Bengaluru Sees Robust Growth in Residential Market in Q1 2023
According to a report by JLL India, sales of apartments in January-March across seven major cities in India have increased by 20% to 62,040 units, marking the highest quarterly sales in the last 15 years. This growth in the Indian residential market in Q1 2023 was driven by several factors, including infrastructure growth, government policies, and robust launches. The top three cities in terms of quarterly sales were Bengaluru, Mumbai, and Pune, with Bengaluru leading the market with a 21% share. The premium segment of apartments priced above Rs 1.5 crore had a 22% share in overall sales, reflecting rising demand for bigger homes with good amenities and support infrastructure. The report also showed that there was an increase in new launches, with developers taking advantage of robust sales, thanks to the resilience seen in the Indian economy. In the first quarter of 2023, 75,000 residential units were launched, the highest number in over a decade and close to the previous high of 82,757 units in 2012. Most of the new launches were in the premium segment, which includes apartments priced above Rs 1.50 crore, accounting for 27% of all launches. However, the rise in prices is seen across the spectrum of projects that have high demand and less ready-to-move inventory. Even new phases of existing housing projects are being launched at higher prices, making it harder for people to afford homes. The share of affordable apartments priced below Rs 50 lakh in quarterly sales decreased from 22% in Q1 of 2022 to 18% in Q1 of 2023. An assessment of years to sell (YTS) shows that the expected time to liquidate the stock has declined from 2.9 years in Q4 of 2022 to 2.7 years in Q1 of 2022, indicating robust sales growth.
Tags : JLL India sales apartments India infrastructure growth government policies launches