Q3 housing sales up 36% YoY in India’s 7 top cities, Mumbai tops list: Anarock report

Housing unit sales in the third quarter of 2023 jumped by 36 percent in India's top 7 cities – Mumbai Metropolitan Region (MMR), Delhi-NCR, Bengaluru, Pune, Hyderabad, Chennai and Kolkata – as per a report released by real estate consultancy group Anarock.

The cumulative amount of housing units sold in these cities came in at 1,20,280, as compared to 88,230 units sold in the year-ago period.

Mumbai region topped the list, with a total sale of approximately 38,500 units in the July-September period, up by 46 percent as against 26,400 units sold in the corresponding period of 2022, the report said.

The city was followed by Pune, where the total housing unit sales amounted to 22,885, up by 63 percent as against 14,080 units sold last year.

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“Cumulatively, the two western cities accounted for 51 percent of total sales seen across the top 7 cities in Q3 2023,” said Anuj Puri, Chairman, Anarock Group.

In Bangalore, the jump was of 29 percent, as a total of 16,395 housing units were sold during the quarter as compared to 12,690 in the previous year.

Hyderabad clocked housing sales of 16,375 units in the three-month period, up 41 percent from 11,650 last year. In Delhi-NCR, the climb was of 6 percent, as sales number came in 15,865 units as compared to 14,970 in Q3 of 2022.

The number of units sold in Kolkata, as per the report, is 5,320, which is 7 percent higher as compared to 4,950 sold in the July-September period of the past year. 

At bottom of the list is Chennai, where 4,940 housing units were sold. This is, however, 42 percent higher as against the sale of 3,490 units recorded in the same period last year, the report noted.

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New supply up 24%

The top 7 cities saw around 1,16,220 new units launched in Q3 2023, against 93,490 units in Q3 2022, marking an increase of 24 percent over the previous year, Anarock said. 

The key cities contributing to new supply were MMR, Hyderabad, Pune, and Bengaluru, which together accounted for 87 percent of the total additions, it added.

"City-wise, MMR also topped in new supply with approximately 36,250 units added in Q3 2023, marking a modest 1 percent annual growth," says Puri. "Hyderabad, on the other hand, saw a 60 percent yearly rise in supply with approximately 24,900 units added in this period."

In terms of budget segments, the mid-range segment – homes priced between ₹40–80 lakh –  continued to dominate with a 28 percent share of the total new supply during the quarter. The luxury segment, which comprises of homes priced above ₹1.5 crore, and premium segment comprising of houses priced from ₹80 lakh to ₹1.5 crore were close behind with a 27 percent share each, the report said.

Despite increased new supply, existing housing inventory saw a 3 percent yearly decline across the top 7 cities – from around 6.30 lakh units in September 2022 to about 6.10 lakh units as of now, it stated.

Anarock also noted that average residential prices in the top 7 cities collectively saw a “double-digit growth of 11 percent YoY in Q3”. At 18 percent, Hyderabad witnessed the highest yearly average residential price growth, followed by Bengaluru with a 14 percent annual rise, it added.