Mumbai: Leading by health demand momentum and positive market sentiment, average housing prices in the top eight markets in India saw 10% growth in the last quarter of 2024 (YoY) year-on-year growth.
Starting from 2021, average housing prices have risen for the 16th consecutive quarter.
Price appreciation in all eight major cities is obvious, with Delhi’s NCR growing the highest rate, up 31% year-on-year, followed by Bengaluru’s 23% increase in the fourth quarter of 2024, according to a report by Credai-Colliers-Liases Foras.
While affordable housing will continue to make up most of housing sales, demand for luxury and super-old segments can be further expanded in 2025, the report said.
Overall unsold inventory continued to decline for the fourth consecutive quarter, down 5% per year during the fourth quarter 2024 period.
In late December, unsold stocks in India’s first-class housing stock were at 1 million for the first time in the past two years.
Mumbai Metropolitan Region (MMR) accounts for 40% of the share and continues to account for the majority of unsold stocks.
It is worth noting that the annual decline in unsold stocks in Pune was at 14%, followed by Hyderabad, down 13%.
Creditai National president Boman Irani said the continued increase in housing prices underscores strong confidence among homebuyers, a preference for spacious living and lifestyle upgrades.
As consumer aspirations continue to evolve, we have witnessed an increase in demand for large homes, better facilities and integrated living spaces.
“As we look forward, potential reductions in interest rates may further increase affordability and drive greater demand. This positive trend is expected to continue and thrive throughout the year, and it is the right time for homebuyers to invest in real estate. ” The Iranian added.
In addition, recent repurchase rate cuts, as well as government initiatives to fund stressed residential projects, will provide a driving force for the affordable housing sector.
“Continue, with the further reduction of the benchmark loan ratio of the elbow, most cities may witness the attractiveness of housing sales across categories. As a result, average housing prices may increase at similar levels each year in 2025.” said Badal Yagnik, CEO of Ers.
