Home sales in December qtr fall by 21 percent in the top 9 cities; demand up 25% in NCR: PropEquity

New Delhi, Dec 21 (PTI) According to PropEquity, residential sales in nine major cities are expected to fall 21 per cent annually to 1.08 lakh units during the October-December period on a high base effect.

Real estate data analytics firm PropEquity on Saturday released sales figures for India’s nine largest housing markets: Delhi-NCR, Mumbai, Navi Mumbai, Kolkata, Bengaluru, Pune, Hyderabad, Chennai, Thane. It is estimated that sales will increase only in Delhi-NCR.

According to the data, total residential sales in the nine cities are likely to decline to 1,08,261 units in the current quarter compared to 1,37,225 units in the same period last year.

However, sales are likely to rise 5 percent from 1,03,213 units in the previous September quarter.

Samir Jasuja, CEO and founder of PropEquity, said revenue has declined year-over-year due to the high base effect.

He said sales are likely to increase quarter-on-quarter due to festive demand.

“A closer look at the figures shows that despite the decline, the supply to absorption ratio in 2024 remains the same as in 2023, indicating that the fundamentals of the real estate sector are strong and healthy,” Jasuja said.

Home sales in Hyderabad are estimated to decline by 47 percent to 12,682 homes during October-December 2024, compared to 24,044 homes in the year-ago period.

In Bengaluru, sales could decline by 13 percent from 17,276 units to 14,957 units, while Chennai could see a decline of 9 percent from 4,673 units to 4,266 units.

Home sales in Mumbai are likely to drop by 27 percent from 13,878 to 10,077 homes.

In Navi Mumbai, a decline of 13 percent is observed from 8,607 units to 7,478 units, while in Thane, a decline of 16 percent is likely to 21,893 units from 26,099 units.

Kolkata is likely to witness a decline of 33 percent to 3,763 units from 5,653 units.

Residential sales in Pune could fall by 24 percent from 26,641 to 20,230 units.

However, the Delhi-NCR market will buck the trend. Sales in the NCR market are expected to rise 25 percent to 12,915 units in the December 2024 quarter from 10,354 units in the year-ago period.

Vivek Singhal, CEO of Smartworld Developers, said the Delhi-NCR market, especially Gurugram, is witnessing strong demand from both end users and investors.

He said the demand for luxury homes in Gurugram has been unprecedented in the past few years.

Vijay Harsh Jha, founder and CEO of real estate brokerage VS Realtors, said the real estate market continues to show strong growth.

“The increase in sales and launches compared to the previous quarter indicates that holiday demand was broadly in line with our expectations,” Jha added.

PE Analytics, an NSE listed company, owns and operates PropEquity which includes over 1,70,000 projects from 57,000 developers across 44 cities in India.