At Rs 4.5 Lakh Cr, India's Housing Sales Value Set To Break Barriers In 2023: Report

The unstoppable Indian residential sector surpassed all previous highs in 2023 with housing sales creating a new peak quarter-on-quarter. Concurrently, the overall sales value of sold housing inventory also inched higher. Even before Q4 2023 sales numbers are collated, the strong sales momentum indicates that the total value of homes to have found buyers in 2023 will cross the Rs 4.5 lakh Crore mark – 38% higher than the total sales value of the entire 2022, which saw Rs 3.27 lakh Cr worth of homes sold.

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In just the first nine months of 2023, the total residential property sales value is already 7% higher than the whole of last year, with the top 7 cities seeing inventory worth approx. Rs 3,48,776 Cr sold in these 9 months.

The entire 2022 saw approx. Rs 3,26,877 Cr worth of inventory sold.

Between January and September 2023, approx. 3.49 lakh units were sold in the top 7 cities, against approx. 3.65 lakh units in entire 2022.

In value terms:

• MMR topped the list with approx. Rs 1,63,924 Cr worth of inventory (approx. 1,11,280 units) sold in the first nine months of 2023
• NCR follows with approx. cumulative sales value of Rs 50,188 Cr (approx. 49,475 units) sold in this period
• Bengaluru saw homes worth approx. Rs 38,517 Cr (approx. 47,100 units) sold in 9M 2023
• In Hyderabad, approx. 44,220 units worth approx. Rs 35,802 Cr sold in the period
• Pune saw approx. 63,480 units worth approx. Rs 39,945 sold till Sept. 2023, indicating a higher traction of budget housing in the city
• Chennai witnessed approx. 16,310 units worth approx. Rs 11,374 sold in 9M 2023
• Kolkata saw the lowest overall value (approx. Rs 9,025 crore) of housing inventory (17,280 units) sold in the period – again indicating higher sales of affordable homes

Anuj Puri, Chairman – ANAROCK Group, said, “The fact that the housing sales value in 9M 2023 exceeded that of the whole of entire 2022 reflects the increased demand for premium luxury homes this year. This, along with the fact that average prices in the top cities rose by anywhere between 8-18% this year, makes an apple-to-apple comparison of annual sales values challenging.”

“If we look at the quarter-on-quarter sales values in 2023, each quarter saw consistent growth and overall sales value has already breached the Rs 1 lakh crore mark,” added Puri.

“In Q1 2023, homes worth Rs 1,12,976 Cr were sold in the top 7 cities, Q2 2023 saw a jump of 1%, and then a further jump of 8% in Q3 2023. Sales in the ongoing festive quarter have been robust across these markets and the concluding quarter of 2023 will be no different. Thus, we expect the overall housing sales value to cross Rs 4.5 lakh crore by 2023-end.”

Comparing the first nine months of 2022 and 2023 shows a 44% jump in total sales values of homes sold – from approx. Rs 2,43,027 Cr in 9M 2022 to approx. Rs 3,48,776 Cr in 9M 2023.

• Pune recorded the highest yearly jump (96%) in total sales values – from approx. Rs 20,406 Cr in 9M 2022 to approx. Rs 39,945 Cr in 9M 2023.
• Chennai saw a 45% jump in the overall housing sales values in the period – from approx. Rs 7,825 Cr in 9M 2022 to approx. Rs 11,374 crore in 9M 2023.
• Hyderabad saw homes worth approx. Rs 35,802 Cr sold in 9M 2023, against a sales value of approx. Rs 25,001 Cr in the same period in 2022. In a year, Hyderabad saw housing sales increase by 43%.
• Bengaluru saw a 42% jump in total sales value – from approx. Rs 27,045 Cr in 9M 2022 to approx. Rs 38,517 Cr in 9M 2023.
• MMR saw a yearly gain of 41%, with a total sales value of approx. Rs 1,63,924 Cr in 9M 2023 against approx. Rs 1,16,242 Cr in 9M 2022.
• NCR saw its overall housing sales value clock in at approx. Rs 50,188 Cr in 9M 2023, against approx. Rs 38,895 Cr in 9M 2022 – an annual increase of 29%.
• At 19%, Kolkata saw the lowest yearly jump in overall sales values in 9M 2023 against the corresponding period in 2022. The overall value of homes sold in the city was approx. Rs 9,025 Cr in 9M 2023, against Rs 7,612 Cr in 9M 2022.