A total of 312,666 residential units were sold across the top-8 markets of India in 2022, registering a growth of 34 per cent year-on-year. Mumbai led in terms of both sales as well as new launches
A total of 312,666 residential units were sold across the top-8 markets of India in 2022 (Jan–Dec), registering a growth of 34 per cent year-on-year (y-o-y), Knight Frank India said in its 18th edition of its half-yearly report – India Real Estate: 2022 – on January 10, 2022.
The report said that new home launches also witnessed a significant rise of 41 per cent y-o-y with the addition of 328,129 units in 2022.
Mumbai led the pack in terms of residential sales with 85,169 units, followed by the Delhi-National Capital Region (NCR ), with 58,460 units, and Bengaluru with 53,363 units. Mumbai remained the largest market by volume both in terms of sales as well as new launches, the report added.
Says Shishir Baijal, chairman and managing director, Knight Frank India: “For the first time in over a decade, we have seen simultaneous growth in all major real estate segments. Office, residential, warehousing and retail, all registered a significant increase in activities in 2022. Factors like change in attitude towards home ownership, return to work, and increased hiring and proliferation of e-commerce etc., backed by economic stability, allowed India’s real estate sector to benefit last year.”
According to the report, the year 2022 can well be considered a watershed year for the residential sector across the top-8 cities of India as after a significant period of decline, there was a substantial rise in sales, setting new decadal benchmarks.
“Annual sales rose by 34 per cent y-o-y with sales of 312,666 units, recording a nine-year high. Encouraged by this sales velocity, launches also saw a commensurate rise in 2022,” says the Knight Frank India report.
Apart from Kolkata, that saw a slowdown in sales of residential units by 10 per cent y-o-y, all markets registered growth in both sales as well as new launches.
Baijal adds: “The residential sector was an exceptional story of growth in 2022, as, despite numerous inflictions, the pace of growth remained largely intact. This momentum is the result of a definitive shift in attitude in favour of home ownership that has ignited the latent demand. The shift is so strong that despite some worsening in affordability on account of rising home loan interest rates, sales momentum has remained buoyant. Demand for homes has been further strengthened by continued economic growth, financial and income stability, and moderately growing prices.”