Going by the momentum in housing sales during the ongoing festive period and in the first three quarters this year, 2022 will likely breach the previous peak of 2014 with all-time high sales across the top 7 cities. According to Anarock consultancy’s latest data, housing sales in the top 7 cities are set to exceed 3.6 lakh units this year, surpassing the previous peak of 3.43 lakh units sold in the year 2014.
The nine month period of January-September 2022 saw housing sales and new launches surpass the full-year figures of 2019 with approx. 2.73 lakh units sold in 9M 2022 and new launches at 2.65 lakh units. The pre-covid year of 2019 saw over 2.61 lakh units sold in the entire year, while new supply stood at 2.34 lakh units.
MMR and NCR have retained their top slot rankings in the first nine months of 2022. About 1,30,450 units were collectively sold in these two regions, accounting for 48% of the total sales in the top 7 cities. Other high-selling cities were Pune, Bengaluru, and Hyderabad, which accounted for a 42% cumulative sales share.
Housing sales remained strong despite average property prices increasing in 2022, with the annual price appreciation in Q3 2022 being the best in the past seven years – 6% against Q3 2021.
The year 2022, according to Anuj Puri, Chairman , Anarock Group, will create residential market history in India, having already breached all previous highs and continues to witness strong sales momentum in the ongoing festive season. Homeownership sentiment retained the vibrancy ushered in by the Covid-19 era , despite interest rates hikes of 190 bps, increased property rates, and the conspicuous lack of festive season offers and discounts this year.
A combination of end-user and investor demand continues to propel real estate , especially investments flowing in projects by large and listed developers. These players report consistently high sales and are stepping up new supply into the market. Total new launches in 2022 will remain lower than the previous peak of 2014, which saw around 5.45 lakh homes launched across top 7 cities.
Current trends indicate that launches in these cities will exceed 3.4 lakh units in the whole of 2022. The first nine months of 2022 saw 2.65 lakh units launched in the top 7 cities, with MMR and Hyderabad recording the maximum new launches in this period and accounting for 54% of the total new supply
RESIDENTIAL SECTOR: DEMAND-SUPPLY DYNAMICS
Source: Anarock Research
The current trends indicate that the launches in top 7 cities will exceed 3.4 lakh units during the full calendar year of 2022. The first 9 months of 2022 saw 2.65 lakh units launched in 7 cities. with Mumbai Metropolitan Region (MMR) and Hyderabad recording the maximum new launches in this period, accounting for 54% of the total new supply.