India to register highest home sales since 2008 in 2023
- IBEF
- December 22, 2023
According to a recent report by real estate consultancy JLL India, the country is poised to achieve its highest home sales since 2008 in 2023. The anticipated figure for the current calendar year is 260,000 units, marking a significant milestone. The report, titled "2023: A Year in Review," highlights that home sales during the initial nine months of the year totalled 196,227 units, equivalent to 91% of the total sales recorded in 2022.
The residential sales trend in 2023 has been exceptional, averaging over 65,000 units per quarter until Q3, with projected sales between 290,000 and 300,000 units in 2024. Chief Economist Mr. Samantak Das foresees a potential 2024 policy rate cut, contingent on favourable GDP growth and inflation, fostering sustained residential sector expansion. Positive sales expectations from developers, particularly in the mid-segment US$ 60,097-US$ 90,145 (Rs. 50-75 lakh), premium segment US$ 1,802,916- US$ 360,583 (Rs. 1.5-3 crore), and low segment below US$ 60,097 (below Rs. 50 lakh), are anticipated to elicit a robust response from buyers. Notably, the premium housing segment's share increased from 18% (Jan-Sept 2022) to 22% (Jan-Sept 2023), and luxury home sales surged by 83%.
A prominent shift towards larger residences among homebuyers has been observed, prompting developers to address this demand trend. Between January and September 2023, developers experienced a significant increase in launches, reaching 223,905 units—a 21.5% rise from 2022. JLL projects approximately 280,000 launches by the end of 2023, and the robust supply pipeline indicates continued strength in launches for 2024, estimated at 280,000-290,000 units.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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