India’s Residential Market Poised for Record-Breaking Year in 2024

India’s residential real estate market is poised to achieve a landmark year in 2024, with housing sales projected to surpass 300,000 units worth approximately ₹510,000 crore, covering 485 million sq. ft across the top seven cities. By the end of September 2024, around 230,000 homes worth ₹380,000 crore had already been sold, marking the highest-ever performance for a nine-month period. This represents a staggering 363.2 million sq. ft of space sold during January-September 2024.

Dr. Samantak Das, Chief Economist and Head of Research at JLL India, highlighted the surge in premium housing demand, especially in Delhi NCR, which contributed significantly to the sales value. “With capital values at an all-time high, the average sale value of an apartment reached ₹1.64 crore. The robust sales are primarily driven by premium housing projects,” he noted.

Each of the first three quarters of 2024 recorded over ₹110,000 crore in housing sales, with more than 115 million sq. ft sold per quarter. Prominent developers have already surpassed their annual sales guidance within the nine-month period, reflecting the strong market demand.

The trend is expected to continue into 2025, with developers actively acquiring land parcels for future residential projects. Siva Krishnan, Senior Managing Director (Chennai & Coimbatore), Head of Residential Services, JLL India, stated, “Demand is anticipated to remain strong, pushing up capital values and driving higher sales volumes and values.”

Delhi NCR led in terms of sales value and area sold during January-September 2024, with 90 million sq. ft worth ₹120,000 crore sold across 39,322 units. Mumbai followed in terms of value, while Bengaluru ranked second in area sold, emphasizing its preference for spacious homes.

The upcoming festive season is expected to further boost housing demand, with Q4 2024 sales likely to match or exceed the quarterly average of 75,000 units. Full-year sales are projected to reach 305,000 units, generating a total realization value of approximately ₹510,000 crore.