India?s real estate market is booming across both commercial and residential sectors. According to a recent report, the luxury housing segment ? units priced at Rs 40 million and above ? has seen strong sales momentum, registering a 27% increase from last year in the January to July period. The India Market Monitor Q2 2024 report by CBRE South Asia revealed that a total of 156,000 residential units were sold and over 153,000 new units were launched across all categories. Bengaluru, along with Mumbai and Pune, accounted for an impressive 63% share of the total residential sales in India during the first half of 2024. Despite the overall market strength, Bengaluru's luxury housing segment underperformed compared to the same period last year. While the city recorded 200 luxury sales in Q2 of the previous year, only 10 units were sold this year. The report noted a shift in investment towards mid-segment housing within the city. Anshuman Magazine, Chairman & CEO- India, South-East Asia, Middle East & Africa, CBRE, expressed optimism about the housing market's future. "We foresee strong momentum for the remainder of the year, driven by favourable home-buying sentiments, festive season promotions, and significant land acquisitions by developers. These factors are expected to balance supply and demand dynamics and invigorate market activity," he said. Bengaluru?s residential stock nearly doubled from 290,000 units in 2013 to almost 600,000 in Q2 of 2024. The city?s most active markets are South, East, and North Bengaluru. Last year, the city saw 40,000 unit launches and 55,000 unit sales, primarily driven by mid-segment housing. Contributing factors included rental appreciation, a return to office trends, and improved infrastructure, which also helped reduce unsold inventory to a historic low of 10%. According to the Karnataka Horizon ? Navigating Real Estate Excellence in the South report by CBRE, released in early July, Bengaluru's residential stock is expected to rise from 600,000 units to 800,000-900,000 units by 2030. The report highlighted major growth areas such as Bellary Road, Thanisandra Road, and Yelahanka in the North; Whitefield, Varthur, and Old Madras Road in the East; and Sarjapur-Attibele Road in the South East. Buyers are increasingly seeking thriving physical and social infrastructure, technology-enabled smart homes, and clean, green environments. (Source: TNIE)
