inputs like cement and steel. House prices rose in all markets within a range of 1-7% year-on-year, Knight Frank India said.
First post: STI