With housing sales witnessing strong momentum in the last two quarters, the unsold housing stock in the Tier 1 cities has seen a sharp decline of 16 percent on a year-on-year (YoY) basis in Q1 2024. The current inventory as of March 2024 stands at 4,81,566 units, according to an analysis by PropEquity, a real estate data analytics firm.
Maximum fall in the unsold stock is observed in Delhi-NCR with 37 percent decrease on YoY basis with currently 27,959 units, which was 44,680 units in Q1 2023.
Mumbai witnessed a 31 percent YoY decrease in unsold housing inventory to 48,399 units as compared to 70,432 units in Q1 2023.
Similarly, in Q1 2024 the unsold housing stock in Pune was 65,788 units, down by 25 percent from 88,204 units a year ago in the same period. In Q1 2024, there were 44,837 unsold units in Hyderabad, which is down by 20 percent from 56,243 units in Q1 2023.
Also Read: Pune real estate market sees 23% YoY increase in registrations in February 2024
Chennai has the lowest unsold housing inventory across the country at 20,959 units in Q1 2024. Unsold housing stock declined by 10 percent from 23,200 a year ago in the same period.
Hyderabad has the highest unsold housing stock at 1,10,425 in Q1 2024, the analysis said.
The report also stated that the housing sales in Tier 1 cities witnessed an increase of 8 percent YoY during January-March 2024 period despite a decrease in new supply.
The top three cities in terms of quarterly sales were Thane, Pune and Hyderabad. Thane and Pune lead the market with 26,702 and 26,632 units sold in Q1 CY 2024 respectively. Hyderabad followed with a sale of 24,314 units in Q1 2024.
Highest percentage wise growth in sales was witnessed in Navi Mumbai at 55 percent with 10,726 units sold in Q1 2024 as compared to 6,942 units in Q1 2023. It was followed by Hyderabad (21 percent) and Mumbai (18 percent).
“The residential market in India saw a significant growth in sales in Q1 2024, with an 8 percent YOY increase despite a decrease in new launches by 19 percent in the same time. If the new launches had increased even further, we would have witnessed an all-time high absorption crossing the peak witnessed in sales/absorption in 2023. It is also observed that the absorption has surpassed new supply by 38 percent, which indicates a healthy demand in the market,” said Samir Jasuja, Founder and Managing Director at PropEquity.
Jasuja added that unsold stock saw a 16 percent decrease in Tier 1 cities, which shows that the sales are surpassing the current new launches which is a positive indicator for the market.
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