Of approx. 1.14 lakh units sold across the top 7 cities in Q1 2023, over 41% were fresh launches; in same period 2019, of approx. 78,520 units sold, 26% were newly launched
Category: Luxury Homes
Over 45% property seekers in NCR are looking to buy 3BHK homes in the near future. In the expensive MMR, 2BHKs appear to dominate the preference charts of 43% of respondents in this region, but over 32% buyers there are looking to buy 3BHKs.
The residential market’s winning streak continued in the first quarter of 2023 with housing sales in top cities breaching the previous high of Q1 2022. The quarter has recorded the highest-ever sales in the last decade amid a significant rise in demand for high-ticket priced homes (>INR 1.5 Cr).
Over the last decade, women have emerged as a major residential real estate buyer segment, especially in the urban centres. Their preferences are also distinctly shaping newer trends - from bigger homes, ready-to-move properties to specific budgets, they know exactly what they want. And like millennials, their preferences now influence the supply that developers put on the market
The mid-range (INR 40 - 80 lakh), premium (INR 80 lakh – INR 1.5 Cr), and luxury segments (>INR 1.5 Cr) were the showstoppers of 2022. In contrast, affordable housing had a lean time, with more buyers in this segment going into wait-and-watch mode; unsurprisingly, new supply in this category reduced markedly.
As per latest ANAROCK data, the average monthly rentals in the prominent luxury micro-markets across the top 7 cities increased anywhere between 8-18% in the last two years. Mumbai’s Worli saw the highest rental growth of 18% in the period – from INR 2 lakh per month in 2020 to INR 2.35 lakh in 2022 for luxury homes of minimum 2,000 sq. ft. area.
Luxury Housing Sales Double to 14% in H1 2022 from 7% in 2019
Indian luxury housing has performed remarkably well post the pandemic, with overall sales rising steeply across the top 7 cities. Latest ANAROCK Research data finds that of approx. 1.84 lakh units sold in these cities in H1 2022, about 14% (approx. 25,700 units) were in luxury homes. In contrast, of 2.61 lakh units sold in the whole of 2019, just 7% (approx. 17,740 units) were in the luxury category.
Reviewing the overall performance of the Indian residential real estate market in 2021 shows a definite upswing. Between Jan - Sep 2021, 1.63 lakh units of new residential supply were added across the top 7 Indian cities - 27% higher than 2020 full year supply - and 1.45 lakh units were sold - 5% higher than in the whole of 2020.
The quality of the site office can lead to better per-unit revenue for the developer. Even in new markets, the combination of a developer's brand and an excellent site/sales office can deliver adequate sales numbers even without show flats.
ANAROCK also saw continued interest in the super-luxury market of INR 10 Cr+ inventory, which in total contributed to almost 10% of the sales value so far. While the luxury market of INR 2.5+ Cr inventory has contributed almost 20% of the sales value so far.