Mumbai, 7th April 2023: India’s top eight primary residential markets showed strong performance during the January-March period this year with both sales and new supply rising 22 per cent and 86 per cent YOY respectively, according to the PropTiger.com report.
PropTiger.com, the country’s leading digital real estate brokerage company is owned by REA India, the country’s largest full-stack real estate technology platform that also owns Housing.com and Makaan.com
According to the report titled Real Insight Residential – January–March 2023, housing sales increased despite further hardening of interest rates on home loans. To tap rising demand, real estate developers aggressively brought new products to the market. Sales rose to 85,850 units across eight cities in January-March 2023 from 70,630 units in the year-ago period. New launches grew 86 percent to 147,780 units — highest in a quarter — from 79,530 units across these eight major cities.
“The Indian housing market is witnessing significant growth, with both sales and new launches on the rise. This is particularly noteworthy considering the challenging global environment and the hardening of interest rates on home loans in the domestic market. Despite these obstacles, the report highlights a high double-digit growth of 22% in housing sales during the first quarter of 2023, reflecting sustained sales momentum.,” said Mr. VikasWadhawan, Group CFO, PropTiger.com, Housing.com & Makaan.com.
Mr. Wadhawan further added that “The surge in new launches also provides evidence of real estate developers’ confidence in the market and their commitment to cater to the rising demand.”
Ms. Ankita Sood, Head of Research, PropTiger.com, Housing.com & Makaan.com said, “The first quarter of 2023 definitely brings cheer to the residential realty market. Both demand and supply across the top-8 cities have registered double-digit growth. Where we see new supply reaching at an all-time high with a whooping 86 percent YoY growth, the sales have grown at a relatively slower pace at 22 percent mainly owing to the homebuyers looking for the right product.
Though as a welcome move, the April MPC has paused the rate hike, we expect demand to move in close ranges given the macroeconomic headwinds.”
Hyderabad leads in sales momentum:
| Sales YoY | |||
| City | Q1-2023 | Q1-2022 | YoY % Change |
| Ahmedabad | 7,250 | 5,540 | 31% |
| Bangalore | 7,440 | 7,680 | -3% |
| Chennai | 3,630 | 3,290 | 10% |
| Delhi NCR | 3,800 | 5,010 | -24% |
| Hyderabad | 10,200 | 6,560 | 55% |
| Kolkata | 2,230 | 2,860 | -22% |
| Mumbai | 32,380 | 23,370 | 39% |
| Pune | 18,920 | 16,320 | 16% |
| India | 85,850 | 70,630 | 22% |
Source: Real Insight Residential – January-March 2023, PropTiger Research
| Sales QoQ | |||
| City | Q1 2023 | Q4 2022 | QoQ % change |
| Ahmedabad | 7,250 | 6,640 | 9% |
| Bangalore | 7,440 | 6,560 | 13% |
| Chennai | 3,630 | 3,150 | 15% |
| Delhi NCR | 3,800 | 4,290 | -11% |
| Hyderabad | 10,200 | 10,340 | -1% |
| Kolkata | 2,230 | 2,130 | 5% |
| Mumbai | 32,380 | 31,370 | 3% |
| Pune | 18,920 | 16,300 | 16% |
| India | 85,850 | 80,780 | 6% |
Source: Real Insight Residential – January-March 2023, PropTiger Research
As per PropTiger data, Hyderabad witnessed maximum growth in sales of 55 percent to 10,200 units during January-March from 6,560 units in the year-ago period.
In Maharashtra’s two key markets, Mumbai and Pune, sales grew by 39 percent and 16 percent, respectively. In Mumbai, sales of residential properties went up to 32,380 units in Q1 2023 from 23,370 units in the same quarter the previous year. Pune saw housing sales rising to 18,920 units in the first quarter of 2023 calendar year from 16,320 units in the year-ago period.
Housing sales in Ahmedabad were up 31 pc to 7,250 units in January-March 2023 from 5,540 units in the year-ago period. Sales of residential properties in Chennai increased 10 percent to 3,630 units from 3,290 units.
However, the residential market in Delhi-NCR, Kolkata and Bengaluru remained subdued and witnessed a drop in property demand on a yearly basis in the first quarter of 2023. In Delhi NCR, housing sales dipped by 24 percent to 3,800 units in the March quarter from 5,010 units in the year-ago period. Bengaluru saw a 3 percent decline to 7440 units from 7,680 units. Housing sales in Kolkata dipped 22 percent to 2230 units in January-March 2023 from 2,860 units in the corresponding period of the previous year.
Mumbai leads in New Supply:
Unlike sales, new launches increased across all eight cities, with a total of 1,47,794 units being launched in Q1 2023, registering an all-time high quarterly level of new launches. This amounted to a year-on-year growth of close to 86 percent. Mumbai continues to be the frontrunner in terms of new supply, taking the lion’s share of 41 per cent in the overall new launches in Q1 2023.
Maximum new supply in Q1 2023 was concentrated in the INR 45-75 lakh price bracket, taking the highest (32 percent) share in the total launches. Units in the more than INR 1 crore price range also took a significant share of 29 percent.
| New Supply – YoY | |||
| City | Q1 2023 | Q1 2022 | YoY % change |
| Ahmedabad | 8,650 | 5,050 | 71% |
| Bangalore | 12,990 | 7,060 | 84% |
| Chennai | 4,830 | 1,630 | 196% |
| Delhi NCR | 5,210 | 4,270 | 22% |
| Hyderabad | 17,930 | 14,580 | 23% |
| Kolkata | 2,690 | 990 | 172% |
| Mumbai | 60,000 | 30,360 | 98% |
| Pune | 35,480 | 15,590 | 128% |
| India | 1,47,780 | 79,530 | 86% |
Source: Real Insight Residential – January-March 2023, PropTiger Research
| New Supply –QoQ | |||
| City | Q1 2023 | Q4 2022 | QoQ % change |
| Ahmedabad | 8,650 | 9,930 | -13% |
| Bangalore | 12,990 | 7,800 | 67% |
| Chennai | 4,830 | 1,930 | 150% |
| Delhi NCR | 5,210 | 1,800 | 189% |
| Hyderabad | 17,930 | 24,310 | -26% |
| Kolkata | 2,690 | 2,770 | -3% |
| Mumbai | 60,000 | ||