Housing sales in India dropped by 9% across nine major cities in 2024, with Bengaluru, Chennai, and Hyderabad seeing the biggest declines, while Delhi-NCR saw a 5% increase.
According to data released by PropEquity, a leading real estate data and analytics firm, housing sales across nine major cities in India dropped by 9% in 2024, totaling 4.71 lakh units compared to 5.14 lakh units in the previous year. The decline is attributed to lower demand and a fall in new supply of residential properties.
PropEquity, which is part of P E Analytics Ltd, a NSE-listed company, provides real estate data analytics and market intelligence covering 1,70,000 projects from 57,000 developers across 44 cities in India. The firm’s analysis of housing sales in key cities including Bengaluru, Chennai, Hyderabad, Kolkata, Delhi-NCR, Mumbai, Navi Mumbai, Pune, and Thane revealed a downward trend in housing sales.
Key Findings from PropEquity’s Report
- Overall housing sales across the nine cities fell by 9%, with 4,70,899 units sold in 2024.
- New supply saw a sharper decline of 15%, with just 4,11,022 units introduced in 2024, primarily due to a slowdown in construction activity during the general elections and the monsoon season.
- Despite the drop in both supply and sales, Samir Jasuja, CEO & Founder of PropEquity, stated that the supply to absorption ratio in 2024 remained consistent with 2023, indicating that the fundamentals of the real estate sector are still strong.
City-wise Housing Sales Performance
- Bengaluru: Sales fell by 9% to 60,506 units in 2024, compared to 66,600 units in the previous year.
- Chennai: Housing sales dropped by 11%, reaching 19,212 units from 21,515 units in 2023.
- Hyderabad: The city saw a significant decline of 25%, with only 61,722 units sold, down from 82,350 units in 2023.
- Kolkata: Sales declined slightly by 1% to 18,595 units, from 18,697 units in the previous year.
- Mumbai: Sales fell by 6%, with 50,140 units sold, down from 53,208 units.
- Navi Mumbai: A notable exception, housing sales rose by 16%, totaling 33,870 units compared to 29,085 units in 2023.
- Pune: The city saw a 13% decline, with 92,643 units sold, compared to 1,06,351 units in 2023.
- Thane: Housing sales fell by 5%, with 90,288 units sold, down from 95,336 units.
- Delhi-NCR: A positive growth in the region, with a 5% increase in sales to 43,923 units, up from 41,678 units in 2023.
Outlook and Market Insights
While the drop in housing sales and supply can be attributed to the high base effect from 2023, a peak year for housing sales, the overall health of the real estate sector remains positive. The stable supply-to-absorption ratio suggests that despite challenges, the Indian real estate market continues to show resilience and potential for long-term growth.
