What Will Indian Real Estate in 2024 Look Like?

Post the 2022 trauma, the real estate market in India rebounded and sustained its record-breaking momentum through 2023, driven by robust demand and a substantial supply.

The luxury housing sector experienced significant growth, particularly in the mid-segment sales within the Rs 50-75 lakh range.

It was observed that the premium segment's market share increased from 18% in the first nine months of 2022 to 22% during the same period in 2023, with Delhi NCR and Mumbai at the forefront of these sales.

Sales in the luxury segment, defined as properties valued above INR 3 crore, witnessed an 83% surge, totaling 14,627 units in the same timeframe, indicating a trend among homebuyers towards larger living spaces.

While property prices have been climbing, 2024 is expected to see a more balanced pace of growth, likely influenced by government initiatives aimed at affordable housing and tighter regulations on property transactions. This period may offer a favorable opportunity for prolonged investments.

Let us look at some significant factors:

Emerging real estate trends in 2024:

2024 is anticipated to be a transformative year for both homebuyers and investors, marked by numerous new and evolving trends.

Lifestyle and Smart Technology

The modern homebuyer seeks more than just a living space; they are in pursuit of a comprehensive lifestyle. Properties featuring amenities such as swimming pools, gyms, and communal areas are becoming increasingly popular, providing an enriched living experience.

Furthermore, the integration of smart technology into homes is becoming a norm, a trend that is expected to continue into 2024. Homes equipped with automated lighting and security systems, manageable via smartphones, are becoming a standard in the market. Investing in such smart homes not only simplifies daily life but also boosts property value, mirroring the changing preferences of today's homeowners.

The Appeal of Suburban Living Will Likely Continue

As urban centers become more congested and expensive, the suburbs are emerging as an attractive alternative. These areas offer a quieter lifestyle while still providing access to urban amenities. Suburban homes typically offer more space and a greener environment, appealing to families and those seeking tranquility. Cities like Goa, known for their lifestyle and scenery, are drawing attention from homebuyers and investors. These locations offer a blend of affordability, quality of life, and investment potential, positioning them as key players in the 2024 real estate market.

Demand for Sustainable Homes Will Increase

There is a growing awareness among citizens regarding environmental issues, influencing their home-buying decisions. Green building practices, energy-efficient appliances, and the use of eco-friendly materials are becoming standard in new constructions. Prospective buyers are advised to focus on properties designed with sustainability in mind, as these homes are not only environmentally friendly but also offer savings on utility bills over time.

Indian Luxury Real Estate and Holiday Homes Segment Will Grow Further

The luxury real estate market continues to flourish, with high-end properties featuring unique architecture and amenities attracting investors. Additionally, owning a holiday home is becoming a popular trend. Individuals are seeking properties in scenic vacation destinations, either for personal use or as rentable investments. This trend is expected to persist throughout 2024.

Making Sense of The Diverse Landscape of Indian Real Estate in 2024

The Indian real estate market is experiencing an exciting transformation, offering a range of opportunities for both buyers and investors. Sustainability has become a central consideration, with eco-friendly construction and smart technology gaining prominence. The appeal of luxury living continues to attract discerning buyers, and the potential of vacation homes in picturesque locations is on the rise.

Beyond major cities, tier 2 cities are emerging as attractive investment options, offering exciting opportunities for investors. By understanding these diverse trends, individuals can confidently navigate the Indian real estate market, making well-informed decisions for their future investments.