Home sales at record high in 2023, surged 31% over 2022

Despite hardening property prices and home loan interest rate hikes, the year 2023 brought cheers to realtors in the country as homebuyers flocked the market. Latest data from Anarock Research shows, in 2023 home sales scaled to a new high - breaking the previous record of 2022. And buoyed on this surging tide, realtors are now embracing for a bumper year ahead with new launches lined up to lure homebuyers.

According to Anarock’s data, home sales during the year jumped 31 per cent over 2022 to 476,530 units - up from 364,870 units. These numbers belong to the top seven markets in India - National Capital Region of Delhi (Delhi-NCR), Mumbai Metropolitan Region (MMR), Bengaluru, Pune, Hyderabad, Chennai and Kolkata. Among these, MMR continued to lead the pack with some 153,870 homes sold during 2023 - 40 per cent higher than the previous year. Meanwhile, Pune emerged as the second largest market - beating Delhi-NCR - by clocking 86,680 units - 52 per cent jump over 2022.

Delhi-NCR slipped to the third spot in the pecking order. During the year, some 65,625 units were sold - only 3 per cent higher than 63,710 units in 2022. While Bengaluru stood at the fourth position with 63,980 units sold - 29 per cent higher year-on-year.

“The year "2023 has been phenomenal for the Indian housing sector, despite global headwinds, rising domestic property prices, and interest rate hikes over the first half this year. Housing sales in the top seven cities breached the previous high of 2022, and new launches stayed in step with the current housing demand, says Anuj Puri, Chairman, Anarock Group adding, “It was widely expected that rising property prices and interest rates, along with global market upheavals and uncertainties, would impact residential sales” but the market put the concerns to rest.

According to Suraj Morajkar, Managing Director, Sun Estates Developers, markets like Goa stood out as prime choices for second homes “demonstrating a robust environment for real estate investment. The spotlight on luxury living has dazzled, witnessing a significant uptick in luxury home sales during the first half of the year. This surge not only reflects a robust appetite for premium properties but also underlines a shifting paradigm where people are choosing Goa not just as an investment hub but as a destination for an elevated lifestyle”, he says.

M Murali, Chairman & MD, Shriram Properties says, India is expected to grow rapidly over the next five years, with GDP growth expected to outpace the prior year. “With the real estate sector playing a critical role in the growth of the economy, this special combination will pave the way for the growth of the sector in Tier II cities. The government and other stakeholders should ensure balanced development, and encourage the growth of Tier II cities and towns alongside urban centres, for the comprehensive and inclusive advancement of the entire country.”