The Indian real estate sector, which resumed growth last year following a two-year halt due to the pandemic, continued its upward trajectory in 2023, breaking records on the back of robust demand and ample supply. The year witnessed substantial growth in new launches and sales across various segments.
Residential Market Insights
According to a report by real estate consultant JLL, the residential market showcased resilience and growth in the first nine months of 2023. Sales surged to 196,227 units, constituting 91% of the total sales in 2022. The luxury housing segment experienced remarkable expansion, with mid-segment prices dominating sales during January-September 2023.
Shifting Dynamics in Sales
While mid-segment pricing (Rs 50 – 75 lakh) dominated, the premium segment (above Rs 1.50 crore) witnessed an increase from 18% in 9M 2022 to 22% in 9M 2023. Key cities like Delhi NCR and Mumbai recorded significant sales in the premium segment.
Luxury Segment’s Growth and Development Trend
Luxury segment sales, priced above INR 3 crore, surged by 83% from 8,013 units in 9M 2022 to 14,627 in 9M 2023. Developers are responding to the trend of homebuyers opting for larger homes by launching projects catering to this demand.
Insights from Industry Leaders
Pradeep Aggarwal, Signature Global (India) Ltd
Pradeep Aggarwal, founder & chairman, highlighted the impressive surge in Gurugram’s mid-housing sector, meeting the demand for affordable yet quality residences.
Aditya Khushwaha, Axis Ecorp
Aditya Khushwaha, CEO & director, noted the significant prosperity in the luxury real estate segment, emphasizing a 97% surge in luxury home sales and the sector’s resilience.
Shantanu Gambhir, Rise Infraventures Limited
Shantanu Gambhir, co-founder and MD, highlighted Gurugram’s real estate witnessing substantial price appreciation and an impressive growth in demand, surpassing the national average.
Mohit Goel, Omaxe Group
Mohit Goel, MD, outlined the remarkable stride in the realty sector across various cities and foresees substantial growth in the year ahead, attributing it to government policies and evolving consumer demand.
Radheecka Rakesh Garg, Rajdarbar Realty
Radheecka Rakesh Garg, director, emphasized the strategic expansion of developers into tier-2 and tier-3 cities, underlining the significance of non-metro markets, particularly for residential developments.
Nayan Raheja, Raheja Developers
Nayan Raheja highlighted unprecedented growth in the luxury housing segment, particularly in Delhi-NCR, fueled by positive economic indicators and increased NRI investments. The momentum is expected to continue in 2024.
Also read: Dr. Niranjan Hiranandani’s statements about the Indian real-estate sector