Q2 2024 Indian Residential Property Sales Hit by Election, Heatwave, and Rising Prices

New Delhi:

The Indian residential sales market faced a slowdown in Q2 2024 due to election season, a severe heatwave, and escalating property prices. This led to an 8% decrease in the number of units sold compared to the previous quarter, according to a report by a real estate consulting firm.

Sales Slump Amid External Pressures - Quarterly Sales Drop

Anarock data revealed that 120,340 units were sold in Q2 2024 across the top seven cities, down from 130,170 units in Q1 2024.

NCR Bucks the Trend

NCR was the only city to experience a quarterly increase in housing sales, with a 6% rise compared to Q1 2024.

Annual Sales Increase

On a yearly basis, residential sales across the seven cities saw a 5% rise.

Insights from Anarock Group

Anuj Puri, chairman of Anarock Group, explained that the quarterly decline in housing sales was due to the high base from the previous quarter and the significant rise in property prices over the last year, prompting many investors to pause their investments.

New Launches Breaking Records

New launches across the top seven cities continued to break previous records, showing a 6% quarter-on-quarter rise from 110,870 units in Q1 2024 to 117,170 units in Q2 2024.

City-Wise New Supply

• MMR and Pune: Accounted for 54% of the total new launches.
• MMR: 31% quarterly increase in new supply.
• Pune: 1% quarterly increase in new supply.
• NCR: Witnessed a 134% Q-o-Q jump in new supply in Q2 2024 compared to Q1 2024.

Price Trends

• Data indicates that average residential prices saw:
• Quarterly Jump: 7%
• Annual Rise: 25% across the top seven cities.

Key Insights

The report highlights the significant impact of external factors such as elections, weather, and price hikes on the residential sales market in Q2 2024. Despite the challenges, some regions like NCR showed resilience with increased sales and new supply. The market dynamics continue to evolve with new launches and varying price trends, shaping the future of residential real estate.

For more detailed insights, visit Anarock's latest report on the Q2 2024 residential market trends.

By understanding these market dynamics, stakeholders can better navigate the challenges and opportunities in the residential real estate sector.