Recap of 2024's Residential Real Estate Market: A forecast to vision what's next?

2024’s 5 Notable Property Acquisitions by Realtors

Birla Estates: Listed realty developer Birla Estates, a wholly owned subsidiary of Aditya Birla Real Estate has purchased 70.92-acre land parcel in Boisar, Maharashtra for Rs.104.3 crore. The firm is likely to come up with new township project in this region.

DLF: Largest real estate developer in a country, DLF has bought a 29-acre land parcel in Golf course extension in Gurugram for Rs.825 crore, which made it as a first big land deal of the year 2024. The company shared a statement saying that they are planning to develop a residential project regarding the land.

Prestige Group: One of the top builders in Bangalore, Prestige Group has purchased 17.45 acres of land in Whitefield for Rs.462 crore.  The purchased land will be developed with a high-ended housing project of 2.68 million sq.ft size.

"This strategic addition not only complements our existing project but also strengthens our vision to create transformative spaces that drive long-term value for our communities and stakeholders”, - Irfan Razack, Chairman & Managing Director of Prestige Group.

Godrej Properties: India’s leading developer, Godrej Properties expanded its footprints with 3 strategic land acquisitions in MMR region to develop a residential project with potential revenue of Rs. 3,500 crore. The realtor didn’t reveal the land deal value of these 3 land parcels.

Macrotech Developers: Indian multinational real estate company, Macrotech Developers (Lodha Group) has purchased seven land parcels in MMR – Mumbai metropolitan region, Bengaluru and Pune. These land parcels has been allotted to develop residential projects with saleable potential of Rs. 16,000 crore.

Viewpoint of Realty Developers & Experts on Indian Real Estate-2024

Anuj Puri, Chairman, ANAROCK Group:  Over 2, 27,400 units worth approx. Rs. 2, 79,309 crore were sold across the top 7 cities between April and September 2024. Contrastingly, the corresponding period of FY2024 saw approx. 2, 35,200 units worth Rs. 2, 35,800 crore sold. Despite a 3% drop in overall unit sales, the total sales value outstripped that of a year ago by 18% - clearly underscoring the unrelenting demand for luxury homes.

Samir Jasuja, Founder & CEO, PropEquity: The residential real estate market saw some decline in demand and supply in 2024 as compared to record high of 2023 but the supply to absorption ratio remains the same, implying that the growth is strong and healthy. Home prices have also appreciated substantially over the past three years. Luxury housing continued its dominance which is reflected in the fact that the market size of apartments, priced over Rs. 5 crore, has gone up from $4 billion to $16 billion in the last 4 years witnessing 4 x growths.

Property in Tier II markets did see some resurgence in demand. The growing avenues for employment and robust infrastructure have elicited a lot of interest from developers and financial institutions which are evident from the price rise witnessed in top 30 Tier II cities.

Garvit Tiwari, Co-Founder & Director, InfraMantra: The year 2024 has been a remarkable year for real estate sector, primarily luxury housing with homes priced upwards of Rs. 3 crore becoming the new normal in metro cities. The rise in demand on account of rising aspiration & wealth and overall economic prosperity coupled with rise in cost of land and construction, led to exponential rise in prices over the last couple of years.

Santhosh Kumar, Vice Chairman, ANAROCK Group: The last few years have seen several luxury projects launched in these peripheries to meet demand. Inevitably, average housing prices rose there. With sufficient land available in the peripheries, developers have zeroed in on them to launching large state-of-art projects there. Improved connectivity has made it feasible for buyers to live in larger societies with generous green open spaces. This trend has become very prevalent after the COVID-19 pandemic.

Looking Upon Future!

Upon all these players and their unwavering commitment towards this industry, the future of Indian residential looks promising. The potential of the market is expected to grow vitally with a focus of quality living solutions. Emerging as key hubs for real estate, the top-tiered cities are attracting homebuyers as well as developers’ significantly. With this growing impact and increased demand, the Indian real estate market is geared up to witness more sales record and innovation in the upcoming years.