[GAGA REALTY] [JOINT VENTURE] [GAGA HOMES]
India’s housing property market continues to remain on a strong footing, with the year 2024 expected to end as the best year ever in terms of the sector’s performance across the top seven cities, led by steady economic growth and infrastructure improvements driving increased urbanization and sustained demand.The top seven cities, Mumbai, Delhi-NCR, Bengaluru, Pune, Hyderabad, Chennai, and Kolkata, are expected to witness record-breaking sales activity. Over 300,000 homes worth Rs 510,000 crore of homes spread across 485 million sq ft are expected to be sold at the end of 2024, showed a JLL India study.Housing sales have remained healthy and hit a new peak during January-September period this year with close to 230,000 homes across the top seven cities worth Rs 380,000 crore already sold. This translates into 363.2 million sq ft of space sold in the first nine months and with this, the outlook for the next year also remains robust.“During the year, real estate developers continued to acquire strategic land parcels across the metro cities for proposed residential development, thus the housing supply for 2025 across the top seven cities is expected to remain robust. Demand is expected to remain strong too. With sales anticipated to go up, capital values too will rise, eventually pulling up the area and overall value of homes to be sold” said Siva Krishnan, Senior MD (Chennai & Coimbatore), Head – Residential Services, JLL India.The first three quarters of 2024 saw sales of over Rs 110,000 crore each with over 115 million sq ft sold in every quarter. This growth is further driven by increased consumer confidence, and growing investments from institutional and foreign investors.“The real estate sector’s positive trajectory is driven by factors such as improved infrastructure, rising disposable incomes, stable interest rates, and government initiatives like ‘Housing for All’. As the industry continues to evolve with greenfield and brownfield developments, we are optimistic about its potential to contribute significantly to India’s economic growth and development,” Niranjan Hiranandani, Chairman, NAREDCO, told ET.Additionally, according to Hiranandani, the surge in retail home loan exposure by banks underscores the strong home ownership sentiment amongst homebuyers. Work-from-office models and redevelopment are driving growth in the rental housing segment.“With capital values surging and being at an all-time high, close to Rs 380,000 crore worth of homes have already been sold across the top seven cities in the first 9 months of 2024, taking the average sale value of an apartment to Rs 1.64 crore. This was primarily driven by premium housing projects recording robust sales during the year, especially in Delhi NCR,” said Samantak Das, Chief Economist and Head of Research and REIS, JLL India.In the first nine months of the year, Delhi-NCR led in both sales value and area sold, driven by strong demand for larger, premium homes. The region saw nearly 90 million sq ft of space sold, valued at over Rs 120,000 crore across 39,322 units, surpassing last year’s total sales.In terms of value of homes sold, Mumbai followed NCR while in terms of area sold Bengaluru stood second. This clearly indicates that while apartments are on a smaller size in Mumbai, the per sq ft realization is significantly higher, while Bengaluru offers more spacious homes.With the festive season coinciding with the fourth quarter and housing demand expected to remain strong, sales during the December quarter may potentially match or exceed the trailing three-quarter average of over 75,000 units, taking the full year sales to 305,000 units. Nominations for ET MSME Awards are now open. The last day to apply is December 15, 2024. Click here to submit your entry for any one or more of the 22 categories and stand a chance to win a prestigious award.
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