Sales, New Launches Of Residential Property Register Massive Jump In Third Quarter Of 2022

Sales of residential property jumped 24 % in the third quarter of the current calendar year in the top cities

New launches of houses zoomed 11 % in the third quarter

Total unsold stock at the end of third quarter of 2022 went down by 12%

The Voice of Chandigarh: The total sales of residential property jumped 24% in the third quarter (July-Sep period) of the current calendar year in the top cities of the country as compared to the same period of 2021. The total sales stood at 1,08, 817 units in the third quarter of 2022 as against 87,747 units in the same quarter of 2021. The sales in the third quarter of 2022 increased by 1% as compared to the immediately preceding quarter (Apr-June period) of the ongoing calendar year when 1,07,358 units were sold, according to a report by leading real estate consultancy PropEquity. The absorption has been much higher than new launches in the third consecutive quarter and builds it up on this. Absorption is higher by 25 % than new launches.

The new launches of residential property jumped 11 % in the third quarter of the ongoing calendar year in the top cities of the country as compared to the corresponding period of 2021. The new launches stood at 83,241 units in the third quarter of 2022 as against 75,061 units in the same quarter of 2021. The sales in the third quarter of 2022, however, fell by 15% as compared to the immediately preceding quarter of the current calendar year when 97,745 units were launched, according to the report.

“The residential property market in the third quarter of 2022 has seen decent performance in the top cities in the country, both from the point of view of sales as well as new launches. There is a good appetite among the citizens of these cities for buying quality houses and thus there is significant buoyancy in the real estate market. Ever since we have come out of the shadows pandemic and the lockdown, there has been hectic activity in the real estate market which is good news for the developers. Buoyancy is building from one quarter to another in the current year,” said Mr Samir Jasuja, Founder and Managing Director at PropEquity.

“The real estate market has bounced back with a positive buyer sentiment. The residential sales have continued to show robust growth between July and September 2022. Metropolitan cities such as Mumbai and Pune continue to top the charts. We’re experiencing a continuous surge in consumer sentiment towards property investments. The Q3 had seen a significant improvement in demand for housing and this would set the ball rolling for the next quarter as well. Despite the slight increase in overall interest rates, the demand for housing has not dipped,” said Mr. Shiwang Suraj, Founder & Director at Inframantra, a real estate consultancy firm.

The top cities or Tier 1 cities included in this report are Bengaluru, Chennai, Hyderabad, Kolkata, Thane, Mumbai, Navi Mumbai, Pune and Delhi-NCR (New Delhi, Gurugram, Faridabad, Noida, Greater Noida, Ghaziabad).

The top three cities in terms of sales were Thane, Pune and Bengaluru. Thane saw sales of 21, 910 units in the third quarter of 2022, a jump of 32% from the same time period of 2021 but down 4% from the immediately preceding quarter. Pune witnessed sales of 20,807 units in the third quarter of 2022, a jump of 9% from the same time of 2021 but down 1% from the immediately preceding quarter. Bengaluru saw sales of 15,297 units in the third quarter of 2022, a jump of 41% from the same time of 2021 and an increase of 5% from the immediately preceding quarter.

The top three cities in terms of new launches were Hyderabad, Thane and Pune. Hyderabad saw new launches of 16,931 units in the third quarter of 2022, a jump of 30% from the same time of 2021 and an increase of 7% from the immediately preceding quarter. Thane witnessed new launches of 15,384 units in the third quarter of 2022, a jump of 30% from the same time of 2021 but down 38% from the immediately preceding quarter. Pune saw new launches of 13,081 units in the third quarter of 2022, a decline of 33% from the same time of 2021 and a fall of 29% from the immediately preceding quarter.

The total unsold stock in the top cities at the end of third quarter of 2022 went down by 12% as compared to the same time period of 2021. The total unsold stock at the end of third quarter of 2022 stood at 4,77,570 units as compared to 5,40849 units in the same time period of 2021. Delhi-NCR, Bengaluru and Pune saw the most decline in the unsold inventory. Delhi-NCR had an unsold inventory of 37,494 units at the end of third quarter of 2022, down 32% from 55,156 units at the end of corresponding time period of 2021. Bengaluru had an unsold inventory of 54,612 units at the end of third quarter of 2022, down 25% from 72,476 units at the end of the same time period of 2021. Pune had an unsold inventory of 70,475 units at the end of third quarter of 2022, down 22% from 90,419 units at the end of corresponding time period of 2021.

Delhi-NCR, Kolkata and Chennai saw the maximum increase in weighted average price of homes (in Rs per square feet) in the third quarter of 2022 over the same period of 2021. The average price of houses in Delhi NCR stood at Rs 9,996 per square feet in the third quarter of 2022, a jump of 30% over the same period of 2021. The average price of residential property in Kolkata stood at Rs 5,954 per square feet in the third quarter of 2022, an increase of 21% over the same period of 2021. The average price of homes in Chennai stood at Rs 6,956 per square feet in the third quarter of 2022, a jump of 16% over the corresponding period of 2021.